Midterm/Endline Impact Study of First SEs

PEF supports and enables specific projects of its SE partners to generate benefits for individuals, households, and communities. The benefits include increased sales, revenues, income and assets; and better access to basic services like water. They may spill over to non-beneficiary households and the larger community.

A midterm household survey in 2015, involving the first ten SEs supported by PEF, was a follow-up on the baseline household survey conducted in 2012. The study links enterprise-level information with household-level and community-level information to determine whether PEF resources were utilized efficiently to meet the goals and targets of selected SE programs and projects.  It ascertains if and how PEF-supported interventions enabled SE partners to produce the desired and promised outcomes of the projects, bring about change to key outcomes for households; and generate community or spillover effects. 

A group of experts comprised an independent review board which helped in analyzing the first batch of four SEs, using data obtained from reports, focused group discussions, and key informant interviews together with data from the household survey of beneficiaries and non-beneficiaries. It must be noted, however, that the study is not representative of the total performance of PEF in implementing the social enterprise strategy. Nevertheless, it offers a number of learnings that the Foundation could use to improve its approach.

An integrated analysis of survey results reveal that the SEs created benefits to the household, by contributing to their total income from the increase in the volume of purchase from communities, increase in employment, and increase the buying price, among others. It was seen that four out of five SEs who purchase products/raw materials from the community have increased the amount purchased, while five SEs were able to influence the buying to produce positively as they offer higher/better prices for community products. Employment increase was observed in four SEs that tap talents directly participating in SE operations.

Aside from the economic benefits, it must be noted that one of the SEs was able to provide access to water in more households in a community in Dancalan, Negros, while another SE helped micro-entrepreneurs access credit for their small businesses.

At the SE level, despite the interventions PEF infused in each of the SEs, there were challenges identified that knocked the enterprises down, and these are in the governance and business model of the social enterprises.

As part of our learning, PEF would address these issues by improving our SE development, monitoring, and evaluation systems in order to sharpen due diligence and be able to predict the risks. This will also ensure a stronger system of checks and balance, as well as be able to assess the capability of the SE partner in terms of governing and running a business.

Results of the study will be shared through the PEF website and a book publication. The announcement will be made once available.