KPMG has developed 4-step continuum for measuring the value of direct corporate investments in local communities, drawing on social evaluation and engagement methodologies, as well as economic valuation techniques.
This publication discusses the methodologies, challenges and considerations for resources companies and government when valuing community investments.
- A social licence to operate is quite distinct from the formal licences, permits and concessions granted by governments and their agencies.
- When done well, community investments can establish mutually beneficial relationships between a company and its local stakeholders.
- Community investments can make important contributions to broader business strategies to reduce costs (or avoid future costs) and enhance productivity.