Introduction: Why is there so much talk about social impact ?
The notion of social impact has been built progressively:
- 1960s–1980s: Emergence with the implementation of social impact assessment in the United States, notably through the National Environmental Policy Act (NEPA, 1969), focused on anticipating and reducing the negative effects of economic development.
- 1990s–2000s: Appropriation by philanthropy and development agencies to evaluate the social effectiveness of actions.
- Since 2000: global institutionalisation driven by development agencies (the UN, the World Bank, the European Commission). In consequence, social impact became the heart of social innovation.
Since the 2010s, the expression "social impact" has established itself in the SSE, CSR, and more globally within organizations with a social or environmental purpose. This term, derived from Anglo-Saxon literature, has become central to:
- Managing projects with a social or environmental vocation,
- Reporting on their utility,
- Convincing funders and partners,
- And guiding public policies.
Yet, behind this widely used word, the definition remains blurred for many: are we talking about performance? Results? Sustainable transformations? This article helps you understand what social impact truly is and how to measure it effectively, drawing on recognized best practices (EVPA, IMP, Social Value International) and Impact Track’s expertise. \
Social impact: a simple and operational definition
The Higher Council for the Social and Solidarity Economy (CSESS) defined impact in a report published in 2011 as:
"Social impact consists of the set of consequences […] of an organization's activities both on its direct or indirect external stakeholders (beneficiaries, users, clients) within its territory and internal stakeholders (employees, volunteers), as well as on society in general. In the social and solidarity economy sector, it stems from the organization's capacity […] to anticipate unmet or poorly met needs and to respond to them, via its missions of prevention, restoration, or compensation."
In simpler terms: 👉 Social impact is the lasting change generated by your actions on people, territories, or the environment. It is not just about what you do, but what it transforms.
Impact vs. Results vs. Realizations: the essential differences
Many organizations still confuse several levels:
- Realizations (Outputs): These are the activities conducted (number of beneficiaries supported, number of training sessions, workshops, visits...). They describe what you do, not what it produces.
- Results (Outcomes): These are the immediate effects (skill development, improvement in well-being, increased participation…). They describe what changes right after the action.
- Impact (Impact): This is the profound, lasting change attributable to the project.
👉 Measuring social impact implies going beyond activity figures to understand the transformations experienced by the people concerned.
To have a holistic vision of social impact, it is necessary to take into account the perception of stakeholders through subjective indicators. This allows for the evaluation of changes lived in the lives of beneficiaries. The case above illustrates the notions of reach and depth well: an association with more beneficiaries does not necessarily generate more impact than a smaller association.
What should be measured to evaluate social impact?
- Value perceived by stakeholders: It relies on their experience, their feelings, and their evaluation of the change. Subjective indicators are essential: trust, autonomy, quality of life, sense of belonging…
- Value actually created thanks to the organization: This is the measurement of attribution: what is due to your action?
- Positive and negative effects, intentional or not: Debates exist among social impact measurement experts, such as Social Value France, on the question of intentionality. To measure social impact, must the primary mission and purpose of the structure necessarily be the will to respond to a social need? If so, only impact organizations, notably from the SSE, can measure their social impact.
How to measure social impact? The key steps
Many methodologies and frameworks exist in France and abroad, which complicates the implementation of an autonomous impact measurement. Impact Track relies on international frameworks (EVPA, SDG, IMP Project) to propose a simple and progressive approach.
Here are the major steps recognized by experts, including Social Value France:
Step 1 : Clarify objectives and stakeholders Identify: beneficiaries, the needs you address, and the project's challenges.
Step 2 : Build a theory of change It connects: activities → results → impact. It is the backbone of your evaluation.
Step 3 : Choose relevant indicators They must be: useful, measurable, understandable, and aligned with the sought-after effects.
Step 4 : Collect data Combine data: quantitative (measurements, frequencies, volumes) and qualitative (interviews, testimonials, feelings).
Step 5 : Analyze, interpret, and attribute Use: real-time monitoring of your data, data crossing, and indicators of contribution, attribution, and deadweight.
Step 6 : Valorize and manage an impact measurement is not just for proving: 👉 It also serves to improve, decide, prioritize, and adjust.
How Impact Track facilitates impact measurement
Impact Track combines:
- An intuitive platform,
- A database of proven indicators,
- Expert support.
Our mission is to allow all organizations to measure and valorize their impact in a simple, rigorous, and automated way.
Conclusion: a key notion for managing and valuing action
Social impact is a young but now central notion in the SSE, social innovation, philanthropy, and impact investing. Properly defined and measured, it allows for:
- Better project management,
- Demonstrating social contribution,
- Improving actions,
- Strengthening trust with funders and partners.
To go further 👉 Discover our approach by chatting for free with an expert.