Measuring What Matters—Indicators of Social Innovativeness on the National Level

Figures & data

FIG. 1.  Integrated model for measuring social innovation.

TABLE 1 Social Innovation Criteria and Measurement

Social Innovation Criterion	How to Take the Criterion into Account in the Measurement of Social Innovation
Newness	As the blueprint is not supposed to measure single cases of social innovation, the criterion of “newness” is not explicitly incorporated. The view that social innovations are mainly defined by their consequences and impact instead of their absolute degree of newness (Gillwald, 2000, p. 6) is being applied. Thus, the blueprint deals with the nature and existence of social needs in a very generic way and uses these both as reference points for assessing innovation potential and the performance of the latter. Changes in needs are interpreted as a sign for new products, services, or processes.
Multiple Dimensions of Improvement	Moulaert et al. (2005) differentiate between the content dimension (satisfaction of human needs), the empowerment dimension of social innovation (socio-political capabilities), and the process dimension (changes in social relations). With the macro-level approach we can in particular trace improvements in the satisfaction of social needs of societies as well as improvements in their innovation capacity (and thus, the first two aspects).^a The state and the structure of relationships and networks to meet social needs (Reeder, O’ Sullivan, Tucker, Ramsden, & Mulgan, 2012, p. 8) in contrast requires network analytical methods and case studies that pay respect to the circumstance that social innovation is “[…] embedded in the ‘social fabric’ of communities” (Reeder et al., 2012, p. 11). Social relations can thus, not be captured in detail in the proposed measurement approach.
Sector Neutrality	The proposed approach is not focused on a single sector because social innovation can occur in any sector (Murray, Caulier-Grice, & Mulgan, 2010, p. 3; Nicholls & Murdock, 2012, p. 2f).
Process of Social Innovation	Despite the chaotic nature of social innovations, a process circle of social innovation is often being applied (Bureau of European Policy Advisors [BEPA], 2010, p. 53f.), which is also central to our measurement model. The embedding into a wider framework is also increasingly common in the context of mainstream innovation (Rothwell, 1994; or Furman, Porter, & Stern, 2002).
Qualifying Improvements	Through monitoring changes in social needs as well as social innovation enablers in a longitudinal way, improvements of society’s capacity to act can be measured. Interesting in this respect are four qualifiers for improvements: The new solution should be more efficient, more effective, more sustainable, and/or more just than prevailing solutions (Phills, Deiglmeier, & Miller, 2008). Capturing these qualifiers in-depth is rather subject to the evaluation of social innovations in the wake of social impact measurement on the organizational level. The proposed measurement approach however, alludes to these too.
Legitimacy of Social Needs	By analyzing the collaborative dimension of the social innovation process in terms of interactions in networks and broader “national innovation systems” (Blättel-Mink, 2006, p. 133ff.; Freeman, 2002; Wieczorek & Hekkert, 2012) or “regional innovation systems” (Asheim, Lawton Smith, & Oughten, 2011) combined with the availability of a diverse set of resource flows, the model indirectly provides a proxy for the legitimacy aspects that social innovations involve.
Urgency of Social Needs	The element of urgency is expressed by the degree of legitimate claims that are being made towards a specific issue. This is approximated by including the intensity of discourses around specific issues.^b

^aIn a similar manner the Social Progress Index 2013 measures social progress by using outcome-based metrics that indicate a countrys’ wellbeing (Porter, Stern, & Loria, 2013, p. 6f.).

^bThe Social Progress Index by Porter et al. for instance is based on a categorization of basic human needs (e.g., air, water, and sanitation), foundations of well-being (e. g., access to basic knowledge), and opportunity (e.g., personal freedom and choice; Porter, Stern, & Loria, 2013, p. 7) that also reflects degrees of urgency. This example shows how existing measurement systems could be intertwined as they apply different angles to approximate similar variables.

FIG. 2.  Structure of the blueprint of social innovation indicators.

