Inclusive Value Measurement (IVM)

Inclusive Value Measurement (IVM) is a framework for measuring and reporting the economic, social, and environmental impact of organizations and their products or services. The goal of IVM is to provide a more comprehensive and holistic view of an organization's value creation, beyond traditional financial metrics.

The key components of IVM include the identification and measurement of a wide range of value creation factors, including social and environmental impact, as well as financial performance. The framework is based on the principles of stakeholder engagement, transparency, and accountability, and seeks to provide a more complete picture of an organization's impact on society and the environment.

The importance of IVM lies in its potential to provide a more comprehensive and holistic view of an organization's value creation, and to encourage organizations to consider the social and environmental impact of their operations and products. By measuring and reporting on a wider range of value creation factors, IVM can help to promote sustainability, social responsibility, and long-term value creation.

The history of IVM can be traced back to the early 2000s, when organizations began to recognize the importance of measuring and reporting on their social and environmental impact, in addition to financial performance. Since then, IVM has become an increasingly important component of corporate social responsibility and sustainability reporting.

Examples of situations where IVM could be used include the evaluation of the social and environmental impact of a product or service, or the assessment of the sustainability performance of an organization. By using IVM, organizations can identify areas where they can improve their sustainability and social responsibility, and take action to create long-term value for stakeholders.

Overall, Inclusive Value Measurement (IVM) is an important framework for measuring and reporting the economic, social, and environmental impact of organizations and their products or services. By providing a more comprehensive and holistic view of an organization's value creation, IVM can help to promote sustainability, social responsibility, and long-term value creation.