social progress index

Social Progress Imperative #socialprogress

Professor Michael E. Porter

NEW DELHI, INDIA

MAY 25, 2017

SOCIAL PROGRESS – THE AGENDA FOR

BUSINESS AND GOVERNMENT

Social Progress Imperative #socialprogress2

HOW DO WE ADVANCE SOCIETY?

Economic

Development

• GDP per capita

• Prosperity that

is widely shared


Social

Progress

• The factors which

lead to a better life

for individuals, and

a healthy society

Economic

Development

• GDP per capita

• Prosperity that

is widely shared



Economic

Development

• GDP per capita

• Prosperity that

is widely shared

Social

Progress




a healthy society



WHAT IS SOCIAL PROGRESS?

A holistic framework is needed

6

Social progress is the capacity of a society tomeet the basic human needs of its citizens,establish the building blocks that allow citizensand communities to enhance and sustain thequality of their lives, and create the conditionsfor all individuals to reach their full potential.


SOCIAL PROGRESS INDEX: DESIGN PRINCIPLES

Outcomes – not inputs

Actionability

Relevant to all countries

Exclusively social and

environmental indicators

7


Nutrition and Basic

Medical Care

Water and Sanitation

Shelter

Personal Safety

Personal Rights

Personal Freedom

and Choice

Inclusion

Access to Advanced

Education

Basic Human Needs Foundations of Wellbeing Opportunity

Social Progress Index

SOCIAL PROGRESS INDEX FRAMEWORK

8

Access to Basic

Knowledge

Access to Information

and Communications

Health and Wellness

Environmental Quality


SOCIAL PROGRESS INDEX FRAMEWORK: INDICATORS

2016

Nutrition and Basic Medical Care

▪ Undernourishment

▪ Depth of food deficit

▪ Maternal mortality rate

▪ Child mortality rate

▪ Deaths from infectious diseases


▪ Access to piped water

▪ Rural access to improved water source

▪ Access to improved sanitation facilities

Shelter

▪ Availability of affordable housing

▪ Access to electricity

▪ Quality of electricity supply

▪ Household air pollution attributable

deaths

Personal Safety

▪ Homicide rate

▪ Level of violent crime

▪ Perceived criminality

▪ Political terror

▪ Traffic deaths

Access to Basic Knowledge

▪ Adult literacy rate

▪ Primary school enrollment

▪ Lower secondary school enrollment

▪ Upper secondary school enrollment

▪ Gender parity in secondary enrollment

Access to Information and

Communications

▪ Mobile telephone subscriptions

▪ Internet users

▪ Press Freedom Index

Health and Wellness

▪ Life expectancy at 60

▪ Premature deaths from non-

communicable diseases

▪ Obesity rate

▪ Suicide rate


▪ Outdoor air pollution attributable deaths

▪ Wastewater treatment

▪ Greenhouse gas emissions

▪ Biodiversity and habitat

Personal Rights

▪ Political rights

▪ Freedom of speech

▪ Freedom of assembly/association

▪ Freedom of movement

▪ Private property rights

Personal Freedom and Choice

▪ Freedom over life choices

▪ Freedom of religion

▪ Early marriage

▪ Satisfied demand for contraception

▪ Corruption

Inclusion

▪ Inclusion of immigrants

▪ Inclusion of homosexuals

▪ Discrimination and violence against

minorities

▪ Religious inclusion

▪ Community safety net

Access to Advanced Education

▪ Years of tertiary schooling

▪ Women’s average years in school

▪ Inequality in the attainment of education

▪ Globally ranked universities

▪ Percentage of tertiary students enrolled in

globally ranked universities

Social Progress Index

Basic Human Needs OpportunityFoundations of Wellbeing


0

20

40

60

80

100

SOCIAL PROGRESS: WORLD PERFORMANCE

2016

Basic Human Needs Foundations of Wellbeing

Opportunity

10

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cia

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alth

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.

