Founded in 1983 by Muhammad Yunus, the Grameen Bank (Grameen is Bangledeshi for "village") provides small loans to rural borrowers in Bangladesh. In the years since, the Bank has become so successful (Yunus won the Nobel Peace Prize in 2006),that a whole community of Grameen enterprises-known as the Grameen Bank Family of Companies-have sprung up around it. Some bring phone service to poor Bangledeshis, while others invest in technology startups. The whole range of companies is like a massive, multinational corporation, except this company's goal is social change.
Ever since Grameen Bank came into being, it made profit every year except 3.Total revenue generated by Grameen Bank in 2010 $252MTotal expenditure in 2010 was $241M2,564 branches w/ 19,800 employees8 Million Borrowers$10 Billion Loans97% of the loans are paid backFounded in 1983 by Muhammad Yunus, the Grameen Bank (Grameen is Bangledeshi for "village") provides small loans to rural borrowers in Bangladesh. In the years since, the Bank has become so successful (Yunus won the Nobel Peace Prize in 2006),that a whole community of Grameen enterprises-known as the Grameen Bank Family of Companies-have sprung up around it. Some bring phone service to poor Bangledeshis, while others invest in technology startups. The whole range of companies is like a massive, multinational corporation, except this company's goal is social change.
Grameen Bank has grown into over 2 dozen enterprises. Grameen Shakti established to promote, develop and popularize renewable energy technologies. It is one of the largest and fastest-renewable energy companies in the world.Grameen Telecom is a not=for profit company which enables rural poort to own a cell phone. Grameen Phone is a GSM-based cellular operator with more than 50% of the market-share in BangledeshGrameenCommuniations is a non-for-profit information technology company with a portfolio that includes software products and servicesGrameen Foods was launched in 2006 to provide fortified yogurt – giving kids key nutrients that are typically missing from their diets.
28:53Coca-Cola Co. (nyse: KO - news- people ) is working to change that--along with partners such as Procter & Gamble(nyse: PG - news - people ), CARE, UNICEF and several other nonprofits, nongovernmental organizations and corporations. These entities created the Global Water Challenge (GWC) last year, which is intended to "deliver clean water and sanitation and hygiene education," according to information on GlobalWaterChallenge.org.Why does a corporate behemoth like Coke care about water in small communities? The company recognizes that taking on the ills of the world also can benefit the bottom line, says Dan Vermeer, Coke's director of global water partnerships. "We want to be seen as a friend and supporter of communities where we operate, and this is a great way to have positive relationships with the local communities," he explains. "As we do that on a broader basis, there's a story that can have a positive impact on the way people think of and value the company.“Last year, Coke, with its more than 800 plants in some 200 countries, started the Community Water Partnership program to encourage Coke bottlers to launch such projects in their own communities. The Water for Schools program in Kenya was the flagship project of the GWC. Currently, the Community Water Partnership is funding 30 similar projects throughout the world, including in South Africa, Egypt, Thailand, Bolivia, Mexico and Florida. "Each one is a story unto itself," Vermeer says. In January 2007, GWC expects to use $500,000 of its funds to expand the Kenya schools program in the hopes of reaching 1,500 schools over the next five years, he adds.Today, the schools run the programs themselves with little outside intervention. Forty-five primary schools participate, and other schools are beginning to ask for training and materials as well. The result? More than 22,000 children have had fewer illnesses, participate more fully in school and have taught safe hygiene and sanitation procedures to their families through the program, says Clarice Odhiambo, who serves as Coke's Africa water partnership manager. "You see smiles and appreciation in the people, and [school principals] tell you this is the best thing that's ever happened to the school," she says.
Corporate sustainability evolution:Formation of the EPA (compliance with regulations) How can we manage risks? Keep the CEO out of jail? Not strategic, not central to the company.Triple Bottom Line notion (Planet, Profit, People) Using resources more efficiently could save the companyCreating Value, proactive, innovative, market differentiation. VALUE CHAINEfficient use of resources (60% of energy gets lost … no economic value)Unwind strands that go into the waste economy, and weave them back into the economy in a productive way… and that is an economic opportunity.Through efficiency, new technology, new business models.
Takeda Group is a global pharmaceutical company.
