Date: 2024-09-27 Page is: DBtxt003.php txt00024962
ECONOMICS
GOING BEYOND MERE FINANCIAL ECONOMICS
Impact Measurement and Management ... A toolkit for best-practice
GOING BEYOND MERE FINANCIAL ECONOMICS
Impact Measurement and Management ... A toolkit for best-practice
Original article:
Peter Burgess COMMENTARY
Peter Burgess
Impact Investing has reached an inflection point
The consolidation and harmonisation of impact measurement frameworks represents an inflection point for the impact investing sector.
An ‘Impact Stack’ has emerged – a toolkit of frameworks that can be used as a best-practice model for impact measurement and management (IMM), in service of an overall impact strategy.
This report is intended as a guide
To understand the current state of Impact Measurement and Management.
It seeks to establish the key frameworks being used in the field, but more importantly, to explain the specific use-cases for each, and how they interact and overlap to form a complete IMM system.
A user guide for your impact investing toolkit
Through a series of podcast interviews – as well as insights gathered from leading researchers, consultants, and practitioners in the field. The Impact Stack defines the key impact frameworks that have emerged as leading practice.
While impact investors all use a variety of different social impact measurement frameworks, in various combinations, The Impact Stack presents the most widely used systems, and offers a simple explanation for the problem that each can help to solve, and the specific task they’re designed to carry out.
It identifies the vital linkage between impact measurement and impact management, and how they can be combined to build an impact strategy.
Lead Authors
Dr Jodi York Chief Impact Officer Kilara
John Treadgold Principal Consultant John Treadgold Communications
Who it is for?
This report is designed as a resource for impact investors wanting to understand the evolution of tools and standards.
It’s also an easy on-ramp for mainstream investors wanting to engage with impact investing frameworks.
Plus, it can be used by LP’s and asset owners when analysing the impact methodology and performance of fund managers, to assess the rigour of their impact practice.
Why IMM is important?
- Embedding a rigorous IMM system is a key factor that differentiates those investors that are committed to impact investing.
- Greater accessibility will drive further growth and engagement of impact investment
- It has the potential to improve impact performance
- And, can decrease the prevalence of impact washing as expectations and standards are clarified
“You can’t really talk about impact measurement without the word management in there. For me, the two things go hand in hand and are synonymous, because there’s such an important relationship between them.” Dean Hand Chief Research Officer GIIN
“Things have changed pretty dramatically in the past 13 years. I don’t know any impact investor now who can go raise a fund without having a really thoughtful and detailed plan for how they’re going to measure and manage impact, to optimise for positive outcomes.” Sarah Gelfand Managing Director BlueMark
“As I reflect over the 18 years that I’ve been in this industry, I feel that we’re now approaching an inflection point. Over the past 2 to 3 years we’ve begun to see increasing consolidation around both language and a common set of frameworks.” Kylie Charlton Managing Director Australian Impact Investments
“Increasing fluency in the tools and standards developed as part of impact practice is central to building confidence and encouraging more people to make the shift from SDG alignment to advancing SDG and sustainability-oriented action.” Rosemary Addis Managing Partner Mondiale Impact
Impact Measurement and Management Frameworks ... Podcast series Dr Jodi York & Ben Krasnostein #90 Ben Krasnostein & Dr Jodi York: Impact Benchmarks and Investing in Climate-solutions at Kilara Capital Kilara Capital invests in climate-solutions with an impact lens. They benchmark their performance, and even put carry on the line. READ MORE »
#89 Sarah Gelfand: Measuring Impact Investment Performance with BlueMark Sarah Gelfand is Managing Director of BlueMark, she works with the world’s leading impact investors on impact measurement best practice. READ MORE »
#88 Dean Hand: Impact Investing is at an Inflection Point, The evolution of the GIIN Dean Hand is Chief Research Officer at the GIIN, and she’s had long experience with the evolution of impact measurement and management. READ MORE » Copyright © johntreadgold. All Rights Reserved 2022