TABLE 2 Illustrative Data of the Blueprint for Social Innovation Metrics

		Illustrative Data
Indicator Dimensions	Proposed Metrics (Data Source)	DK	DE	GR	PL	PT	UK
I. Entrepreneurial Activity
1. Investment activities
Investment in innovation by: Social economy organizations	Expenditure on innovation activities by firm size (community innovation survey)	Used in ordinary innovation metrics →No equivalent for social innovation currently available
Public sector	No data currently available	No data currently available
2. Entrepreneurial start-ups and deaths
Number of start-ups	Early‐stage social entrepreneurship as percentage of the working population in 2009 (Global Entrepreneurship Monitor)	—	0.7%	2.0%	—	—	2.2%
Number of death rates	Enterprise death rate (OECD Business demography database)	Used in ordinary innovation metrics →No equivalent for social innovation currently available
Business environment for starting a business	Days needed to start a business (International Bank for Reconstruction and Development/World Bank (2009), Doing Business 2010, United States)	6	18	19	32	6	13
II. Output and Outcome
1. Education
1.1. Equal opportunities/inequalities
Disabilities	Equal opportunities/inequalities regarding disabled people (EUSI)	No data currently available
Gender	Equal opportunities/inequalities regarding women/men: Women in Tertiary Education (2009, SIMon; EUSI)	58.2%	51.4%	50.1% (2008)	57.9%	53.4%	57%
Migration	Share of foreign students in all students: Foreign students as a percentage of total tertiary enrolment 2000, 2004, 2009 (OECD)	9.6%	10.5%	—	0.8%	4.8%	20.7%
1.2. Skill acquisition
Social and personal competence	Educational attainment, Percentage of people, aged 25 to 64, having at least upper-secondary (high school) degree, 2010 or latest available year (OECD Better Life Index)	76%	86%	65%	89%	32%	75%
Subject-specific and methodical competence	PISA results in reading, Reading, Age 15, (2009, OECD) (ranges from 0–1.000)	495	497	483	500	489	494
III. Framework conditions
1. Resources framework
1.1. Financial resources
Monetary variables of the social economy	Share of expenditure as percentage of GDP (national sources, GDP in 2010 at current prices and current PPPs), inflation-adjusted (Data refer to different organizational populations)	7.9%	3.7%	—	0.5%	3.5%	2.5%
Public social expenditure	Total public social expenditure as percentage of GDP (2009, OCED Social Expenditure Statistics)	30.2%	27.8%	23.9%	21.5%	25.6%	24.1%
Private spending	Private social expenditure as percentage of GDP (2009, OCED social expenditure statistics)	2.7%	2.0%	1.8%	unclear	1.6%	5.3%
2. Societal framework
2.1. Demand for social innovation
Interest in shared social needs	“Google Trends’ tool (Google)	Application to be developed
Request for change	Articulated requests to the EU Parliament (EU Parliament, national parliaments)	Application to be developed
2.2. Social engagement and attitudes
Political participation	Signing a petition (2008, European Value Survey; have done/might do)	61.7%/19.6%	57.7%/30.0%	19.0%/34.3%	21.2%/50.4%	21.0%/32.0%	66.3%/20.5% (2009)
Memberships in civil society organizations	“Do you belong to an organization/group in environment, ecology, animal rights” (2008, European Value survey)	15.6%	3.8%	2.4%	0.8%	2.1%	6.7% (2009)
Citizens’ attitudes towards entrepreneurship	“One should not start a business if there is a risk it might fail” (Strongly disagree/disagree; Eurobaro.)	56%/12%	33%/10%	37%/13%	27%/5%	31%/3%	35%/27%

