Why Social Value Needs to Move From Measurement to Management

As I reflected in this recent article – Social Value: what we need for 2026 – over the past decade, social value has moved from the margins to the mainstream. It is now embedded in procurement frameworks, referenced in strategy documents and increasingly expected in impact reporting across all sectors. Yet despite this progress, there remains a gap between measuring social value and using it to actively improve outcomes.

Too often, social value is something that is captured and maybe communicated, rather than something that is used to guide decisions in real time.

At Think Impact, we see the next phase of the field as a shift from measuring social value to managing for better impact.

Moving beyond measurement

There has been significant progress in how organisations measure and articulate social value. Frameworks, tools and approaches have helped build greater consistency and credibility, particularly in areas like social procurement, impact investing and impact reporting. Tools like Social Return on Investment have matured significantly.

But measurement on its own does not improve outcomes.

The real opportunity lies in how that information is used – to shape decisions about what to prioritise, how to design services and where to allocate resources.

Managing for better impact means using social value insights to:

·       test and refine approaches

·       respond to what is emerging in practice

·       make informed trade-offs

·       focus effort where it creates the greatest value.

It shifts social value from something that is reported at the end, to something that is used throughout the life of an initiative.

Why this shift matters

Many of the challenges organisations are working to address, from social isolation to workforce participation, are complex and evolving. They do not follow a linear path, and they rarely produce consistent outcomes across different contexts.

In these environments, static measurement is not enough. What is needed is an approach that supports ongoing learning and adaptation.

Social value provides a way to understand what is changing for people and communities but its real strength is realised when that understanding is used to inform decisions as the work unfolds.

At the Social Value Aotearoa conference last year, there was a strong emphasis on grounding social value in people’s lived experience, recognising that what matters is not just what is delivered, but what changes for people as a result. Managing for better impact builds on this by ensuring those insights are actively used to shape the work, not just describe it.

What managing for better impact looks like in practice

Managing for better impact is not about adding new layers of complexity. It is about using existing insights more intentionally.

In practice, this can look like:

·       regularly reflecting on what is working, what is changing and what is emerging

·       identifying where outcomes are stronger or weaker than expected

·       adjusting delivery in response to what is being learned

·       using evidence to inform decisions about scaling, adapting or stopping activities.

Across sectors, this shift is starting to take shape.

In the public sector, there is a need to ensure that understanding social value is not just part of procurement scoring but that it is embedded in commissioning decisions and ongoing contract management.

In the community/not-for-profit sector, organisations can use their understanding of social value to sharpen program design and make more deliberate choices about where limited resources will create the greatest impact.

In the private sector, understanding social value should be integrated into core business decisions becoming a driving force in sustainability, social licence and corporate social responsibility. This will shape supply chains, product design and shared value partnerships to support long-term value creation.

In philanthropy, there is a need to move beyond funding decisions shaped primarily by proposals and relationships, moving towards directing resources where they will create the greatest and most meaningful impact.

In impact investing, social value should sit at the centre of investment decision-making, informing where capital flows and how both impact and performance are defined.

In each case, the shift is the same: from using social value to explain impact, to using it to actively improve it.

What needs to shift

To support this transition, a few practical changes are needed.

·       First, create regular opportunities for reflection. Insights are most useful when they are timely. Simple, structured reflection processes on the social value that is being created can help teams or boards interpret what they are seeing and respond accordingly.

·       Second, make social value part of everyday decisions. Rather than sitting in reports, social value insights need to be integrated into planning, design and review processes.

·       Third, focus on what matters most. Not all outcomes are equally important. Managing for better impact requires clarity about which outcomes matter most, and prioritising effort accordingly.

·       Finally, build confidence in adaptive decision-making. Managing for better impact means being willing to adjust course as new insights emerge. This requires a culture that supports learning, not just accountability.

Looking ahead

Social value has already changed how organisations understand impact. The next step is to change how they act on that understanding.

If social value remains something we measure and report, its influence will remain limited. But if it becomes something we actively use to guide decisions – to test, learn and adapt – it has the potential to significantly improve outcomes for people and communities.

The shift is not about doing more. It is about using what we already know more effectively.

Kevin Robbie is a Director at Think Impact with over 25 years’ experience working in the for-purpose sector. Kevin leads Think Impact’s work in impact-led design, assisting business, government, philanthropy and for-purpose organisations to design better services or approaches. He is an advanced, accredited SROI practitioner and sits on the assurance panel for Social Value International (SVI). He was previously Executive Director at Social Ventures Australia (SVA) and CEO of United Way Australia. Prior to that he has been an advisor to the UK Government, Chief Executive of one of Scotland’s leading social enterprises and a consultant to the UK Big Lottery Fund.

Think Impact is a specialist social impact and sustainability consultancy widely recognised as having one of the most experienced social valuation teams in Australia. Our team have decades of experience working with the for-purpose sector and have worked with over 400 organisations supporting them to manage for better impact. Our team are committed to evidence-based practise and utilising approaches that support our clients to improve their future readiness and develop solutions that address our most complex problems. For more information see www.thinkimpact.com.au If you want to know more or talk through undertaking a social valuation process, don’t hesitate to get in touch with us via hello@thinkimpact.com.au.