Back to the Basics of Impact Measurement Determining Impact Measures Great social-service organizations define their success by the distinct impact they are making and the effectiveness of the services they deliver relative to the resources at their disposal and the level of need. Leaders of these organizations ensure success and improve on the success they achieve by gathering data through measures aligned with stated goals and outcomes. They carefully select only the best measures to improve operations and tell the organization’s story. When aligned with the ideal organizational culture, the measures contribute to the organization’s social impact and long-term sustainability. Each social-service organization has its own unique mission, programs, and target populations. Though the concept of selecting the right measures is shared by every non-profit and government organization, each organization requires a unique set of performance measures to accurately tell its impact story. Those organizations that take the time to determine the best measures, rather than only adopting measures required by funders, are more successful in achieving desired organizational outcomes. Capturing impact lies at the heart of a high-performance social-service organizations, yet leaders are often unsure about what to measure to drive results. Selecting the correct measures can be a relatively simple and empowering process. Two decisions are key: leaders must determine what they want to know and what they want to do with data collected. The goal of this eBook is to provide social-service organizations with a practical guide for selecting and applying the best performance measures for their organization. THREE TYPES OF DATA Before launching into the creation of a measurement framework, it is important to understand the three types of data an organization needs to collect: what was done, how well it was done, and who is better off. • “What was done” tracks outputs, including things such as demographics, who was served, and what services were provided.• “How well it was done” provides insight into the quality of the programs and services provided. Did the recipients of the services feel that they were valued? Were their needs met? Were the services delivered in a way that was digestible by the individuals?• “Who is better off” indicates the organization’s outcomes. In order to answer questions related to whether or not your organization is meeting its goals and objectives, metrics that capture outcomes is a critical component to the overall framework. Figure 1. Three Types of Data What was done? How well was it done? Who is better off? OUTPUTS QUALITYOUTCOMES2 OUTCOME MEASURES It is important that leaders use a variety of measures to evaluate performance. Using a single indicator of success makes it more difficult to take appropriate, data-driven actions. Also, using just one measure limits the organization’s chance of gaining the fullest understanding of what, specifically, is contributing to a success or failure. At a minimum, organizations should track data on participant demographics, services delivered, cost and revenues, participant and stakeholder feedback, and key outcomes. The best performance measures:• Quantitatively reveal important information about the organization’s services, as well as the processes that support them;• Are tools to help decision makers and constituents understand, manage, and improve what the organization does;• Tell the story of how well an organization is fulfilling its mission;• Provide insights into whether processes are supporting improved performance as intended;• Indicate whether organizational goals are being met—easurement data will show if improvements are necessary, where they are needed, and whether customers and stakeholders are satisfied with the changes an organization implements; and• Excite and inform staff and stakeholders.COMMON MISTAKES There are a number of common mistakes made by non-profit and government organizations that choose to implement performance measures. Leaders may focus too narrowly, for one. An organization will often meet with a greater degree of success if, rather than selecting a single performance measure, leaders choose between five and seven diverse, powerful measures to tell the organization’s story. Many leaders also fail to consider how the selected measures will be perceived by others. The foundational reason to develop a performance and outcomes measurement framework is to establish measures that reveal the facts needed to take an organization to the next level. Outcomes measures support the organization’s aim to achieve greater impact. However, when leaders fail to communicate this fully and lack essential buy-in from frontline and management staff, the organization runs the risk of inadequate data entry, an indifference toward performance measures, and the tendency for those tasked with data collection and evaluation to take shortcuts. To avoid these common mistakes, it is essential for social-sector leaders to include staff and other stakeholders from the beginning. It is important to communicate clearly and consistently how the selected measures will help these contributors make informed decisions, inspire them in their particular contributions to the organization’s overall mission, and motivate them to make enhanced efforts to fulfill that mission. Consider the following four traits of successful performance measures. 3 EFFECTIVE MEASURES: Have Face Validity. Face validity means a measure is perceived to measure what it is intended to measure. For example, if a set of measures is designed to assess program performance and management, line staff and stakeholders must agree that these are, in fact, good measures of their program’s performance. It is essential to ask whether the value of the proposed performance measure has been clearly demonstrated. Reflect the Needs of All Stakeholders. Good measures not only are important to the leadership of the organization, but also are valued by staff, clients, and other key stakeholders. Before implementing measures, it is critical to understand what these different groups value most. Organizational leaders must consider how selected measures help these groups achieve identified goals. Good measures are those aligned with the goals of the organization, stakeholders, and participants. Are Simple to Understand. The best performance measures are easy to explain and understand. If staff or stakeholders must invest