APPENDIX A Classification of Analyzed Measurement Approaches

	Approach^a			Sector^2					Level^c			Indicator Set^d
	Normative	Structural	Institutional	Public Sector	Third Sector	Private Sector	Society	Other	Micro Level	Meso Level	Macro Level	Enabling Conditions	Organizational Activities	Organizational Output	Societal Outcome
Innovation Metrics
Oslo Manual (2005)		x	x			x				x			x	x
OECD Measuring Innovation (2010)		x	x	x		x	x	x	(x)	x	x	x	x	(x)	x
EU Innovation Union Scoreboard (2013)		x	x	x		x					x	x	x	x
Global Innovation Index (2012)		x		(x)		x		x		(x)	x	x	x		x
Economist’s Intelligence Unit’s Ranking (2009)		x	x			x	x	x		x	x	x	x	x
DIW/Deutsche Telekom Stiftung/BDI Innovation Indicator (2009, 2010)	(x)	x	x			x	x				x	x	(x)
Nordic Innovation Monitor (2009)		x					x	x		(x)	x	x	x
NESTA’s Measuring Wider Framework Conditions (2011)	x		x			x	x	x			x	x	x
European Policies and Instruments to Support Service Innovation (2011)		x		x	x	x				x			x	x
European Commission’s RIS (2012)		x		x	x	x				x			x	x
Massachusetts Innovation Economy (2010)		x	(x)	(x)		x	x			x	x	x	x
Maine Innovation Index (2012)		x		x	x	x				x	x	x	x	x
European Public Sector Innovation Scoreboard (2012)		x		x			x			x	x	x	x	x
Australian Public Sector Innovation Indicators (2011)	(x)	x	x	x			x		x	x	x	x	x	x	x
Measure Public Innovation in Nordic Countries (2010)		x	x	x			x			x	x		x	x
NESTA’s Innovation in Public Sector Organizations (2011)	x	x	x	x			x	x			x	x	x	x
Global Entrepreneurship Monitor (2012)	(x)	(x)	x			(x)	x		x		x	x
Science, Technology, and Industry Scoreboard (2011)		x	x	(x)		x	x		(x)	x	x	x	x	(x)
NESTA’s Measuring Sectoral Innovation Capability (2009)		x				x				x			x
The Global Competitiveness Index (2011)		x	x	x		x	x	x		x	x	x	(x)
Vision’ s Social Innovation Index (2011)		x			x	(x)	(x)			x			(x)	x
Welfare Indicators
OECD Better Life Index (2011)	(x)	x					x	x	x			(x)		x	x
European System of Social Indicators (2013)	x	x					x	x			x	(x)		x	x
TTT-Index for Germany (2007)	x	x				x	x			x	x	x	x	x
Civil Society Index (2004)	x	x			x		x	x	x		x	x
Index of Economic Freedom (2012)	(x)		x	(x)		(x)	x		(x)	x	x	x
International Property Rights Index (2012)			x				x				x	x
Environmental Performance Index (2006, 2012)		x					x	x			x				x
National Footprint Accounts (2003, 2010)		x					x	x			x				x
Sustainable Development in Germany (2004, 2008)		x		x		(x)	x	x		x	x	x	(x)	x	x

^aSpecifies the research perspective: Where is the selection of variables directed and grounded? Structural aspects (number of employees, number of people with a doctoral degree or GDP); institutional aspects (legal frameworks or codes of conduct); normative aspects (social values).

^bSpecifies the object of analysis: Which sphere does the system of metrics focus on? Private sector (firms); public sector (local government, national health organizations); the third sector (associations, foundations); society at large; other (specific themes such as education systems, ecological issues).

^cSpecifies the level of analysis: At which level are the measurement systems operating? Micro level (of individuals), the meso level (of organizations) and the macro level (of sectors or national states).

^dSpecifies indicator category: What do the indicators capture? Enabling conditions (R&D investment, political stability, voters’ participation); organizational innovation activities (organizational investment in innovation, number of highly skilled employees); organizational output (number of registered patents); societal outcomes (changes in well-being, the reduction of CO2 emissions, reduced unemployment).

