Educational Objectives

How should managers measure, and increase, the social impact of their projects and businesses? How should donors assess the impact of potential beneficiary organizations? Unlike profits, metrics of societal impact cannot be inferred from accounting statements. Yet measurement is a critical prerequisite to management. Fortunately, tools from data science and econometrics have been developed to navigate the nuances of assessing impact.

Measuring and Managing Social Impact (MMSI) is intended to train students to become informed and discriminating consumers of evidence so as to enable the more effective management of impact. The course aims to develop data literacy even amongst managers who never plan to implement statistical analyses themselves. MMSI will be of core interest to students with aspirations in social entrepreneurship, socially responsible business, impact investing, and effective philanthropy. But, while class discussions will center on social impact, the methods utilized in class extend to any question of causal inference, including questions about whether a particular endeavor increases a firm’s profits, raises customer engagement, etc. It will therefore also be of interest to any manager that aspires to commission and evaluate data analysis as a part of their workflow.

This course requires an openness to -- but no prior background in -- statistical analysis and quantitative thinking.

Course Content and Overview

MMSI rests on two foundations: rigorous frameworks for assessing social impact, and an introduction to the tools required to measure it. The course will provide a broad exposure to a variety of analytical methods, presented so as to be accessible to students with no prior background in statistics. Students will learn the conceptual underpinnings and limitations of methods such as randomized controlled trials, difference in differences analyses, and regression discontinuities, among others. For each of these methods, students will conduct guided statistical analyses and discuss how their conclusions inform managerial problems. Students will also benefit from abundant practice interpreting existing evidence and applying it to pressing managerial challenges.

Grades will be based on in-class participation, several at-home statistical exercises, and a final paper (completed in groups of up to 3), in which students will assess the impact of an existing or aspirational social enterprise.

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