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Understanding Value Creation in Social Entrepreneurship: The Importance of Aligning Mission, Strategy and Impact Measurement

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  • Jarrod Ormiston
  • Richard Seymour

Abstract

This paper explores and clarifies the significance of aligning mission, objectives and strategy with impact measurement in social entrepreneurship. We present a framework for understanding the value created by social entrepreneurs, presenting theoretical and practical insights into impact measurement. Drawing on case studies in Latin America, we suggest the presence of a ‘mission measurement paradox’ that affects social entrepreneurs in their attempts to measure social impact and understand value creation. The paradox suggests that social entrepreneurs are failing to evaluate their social impact with sufficient regard to their social mission. Preconceptions resulting from the use of traditional management approaches in social enterprises are presented, with guidance on how these can be avoided by both researchers and practitioners.

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  • Jarrod Ormiston & Richard Seymour, 2011. "Understanding Value Creation in Social Entrepreneurship: The Importance of Aligning Mission, Strategy and Impact Measurement," Journal of Social Entrepreneurship, Taylor & Francis Journals, vol. 2(2), pages 125-150, October.
    • Handle: RePEc:taf:jsocen:v:2:y:2011:i:2:p:125-150
    DOI: 10.1080/19420676.2011.606331
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    Cited by:

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    2. Belen Lopez & Alfonso Torres & Alberto Ruozzi & Jose Antonio Vicente, 2020. "Main Factors for Understanding High Impacts on CSR Dimensions in the Finance Industry," Sustainability, MDPI, vol. 12(6), pages 1-17, March.
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    4. Monica Nandan & Archana Singh & Gokul Mandayam, 2019. "Social Value Creation and Social Innovation by Human Service Professionals: Evidence from Missouri, USA," Administrative Sciences, MDPI, vol. 9(4), pages 1-22, November.
    5. Oppermann, Christopher, 2022. "Measuring the impact of social enterprises: Do social enterprises fail to align their measurements with their mission and vision?," Schriftenreihe Management 9, Hochschule Hannover - University of Applied Sciences and Arts, Department of Business Administration.
    6. Julien Kleszczowski, 2016. "La place des parties prenantes dans l’évaluation de l’impact social des organisations non lucratives: étude empirique au sein d’une organisation française," Post-Print hal-01901230, HAL.
    7. Cucari Nicola & Esposito Eduardo & D’Angelo Eugenio & Ciasullo Maria Vincenza, 2020. "Assessing the Social Entrepreneurship Business Model: An Exploratory Case Study in the Italian Cultural Heritage Sector," Entrepreneurship Research Journal, De Gruyter, vol. 10(4), pages 1-31, October.
    8. William Alomoto & Angels Niñerola & Laia Pié, 2022. "Social Impact Assessment: A Systematic Review of Literature," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 161(1), pages 225-250, May.
    9. Cosa, Marcello & Urban, Boris, 2023. "A systematic review of performance measurement systems and their relevance to social enterprises," OSF Preprints 6ft2p, Center for Open Science.
    10. Shubhabrata Basu & Anita Sharma, 2014. "Exploring Stewardship as an Antecedent Behavioural Trait of Social Entrepreneurs," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 23(1), pages 19-33, March.
    11. Lall, Saurabh Ajay, 2019. "From Legitimacy to Learning – How Impact Measurement Perceptions and Practices Evolve in Social Enterprise – Social Finance Organization Relationships," SocArXiv 7z8nc, Center for Open Science.
    12. Lall, Saurabh Ajay, 2017. "Measuring to Improve Versus Measuring to Prove: Understanding the Adoption of Social Performance Measurement Practices in Nascent Social Enterprises," SocArXiv 8wa5c, Center for Open Science.
    13. Jessica Aschari-Lincoln & Barbara Scheck, 2022. "F(i)unding Your Way: A Managerial Compass for Social Organizations," Sustainability, MDPI, vol. 14(3), pages 1-14, January.
    14. Andrew Ngawenja Mzembe & Yvonne Novakovic & Frans Melissen & Grace Kamanga, 2019. "Institutional bricolage as an antecedent of social value creation in a developing country's tourism and hospitality industry," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(4), pages 997-1008, July.
    15. Jay Sheppard & Maral Mahdad, 2021. "Unpacking Hybrid Organizing in a Born Green Entrepreneurial Company," Sustainability, MDPI, vol. 13(20), pages 1-30, October.
    16. Kaushik, Vineet & Tewari, Shobha & Sahasranamam, Sreevas & Hota, Pradeep Kumar, 2023. "Towards a precise understanding of social entrepreneurship: An integrated bibliometric–machine learning based review and research agenda," Technological Forecasting and Social Change, Elsevier, vol. 191(C).
    17. Carla Del Gesso, 2021. "An Entrepreneurial Identity for Social Enterprise across the Institutional Approaches: From Mission to Accountability toward Sustainable Societal Development," International Journal of Business and Management, Canadian Center of Science and Education, vol. 15(1), pages 1-16, July.
    18. David B. Audretsch & Georg M. Eichler & Erich J. Schwarz, 2022. "Emerging needs of social innovators and social innovation ecosystems," International Entrepreneurship and Management Journal, Springer, vol. 18(1), pages 217-254, March.
    19. Almeida Fernando, 2021. "Open Data’s Role in Social Innovation Initiatives to Fight COVID-19," Journal of Management and Business Administration. Central Europe, Sciendo, vol. 29(3), pages 2-19, September.
    20. Gift Dafuleya, 2014. "Social Value Creation and Institution-Entrepreneurial Dynamics in a Three Sector Economy," Journal of Economics and Behavioral Studies, AMH International, vol. 6(10), pages 795-809.
    21. Paola Bernardi & Alberto Bertello & Canio Forliano & Ludovico Bullini Orlandi, 2022. "Beyond the “ivory tower”. Comparing academic and non-academic knowledge on social entrepreneurship," International Entrepreneurship and Management Journal, Springer, vol. 18(3), pages 999-1032, September.
    22. Tucker, Reginald & Croom, Randall M., 2021. "A xenophilic perspective of social entrepreneurship," Journal of Business Venturing Insights, Elsevier, vol. 15(C).
    23. Syrus M Islam, 2022. "Social impact scaling strategies in social enterprises: A systematic review and research agenda," Australian Journal of Management, Australian School of Business, vol. 47(2), pages 298-321, May.
    24. Erin Chmelik & Martina Musteen & Mujtaba Ahsan, 2016. "Measures of Performance in the Context of International Social Ventures: An Exploratory Study," Journal of Social Entrepreneurship, Taylor & Francis Journals, vol. 7(1), pages 74-100, March.
    25. Jessica Aschari-Lincoln & Claus D. Jacobs, 2018. "Enabling Effective Social Impact: Towards a Model for Impact Scaling Agreements," Sustainability, MDPI, vol. 10(12), pages 1-18, December.

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