APPENDIX B Framework Conditions—Complete Indicator Set and Metrics

Indicator Dimensions	Proposed Metrics (Data Source)
(a) Social Innovation Resources Framework
1. Financial resources (dedicated to social purpose)
• Monetary variables of the social economy	• Share of expenditure of social economy organizations as percentage of GDP (national sources, including expenditures of foundations)
• Public social expenditure	• Total public social expenditure as percentage of GDP (OCED Social Expenditure Statistics database)
	• Total public social expenditure per head, at current prices and PPPs (OCED Social Expenditure Statistics database)
• Private spending	• Voluntary private social expenditure as percentage of GDP (including households, individuals, NGOs; OCED Social Expenditure Statistics database)
2. Human resources
• Voluntary working	• Number of volunteers (Volunteering in the European Union, GHK)
• Professionalization/creative workforce in social fields	• ISCED 5-facilities offering educational programs for staff in social economy organizations (National analysis)
	• Percentage of ‘creative occupations’ (Eurostat; used in ordinary innovation metrics → No equivalent for social innovation currently available)
	• Workforce who report wanting to act “socially entrepreneurially” (no data yet)
3. Infrastructural resources
• Academic resources deployed on social innovation	• Number of articles with the keyword “social innovation” per country (no data per country currently available)
• Social innovation relevant networks	• Number of Ashoka Fellows per country
	• Number of Schwab Foundation Fellows per country
	• Number of Social Innovation Exchange (SIX) members
	• Number and size of other social innovation networks, called “hubs” or “labs”
• ICT and overall infrastructure (as basis for social innovation activities)	• Quality of overall infrastructure (World Economic Forum, The Global Competitiveness Report)
	• Broadband subscribers (OCED Broadband statistics)
	• E-Readiness Index (Economist Intelligence Unit)
	• ICT use index (International Telecommunication Union, Measuring the Information Society)
	• Government’s online service index (United Nations Public Administration Network, e-Government Survey)
	• Relation between broadband penetration and citizens uptake of e-government services (OECD, government at a glance)
(b) Social Innovation Institutional Framework
1. Normative institutions
• Tolerance	• Proportion of votes of extremist parties (national sources)
	• Proportion of foreigners in total population (national sources)
	• Proportion of agreement to xenophobic statements in total population (national sources)
	• “Acceptance of outsider groups” (World Value Survey)
	• “Tolerance and respect are important educational objectives” (World Value Survey)
• Gender equality	• “Men have more of a right to get a job in times of job shortages than women—I agree” (World Value Survey)
	• Women entrepreneurs (Global Entrepreneurship Monitor)
• Solidarity	• Solidarity with elderly, sick, unemployed, and immigrants (European Value Study)
• Environmental sustainability	• “Nature protection is more important than economic growth” (World Value Survey)
	• Interest in environmental pollution (Eurobarometer)
	• Percentage of households having invested in environmentally friendly products in the last ten years (OCED Environment Policy and Household Behavior)
2. Regulative institutions
• Legislative background for social organizations	• Legislative background for starting a social organization (national analysis)
• Legislative background for social security benefits	• Committed rights of social security benefits (national analysis)
• Legislative reforms in favor of social innovation	• Number of new laws and regulations enhancing social innovation or social economy (e.g., Social Value Act in the UK, national analysis)
• Commissioning and procurement	• Decommissioning rates to capture the “creative destruction” of innovation (old services being replaced, national analysis)
3. Cultural-cognitive institutions
• Human rights	• Universal human right index (United Nations)
(c) Social Innovation Political Framework
1. Policy awareness
• Policy awareness about social innovation	• National innovation strategies/social innovation projects funded by government (national sources and analysis)
• Policy awareness about social needs	• Emphasis of party programs (national sources and analytics)
2. Political environment
• Political stability and democracy	• Political stability and absence of violence/terrorism Index (World Bank, World Governance Indicators)
	• Freedom-House Index—democratic governance (Freedom House)
• Government effectiveness	• Government effectiveness (World Bank, World Governance Indicators)
• Transparency	• Corruption Perception Index (Transparency International)
• Legislation	• Rule of law index (World Bank, World Governance Indicators)
	• Judicial Independence (World Economic Forum, Global Competitiveness Index)
• Press freedom	• Press freedom index (Reporters Without Borders, Press Freedom Index)
(d) Social Innovation Societal Climate Framework
1. Needs or demands as reference points for social innovation
• Interest in shared social needs	• Google Trends tool (Google)
• Request for change	• Questions and requests to the EU Parliament (EU Parliament, national parliaments)
2. Social engagement and attitudes
• Political participation	• Depth and breadth of citizens’ participation (CSI)
	• Participation in signature campaigns (World Value Survey)
	• Participation in boycotts (World Value Survey)
	• Participation in authorized demonstrations (World Value Survey)
• Memberships in Civil Society Organizations	• Membership in humanitarian or charitable organizations (World Value Survey)
	• Membership in religious organizations (World Value Survey)
	• Membership in organizations of arts, music, or education (World Value Survey)
	• Membership in nature protection (World Value Survey)
	• Membership in associations in sports and recreations (World Value Survey)
• Citizens’ attitudes toward entrepreneurship	• Attitudes toward starting a company (moving average over two years; Flash Eurobarometer)
• Citizens’ openness for something new, risk taking	• Positive attitude toward taking risks (moving average over two years; Flash Eurobarometer)
	• Interest in inventions and new technologies (Eurobarometer)

