Session 6

Social Impact
Measurement
Dr. Erica Lee
Learning Objectives
• Define performance
• Theorizing performance and social impact
• !"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
Question
What is performance?
 Example 1
• Performance can be shown as hard evidence, but you would surely want
some qualitative change?
• If people are performing their job correctly, they are showing some
change in their ethics….
• Their broad values and approaches aren’t open, or only with great
difficulty, to hard facts.

(health sector manager interviews, Feb 2009)

Example 2
• It’s not about efficiency, not about tasks, it is about being effective… and
personal happiness and goals and things.

• If people aren’t happy, they don’t perform….

• Happiness is the key to it all for me. Sounds a bit on the hippy side, but
there you are.
(health sector manager interviews, Feb 2009)
Example 3
• It’s keeping that cycle of learning and ongoing movement. ..not stagnating…
when you talk in all those [competency] terms that are “in” terms.
• It switches people off… it’s good stuff, it is, but people think of all these
manuals, and forms they have to fill in.

• I like to keep the free flow, something that you don’t feel strangled by. That
helps you to get through the competency framework.
(health sector manager interviews, Feb 2009)
Questions
1. Can social dimensions of performance (ethics, attitude, happiness,
and learning) can be measured?
2. What proxies might indicate “good” social performance?
3. What impact does social performance have on the development of
social, ethical, and human capital?
Theorizing performance and social impact

(Ridley-Duff, 2009)
Theorizing performance and social impact

(Ridley-Duff, 2009)
Theorizing performance and social impact

(Ridley-Duff, 2009)
Theorizing performance and social impact
• Ridley-Duff’s model (2005, 2006) makes clearer how the greatest potential for
impact occurs when all aspect of social and economic performance can be
“blended”.
Ø Anything that decreases the ability of people to assist each other inhibits social
performance (i.e. limits their capacity to develop sustainable satisfying
relationships).
Ø Anything that inhibits relationship development potentially decreases economic
performance (i.e. limits their capacity to collaborate to achieve goals or
“missions”).
• As a result, the need for a holistic approach that interprets, analyses and
reports “blended value” continues to grow (Nicholls, 2009).
Social Accounting Practices
!"#$%&'%()$*+','-%.%/0-0.*'*""&1'2"3'#""403%*$".'5"36$./'7!430#6&089':;<:=
>3$.#$4&01'(.)034$..$./'0%3&8'1"#$%&'%()$*$./'$.'*?0'@A
:B C*'-(1*'D0'-(&*$E403140#*$F09'$B0B'$.#&()0'F$051'23"-'608'1*%60?"&)0319'
1*%229'#(1*"-0319'D0.02$#$%3$019'2(.)031'%.)'$.F01*"31'0*#B
GB C*'1?"(&)'D0'#"-430?0.1$F09'$B0B'#"F03'%&&'%#*$F$*$01'"2'*?0'1"#$%&'0.*0343$10B
HB I?0'"3/%.$J%*$".'1?"(&)'&0%3.'23"-'*?0'0K03#$10'D8'#"-4%3$./'
4032"3-%.#0'"F03'*$-0'5$*?'"*?039'1$-$&%39'"3/%.$J%*$".1B
LB !"#$%&'%()$*'1?"(&)'D0'(.)03*%60.'30/(&%3&8'%.)'D0#"-0'0-D0))0)'$.'*?0'
3(..$./'"2'*?0'1"#$%&'0.*0343$10B
Social Accounting Practices
>3$.#$4&01'(.)034$..$./'0%3&8'1"#$%&'%()$*$./'$.'*?0'@A
MB'I?0'1"#$%&'%##"(.*1'4304%30)'1?"(&)'D0'#?0#60)'D8'%.'$.)040.)0.*'4%.0&'
"3'%11011"3B
NB'I?0'2$.)$./1'"2'*?0'F03$2$0)'7$B0B'%()$*0)='1"#$%&'%##"(.*1'1?"(&)'D0'
#$3#(&%*0)'%.)')$1#(110)B
OB'I?0'43"#011'1?"(&)'(.)034$.'%'4?$&"1"4?8'"2'#".*$.("(1'$-43"F0-0.*B
Question
1. Do social enterprises adopt social accounting practices? Why or
why not?
2. Why do social enterprises measure social impact?
Example
Social enterprise: Why we measure our social impact?

