Social entrepreneurship workshop Part 2

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Social entrepreneurship workshop Part 2

  1. 1. SOCIAL ENTREPRENEURSHIP Workshop “Become a changemaker” Youth Time Youth Time 2013- Croatia Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal
  2. 2. Day 2 9-11.30 Find a Social Mission • Identify an issue • Global MDGs (millennium development goals) • European Problems – Un employment, drug abuse, violence, Xenophobia, immigration • Social –physical problems related to disabilities • Innovate! 12-2pm Build a Social Enterprise with a social business model • Creating an organization around social mission  Role of institutions and eco-system in entrepreneurial risk taking • Social Business Model (hybrid/ warning on mission drift)  Case discussion on Kiva and MyC4  Different type of funders (eg. Venture philanthropy) • Social Impact assessment 3-5pm Changemaking skills •Entrepreneurship, creativity… Preparation for day 3 Youth Time 2013- Croatia
  3. 3. YOU can be a social entrepreneur Identify what are you passionate about… And give yourself the permission to act! Youth Time 2013- Croatia
  4. 4. Kiran Bir Sethi, Design for change http://video.ted.com/ talk/podcast/2009I/N one/KiranBirSethi_2 009I.mp4 Youth Time 2013- Croatia
  5. 5. Learning journey Youth Time 2013- Croatia
  6. 6. Social Mission • What is your social mission? • How do you identify a social mission? Youth Time 2013- Croatia
  7. 7. Millennium development goals http://www.youtube.com/watch?v=v3p2VLT owAA Youth Time 2013- Croatia
  8. 8. Mohamed Yunus Vicky Colbert Lucky Chetry Youth Time 2013- Croatia
  9. 9. Anne Roos-Weil Matrone- Mali Veronica Khosa (South Africa) Youth Time 2013- Croatia
  10. 10. WTO/ Selco/ Fabio Rosa Youth Time 2013- Croatia
  11. 11. Do you know who is one this banknote? Youth Time 2013- Croatia
  12. 12. Maria Montessori • Born in 1870 in the small town of Chiaravalle, she was an average gradeschool student who took an interest in sciences and became the 1st woman in Italy to graduate from medical school. • Working as a psychiatrist with disabled and retarded children, she proved that with training and sensory stimulation, many of these children could pass tests designed for normal children. • She has shown that the absorbent mind of a young child is infinitely capable of selfdirected learning! Youth Time 2013- Croatia
  13. 13. Jean-Michel Ricard, Siel Bleu THE ISSUE France : 22% of the population (= 14 million people) are « senior » 1 million are dependent & receive state benefits = cost of €4 billion Medical research has added years to our lives but those years are not always full of life (lack of mobility, disease, dependency, loneliness) - Life expectancy and medical costs are rising The amount of people available to take care of the elderly is diminishing Youth Time 2013- Croatia
  14. 14. Preventive health through adapted medical health Youth Time 2013- Croatia
  15. 15. Center for interdisciplinary research “In a world where the amount or knowledge doubles every two years, we need to learn to learn and learn to unlearn. Adaptation is the only pattern possible in education in the 21st century, and it requires mastering meta-skills, not only steady knowledge.” François Taddéi Founder & Director Insight: Unlock barriers between learning topics to foster the students’ creative, initiative-driven and exploratory attitudes to improve their success at school and in life. http://www.cri-paris.org/ Youth Time 2013- Croatia
  16. 16. Mobile School and Street Wize “Street kids have developed the skill to see opportunities in the context of crisis.” Arnoud Raskin Founder & CEO Insight: Because street kids face so many problems, they need to look to create opportunities in order to survive. Mobile Schools and Streetwize use this creativity to help find ways to improve the lives of street children. Youth Time 2013- Croatia
  17. 17. Mobile Schools has 31 organizations in 20 countries that are fully dedicated to implementing the model. Streetwize has made the Schools project sustaining. Mobile self- Learn more on Mobile School and Streewize: http://www.streetwize.be/en Youth Time 2013- Croatia