APPENDIX C Entrepreneurial Activities—Complete Indicator Set and Metrics

Indicator Dimensions	Proposed Metrics (Data Source)
1. Entrepreneurial Investment Activities
• Investment in innovation by social economy organizations	• Expenditure in innovation by firm size (Community Innovation Survey) (used in ordinary innovation metrics → No equivalent for social innovation currently available)
• Investment in innovation by public sector	• No data currently available
2. Entrepreneurial Start-Up Activities
• Number of start-ups	• Start-up activities (moving average over four years), share of the participation as owner of start-ups in population aged 18–64 (Global Entrepreneurship Monitor; used in ordinary innovation metrics → No equivalent for social innovation currently available)
	• Early-stage social entrepreneurial activity (Global Entrepreneurship Monitor)
• Number of death rates	• Enterprise death rate (OECD Business demography database; used in ordinary innovation metrics → No equivalent for social innovation currently available)
• Business environment for starting a business	• Barriers to entrepreneurship (OCED Product Market Regulation Database)
	• Starting a business: procedures (number); time (days); cost (percent of income per capita); minimum capital (percent of income per capita; World Bank, Doing Business)
	• Ease of starting a business (World Bank, Ease of Doing Business Index)
3. Collaboration and networks
• Citizens’ involvement in entrepreneurial activities	• Time spent volunteering (OECD Time Use Surveys database), best to be specified in which kind of organization
• Clusters	• State of cluster development (World Economic Forum, Executive Opinion Survey; used in ordinary innovation metrics → No equivalent for social innovation currently available)

APPENDIX D Output and Outcome of Social Innovations—Complete Indicator Set and Metrics