YvonChouinard (pictured), the founder and CEO of Patagonia, lives and breathes for the environment. In fact, he's openly stated he doesn't care about business growth or advertising. Patagonia's mission according to Chouinard, "to use business to inspire and implement solutions to the environmental crisis."A nonprofit under the guise of selling outdoor clothes, really. Patagonia co-founded 1% For the Planet, an alliance of businesses pledging to commit at least 1 percent of their total sales to environmental causes. Every year since 1985, Patagonia donates either 1 percent of their total sales or 10 percent of their total profits, whichever one is more, to environmental causes determined by customer ballot. To date, Patagonia has donated over $25 million to over 1,000 organizations. But Patagonia goes above and beyond financial giving with their "Enviro Internships" program: Patagonia allows their employees to take time off their jobs and work for the environmental group of their choice, all while still continuing to pay their salaries and benefits while they’re gone.
revolutionary back in that day for becoming one of the first companies to turn its back completely on animal testing and, although she died in 2007, her company is still revolutionary. Aside from recently introducing bottles that are made from 100 percent recycled materials, using exclusively biodegradable foaming ingredients in their products, saying no to animal testing and refusing to use any raw material that is classified as persistent, bioaccumulative, toxic or eco-toxic, The Body Shop also has its own foundation dedicated to supporting human and civil rights. Currently, 100 percent of the profits from the sale of their Soft Hands, Kind Heart Hand Cream are donated to the ECPAT foundation to prevent the sex trafficking of children. To date, The Body Shop has raised $2 million dollars for this cause.
Green Mountain Coffee Roasters' Brewing A Better World campaign earned the company the recognition as the #1 Corporate Citizen, as rated by theCRO.com, for two years in a row. Green Mountain Coffee Roasters is dedicated to responsible energy use, reduction of solid waste, ecological packing initiatives and eliminating poverty and hunger in the communities that supply Green Mountain with beans. As part of its campaign, their fully compostable ecotainer coffee cup (it's made from corn!) prevented over one million pounds of harmful petrochemicals from entering our landfills and seeping in to the earth.
Since 1985, Kenneth Cole has been openly involved in publicly supporting AIDS awareness and research. He uses fashion to promote awareness of, and help fight, various social issues. After 25 years of addressing meaningful social issues, Kenneth Cole established the Awareness Fund, a not-for-profit initiative that uses partnerships, merchandise, events and its blog to celebrate, encourage and empower acts of service volunteerism and social change. A full 100% of net proceeds of the Awareness products go toward the fund. These efforts have helped fuel the success of the Kenneth Cole brand, a company with nearly $500 million in sales.
The DNA of social entrepreneurs July 16th 2012
What is a social entrepreneur?“A pioneer of innovation that benefits humanity.” Skoll Foundation
Do you have an innovationthat can benefit humanity?
1. Overcome poverty (education, health, technology access, environment)2. Financial & economic sustainability3. Return on Investment (no dividend)4. Profit intact for expansion5. Environmentally conscious6. Workforce gets market wage7. Do it with joy
Renewable Energy (1996)Access to energy is afundamental condition foreconomic developmentMobile Phones (1997)Access to Information is amajor impediment toeconomic developmentYogurt (2006)Malnutrition is a majorimpediment to economicdevelopment
The “social responsibility” movement CAUSE “B” MARKETING Corporation 1976 2010 1970 1994 New Millennium Federal Triple Bottom Value Chain Regulations Line establishing EPA People new set of(environment) Planet measures & Profit standards
“Use business to inspireand implement solutions to the environmental crisis”• 1% of total sales (or 10% of profit) which ever is MORE donated to environmental causes• $25M donated to date• Enviro-Internships for employees
Emergence of the B-CorporationPURPOSE – a corporate purpose to creative amaterial positive impact on society & theenvironmentACCOUNTABILITY – expanded fiduciary duties fordirectors requiring consideration of non-financialinterestsTRANSPARENCY – an obligation to report onoverall social and environmental performanceassessed against a comprehensive, credible,independent and transparent 3rd party
“Beauty comes from within”• 1985 petition against animal testing• Bottles made out of 100% recycled materials• Foundation supporting human & civil rights• Raised over $2M dollars for human trafficking
“Brewing A Better World”• Responsible energy use• Reduction in solid waste• Ecological packaging• Fair trade• Ecotainer coffee cups
Be it a new technology, or business model, youwant to INVADE an opportunity space to create:• economic• social• environmental outcomes that others can SHARE
Costs previously externalized to society areINTERNALIZED, how will your org. handle issueslike….• Human Rights• Poverty• etc. big LEARNING curve
A wide range of INTERNAL and EXTERNALparticipants need to be INCLUDED for the purposeof establishing…• business priorities (including investments)• outcome measurements All stakeholders should PARTICIPATE
Be careful of SILOS! Build a plan that INTEGRATEyour idea between departments and with allstakeholders. Socially responsible businesses need COLLABORATION
Growing a business requires incubation andIDEATION – the problem you think you’re solvingimmediately may have new opportunities. How will you measure the IMPACT of the org?