Transcript APPLYING A SOCIAL RETURN ON INVESTMENT ANALYSIS TO …

SOCIAL RETURN ON INVESTMENT
Impact measurement tool and provides a financial proxy
value of the impact made.
www.sroinetwork.org
WHY UNDERTAKE AN SROI
Current Climate
FIRST STEP :ESTABLISHING THE SCOPE
Needed to have clear boundaries about what our SROI
Analysis would cover
Community
Based
Adult Learning
College
Partnership
Courses
Translation
And
Interpretation
ADULT LEARNING
Literacies
Guidance
English for
Speakers
of Other
Languages
Peer Mentor
(Volunteering)
1:1 Support
MCMC
Xplore
Accreditation
Groupwork
IDENTIFYING OUR STAKEHOLDERS
Which Stakeholders are experiencing significant change.
WHAT DO YOU THINK WOULD CHANGE
Identified what would change for people in Literacies and Xplore
LOOKED AT WHAT THE STAKEHOLDERS INVESTED
OUTPUTS – ADULT LEARNING
Increased Confidence
Improved wellbeing
Feeling better about myself
Increase Literacy Skills
Moved into Employment
Got a Job – Kept my Job
Involved in my
Children’s Learning
Read Stories, Do
Homework
Got a Qualification
Made New Friends
Joined New Group
Asked the question How would you describe the change?
OUTPUTS – YOUTH WORK
Improved Health
Improved Wellbeing
Reduction in AntiSocial Behaviour
Increased
Accreditation/Attainment
Improved
Employability
Improved Behaviour
Areas of Impact
PUTTING A VALUE ON AN OUTCOME
 Giving each outcome a
financial value.
 Monetisation – assigning a
monetary value to things that
do not have a price.
 Approximations – proxies.
ARRIVING AT A SOCIAL VALUE
STAKEHOLDER OUTCOME:
INDICATOR:
FINANCIAL PROXY
Learner
participant report
on increase in
confidence
Value of a
confidence building
course £529.00
Young Person
Increased
Confidence
Engagement
Improved
Lifetime Cost of NEET
in Learning
opportunity
attendance
at School
£56,301 (average public
finance cost)
DEVELOPING YOUR OWN PROXIES
 Extensive research.
 Find sources of evidence to
substantiate your choice.
 Be able to provide detailed
rationale for your choice.
MEASURING THE CHANGE
MEASURING THE CHANGE, XPLORE
How was your Behaviour before coming to Xplore
35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
Very Bad
Bad
Ok
Good
Very Good
How is your Behaviour since coming to Xplore
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
Very Bad
Bad
Ok
Good
Very Good
DEADWEIGHT AND ATTRIBUTION
 Would this change have happened anyway – without your
intervention.
 Who else helped make this change.
DID ANYONE ELSE HELP MAKE THIS CHANGE
AND BY HOW MUCH
Yes 45%
No 55%
CALCULATING YOUR RETURN
68 =(amount of change) x £56,301 (financial proxy) x 0.86 (dead
weight) x 0.60 (attribution) = £1,975,489.48
Investment of £716,929
SROI return based on research, £1,975,489.48 / £716,929 =
£2.75
Total worked with 562/80=7.025
SROI £2.75x7.025=£19.31
£19.31 : £1 (saving to public finance)
Sensitivity