PPQ extras Issue 6, ESSAY ONLY | Page 9

Perhaps the need is to better define the questions that impact measurement should aim to answer. These would involve applying an ‘impact lens’ to the business model, systems and processes of an organisation and might include: • Are you clear about who your target clients are? Do you reach them? • What is your understanding of your clients’ needs? How do they differ for different clients? How do you gather feedback on clients’ use of your services – their experience, how their needs are changing? • Are your products and services and the way in which they are delivered the most effective way to achieve the outcomes you want to achieve? • What are the risks your clients/beneficiaries face? How does your work mitigate these? How might you exacerbate these? • How consistent is the delivery of your products and services: how clear are front line staff about what is important in what they do daily to deliver impact? How do you manage what matters for your clients? • How does your organisational culture, performance in financial management, resources are needed for impact measurement and management. Whilst this needs to be proportionate to the organisation, funders should be open to funding such costs as an investment in helping build strong, sustainable, high impact organisations. • Focus on information that will guide management. Are there simpler things that organisations can and should be doing – such as gathering improved client feedback – that will help them reach the people they seek to serve, build a better understanding of how their services create value and improve their practice? • Build peer learning and bottom-up collaboration. Support practitioners to work together to share practice and experience. Collaboration between similar organisations may be a user-friendly way to build standards, indicators and benchmarks based on real-life experience of front line organisations. Sector organisations such as NPC, Social Enterprise UK, Big Society Capital and GIIN could play a role in supporting this process and ensuring impact measurement is useful for all stakeholders. Beyond these messages the results of the survey sound a note of optimism in highlighting the continuing uptake of impact measurement, the broad recognition of value for improving practice, and the extent to which many organisations are already using impact information to better serve their clients. Many challenges remain, but perhaps the key is to maintain a focus on the people who we seek to benefit, to ensure that their voices are heard and that there is ‘downward accountability’ as well as ‘upward accountability’ to donors or investors. For all stakeholders impact measurement ultimately should be driving better decision making towards this end. THE ESSAY ­— MOVING FORWARD Whilst highlighting the progress that has been made in impact measurement, this survey suggests a need and opportunity to respond to the experience of front line organisations, and to see measurement as one part of the process of managing to maximise impact. There is a call for g reater consistency, simplicity and less jargon around impact measurement and ensuring approaches are grounded in operational realities to enable organisations to learn, improve and be more effective in responding to clients’ needs and wants. We highlight five suggestions for how this can be done: • Make impact measurement useful. Ensure expectations and approaches are proportional to the form and stage of development of the organisation, and driven by what is useful. Any tool is only as good as the extent to which it meets the needs of a specific organisational context. Resist the drive to bring everything back to monetary terms and focus on finding indicators that relate to real issues on the ground and have value for organisations. • Make language user-friendly. The term ‘impact measurement’ – much like impact investing – is too flat and leads people to make comparisons between fundamentally different product/service offerings that serve different purposes for users. Further, the technocratic language of impact measurement can be alienating. Efforts need to be made to simplify the language used so that information about who you reach, how you serve them and whether they benefit becomes seen as a normal part of managing a good business. • Support capacity building of front line organisations. Just as any good business invests resources management, incentives and messages support your focus on social value, and how much do your staff understand about what you do and why? • What information do you have from clients and staff exploring if things are working well or identifying opportunities to improve products, services or the systems for delivery? Are staff rewards and incentives oriented towards impact creation? • How is a client perspective part of your board’s focus? Does the board consider the impact of decisions for clients? Does the board monitor a range of data relating to who is reached, the quality of service delivery, client feedback and outcomes? • How much are the needs of your clients and the benefits you seek to deliver core to the business model of your organisation? Does the future success of your organisation depend on being able to deliver sustainable impact and the success of your clients? These questions could be aligned with the due diligence funders perform so that all are agreed on the fundamental questions that are relevant to an organisation focused on impact creation. Then comes the question of how to measure results and what success looks like. ■ PPQ | 53