Use - Measuring Impact to Improve Performance

“THE USE” – IMPACT MEASUREMENT TO DRIVE IMPROVED PERFORMANCE

Social Finance is authorised and regulated by the Financial Service Authority FCA No: 497568

10 DECEMBER 2013

Harry Hoare, [email protected]

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©Social Finance 2013

USING IMPACT MEASUREMENT TO SAVE THE WORLD

Before Service

During Service

After Service

Use: more resources to tackle society’s problems

Use: better performance, better results

Use: building an evidence base


TODAY’S WORKSHOP

This workshop aims to explore some of the (many) uses of impact measurement within a social investment context. It will focus on:

• Introduction: who is Social Finance and what is a Social Impact Bond (SIB)?

• Uses of Impact Measurement:• To raise social investment• To improve performance• To build an evidence base

• What is beyond measurement?

FOLLOWING THE PRESENTATION WE WOULD LIKE TO CARRY OUT WORKSHOP ACTIVITIES TO THINK THROUGH HOW THIS RELATES TO BEYOND MEASUREMENT

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SOCIAL FINANCE – TWO WORLDS TALKING

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ABOUT SOCIAL FINANCE

SOCIAL ORGANISATIONS

Social Issues

INVESTORS

GOVERNMENT

DELIVER SUSTAINABLE AND SCALABLE SOCIAL

CHANGE


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Housing

Drugs

Alcohol

Mental Health

Poverty

Work

Training

Education

Relationships

Attitude

PETERBOROUGH SOCIAL IMPACT BOND EXISTING PROBLEMS


WHAT IS A SOCIAL IMPACT BOND (SIB)? 7

INVESTORS

£5 million

SOCIAL IMPACT PARTNERSHIP

3,000 male prisoners sentenced to less than 12 months

Reduction in re-offending

MINISTRY OF JUSTICE/

BIG LOTTERY FUND

Payment based on reduced

convictions

Providing specialised support pre- and post- release to

high/medium risk clients

St. Giles TrustSupport needed by

the prisoner, in prison and the

community. Funded as the need is

identified

Other Interventions

Return depends on

success

Support to prisoners’ families while they are in prison and post

release

Ormiston TrustLow level mental health support to

prisoners while they are in prison and

post release

MINDProviding volunteer

support pre- and post- release to low

risk clients

SOVA


HOW DO YOU MEASURE IMPACT TO RAISE SOCIAL INVESTMENT?

SIB contracts require government to pay for improved social outcomes. We call the ways of measuring these outcomes “metrics” – they need to capture financial and social improvements.

Vulnerable Children

• Reduced time spent in state care

Offenders• Reduction in reoffending

NEETs

• Improved behaviour at school

• Educational attendance/attainment

• Employment

Entrenched Rough Sleepers

• Stable accommodation• Reduced street nights• Employment• Health & wellbeing

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£3mil SIB to fund work with children and their families

at the edge of care or custody in Essex

The Peterborough SIB raised £5million in 2010 and will work with 3,000 offenders over 6 years

£6.9mil for 2 SIBs supporting 2,500 at risk

teenagers in Thames Valley and Lancashire

£5mil for a SIB to provide innovative new services to London’s entrenched rough

sleepers

Metrics Investment raised

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SOCIAL FINANCE SUPPORTS VCS ORGANISATIONS IN TRANSITIONING TO THIS NEW WAY OF WORKING

Data•Daily data entry from caseworkers onto a shared IT system

Analysis•Analyst support to collate and analyse data in order to produce data dashboards – snapshots of programme implementation and outcomes

Review meetings•Monthly contract review meetings and weekly calls with service providers to discuss dashboards, expenditure and service improvement

•Performance manager meetings with local stakeholders to discuss progress.

Service delivery

MEASURING IMPACT TO IMPROVE PERFORMANCE – PERFORMANCE MANAGEMENT


EXAMPLE DATA DASHBOARD TO MONITOR OUTCOMES


Year One – 5 basic services

HOW PERFORMANCE MANAGEMENT IMPROVES DELIVERY (1/2)

YEAR ONE SERVICE DELIVERY

Addiction

Health and Wellbeing

Housing

Benefits

Family Relationship

s


HOW PERFORMANCE MANAGEMENT IMPROVES DELIVERY (2/2)

YEAR TWO SERVICE DELIVERY

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MEASURING IMPACT TO BUILD AN EVIDENCE BASE

Social

Issue

Target Population

Interventio

n

Outcomes

MetricsWhat was the problem Essex

identified?

Which group of children would most benefit?

What services could improve

outcomes for this group?

How should success be measured and

paid for?

Poor outcomes and high costs

associated with children entering the care system

11-16 year olds with behavioural

problems or family breakdown

Multi-Systemic Therapy

Total number care placement days

saved

Example: SIB in Essex to support vulnerable children


WHAT IS BEYOND MEASUREMENT? SAVING THE WORLD

US

• Massachusetts developing concepts in youth justice and homelessness

• Connecticut, New York State and Minnesota developing SIB projects

• New York City (with Goldman Sachs / Bloomberg Foundation) launched youth justice SIB 2012

Canada

• Federal Government (HSRDC) call for concepts

• Exploring applications in criminal justice, homelessness and aboriginal affairs

Ireland

• Manifesto commitment

• Advisory group and cross-government steering group exploring several areas

Scotland

• Manifesto commitment from government Israel

• Government interest

• Plan emerging around employment for orthodox communities

Australia

• New South Wales co-development for applications around reoffending and out of home care

• Federal government interest

Uganda

• Rhodesian sleeping sickness case study

• Access to quality secondary education case study

Swaziland

• Antiretroviral treatment as prevention of HIV and TB case study

Pakistan

• Low cost private schools case study

Germany

• Bertelsmann Foundation supporting early stage market analysis

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THANK YOU FOR YOUR TIME 15

NOW WORKSHOP – LED BY YOU!

Economy & Finance

Use - Measuring Impact to Improve Performance