In keeping with its commitment to strengthening social impact across its operations, Ayala Foundation, the social development arm of the Ayala group of companies, recently secured a Level 2 Social Value Certificate from a global network of social value practitioners.
Given by Social Value International, a UK-based global network that focuses on social impact and social value, the Level 2 Certificate means that Ayala Foundation “has started to implement systems and processes that are consistent with the Social Value Principles.”
Ayala Foundation’s Level 2 Certificate comes two years after securing its Level 1 Certificate from the global network, making it the first organization in the Philippines and in Asia to achieve the distinction.
More than just measuring or reporting an organization’s or a program’s actual social impact, this certification process examines the systems and procedures that are in place to ensure the maximization of social value. An organization can take the social value journey by going through three tiers—Level 1 (“Commit”), Level 2 (“Implement”), and Level 3 (“Maximize”).
Part of Ayala Foundation’s commitment to social value is expressed through its use of Social Return on Investment (SROI) as an impact measurement framework. Under the lens of SROI, the foundation looks closely at how deeply and how sustainably its interventions impact stakeholders, while also showing possible areas for improvement.
Beyond looking at financial returns, SROI measures non- or extra-financial value, covering such items as social or environmental impact, among others. While using the SROI methodology primarily assigns a financial proxy to impact, it also allows for the inclusion of quantitative but non-monetized, qualitative, and narrative information.
Briefly speaking, SROI looks at the return or impact earned by a social investment. The higher the return or impact for every one peso worth of investment, the greater the social impact.
In recent months the foundation measured the impact of the educational initiative ProFuturo. A global program developed by Fundación ProFuturo in Spain and implemented in the Mimaropa Region by Ayala Foundation, ProFuturo uses digital technology to provide access to quality, transformational, and universal education, and through it, access to equal opportunities for boys and girls, in a more inclusive and global society.
Using the principles of SROI, Ayala Foundation looked at three key items—identify the changes in stakeholders’ lives that can be attributed to ProFuturo; measure the depth and breadth of the change; assign value to the social impact or value created in the lives of the stakeholders. Sustained interventions under ProFuturo has contributed to increased teaching effectiveness, increased job satisfaction among teachers and administrators, improved quality of education and higher opportunities for the future among students and coaches as well as improved resilience. Overall, these interventions have generated an SROI valued at 1:25—or a PhP25 return for every peso invested.
Similarly, the foundation took a look at how social inclusion is achieved through the community development program for the Indigenous Iraya-Mangyan community of Puerto Galera, Oriental Mindoro. Through interventions covering health, education, livelihood, and others, the Iraya-Mangyan program has contributed significantly to improved productivity, self-reliance, creativity, and pride in being Filipino. Overall, initiatives under the Iraya-Mangyan program generated an SROI of PhP1:23—or a PhP23 return for every peso invested.
Ayala Foundation affirms its commitment to strengthening its social value journey, as it targets to achieve the highest certification tier (Level 3: Maximize) in the next two years.
About Ayala Foundation
As the social development arm of the Ayala group of companies, Ayala Foundation envisions communities where people are creative, productive, self-reliant, and proud to be Filipino. Ayala Foundation is committed to community development, working closely with communities in identifying compelling developmental needs and providing suitable solutions with measurable outcomes. It implements programs under the following themes: Education, Sustainable Livelihood, and Love of Country.