The document discusses measuring social value and introducing the Social Return on Investment (SROI) framework. It outlines the SROI process, which involves establishing scope, mapping outcomes, evidencing and valuing outcomes, calculating social return, and reporting results. SROI is used to measure the social and economic value created by projects and organizations. An example is provided of an SROI evaluation of a homeless support program that revealed £8.38 of social return for every £1 invested. The workshop encourages participants to think about the full value their organizations create and how measuring value could help improve or communicate their impact.

1. Workshop at ‘Journey into the Unknown’ Exeter, June 23 rd 2010 Measuring Social Value Donald Ritchie Strategy and Impact Advisor National Council for Voluntary Organisations

2. Workshop outline Discussing value Introducing value and full value Introducing SROI (one way to plan, improve and communicate value) Q&A Exercise

3. So, what is ‘value’ … ?

4. So, what is ‘value’ … ? Work in pairs with someone you don’t know Discuss what ‘value’ means in our sector Summarise the value of your own organisation Value = the sum of all the specific impacts and experiences created by your organisation or project

5. Full Value A broader way of thinking Gives a fuller ‘palette’ of your value … to paint more varied pictures for different audiences Unlike traditional outcomes approaches, it includes: beneficiaries and other stakeholders impact and experience

6. The Full Value Approach Beneficiaries Who is affected Others Experience Value Type Impact Primary Impacts Secondary Impacts Primary Experiences Secondary Experiences

7. For more on Full Value…

8. What you can ‘do’ with Value Aim for it

9. What you can ‘do’ with Value Aim for it Create it

10. What you can ‘do’ with Value Aim for it Create it Improve it

11. What you can ‘do’ with Value Aim for it Create it Improve it Communicate it

12. What you can ‘do’ with Value Aim for it Create it Improve it Communicate it Live and breathe it

13. What you can ‘do’ with Value Aim for it Create it Improve it Communicate it Live and breathe it You may need evidence to do these You may need to measure your social value But … do avoid ‘ just-in-case’ evidence collection

14. What is Social Return on Investment? SROI = a framework to measure & account a project’s value Example ‘Result’: Fab Pad Run by Impact Arts, Fab Pad supports young homeless people to sustain new tenancies. The SROI evaluation carried out on Fab Pad revealed that for every £1 invested by the government in support, £8.38 of social return was derived in reduced health care costs, reduced welfare benefits expenditure and reduced costs of repeat homelessness. But … its not just about the ratio – it’s a story of change

15. About Social Return on Investment Lots in common with ‘regular’ outcomes approaches, CBA, and social accounting You still set outcomes and indicators, and collect data But in particular SROI: has a strong emphasis on stakeholder involvement includes all costs and all outcomes addresses causality uses financial proxies

16. Seven principles of SROI Involve stakeholders Understand what changes Value the things that matter Only include what is material Do not over claim Be transparent Verify the result

17. Six stages of an SROI process Establish scope and identify key stakeholders Map outcomes Evidence outcomes and give them a value Establish impact Calculate the SROI Report, use and embed

18. Stage 3: evidencing outcomes Stakeholder Outcome Indicator Data collection Unemployed person Gets & maintains work Whether in work after 12 months Annual postal survey plus follow up Local authority Increase in recycling Amount of waste going to landfill LA monitoring of amount of waste Participant with health problems Improved health Number of visits to GP Extent of health improvement (self-reported) Frequency of exercise Six month review with keyworker Disabled young person Reduced isolation Frequency of social contact with friends Teachers’ report

19. Stage 3: giving outcomes a value Outcome Indicator Possible proxies Gets & maintains work Whether in work after 12 months Net wages Increase in recycling Amount of waste going to landfill Cost of landfill charges Improved physical health Number of visits to GP Extent of health improvement (self-reported) Frequency of exercise Cost of private GP consultation Cost of health insurance Cost of gym membership Reduced isolation Frequency of social contact with friends Cost of membership of social club % of income spent on leisure

20. Using financial proxies enables you to: reveal ‘hidden’ or ‘ignored’ value compare value of different services, to improve or stop them add up full value compare value over time

21. A final thought about measuring value Be clear about why you are doing it, what you need the information for

22. Thanks! Questions?

23. Exercise: rethinking your value Back in your pairs Discuss two things: What value does your organisation create that people, externally or internally, undervalue? What approach to measuring value might be helpful to your organisation? Take 15 minutes each to discuss