Inclu

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World Average

SPI Score

Nutr

itio

n a

nd

Ba

sic

Me

dic

al C

are


0

20

40

60

80

100

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U.N. Millennium Development Goals


Opportunity

11


2016

Pe

rso

na

l S

afe

ty

World Average

SPI Score

Nutr

itio

n a

nd

Ba

sic

Me

dic

al C

are


0

20

40

60

80

100

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Opportunity

12


2016

World Average

SPI Score

Nutr

itio

n a

nd

Ba

sic

Me

dic

al C

are


WHAT DOES THE GLOBAL SOCIAL PROGRESS INDEX

TELL US ABOUT INDIA?

Rank Country Score1 Finland 90.09

2 Canada 89.49

3 Denmark 89.39

4 Australia 89.13

5 Switzerland 88.87

6 Sweden 88.80

7 Norway 88.70

8 Netherlands 88.65

9 United Kingdom 88.58

10 Iceland 88.45

10 New Zealand 88.45

12 Ireland 87.94

13 Austria 86.60

14 Japan 86.54

15 Germany 86.42

16 Belgium 86.19

17 Spain 85.88

18 France 84.79

19 United States 84.62

20 Slovenia 84.27

21 Portugal 83.88

22 Czech Republic 82.80

23 Estonia 82.62

24 Italy 82.49

25 Chile 82.12

26 South Korea 80.92

27 Cyprus 80.75

28 Costa Rica 80.12

29 Uruguay 80.12

30 Poland 79.76

31 Slovakia 78.96

32 Greece 78.27

33 Croatia 77.68

Rank Country Score34 Lithuania 76.94

35 Hungary 76.88

36 Latvia 76.19

37 Israel 75.32

38 Argentina 75.20

39 United Arab Emirates 73.69

40 Mauritius 73.24

41 Panama 73.02

42 Romania 72.23

43 Bulgaria 72.14

44 Jamaica 71.94

45 Kuwait 71.84

46 Brazil 71.70

47 Serbia 71.55

48 Colombia 70.84

49 Peru 70.09

50 Malaysia 70.08

51 Mexico 70.02

52 Albania 69.78

53 Ecuador 69.56

54 Georgia 69.17

55 Montenegro 68.17

56 Tunisia 68.00

57 Macedonia 67.88

58 Turkey 67.82

59 South Africa 67.60

60 Paraguay 67.44

61 Thailand 67.43

62 Botswana 67.03

63 Ukraine 66.43

64 El Salvador 66.36

65 Saudi Arabia 66.30

66 Belarus 66.18

Rank Country Score67 Armenia 66.05

68 Philippines 65.92

69 Bosnia and Herzegovina 65.84

70 Dominican Republic 65.65

71 Jordan 65.43

72 Bolivia 64.73

72 Moldova 64.73

74 Lebanon 64.42

75 Russia 64.19

76 Kazakhstan 63.86

77 Azerbaijan 63.75

78 Nicaragua 63.03

79 Kyrgyzstan 62.91

80 Mongolia 62.80

81 Venezuela 62.60

82 Indonesia 62.27

83 Sri Lanka 62.21

84 China 62.10

85 Namibia 62.01

86 Morocco 61.92

87 Guatemala 61.68

88 Algeria 61.18

89 Egypt 60.74

90 Honduras 60.64

91 Uzbekistan 60.49

92 Ghana 60.37

93 Iran 59.45

94 Tajikistan 58.78

95 Nepal 57.40

96 Senegal 55.64

97 Cambodia 54.28

98 India 53.92

99 Kenya 53.72

100 Malawi 53.44


SOCIAL PROGRESS INDEX VS. GDP PER CAPITA

2016

14

India


SOCIAL PROGRESS INDEX VS. GDP PER CAPITA

2016

15

India

Russia

Brazil

South Africa

China


Economic development alone is not sufficient to explain social progress outcomes

• There is a non-linear relationship between Social Progress Index scores and GDP per capita.

• Social Progress Index scores display significant deviation from the GDP per capita regression line.

- In how well economic growth translates into social improvement.

• GDP per capita is an incomplete measure of a country's overall performance.

