Micol Pistelli, Manager Social Performance Standards, MIX Social Performance Standards

Measuring social performance: why do we care? We can Only Manage What we Measure  Who do we aim to reach? Are we reaching the “poor and excluded”? Are we providing appropriate, quality services? Are we able to retain clients? Are we contributing to positive change?

Social performance is the effective translation of an institution mission into practice in line with accepted social goals that relate to:  Reaching poorer and excluded clients  Improving the lives of clients and their families  Widening the range of opportunities for communities Social performance encompasses the entire process by which impact is created. It includes analysis of an institution’s declared objectives, the effectiveness of its systems and services in meeting these objectives, related outputs and outcomes (such as reaching larger numbers of very poor households) and success in effecting positive changes in the lives of clients (impact). How to define Social Performance?

How to measure social performance? - Relevant - Useful - Possible to be validated - No confidential The 22 indicators of MIX/GTDS: Mission Internal systems and activities Products Achievement of social goals

Why should an MFI measure social performance and report to MIX…? - To best serve its clients needs - To have a culture of social responsibility - To improve both its financial and social performance - To get funds from donors and investors - To improve industry’s transparency - To compare its SP with its peers

Outreach Q11- Geographic outreach Q12- Women outreach Q13- Clients outreach by lending methodology Q1–Mission & Social Goals Q2- Governance Q3–Range of Products and Services (financial & non-financial) Q4–Training of staff on social performance Q5–Staff performance appraisal and incentives Q6–Market research on clients Q7–Measuring client retention Q14–Poverty assessment Q8– Social responsibility to clients Q9-Cost of services to clients Q10–Social responsibility to staff Q15 – Social responsibility to the community Q16–Social responsibility to the environment Intent Strategies & Systems Policies & Compliance Achievement of social goals [ PROCESS ] [ RESULTS ] Outputs and outcomes Q17-Outreach by Products Q18–Employment (Family & Hired in credit supported ents.) Q19–Children in School Q20–Poor clients at entry Q21–Clients in poverty Q22–Clients out of poverty Intent Internal systems/activities OutputsOutcomes Impact Indicators Social Performance Indicators

What do we know about the social performance results? …better clients’ retention, products more focused on clients’ needs, outreach to the poor, staff better trained… (

 The report was sent on February 2009 to all MFIs registered on MIX Market  In 7 months since the launch of the reporting form, over 200 MFIs have already reported on SP indicators  The reports which have already been reviewed by MIX are published on MIX website at this address: MFIs that have reported ( February – October 2009)

MIX agenda on social performance standards FY10 Promotion Communications Governance Conferences SP Award Operations Data collection Data validation Data display Data analysis

For more information about MIX Social Performance Program please contact: Ms. Micol Pistelli at And visit our website: For more information about the SPTF, visit: Thank you!

MICROFINANCE INFORMATION EXCHANGE, INC. The leading provider of business information and data services for the microfinance industry. Web: Headquarters: 1901 Pennsylvania Ave., NW, Suite 307 Washington, D.C USA Other Locations Lima, Peru ● Dakar, Senegal ● Guragon, India ● Jakarta, Indonesia