epip webinar: the next frontier in impact measurement isn't measurement at all

THE NEXT FRONTIER IN IMPACT MEASUREMENT ISN’T MEASUREMENT AT ALL – WHY WE NEED SKILLED IMPACT ANALYSTS TO IMPROVE SOCIAL CAPITAL MARKETS

EPIP Webinar October 12, 2016 EPIP National Host: Biz Ghormley EPIP San Diego Host: James Halliday Presenter: Sara Olsen

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Emerging Practitioners in Philanthropy (EPIP) is a national network of foundation professionals, social entrepreneurs and other change makers who strive for excellence in the practice of philanthropy.

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We provide a platform for our community to:

Connect with others

Learn & practice

leadership skills

Inspire emerging ideas in the social sector

Get in touch! Please reach out with any questions or to learn more about membership!

Biz Ghormley [email protected]

Director of Operations & Member Services

What’s Next? • Next EPIP Webinar! •  Intersectional Giving - Reconnecting Race,

Social and Gender Justice for More Effective Grantmaking – October 19 at 3pm ET

• EPIP Strategic Planning Update – October 26 at 3pm ET

• All Events • epip.org/events

Housekeeping •  Use the question box for

•  Technical difficulties

•  Comments

•  Content questions for Q&A

•  Polls and questions are anonymous

•  Use #EPIPwebinar to join the conversation on social media

•  This webinar will be recorded

•  Complete the post-webinar survey, please!

Agenda •  EPIP Intro

•  Polls – Who’s here? What do you most want to get out of today’s conversation?

•  EPIP San Diego Intro, James Halliday

• Webinar presentation, Sara Olsen

• Questions — throughout!

Resources •  This webinar is tied to the work and research that went

into the Stanford Social Innovation Review article by Sara Olsen and Kate Ruff with the same title. You can read that piece here.

• Other resources in the handout section of the control panel, here and to be provided in the online archive.

Speaker Sara Olsen, SVT Group

The Next Frontier in Impact Measurement Isn’t Measurement at All:

Why We Need Skilled Impact Analysts to Improve Social Capital Markets

Sara Olsen, Founder, SVT Group

Your outsourced Chief Impact OfficerSM

© Social Venture Technology Group (SVT Group) 2016. All rights reserved.© Social Venture Technology Group (SVT Group) 2016. All rights reserved.

Financial Accounting

(Social & Environmental)

Impact Accounting

Accounting 2.0 = Impact Accounting

© Social Venture Technology Group (SVT Group) 2016. All rights reserved.

A new profession

• Philanthropists like impact investors, social entrepreneurs and nonprofit directors are accountable for impact

• What you measured gets managed• So… how do you measure impact?


General Social Value

Specific Impact

(Social Contract) (Important to Me)


General Social Value(Social Contract)


General Social Value(Social Contract)

e.g.:• SASB• GRI• B Impact Assessment• Fair Trade

…as good as the criteria they’re based on


Specific Impact

Principles:

1 Involve stakeholders2 Understand what changes3 Value the things that matter4 Only include what is material5 Do not over-‐claim6 Be transparent7 Verify the result

From “A Guide to Social Return on Investment,” Office of the Third Sector, 2009.


Specific Impact

Principles:

1 Involve stakeholders2 Understand what changes3 Value the things that matter4 Only include what is material5 Do not over-‐claim6 Be transparent7 Verify the result

From “A Guide to Social Return on Investment,” Office of the Third Sector, 2012.

e.g.: • Social Value/SROI

Analysis• Cost-‐Benefit Analysis• Randomized Control

Trial (RCT) studies

…as good as the judgments they’re based on


Basics Tools of Impact Accounting and Impact Management

1. Define Mission and Vision2. Analyze Stakeholders3. Articulate Theory of Change4. Map Impact5. Assess Value6. Manage Impact


Beware

Even when organizations articulate a Theory of Change they may not be being realistic about what they can achieve with the resources available


• Impact Map > Key Performance Indicators (KPIs)• “Total Addressable Impact” and “Share of

Addressable Impact”• Explicit targets • Managing to targets using quality KPIs

Best protection


Impact analysis

• Impact Management is the production of the information about impact

• Impact Analysis is the reading and using of that information


Role of Impact Analysts

• For funding to be effective at improving social outcomes, we need to use social impact information effectively

• Standard metrics, definitions and methods fall short when comparing different programs

• Uniformity reduces relevance• Skilled analysts “are capable of interpreting and comparing apples and oranges because they understand fruit”


What do Impact Analysts know?

• Skilled impact analysts are able to judge the extent to which reporting presents a fair and true representation of what impact really happened.

• This is a function of: – Transparency (is it clear what one is looking at)– Scope (are what is included and what is left out of the report appropriate to the purpose of the reporting)

– Measurement and analysis methods (was bias minimized, are data representative, etc.)

• SV-‐United States is piloting a professional certificate in Skilled Impact Analysis (contact Sara for details)


About SVT


Philanthropy’s role• Raise the bar: learn what good impact reporting involves, and

expect it of your grantees and investees• Build capacity: assist grantees and investees to learn how to

do good impact management• Fund research: help fill gaps in knowledge by funding

longitudinal research that others can benefit from• Provide data: make available longitudinal baseline and

outcome data that all private actors working toward better outcomes can utilize*

* See Gary Community Investments and the Data Initiative as an illustration


Practical resources• Build capacity to measure and manage impact

– Free resources at http://socialvalueint.org/– SVT Impact Management Roadmap: 90 minute discussion followed by a memo

with recommended steps your organization should take to master your impact story ($300)

– SVT Quickstart Do-‐It-‐Yourself Metrics: a 6-‐8 week program in which SVT coaches your team through developing your own Theory of Change, impact map, metrics, and initial implementation

• Join the professional home for impact analysts– Social Value United States email me at [email protected] or link to

https://www.linkedin.com/groups/6995440– Social Value International (SVI) http://socialvalueint.org/

• Help define the profession’s agenda– Attend www.impactconvergence.org– Become involved with SVI and SV-‐US

epip webinar: the next frontier in impact measurement isn't measurement at all

Government & Nonprofit