https://www.youtube.com/watch?v=F2hr94eiZ4w
A social audit

1. What questions do you need to ask to evaluate the organization’s

social impact?
2. How will you know if you are “successful”?
Example

1. The wages
2. Skill sharing and
education opportunities
of its employees
3. The overall personal or
job satisfaction of
employees
4. An assessment of the
company’s activities
externally, including its
effects on customers
and suppliers, on people
living in areas where the
company operates
Example

https://www.asan.org.uk/about/social-accounting/
Social Impact Measurement

What How Why

How is this project Why this project? The
What is the social impact?
implemented to mission of this
generate social project.
impacts?
!"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
,.'%11011-0.*'$1'-%)0'5?0*?03'*?0'P"(*#"-0Q 5"(&)'?%F0'"##(330)'%.85%89'
"3'5?0*?03'*?08'%30'%'301(&*'"2'#".*3$D(*$".1'D8'*?0'1"#$%&'0.*0343$10B
!"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
I?0'R(%&$*8'%.)'R(%.*$*8'"2'0F$)0.#0'.00)0)'*"'%11011'P!"#$%&'C-4%#*Q'%220#*'
5?%*'/0*1'-0%1(30)'%.)'?"5'$*'/0*'-0%1(30)B
• !"#$%&',##"(.*$./'%.)',()$*'7!,,=
• !"#$%&'S0*(3.'".'C.F01*-0.*'7!STC=
• Social Impact Measurement adapted from Kirkpatrick’s Model of Training
Evaluation

!"#$%&'()**+,!-+,.,/)$$+,0-,123456-,78#%9:;<8#"8=,:>?"<$,%8;%9@9":%A,BC%>9&,<8# @9<?;"?%,128#,%#-6-,D>8#>8A,EFGH
 !"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
I5"',443"%#?01'*"'1"#$%&'%()$*'$.'*?0'@A+'
!"#$%&',##"(.*$./'%.)',()$*'7!,,=
• I?0'-0*?")'"2'#?"$#0'$.'#""403%*$F0'%.)'#"--(.$*8'0.*0343$101'10061'*"'(10'
%##"(.*$./'43%#*$#0'*"'0./%/0'1*%60?"&)031B
!"#$%&'S0*(3.'".'C.F01*-0.*'7!STC=
• I?0'-0*?")'"2'#?"$#0'2"3'1"#$%&'%.)'4(D&$#'10#*"3'$.F01*"31'1006$./'*"'(.)031*%.)'
*?0'$-4%#*'"2'*?0$3'4?$&%.*?3"48'%.)'#".*3%#*$./!
 !"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
,'R(%&$*%*$F0'%443"%#?'E !"#$%&',##"(.*$./'%.)',()$*'7!,,=
• I?0'-0*?")'"2'#?"$#0'$.'#""403%*$F0'%.)'#"--(.$*8'
0.*0343$101'10061'*"'(10'%##"(.*$./'43%#*$#0'*"'0./%/0'
1*%60?"&)031B
• ,'2&0K$D&0'23%-05"36'2"3'#%4*(3$./'7%.)'%220#*$./='1"#$%&'
$-4%#*B'I?0'23%-05"36'$1'430)"-$.%.*&8'R(%&$*%*$F0'$.'
.%*(30B
• ,##"(.*'2(&&8'2"3'*?0$3'1"#$%&9'0.F$3".-0.*%&9'%.)'
0#"."-$#'$-4%#*1
• S04"3*'".'4032"3-%.#0
• >3"F$)0'0110.*$%&'$.2"3-%*$".'2"3'4&%..$./'2(*(30'%#*$".'
%.)'$-43"F$./'4032"3-%.#0B
The process of social audit
The overall process of social accounting and audit

