Assessing the economic impact of cross-sector collaboration: A case study of United Way

Determining how to best measure cross-sector collaboration (CSC) impact and performance has long been a prevalent topic of discussion for both practitioners and researchers. However, there is a lack of consensus in practitioner journals and academic research in how CSC results should be monitored, reported, and evaluated. Using a case study approach, this article describes how to measure the economic impact of nonprofits and CSCs using both granular and broad metrics to better understand how a nonprofit involved in a CSC can impact the regional economy in which it operates. Using the lens of social exchange theory, this study explains how measured results translates into a tangible community benefit via a multiplied economic impact. This study presents a clear framework for measuring and comparing the results of CSCs. The findings show a potential need to take the population of service regions into consideration in order to drive economic impact. In addition to providing an approach to measuring CSC results this work also extends social exchange theory and CSC research into new directions.