Measuring the Impact of a Social Enterprise

Abstract

This paper presents the first impact study of a social enterprise in Romania, conducted on behalf of CONCORDIA Humanitarian Organization (Romania) to measure the effects and impact of the social enterprise CONCORDIA Bakery (developed by CHO) in Romania and to evaluate its contribution to social change. We aim to give accounts on how the interventions of a social enterprise can be assessed and put to use for the benefit of the organization in particular and of the larger environment in general. The purpose of the study was to develop and assess CONCORDIA Bakery’s program and activities, using the theory-based evaluation approach in order to better understand its contribution to improving the lives of its beneficiaries, customers, donors and its shareholder, by 1) showing insights of the main intended and unintended impacts achieved by CONCORDIA Bakery, 2) identifying what makes CONCORDIA Bakery work (or not work) and how it might be replicated, improved, adapted or up-scaled elsewhere, 3) exploring and analysing the changes in the external environment of CONCORDIA Bakery that have influenced its results and impact over time and 4) helping set realistic future objectives for CONCORDIA Bakery. The study covers the period 2011-2017 and it was carried out from 1st of August to 15th of December 2018 by the authors, as external evaluators. The evaluation had a strong exploratory component, since it has been the first time for the enterprise and for a Romanian social enterprise to go through such a process. A mix of quantitative and qualitative methods were used, in order to ensure the triangulation of the data obtained and the consistency of our results and conclusions, taking into account all the relevant perspectives. The methods included: documents analysis, in-depth interviews with relevant stakeholders and participative observation. Findings confirmed that CONCORDIA’s Social Businesses Model focuses on the impact it creates for beneficiaries rather than creating profits. CONCORDIA Bakery’s goal is in line with the agreed social business definition as it targets explicitly an increase of the employability rate of vulnerable young people and provides on-the-job professional training. In addition to the impact created by increasing the employability of vulnerable young people is also considered a therapeutic intervention in order to build responsibility by helping them to gain self-confidence and improve the abilities for an autonomous life.