https://www.youtube.com/watch?v=MaUY8MEgUrM
 !"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
!"#$%&'(%(')*"%++,-%./"0 1-.'%&"!..-$2('23"%24"!$4'("51!!6
7*%,.*"%24"8%9":(%(*;"5<==>;?6
@A B/*"-,3%2'C%('-2:".&%,'D9"(/*',"E'::'-2F"-GH*.(')*F"%24",*&%(*4"%.(')'('*:F"%24"(/*")%&$*:"
%24"+,'2.'+&*:"(/%("$24*,+'2"%&&"(/*',"%.('-2:F"%:"I*&&"%:"'4*2('D9 (/*',"J*9":(%J*/-&4*,:A
<A K("'2)-&)*:",*.-32'C'23"(/*"#$%2('(%(')*"%24"#$%&'(%(')*"'24'.%(-,:"(/%("*2%G&*"(/*"
*2(*,+,':*"(-",*+-,("*DD*.(')*&9"-2"'(:"+*,D-,E%2.*"%24"'E+%.("%3%'2:("'(:":(%(*4"E'::'-2F"
-GH*.(')*:F"%24")%&$*:"(/,-$3/"4%(%".-&&*.('-2"%24".-2:$&('23"%++,-+,'%(*&9"I'(/"'(:"J*9"
:(%J*/-&4*,:A
LA M,'23"%&&"(/*".-&&*.(*4"'2D-,E%('-2"(-3*(/*,"'2(-":-.'%&"%..-$2(:"(/%("%,*"(/*2")*,'D'*4"G9"
%2"'24*+*24*2("+%2*&"(/%(F"-2.*":%(':D'*4F"'::$*:"%":-.'%&"%$4'(":(%(*E*2(

• N-:("-,3%2'C%('-2:"J**+":-.'%&"%..-$2(:"D-,"%"+*,'-4"(/%("$:$%&&9",$2:".-2.$,,*2(&9"I'(/"(/*',"
D'2%2.'%&"9*%,A
!"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
,'R(%&$*%*$F0'%443"%#?'E !"#$%&',##"(.*$./'%.)',()$*'7!,,=

• +77*8&#3"9,&:*'$*3%-;*-;"#6"&*2,*'36."3"(2*2;#(*+<15 = 9'2;*4'&"-2*-,$2$*,8*>*
?@AAA*B >*C@AAA*#)#'($2*>*DEF*B >*?GF*8,&*+<15*6&,H"-2I

• JK2"&(#.*L"&'8'-#2',(*'$*#*:"M*$"..'()*8"#2%&"*2;#2*3#2-;"$*8'(#(-'#.*#--,%(2'()*
6&#-2'-"*#(4*2;"*8'(#.*&"6,&2*9'..*;#L"*N,2;*3#&:"2'()*#(4*3#(#)"3"(2*L#.%"I
 !"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
,'R(%.*$*%*$F0'%443"%#?'U !"#$%&'30*(3.'".'C.F01*-0.*'7!STC=
• I?0'!STC'%443"%#?9'"3$/$.%&&8')0F0&"40)'D8'*?0'S"D03*1'V.*0343$10'
W0F0&"4-0.*'X(.)B'C*'%$-1'*"'*3%.1&%*0'1"#$%&'$-4%#*1'$.*"'2$.%.#$%&'F%&(01 %.)'
$1'%'430)"-$.%.*&8'7D(*'."*'0K#&(1$F0&8='R(%.*$*%*$F0'%443"%#?B'
• !STC'$1'%.'%443"%#?'*"'(.)031*%.)$./'%.)'-%.%/$./'*?0'$-4%#*1'"2'%'43"Y0#*9'
"3/%.$J%*$".'"3'4"&$#8B'C*'$1'D%10)'".'1*%60?"&)031'%.)'4(*1'2$.%.#$%&'F%&(0'".'
*?0'$-4"3*%.*'$-4%#*1B'
 !"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
,'R(%.*$*%*$F0'%443"%#?'U !"#$%&'30*(3.'".'C.F01*-0.*'7!STC=
• !STC'23%-01'*?0'$11(01'$*'$1'/"$./'*"'%))3011'$.'*03-1'"2'P)01$30)'"(*#"-01Q9'
%.)'?%1'1(22$#$0.*'2&0K$D$&$*8'*"'%&&"5'1*%60?"&)031'*"')02$.0'*?010B

