Now In Korea
SPC Model from Korea Expands to Japan and China
Creatrip Team
3 months ago
Korea’s social performance incentive (SPC) model — developed by SK Group and the Center for Social Value Enhancement (CSES) — is being adopted in Japan and drawing interest from China. SPC converts social value created by social enterprises and social ventures into monetary measurements and pays cash incentives based on achieved outcomes. Over the past decade SK has paid about 71.5 billion won to 468 organizations, generating roughly 500 billion won in social value. In Japan, a three‑year pilot called “Outcome Fund for IMM,” jointly led by CSES and the Japan Fundraising Association (JFRA), has tailored SPC indicators and payment rules to local conditions; JFRA will operate the fund after the pilot ends in 2026. Developing appropriate, locally relevant indicators and measurement methods was central to the effort, using Japan’s SIMI framework as a reference and iterating based on field experience. Several Japanese groups addressing housing for single-parent families, school bullying, hospital staff training, and jobs for people with developmental disabilities have already measured outcomes and received incentives. SPC’s influence reached public policy: Japan’s foreign ministry revised guidelines for JICA to reflect performance‑based financing concepts similar to SPC. China has also made inquiries despite limited information sharing norms; CSES is advising Chinese partners. SK and CSES say international collaboration helps refine SPC further, bringing lessons back into Korea to improve domestic social problem solving.
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