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The story of social entrepreneurship
so far: an overview in numbers
Carlo Borzaga
Euricse/University of Trento
Main contents
•
•
•
•
•
•
•
•
•

Conceptual issues
Background
Changing role of civil society organizations
The emergence o...
Conceptual clarification
• Social entrepreneurship refers to a mindset and/or trend
o Covers a broad set of activities, wh...
Background
• All over Europe at the end of XIX century significant contribution
to socio-economic development of civil soc...
Changing role of civil society organizations
• Up until the 1970s, civil society organizations organizations
were confined...
The emergence of social enterprise
• The social enterprise was developed to grasp this
new dynamic characterizing civil so...
Social enterprise according to an
European approach
 Core product produced by social enterprise =
activities of interest ...
Defining social enterprise
Main dim ension
Ent repreneurial/
econom ic dimension

General definit ion
Social enterprises (...
EU Definition
According to the definition of the European
Commission a social enterprise “operates by
providing goods and ...
Beyond theoretical definitions
• Since the 1990s the previous definition has
been incorporated in specific pieces of
legis...
Social Economy organizations
(CIRIEC, 2012)
Social Economy organizations
(CIRIEC, 2012)
Total
Cooperatives and other
similar accepted types
Mutual companies and
other...
Social Economy employment share
(CIRIEC, 2012)
Key facts: social enterprises in Italy
Since approval of Law 381/1991 annual growth rate from 10 to
20%
• in 1993: 1,479 s...
Key facts: social enterprises in the UK
• Number of CICs registered in 2005-2012: 7,891
• 98% of applications to become a ...
Success Factors
• Key factors contributing to social enterprise
development include
o Adequate legal/fiscal framework
o Ne...
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Carlo Borzaga - Συνέδριο "Επιχειρώντας αλλιώς"

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Παρουσίαση από την ομιλία του κ. Carlo Borzaga στο 1ο Συνέδριο Κοινωνικής Επιχειρηματικότητας στην Αθήνα στις 13 Νοεμβρίου 2013

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Transcript of "Carlo Borzaga - Συνέδριο "Επιχειρώντας αλλιώς""

  1. 1. The story of social entrepreneurship so far: an overview in numbers Carlo Borzaga Euricse/University of Trento
  2. 2. Main contents • • • • • • • • • Conceptual issues Background Changing role of civil society organizations The emergence of social enterprise Social enterprise according to an European approach Defining social enterprise EU definition Data on social economy and social enterprise Success factors for social enterprises
  3. 3. Conceptual clarification • Social entrepreneurship refers to a mindset and/or trend o Covers a broad set of activities, which fall along a continuum, including CSR practices up to trends in non-profit organizations • Social enterprise refers to an institution, which shows specific features
  4. 4. Background • All over Europe at the end of XIX century significant contribution to socio-economic development of civil society organizations, including: coops, mutual aid societies, and voluntary organizations o Significant Social Economy history in specific EU countries • used also as a synonym of Third Sector, developed especially in French-speaking countries (e.g. France and Belgium) o Widespread development of charities and voluntary organizations in the provision of health and social services
  5. 5. Changing role of civil society organizations • Up until the 1970s, civil society organizations organizations were confined to play a minor role in the socio-economic model based on the interaction of the private (Market) and public sectors (State) • From the 80s, following the crisis of the bipolar model and the decreasing ability of the public institutions to provide social and general interest services, in several countries civil society organizations gained a more relevant role and went through an evolution o Associations and charities stregthened their entrepreneurial stance o Cooperatives stregthened their commitment towards the community
  6. 6. The emergence of social enterprise • The social enterprise was developed to grasp this new dynamic characterizing civil society • Social enterprises evolved both: o From old Social Economy organizational forms following their commitment in new activities addressed also to non members o As new types of enterprises explicitly aimed at pursuing social goals • In Europe, a gradual convergence towars a common definition of social enterprise has taken place over the last years
  7. 7. Social enterprise according to an European approach  Core product produced by social enterprise = activities of interest to the entire community  Refers to a “different way” of doing business and providing general-interest services  It encompasses: new cooperative forms (social/solidarity cooperatives) entrepreneurial non-profit organizations (e.g. associations) shareholder companies that decide to comply with key social criteria
  8. 8. Defining social enterprise Main dim ension Ent repreneurial/ econom ic dimension General definit ion Social enterprises (SEs) are engaged in the carrying out of stable and continuous economic activities, and hence show the t ypical charact erist ics t hat are shared by all ent erprises. Social dimension The social dimension is defined by the aim and/or products delivered. Aim : SEs pursue the explicit social aim of serving the community or a specific group of people that shares a specific need. By promoting the general-interest, SEs overcome the traditional owner-orientation that typically distinguishes traditional cooperatives. Pr oduct : when not specifically aimed at integrating disadvantaged people to work, SEs must deliver goods/services that generate a beneficial societal impact. I nclusive governanceow nership dim ension ( social m eans) To identify needs and involve the stakeholders concerned in designing adequate solutions, SEs require peculiar ownership structures and governance models that are meant to enhance at various extents the participation of stakeholders affected by the enterprise. SEs often lim it t he dist r ibut ion of profit s. The non-profit distribution constraint is meant to ensure that the general-interest is safeguarded. The non-profit distribution constraint can be operationalized in different ways.
  9. 9. EU Definition According to the definition of the European Commission a social enterprise “operates by providing goods and services for the market in an entrepreneurial and sometimes innovative fashion and uses its profits primarily to achieve social objectives. It is managed in an open and responsible manner and, in particular, involve employees, consumers and stakeholders affected by its commercial activities” (COM(2011) 682; Brussels, 25.10.2011)
  10. 10. Beyond theoretical definitions • Since the 1990s the previous definition has been incorporated in specific pieces of legislation in several EU countries through o adaptation of coop law o introduction of general legal brands • At the moment, in several EU countries governmental working groups and draft legislations are taking place
  11. 11. Social Economy organizations (CIRIEC, 2012)
  12. 12. Social Economy organizations (CIRIEC, 2012) Total Cooperatives and other similar accepted types Mutual companies and other similar accepted types Associations, foundations and other similar accepted types % number 208,655 7% 21,790 1% 2,595,324 92%
  13. 13. Social Economy employment share (CIRIEC, 2012)
  14. 14. Key facts: social enterprises in Italy Since approval of Law 381/1991 annual growth rate from 10 to 20% • in 1993: 1,479 social coops (National Cooperative Department) • in 2003: 6,159 (ISTAT) • in 2005: 7,363 (ISTAT) – 59% A-type; 32.8% B-type; 8.2% mixed or consortia In 2011 (Unioncamere): • 12,647 social cooperatives, with • 513,000 people employed • more than 30,000 disadvantaged workers integrated • more than 4,000,000 users • more than 10 billion euros turnover
  15. 15. Key facts: social enterprises in the UK • Number of CICs registered in 2005-2012: 7,891 • 98% of applications to become a CIC processed in CIC Office within 72 hours (2012-2013 CIC Annual Report) • Main sectors of activity (90% of CICs): o o o o Real Estate, Renting &Business Education Health and Social Work Other Social or Personal Service • 20% increase in CICs on the public register (2012-2013) • annual turnover at least £1 billion annually
  16. 16. Success Factors • Key factors contributing to social enterprise development include o Adequate legal/fiscal framework o Networking within and among the families of the social economy o Clear partnerships with public authorities o Research
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