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Measuring the Social Impact The Limmat Foundation’s Approach 12/07/2012  Juan J. Alarcon Limmat Stiftung, Zurich.

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Presentation on theme: "Measuring the Social Impact The Limmat Foundation’s Approach 12/07/2012  Juan J. Alarcon Limmat Stiftung, Zurich."— Presentation transcript:

1 Measuring the Social Impact The Limmat Foundation’s Approach 12/07/2012  Juan J. Alarcon Limmat Stiftung, Zurich

2 Social Development Harmonious and sustainable improvement of the living conditions (goods and resources) of a people group. Goods and resources can be: –Tangible –Intangible –Individual –Collective Regrouped, they conform the matrix of the social-economical welfare.

3 Matrix of the Social-Economical Welfare Goods / Resources IndividualCollective Tangible Individual (Economical) Tangible Collective (Public) Intangible Individual (Personal) Intangible Collective (Commune)

4 Social-Economical Welfare Index SEW-Index The SEW-Index measures impact, not results. Made up of four primary components: Tangible-Individual (Economical) Tangible-Collective (Public) Intangible-Individual (Personal) Intangible-Collective (Commune) Weighted average system of nine indicators.

5 Social-Economical Welfare Index SEW-Index Data are easy to collect. It uses objective data for the appraisal of the different indicators. Situates the evaluated group in a range from 0 to 100. Allows to compare living conditions of different groups of people.

6 Matrix of the Social-Economical Welfare

7 The Nine Indicators of the SEW-Index Goods / Resources Individual (70%)Collective (30%) Tangible (50%) Economic (40%) Income (50%) Property (30%) Healthcare (20%) Public (10%) Public Services (50%) Sanitary Conditions (50%) Intangible (50%) Personal (30%) General Studies (40%) Professional Education (60%) Communal (20%) Public Safety (60%) Civil/Human Rights (40%)

8 The Nine Indicators of the SEW-Index

9 Table for the “Income” Indicator The Nine Indicators of the SEW-Index SwitzerlandColombia IndicatorCHF 3’500/MonthCHF 285/Month Income Income/Year 0 - 9.9 18’000 1’900 10 - 19.9 42’000 3’500 20 - 29.9 60’000 4’700 30 - 39.9 78’000 6’600 40 - 49.9 108’000 8’500 50 - 59.9 168’000 18’500 60 - 69.9 360’000 38’000 70 - 79.9 720’000 80’000 80 - 89.9 1’440’000 215’000 90 - 99.9 4’320’000 1’900’000

10 Table for the “General Studies” Indicator The Nine Indicators of the SEW-Index

11 Table for the “Civil and Human Rights enforceability” Indicator The Nine Indicators of the SEW-Index

12 The SEW-Index A Real Case for Micro-Entrepreneurs in Cali, Colombia Creation of a training center for micro-entrepreneurs in food processing industry: milk and vegetable products, bakery and grocery.

13 The SEW-Index A Real Case for Micro-Entrepreneurs in Cali, Colombia ResultsImpact Number of courses for micro-entrepreneurs Improvement of the level conditions of the micro- entrepreneurs. Number of micro- entrepreneurs trained Number of credits given Creation of a training center for micro-entrepreneurs in food processing industry: milk and vegetable products, bakery and grocery.

14 The SEW-Index A Real Case for Micro-Entrepreneurs in Cali, Colombia ResultsImpact Number of courses for micro-entrepreneurs Improvement of the level of the living conditions of the micro-entrepreneurs. Number of micro- entrepreneurs trained Number of credits given Creation of a training center for micro-entrepreneurs in food processing industry: milk and vegetable products, bakery and grocery.

15 The SEW-Index A Real Case for Micro-Entrepreneurs in Cali Year 2008 IndicatorsValue Weight SEWMain-IndicatorsSEW Income9.7 50% 4.9Economic Properties8 30% 2.4 Health13 20% 2.59.9 x 40% 3.9 Professional Training10 60% 6Personal General Education20 40% 814 x 30% 4.2 Public Safety15 60% 9Communal Civil and H-Rights25 40% 10 19 x 20% 3.8 Public Services10 50% 5Public Sanitary Conditions10 50% 510 x 10% 1.0 Total SEW Points low-low level 12.9

16 The SEW-Index A Real Case for Micro-Entrepreneurs in Cali Year 2010 IndicatorsValue Weight SEWMain-IndicatorsSEW Income10.2 50% 5.1Economic Properties11 30% 3.3 Health16 20% 3.211.6 x 40% 4.6 Professional Training15 60% 9Personal General Education20 40% 817 x 30% 5.1 Public Safety15 60% 9Communal Civil and H-Rights25 40% 10 19 x 20% 3.8 Public Services15 50% 7.5Public Sanitary Conditions10 50% 512.5 x 10% 1.3 Total SEW Points low-low level 14.8

17 The SEW-Index A Real Case for Micro-Entrepreneurs in Cali Year 2012 IndicatorsValue Weight SEWMain-IndicatorsSEW Income12.4 50% 6.2Economic Properties24.3 30% 7.3 Health26 20% 5.218.7 x 40% 7.5 Professional Training25 60% 15Personal General Education25 40% 1025 x 30% 7.5 Public Safety15 60% 9Communal Civil and H-Rights30 40% 12 21 x 20% 4.2 Public Services20 50% 10Public Sanitary Conditions25 50% 12.522.5 x 10% 2.3 Total SEW Points low-medium level 21.4

18 Chart SEW-Index + 1.9 SEWI points + 6.6 SEWI points +14% +45%

19 Chart SEW-Index + 8.5 SEWI points + 66%

20 Radar Chart Four Main-Indicators

21 Radar Chart Nine Indicators

22

23 Radar Chart

24

25 Gross and Net Social Benefit The gross social Benefit is the difference between the value of the SEW-Index at time 1 and at time GSB = SEWI 1 – SEWI 0 The net social benefit takes into account the investment needed by the project: NSB 1 = (SEWI 1 – NSI 1 ) – SEWI 0

26 The Matrix of the Social-Economical Welfare Development needs a holistic approach. The SEW-Index is also an useful tool: at the stage of the project planning. individuate the weak points of the targeted population. to recognize complementary actions, alone or together with other institutions. In this way, the always scarce resources can be used in an optimal way.

27 Development Projects The Curve of Development


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