Impact Model Verification Standard
WHAT IS THE IMVS
The Impact Model Verification Standard is a framework for auditing outputs or outcomes which are reported by organizations. A validation of the model assumptions used to create the eco / social KPIs prove their correctness and also helps to create trust in the reported data.
As of now, there is no other guideline on how to check the validity of impact claims found in reports from non- and for-profit organizations. To prevent green-washing and over- or under-estimation of eco / social outcomes, a standard for auditing such KPIs is necessary.
With the IMVS we introduce exactly this – a (to be) global standard, that enables specialized impact auditors to carry out proper and structured checks that go down to the root of the reported data: the model assumptions on which the KPIs are based upon.
This standard also covers another issue of impact audits, which is the multitude of indicator types spread all across the different eco / social challenge sectors. The Impact Model Verification Standard has a modular approach, that includes sub-catalogs for individual KPI & industry segments.
Do you want to download the latest IMVS draft version?
WHAT IS AN IMPACT MODEL
Every reported number is based either directly on measured data or is based on model assumptions. Take the example of a business report: the operational & financial data is collected from counting output values or is derived from business model sheets. Also for non-financial / -business KPI statements like eco / social outcomes this is the same.
Auditing an impact model starts at looking at the published indicators, whether the published KPIs originate from a direct measurement or are model-based assumptions. In both cases, evidence must be provided as to where the data was obtained from.
If an impact model has been created on which the indicators are based, the party to be audited must disclose how it was derived and provide evidence of the correlations between the operational data used and the other sources used (statistical data, studies, etc.). Particular emphasis is also placed on the timeliness and quality of the 3rd party data (state-of-the-art check).
STRUCTURE OF THE IMVS
The Impact Model Verification Standard structure is modular, allowing a maximum of flexibility for updating & expanding its content. The general framework part gives guidance for a proper audit procedure, while the sub-catalogs define the dedicated checks for certain KPI types or industry segments.
CALL FOR PARTICIPATION
The IMVS is in the making. A lot of experience of LOOMPACT's team from creating impact models and auditing them went into the (to be) standard and we kicked this off with the published whitepaper in its beta version. Although our experts were already in tight exchange with other impact due diligence practitioners, we need your participation.
We've opened an official Request-For-Comments (RFC) process to form a consortium of interested persons and entities to develop the current beta version of the IMVS into an industry standard and later on into an ISO-certified standard.
We are looking for persons & entities that have already gained experience in audits and due diligence of impact statements in for- and non-profit organizations. The input from an expert network is important to fill existing gaps and round off edges in the IMVS definition.
We're also looking forward to invite the community of non-impact-focused auditors, like business auditors, that are interested in expanding their services into the realm of checking "green" sustainability statements of for- and non-profit organizations. The integration of non-impact-focused audit experts helps to align the IMVS to the standardized business audit world.
The IMVS working group works together with online collaboration tools and moreover by regular calls and meetups to discuss implemented changes that resulted from the RFC process. A participation developing the IMVS together will be also a commitment to spend some time regularly on this topic for the next months.
HOW TO JOIN THE IMVS WORKING GROUP
Please send us a participation request by pressing the button below and ideally write something about your / your organization's background and motivation to join the RFC process. This helps us to put your request into context. We then will contact you as soon as possible to chat about further steps.
We're happy to welcome you to take part in the IMVS RFC process...
About us
LOOMPACT was founded in 2020 with the idea in mind to make generated impact an asset class & generally tradeable. All based on social / eco outcomes that are of very high quality and researchable end-to-end. Understandable for everyone. To achieve this goal, experts with different backgrounds joined to make this vision happen...
OUR FOUNDERS
RENÉ WIENHOLTZ
ILKO THUN
OUR SUPERVISORY BOARD
DR. ANDREAS RICKERT
BETTINA GERETH