• Social Progress is a critical enabler of long-term economic performance.

SOCIAL PROGRESS AND ECONOMIC DEVELOPMENT

16


INDIA’S

PERFORMANCE RELATIVE

TO ITS ECONOMIC PEERS


DEFINING PEER COUNTRIES

• We define a country’s economic peers as the 15 countries

closest in GDP PPP per capita.

• India’s economic peers include: Uzbekistan, Laos, Nigeria,

Honduras, Nicaragua, Pakistan, Moldova, Republic of

Congo, Bolivia, Philippines, Ghana, Yemen, Mauritania,

Georgia, Guatemala.

• A country’s performance relative to the median performance

of its peers defines strengths and weaknesses.


0

20

40

60

80

100

INDIA’S OVERALL SOCIAL PROGRESS BENCHMARK

Socia

l P

rogre

ss I

ndex

Wate

r and S

anitation

Shelter

Pers

onal S

afe

ty

Health a

nd W

elln

ess

Environm

enta

l Q

ualit

y

Fre

ed

om

an

d C

ho

ice

Advanced E

du.

Inclu

sio

n

Pers

onal R

ights

Basic Human Needs Foundations of Wellbeing Opportunity

19

India’s Score

Nu

tritio

n a

nd

Ba

sic

Me

dic

al C

are

Access t

o B

asic

Know

ledge

Access t

o I

nfo

. and C

om

ms.


CREATING A STRATEGY FOR SOCIAL DEVELOPMENT

• The Social Progress Index objectively benchmarks a country’s social performance holistically, breaking down the silos between social issues.

• It also motivates change: If peer countries perform significantly better, 'why not us?’

• SPI enables an overall strategic perspective on social reform.

• We are launching a state-level index for India to understand regional performance and the effects of local policies on progress.

20


< 50

50 - 60

> 60

21

INDIA’S SOCIAL PROGRESS SCORES BY STATE


INDIAN STATE SOCIAL PROGRESS INDEX

Nutrition and Basic Medical Care

▪ Infant mortality rate

▪ Children under 5 years who are

underweight

▪ Maternal mortality rate

▪ Children under 5 years with anemia


▪ Typhoid

▪ Diarrhea

▪ Improved water source

▪ Drinking water covered habitations

▪ Rural Sanitation

Shelter

▪ Power Deficit

▪ Electricity

▪ Pucca Houses

▪ Housing shortages

Personal Safety

▪ Road deaths

▪ Murder crimes

▪ Crimes against women

▪ Violent crimes

Access to Basic Knowledge

▪ Net primary enrollment

▪ Gross secondary enrollment

▪ Literacy

▪ Gender parity

▪ Drop out rate

Access to Information and

Communications

▪ Television

▪ Internet

▪ Phone

▪ News

Health and Wellness

▪ Obesity (male)

▪ Obesity (female)

▪ Suicides

▪ Respiratory infections

▪ HIV

▪ Life expectancy at 60

▪ Leprosy


▪ Renewable energy

▪ Forest cover

▪ Water withdrawals

▪ Land degradation

Personal Rights

▪ Political rights

▪ Human trafficking

▪ Judiciary

Personal Freedom and Choice

▪ Family planning

▪ Child labor

▪ Corruption

▪ Early marriage

Inclusion

▪ Child sex ratio

▪ Financial inclusion- bank branches

▪ Financial inclusion- women

▪ Women in Panchayati Raj Institutions

▪ Insurance

▪ Scheduled tribe enrollment- higher

education

Access to Advanced Education

▪ Gross enrollment ration- higher education

▪ Female graduates

▪ Technical institutions

▪ Colleges (UGC)

India State-Level Social Progress Index

Basic Human Needs OpportunityFoundations of Wellbeing


SOCIAL PROGRESS 2005-2016

2005 2016

SPI Score

State


SPI: INFORMS AND MOTIVATES CORPORATE SOCIAL

RESPONSIBILITY (CSR) AND CREATING SHARED VALUE (CSV)

social progress index

Economy & Finance