Indicator Dimensions	Proposed Metrics (Data Source)
1. Education
1.1. Equality Opportunities/Inequalities
• Disabilities	• Equal opportunities/inequalities regarding disabled people (EUSI)
• Gender	• Share of women in graduates in ISCED 5A, 5B, and 6 (OECD)
	• Equal opportunities/inequalities regarding women/men (EUSI)
• Migration	• Share of foreign students in all students (OECD)
	• Equal opportunities/inequalities regarding citizenship groups (EUSI)
1.2. Skill Acquisition
• Social and personal competence	• Educational attainment (OECD Better Life Index)
• Subject-specific and methodical competence	• PISA results in problem solving (OCED)
	• PISA results in reading (OECD)
	• PISA results in math (OECD)
2. Health and Care
2.1. Access and Quality of Health Facilities
• Satisfaction with system of health care	• Trust in institutions: system of health care (EUSI)
• Access	• Regional disparities of the availability of health care facilities (EUSI)
2.2. Health Status and Research
• Health status	• Adults reporting good or very good health (OECD Health data, European Union Statistics on Income and Living conditions)
	• Life-expectancy at birth (OECD Health Data)
• Health-related patent	• Health-related patents (OCED Patent Database)
3. Employment
3.1. Jobs and Earning
• Employment rate	• Long-term unemployment rate (OECD, Labor Force Statistics database)
• Equality opportunities/inequalities	• Female participation in labor force (International Labor Organization, Key Indicators of the Labor Markets Net)
	• Equal opportunities/inequalities regarding employment of women/man, disabled people, citizenship, generations (EUSI)
	• GINI Index (World Bank)
• Income	• Average annual earnings of full-time employees (OCED estimates based on OECD National Accounts database and Economic outlook)
3.2. Work and Life
• Working hours	• Employees working very long hours (OECD Labor Force Statistics database) • Time devoted to leisure per day (OCED Time Use Survey database)
• Satisfaction with work-life time balance	• European workers satisfied with their work-life time balance (Second European Quality of Life Survey)
• Work and family	• Employment rate of women with children of compulsory school age (OECD Family database, national sources, OECD Labor Force Survey database)
4. Housing
4.1. Housing situation
• Living space	• Rooms per Persons (European Union Statistics of Income and Living Conditions, national statistic offices)
	• Living space per Person (EUSI)
• Living environment	• Accessibility of shops, public transport, family doctor (EUSI)
	• Noise/air/environmental pollution (EUSI)
	• Accessibility of green spaces (EUSI)
	• Crime in the residential area (EUSI)
4.2. Access and quality
• Homelessness and poor housing	• Homelessness and poor housing (EUSI)
• Satisfaction	• Satisfaction with housing (Gallup World Poll)
5. Social Capital and Networks
5.1. Frequency and quality
• Frequency	• Frequency of social contact (European Union Statistics on Income and Living Conditions)
• Quality	• Trust in others (Gallup World Poll)
	• Quality of social relations at the work place (EUSI)
5.2. Social Cohesion
• Social cohesion between generations	• Care for old-aged household members (EUSI), has to be controlled for by comparing to levels of poverty, to separate economic necessity from social cohesion
• Social networks	• Social network support (Gallup World Poll)
6. Political Participation
6.1. Voting and Being Informed
• Voter turn-out	• Voter turn-out (International Institute for Democracy and Electoral Assistance)
• Being informed	• Daily newspapers’ circulation (World Association of Newspapers and News Publishers, World Press Trends)
6.2. Citizens’ Active Involvement
• Participation in political activities	• Participation in political activities other than voting (European Social Survey)
• Involvement in rule-making	• Consultation on rule-making (OECD Regulatory Management Systems’ Indicators Survey)
7. Environment
7.1. Patents and Certificates
• Environment-related patents	• Renewable energy patents (OECD Patent Database)
	• Patent applications in pollution abatement and waste management technologies (EPO Worldwide Patent Statistical Database)
	• Patents for climate change mitigation technologies (OCED Patent Database)
• Environment-related certificates	• ISO 14001 Environmental management systems (International Organization for Standardization [ISO], The ISO Survey of Certification)
7.2. Preservation of Natural Capital and Resources
• Protected area	• Share of protected areas (EUSI)
• Renewable energy	• Share of renewable energy sources (EUSI)
• State of environment	• State of environment: Quality of air, water, forests, soil (EUSI)
	• Environmental Performance Index: Environment health (e.g., air—effects on human health) and ecosystem vitality (e.g., biodiversity; Yale University and Columbia University)
	• Benefits of environmental innovations (OECD based on Eurostat CIS 2008 and national sources)
	• Stock of natural resources (e.g., minerals, oil, wood, flora, fauna; EUSI)
	• Ecological Footprint (nations’ demands on global regenerative capacity; National Footprint Accounts)

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