Social Value
Social Value is one important tool to help us counter the all-important role of the balance sheet in the modern voluntary sector.
You can find more at the Social Value International web site (socialvalueint.org). They identify seven key principles, which are a useful starting point when considering social value. Obviously, as well as these principles, we also need to behave legally, morally, efficiently and effectively.
- Involve stakeholders – Test, review and revise what gets valued, what gets measured and how this is measured by involving stakeholders in the development and review of all activity.
- Understand what changes – Articulate how change is created and evaluate this through evidence gathered, identifying and measuring both positive and negative changes as well as those that are intended and unintended. Your mind (including your beliefs, assumptions and strategies) and your methods must be included in the things which are subject to review, evaluation and change.
- Value the things that matter – Make decisions about allocating resources between different options in the light of the values of the stakeholders (including the funders and workers). Value refers to the relative importance of different outcomes, discovered by the expressed preferences of the various stakeholder groups.
- Only include what is material – Determine what information and evidence must be included in the accounts to give a true and fair picture, so that stakeholders can draw reasonable conclusions about impact. This is reasonably easy to do with regard to the immediate factors within your control, but the wider cultural, social and political factors should not be ignored.
- Do not over-claim – Only claim the value that activities are responsible for creating, where this can be determined; where multiple activities are likely to have contributed, identify them and say what you can about their relative impact.
- Be transparent – Demonstrate the basis on which the analysis may be considered accurate and honest, and show that it will be reported to and discussed with stakeholders.
- Verify the result – Ensure appropriate independent assurance, in every area and at every level of the organisation, from the grassroots to the board.
(This is based upon a list which can be found at socialvalueint.org/social-value/principles-of-social-value/)