• Z?$&0'%)"4*$./'%'R(%.*$*%*$F0'%443"%#?9'$*'$1'Y(1*$2$0)'".'*?0'D%1$1'*?%*'*?0'
1"#$%&'10#*"3'.00)1'%'-0*?")'"2'2$.%.#$%&'%##"(.*$./'*?%*'#%.'D3$)/0'$.*"'*?0'
5"3&)'"2'4(D&$#'10#*"3'43"#(30-0.*'%.)'1"#$%&'$.F01*-0.*B

• !STC'$1'-"30'*?%.'%.'%##"(.*$./'*""&B'C*'$1'%&1"'%'5%8'"2'*?$.6$./'*?%*'0.%D&01'
%'!V'*"'$)0.*$28'*?0'D0.02$*1'"2'*?0$3'103F$#0'*"'%.8'"*?03'4%3*8'7$.'*?0'$.)$F$)(%&'
*0.)03'1$*(%*$".='%.)'%1'%'-%360*$./'*""&'72"3'10#*"3E&0F0&'43"-"*$".='D8'10**$./'
"(*'?"5'1"#$%&'F%&(0'$1'#30%*0)'D8'!VB
!"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
,'R(%.*$*%*$F0'%443"%#?'U !"#$%&'30*(3.'".'C.F01*-0.*'7!STC=

>0%3#0'%.)'A%8+'7G[[<+:<=
• !STC'$1'%**3%#*$F0'*"'$.F01*"319'2(.)031'%.)'#".*3%#*"319'
0140#$%&&8'$.'*?0'4(D&$#'10#*"39'D0#%(10'$*'140%61'*?0'&%./(%/0'
"2'D(1$.011 %.)'/$F01'*?0-'%'.(-D03B'
• \"50F039'%'30&%*0)'#".#03.'$1'*?%*'1(#?'$.*0301*'#%.'*0.)'*"'
-%60'*?0'!STC'43"#011'2(.)03'%.)'$.F01*"3'&0)B'
Example
How to maximize social return on investment SROI with continuous data?

https://www.youtube.com/watch?v=wItHW3TFhOY
https://www.sopact.com/perspectives/social-return-on-investment-calculation
SROI Principles

https://www.youtube.com/watch?v=evFvEgdG9sk
!"#$%&'()*+,-'#.*/#.%"0**1%2-,3"*#(4*536#-2
!"#$%&',##"(.*$./'%.)',()$*'7!,,=
• I?0'-0*?")'"2'#?"$#0'$.'#""403%*$F0'%.)'#"--(.$*8'0.*0343$101'10061'*"'(10'
%##"(.*$./'43%#*$#0'*"'0./%/0'1*%60?"&)031B
• !,,'%443"%#?'$1'43010.*0)'%1'P]"**"-'E(4Q'%.)''P/3%113""*1Q
7^$#?"&&19'G[[;D=

!"#$%&'S0*(3.'".'C.F01*-0.*'7!STC=
• I?0'-0*?")'"2'#?"$#0'2"3'1"#$%&'%.)'4(D&$#'10#*"3'$.F01*"31'1006$./'*"'
(.)031*%.)'*?0'$-4%#*'"2'*?0$3'4?$&%.*?3"48'%.)'#".*3%#*$./B
• !STC'#"--(.$*8'302&0#*1'%'P*"4E)"5.Q'%443"%#?'
• 7^$#?"&&19'G[[;D=
Activity 1
• “Social accounting and audit (SAA) should be oriented towards the
satisfaction of a social enterprise’s internal stakeholders”.
• Critically assess the benefits and limitations of this view and assess
whether social auditing could also act as a marketing model for
social enterprise.
Activity 2
• Describe the analysis framework that underpins social return on
investment (SROI).
• What advantages does this offer when tendering for public sector
contracts or seeking social investment?
Activity 3
• “Neither SAA nor SROI addresses the issue of social enterprise
performance”.
• Critically assess the concept of performance, and the limitations in
the way SAA and SROI assess it.
Example
Introducing Bonterra

https://www.youtube.com/watc
https://www.bonterratech.com/about-us h?v=hs3rqrl3pX8
Reference
Understanding Social Enterprise
Theory and Practice
By: Rory Ridley-Duff, Mike Bull

https://uk.sagepub.com/en-
gb/eur/understanding-social-
enterprise/book260450