Download - GSVC Social Impact Assessment

GSVC Social Impact Assessment Webinar

Presented at the Haas School of Business

October 16 2007

More detailed resources are available online at

www.gsvc.org

Purpose

The objective is to answer 3 key questions:

1. What is a social impact assessment?

2. What is it’s value?

3. How is it developed?

Workshop Overview

I: Social Ventures - Defining Value

– Sara Olsen, Social Venture Technology Group

II: Building the SIA

– Joel Ramirez and Jeff Kang, GSVC Research

I: Social Ventures - Defining Value

Sara Olsen, SVT Group

II: Building the SIA

GSVC SIA Framework Overview

Insights from GSVC 2007

Entrant Timeline

Resources

The GSVC SIA Framework

• Various approaches are used to measuresocial impact

– REDF, Acumen Fund, World Bank

• GSVC developed its own SIA framework

– Support early stage ventures in social impactmeasurement

– Central aspect of the competition (SIA Award isgiven to the plan with the best assessment model)

Existing Approaches

Source: S. Olsen, J. Nicholls. A Framework for Approaches to SROI Analysis, May 2005.

GSVC

All GSVC entrants are required to complete

these three steps to demonstrate social

value creation in financial terms

Define. Quantify. Monetize.

Define Quantify Monetize

What is your socialvalue proposition?

How will you measuresocial return?

What is the $ value ofyour impact?




Detailed and focused Theory of Change

Develop an Impact Value Chain

Tips

Articulate, in a sentence or more, thetheory of change — a compelling socialvalue proposition that is core to theventure’s desired social outcomes

CompetitionRequirements

Theory of Change

Impact Value Chain

Tools

Define the non-financial benefits theventure creates

Goal

Theory of Change


Human Service Fellowship (SIA Winner, 2005)

IF there is increased supply of HIV-trained laboravailable to NGOs in Africa

THEN high-quality life-years will increase forHIV/AIDs infected patients

Theory of Change:


Relate to Impact Value Chain

Discuss how they will be tracked

Tips

Articulate the three most importantmeasurable social indicators will moststrongly correlate with desired socialoutcomes and that can be tracked as partof normal business operations


Impact Value ChainTools

Identify your top indicators of social valueGoal


Impact Value Chain


Human Service Fellowship (SIA Winner, 2005)

Impact Value Chain:

Inputs

• Increased supply

of HIV-trained

labor available to

NGOs

Activities

• Health staff

training

• Systems setup

• Management

Outputs

1. # health staff

trained

2. # AID S clinics

enabled

3. # new patients

treated

Outcome

• Increased high-

quality life-years

saved (health)

Outputs are clear, quantifiable and

mapped to social outcome


Develop and state clear assumptions

Innovate upon on existing frameworks

Include both positive and negative outputs

Discuss tracking and monitoring plans

Tips

Monetize the value of expected socialimpact over the next 10 years, using toolslike SROI analysis


GSVC 5-Step Process

Various frameworks (REDF)

Tools

Identify the dollar value equivalent of yoursocial impact to create a SROI

Goal



Five Step SROI

GSVC SROI Framework

1. Quantify outputs/outcomes where possible2. Use proxies to translate outputs into financial equivalents3. Develop social cash flow projection (10 yrs)

- Subtract value of outputs/outcomes that would havehappened anyway

- Calculate social NPV- Subtract operating and capital costs- If desired, calculate return (SROI, SIRR)

4. Discuss qualitative outcomes5. Clearly cite your sources and assumptions

SIA Judging - Key Questions

Define.

– How compelling is the theory of change?

– How integrated is the theory of change withthe purpose of the business?

– How well is the social mission embedded inthe business?

Quantify.

– How measurable are the social indicators?

Judges will focus on several key criteria

Monetize.

– How credible are the assumptions and the projections?

– Does the plan describe a process for monitoring SIA over time?

– Has the analysis accounted for both the positive and the potentialnegative outcomes generated by business activities?

– Does the plan identify potential conflicts or paradoxes betweenmanaging for financial and social results?

What is a model SIA?

THE

HUMAN SERVICE

FELLOWSHIP

SIA Winner (2007): Compelling and Credible

“it was compelling…the analysis involved stakeholderanalysis, was feasible and easy to monitor.”

SIA Honorable Mention (2005): Analytical Rigor

“…excellent analytical approach…serves as apositive example to current and future ventures.”

SIA Winner (2005): Strong Theory of Change

“The results of their SROI could not have been achievedwithout their intervention”

SIA Award recipients best model the framework and

contribute to the field of social impact measurement

Best SIA does not always = greatest social impact!

Participants need more resources and a clear process:

• GSVC will provide SIA Office Hours to entrants and partners(more details to come)

• Building online resource library and tools

• Developing better coordinated judging timeline

Judges suggest further emphasis on:

• Seamless integration into the business plan

• Clearly stated and well-referenced assumptions

• A clear and sustainable process to monitor SIA moving forward

• Inclusion of stakeholder analysis, if applicable

Insights from 2007

Entrants: 2008 SIA Timeline

SIA FinalsGSVC Semi-FinalsExecutive Summary

TimeframeNow - Jan 16Now - Nov (India)

Suggested ActionsRead GSVC SIA GuidelinesDevelop Theory of ChangeDraft Impact Value Chain

Judging ProcessNo specific judging of SIA

GSVC ResourcesResource Library

TimeframeJan 18 - Feb 27

Suggested ActionsResearch methods, proxiesDevelop assumptionsConduct SROI analysis

Judging ProcessJudge Full SIA Analysis

(judged by each region)1 SIA Finalist per RegionFeedback to SIA Finalists

GSVC ResourcesGSVC Office HoursResource LibraryGSVC Mentors

TimeframeMar 10 - Mar 24*

Suggested ActionsIncorporate judging feedback

Judging ProcessJudge Full SIA AnalysisInnovative and high qualityJudged by international panel

GSVC ResourcesGSVC Office HoursResource LibraryGSVC Mentors

Resource Library: www.gsvc.org

2008 Social Impact GuideDetailed guidelines and

requirements arein the Resource Library

Also Included:

• SROI Examples

• Related Links

• GSVC Workshop Materials

Additional Resources

www.riseproject.org,

www.svtgroup.netReview and description ofvarious social impactframeworks

Double Bottom LineProject Catalog

http://www.redf.org/publications-past.htm

Publications onmeasurement frameworks,SROI case studies

REDF Publications

http://www.socialedge.org/resources/edge-wiki/ImpactAssessment

Links to papers andresources

Social Edge (Skoll)

http://www.blendedvalue.orgReference documents andpresentations

Blendedvalue.org

Cathy Clark’s full SIApresentation (2007)

Details

www.gsvc.org2007 SIA WorkshopPresentation

SourceResource

Thank You!

Please feel free to contact the GSVC ResearchTeam with any SIA questions and feedback

• Jeff Kang, [email protected]

• Joel Ramirez, [email protected]