Putting Social Value Accounting Into Practice

 
 

Implementing Social Value Accounting

Social Value Accounting uses traditional accounting practices to measure the value your organisation provides to the community that is otherwise not accounted for in current reports. To prepare Social Value Impact Statements you will create a separate set of financial statements, along with your current statements, which place a dollar value on the outcomes your organisation delivers.

 

Using Social Value Accounting

Step 2 project outcomes & value

  1. Determine proposed output and outcomes from the project

  2. Determine the number of likely outcomes

  3. determine what a successful outcome is for your constituents

  4. Determine what an unsuccessful outcome is for your constituents

  5. Determine the dollar value of a successful and unsuccessful outcome

Step 1 mission statement & project costs

  1. Review the operation of past projects

  2. Choose new projects

  3. Check new projects are in accordance with your missions statement

  4. Prepare a list of activities involved with each project

  5. Prepare budget of direct costs and staff time involved with each project

 

step 4 systems & procedures for reporting

  1. Determine reporting period - monthly or quarterly

  2. Prepare standard management financial statements

  3. Prepare additional financial statements - Social Value Impact statement

  4. Present and discuss individual project report and the overall entity report with all stakeholders

Step 3 systems for recording activity & outcomes

  1. Determine time costing system for project if required

  2. Set up job costing parameters to record all direct project costs

  3. Capture how the project delivers value to constituents and the community