What does a social audit attempt to measure?

A social audit primarily focuses on evaluating the social impact and performance of an organization relative to its defined social objectives. This process involves assessing how well the company is achieving its social responsibilities and community commitments. By measuring social performance against objectives, a social audit provides insights into an organization’s ethical practices, stakeholder engagement, and contributions to societal well-being.

The significance of this measurement lies in how it helps organizations understand their role and influence within the community and ensures accountability regarding their social policies. Such evaluations are critical as they can inform stakeholders about the company's commitment to social responsibility, help refine strategies, and enhance the organization's reputation.

While financial growth, employee engagement levels, and market share are all important aspects of a corporation, they do not directly capture the essence of a social audit. Financial growth and market share relate closely to economic performance rather than social impact, and while employee engagement can be a component of a social audit, it does not encompass the broader societal performance objectives that a social audit aims to evaluate. Therefore, measuring social performance against objectives reflects the true purpose of a social audit.