The Business conceptsthat we are going to review today focus on social enterprises that are IN LAUNCH PREPARATION or are already in operation
However, it does not necessarily divide the strategic and operational work by board and staff
Those activities can be thought of as interrelated pods or buckets People Processes Performance – why is performance included here ? Because we have to have some way to measure our results e.g. income, hours of work generated for people with employment barriers
People are of course one of the keys to the successful operation of a social enterprise
Most of these HR operational areas are common to all types of businesses. Social enterprises face additional people related business operations of the social outcomes that they are trying to achieve.
Processes Well researched, documented and tested processes are also one of the keys to the success of a social enterprise.
The number and type of operational processes required will vary by the type of social enterprise.These seven area outline some of the most common processes found in almost all enterprises. However the key point is that you must develop and document standard processes for all operational area and keep refining them.
Performance – why is performance included here ? Because we have to have some way to measure our results e.g. income, hours of work generated for people with employment barriers Also we need to measure how effectively and efficiently we are running our social enterprise
In order to ensure that our business operations are both efficient and effective i.e. that the enterprise meeting its' objectives, we need to set targets and then measure business operations performance against these targets. How ? Using key measurement tools. Social enterprises need to consider additional performance measurement tools to assess their social outcomes and impacts. Proven tools such as Demonstrating Value are available for social enterprises – see the next slide.
It is important to understand how you:Measure success – both mission and money. Need a baseline and for setting targets.How this information will be used to drive decisions (Day-to-day management and Governance)Show your value to stakeholders.Identify where you are performing less than expected to inform risk management and to adjust operations and/or expectations4 steps to DV:Map information needs – what do you want to know and showDefine information collectionDesign an enterprise snapshotDevelop snapshot and implement collection improvements
We have talked about each of these areas individually but in reality they are interrelated and interdependent. A solid Business Operations plan brings all of these elements together.
GROUP ACTIVITY– ask participants to work at their tables If group is larger or in pairs if smaller group. You will now have an opportunity to apply your learning with this Case Study activity. Give the participants the case study and ask them to identify at least 3 ideas for operational improvements, based on the information presented in the case and using the Business Operations Self Assessment Tool to guide their review and discussion. Handout: Business Operations Self Assessment Tool Ideally participants should look for at least 1 idea from each of the 3 key components: People Process Performance Questions: 1. How would implementing the suggested business operations improvements impact the: - efficiency of the operation - the effectiveness of the operation 2. Do the suggested business operations improvements interact in any way ? If so, how and why ?
Your BO plan should not be a static document. You should always be evaluating ways to improve your Business Operations Use the Social Enterprise Business Operations Checklist part of this ongoing evaluation Use the 4 steps of the Plan, Do, Study, Act cycle to regularly update your business operations Frequency – recommend 90 day cycle
1Social EnterpriseBusiness OperationsAn enp Strengthening Your Skills workshop
2Workshop Objectives1 Understand why efficient and effectiveBusiness Operations are critical to socialenterprise success2 Discover the 3 key components of BusinessOperations3 Identify key areas of your enterprise thatmight need operational improvements
3Business Operations is an integral part ofmanaging a sustainable social enterpriseSource: www.enterprisingnonprofits.ca/learning-toolkitsSocialEnterpriseLearningToolkit
4Where are you along the Social EnterpriseDevelopment Path ?Social Enterprise Development PathOpportunityIdentificationBusinessPlanStart-Up StrengtheningOrganizationalReadinessFeasibilityStudyEvaluationSource: The Canadian Social Enterprise Guide (2nd edition)LaunchPreparation
5What is Business Operations?Activities involved in the day to dayfunctions of the enterprise conducted forthe purpose of generating income andpositive social outcomes
15Demonstrating Value (www.demonstratingvalue.org) provides youwith tools and expertise to define, gather and use information torun, plan for and show the value of your social enterprise.Measuring Success – Mission & Money
16Bringing it all together !BusinessOperationsPeopleProcessPerformance
17Business Operations Case StudyThe Hungry Thespian Theatre Company Use this Tool: Business Operations Self AssessmentActivity
18Improving your Business OperationsPlan• Identify milestones• Identify Action Items (who, bywhen)• Identify data to be collectedDo• Complete action items• Record data• Document resultsStudy• Analyze results• Identify lessons learnedAct• Identify changes to be madeto your Action Plan• Prepare for next cycle
19Identify your prioritiesEstablish your action plan by firstidentifying your top prioritiesRefer back to yourSelf-Assessment.• Which areas didyou identify aseither not existingor needing work?• Of those areas,which did youidentify as apriority?Our Goals for Business Operations1 .2 .3 .
20Take action – your next steps!• Use the Business Operations Self AssessmentTool• Identify your priorities• What actions will you need to take within thenext 4 weeks?• Who will you engage and why?• Review of the status of your action plans in 4-6 weeks