Expanding theory-based evaluation: Incorporating value creation in a theory of change

• Published in: Evaluation and program planning Vol. 89; p. 101963
• Main Author: King, Julian
• Format: Journal Article
• Language: English
• Published: New York Elsevier Ltd 01.12.2021; Elsevier Science Ltd
• Subjects: Changes; Cost-benefit analysis; Efficiency; Equity; Evaluation; Intervention; Money; Policy making; Specification; Theory; Theory of change; Value; Value creation; Value for money; Cost-benefit analysis; Equity; Value for money; Theory of change; Efficiency
• ISSN: 0149-7189; 1873-7870
• DOI: 10.1016/j.evalprogplan.2021.101963

•A theory of value creation is an extension to a theory of change.•A theory of change outlines how we suppose change happens; a theory of value creation describes how something may create more value than it consumes.•This paper proposes that making theories of value creation explicit can support clearer evaluative and economic thinking when assessing value for money. Evaluations of policies and programs often use a theory of change to articulate how the intervention is intended to function and the mechanisms by which it is supposed to generate outcomes. When an evaluation includes cost and efficiency considerations, economic and other concepts can be added to a theory of change to articulate a theory of value creation that articulates the mechanisms by which the intervention should use resources efficiently, effectively and create sufficient value to justify the resource use. This paper introduces some theories of value creation that are often implicit in program designs. Making these theories explicit can support clearer evaluative thinking about value for money - including specification of criteria and standards that are aligned with the theory, methods of inquiry that test the theory, and well-reasoned judgements that answer evaluative questions about value for money. Implications for evaluation practice will be discussed.