significant time learning how to interpret a measure, they may stop trying to collect and consider data. If the measure itself is difficult to understand, the measure will then lack face validity—the first of the four traits that successful performance measures share. Leaders must ensure that each selected measure is clear, and that all parties understand the value of this measure to their specific roles in the organization and to the organization as a whole. Are Timely. The sooner data and results can be communicated, the more powerful and useful they will be to the organization. Traditionally, there is a 12- to 18-month lag between the time data is collected and performance measure results are shared. But basing decisions on year-old data is not ideal. In order to ensure maximum impact, social-service organizations need a data collection and reporting infrastructure that provides real-time insights into outcomes and impact.4 10 Outcomes Categories It is neither necessary nor practical to measure all organizational outcomes listed in a logic model. Social-service organizations are best served when they start with outcomes that overlap with the outcomes funders and participants most desire. Typically, the outcomes of social-service organiza- tions fall within one of the following 10 categories:1. Increased knowledge and learning 2. Changed attitudes 3. Increased readiness 4. Reduction of undesirable behavior 5. Increase of desirable behavior 6. Maintenance of new behavior 7. Increased social status 8. Increased economic conditions 9. Improved health conditions 10. Increased economic development Every organization has the capacity to measure and communicate impact. Implementing strong outcomes measures requires systematic planning and an understanding of the goals of both the organizations and its stakeholders. Once the measures are established, the organization should examine plans to ensure selected measures meet the qualifications of good measures and are likely to result in the collection of data needed for important decision making.Five Basic Steps for Establishing Outcome Measures 1. Describe the outcomes you want to achieve (why do you perform the process or service in the first place?). 2. Turn the identified outcomes into a quantitative measure (i.e., the percentage of clients demonstrating a new behavior, the number of clients returning for treatment, etc.). 3. Confirm that your desired outcomes are actually linked to your outputs or activities. In other words, ensure that it is reasonable to expect your desired outcomes to be achieved based on your activities. 4. Implement these measures and track them over time. 5. Demonstrate and increase your success because you have the data to confidently and appro- priately communicate your impact and value. 5 How to Collect the Data Having outcome data available to make informed decisions starts with establishing a reliable data-collection culture. Collecting data should: • Be easy. Staff need a simple way to collect data so they can spend their time on what really moves the needle. • Be secure. Protecting sensitive client information is critical. Staff need a secure way to collect and store client data. Individual Excel spreadsheets scattered throughout an organization is not secure. • Be integrated into an organization’s workflows and involve every level of the organization. • Provide real-time insights into outcomes and impact. • Be standardized across organizations and programs. How to Share the Data To gain the maximum benefit from outcome measures, organizations must communicate the results fully and often. They must use data to powerfully illustrate their organization’s authentic success and cast a compelling vision—one that inspires belief in their ability to fulfill the promise of their stated mission. Measuring the correct outcomes is the first step to achieving greater impact and excellence. In order to ensure continued success and improve upon it, an organization must have a real-time data collection and reporting infrastructure that enables them to track, measure, and share the success of their stated outcomes measures. SureImpact is a data collection and reporting software that acts as a collective impact outcomes generator. Traditionally, social-service program evaluators have been required to spend countless hours compiling data from multiple sources, crunching the numbers and determining the effectiveness of social-service programs. SureImpact was designed to automate and simplify the process of collecting and sharing outcomes and impact. SureImpact drives the alignment between actions and outcomes by standardizing measures and providing real-time outcome dashboards that are unique to each organization. Frontline staff have dashboards that show the individual outcomes for clients assigned to that staff member. Non-profit executives have access to a dashboard that shows the outcomes for the entire organization. A backbone organization or funder has access to a dashboard that displays the collective impact of everyone in their collaborative. These outcome dashboards give providers the insights they need to manage and improve their work, and funders a way to understand and share the impact of their investments. 6 Conclusion Leaders of successful social-service organizations ensure success and improve their performance by gathering data through measures aligned with stated goals and outcomes. These organizations take the time to determine the outcome measures that contribute to increasing their social impact and ensure long-term sustainability. They also have the technology infrastructure that enables them to easily collect and share their outcomes and impact. SureImpact and Measurement Resources are sister companies that partner to help mission- driven organizations manage, measure, and communicate their unique social impact. Measurement Resources provides consulting services that help mission-driven organizations use performance measurement to improve programs, outcomes, and lives, and to accelerate social change. SureImpact automates and simplifies the process of collecting and sharing this data. Together, Measurement Resources and SureImpact provide the industry expertise and powerful data collection and reporting platform to help organizations establish an impact-centric culture. Learn more today.www.MeasurementResourcesCo.com www.SureImpact.com T. 614-947-8899 T. 614-568-0373 E. info@MeasurementResourcesCo.com E. info@SureImpact.net 7