  18. 18. Unis-Cité Marie Trellu-Kane Founder and CEO Insight: Give the opportunity to the young generation to involve locally in solidarity, proving their changemaking potential and developing their social and emotional skills through community service. Youth Time 2013- Croatia
  19. 19. 5,000 young people are mobilized every year in full time during 8 months in average The actions carried by young volunteers reached 115,000 beneficiaries. the out The project inspired the 2010 national law on Civic service in France. Youth Time 2013- Croatia
  20. 20. Key steps 1. Know yourself (intrapersonal intelligence)- Personal reflection • to catalyze and strengthen conceptions of personal power • to understand passions and the consequences of our own actions • to explore and challenge our preconceptions Youth Time 2013- Croatia
  21. 21. Drivers and motivations Youth Time 2013- Croatia
  22. 22. Inside What are you passionate about? > Look inside of you What are your skills, competences? 10 min Youth Time 2013- Croatia
  23. 23. 2. Understand the others (interpersonal intelligence) • Exploration of interpersonal dynamics: to understand the connection to one another and to the larger community through active listening Youth Time 2013- Croatia
  24. 24. Empathize with the people who have the problem ASK QUESTIONS INVESTIGATE LISTEN TO PEOPLE’S STORIES TAKE PICS AROUND YOUR NEIGHBORHOOD IDENTIFY THE PEOPLE INVOLVED AND AFFECTED BY THE PROBLEM ENGAGE, TALK with people, ASK QUESTIONS, TRY TO UNDERSTAND THE REASONS FOR THE PROBLEM Youth Time 2013- Croatia
  25. 25. Why will I learn from you? Youth Time 2013- Croatia 25
  26. 26. Outside > Observe the world around you What do you observe? What are the social problems that bring you to say: « No, I can’t accept that! » Who would you like to help? Migrants, homeless… 10 min Youth Time 2013- Croatia
  27. 27. 3. Explore an issue Deep study of the community issue that you seek to solve through: •root cause analysis •systems thinking •identification of patterns •discussions with the community on its needs Youth Time 2013- Croatia
  28. 28. Youth Time 2013- Croatia
  29. 29. Symptom Problem Cause Heart Youth Time 2013- Croatia
  30. 30. Example: Roots of Empathy Symptom: violence in schools Problem: student behavior Cause: multiple Heart: low emotional intelligence Mary Gordon Ashoka Fellow since 2002 Youth Time 2013- Croatia
  31. 31. 4. Innovate! • Analyze what are the existing solutions and imagine new ways to solve the issue you have identified Youth Time 2013- Croatia
  32. 32. Youth Time 2013- Croatia Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal
  33. 33. What is Innovation? Institutional Innovation Product-Service Innovation Organizational actors Organizational Innovation Organizational Structure Organizational Environment Organizational Boundary Youth Time 2013- Croatia 33
  34. 34. Types of Innovation? • Structural level innovation (process, systems) • Actor level innovation (HR, work methods, team, function-skill level) • Organizational boundary level innovation • Environmental level innovation (region, culture, taste, macro-political-economical) Youth Time 2013- Croatia 34
  35. 35. Types of Innovation? • Incremental innovation – IOS 5.1 to IOS 6.0 – Windows 7 to Windows 8 • Radical Innovation – Windows 95 – Iphone first generation, Ipad1, Ipod 1 – Inductive charging Youth Time 2013- Croatia 35
  36. 36. Open Innovation vs Closed Innovation Closed Innovation Principles Open Innovation Principles Smart People get hired, work for Large companies, are PhDs or Ivey League Universities, give them money Smart People are everywhere, they can work from anywhere for anyone, their motivations are not just money To profit from Innovation orientation, we must discover it ourselves, develop it ourselves, and get it to market Firms must be receptive to Innovation surrounding us, innovation can come from both inside and outside firm boundaries Patents, IP rights, copyrights give us undisputed monopoly in the market We don’t really have to create innovation in order to profit from it We must protect our capabilities from others, must not let anyone see or use our capabilities We can create competitive advantage by letting outsiders use our capabilities and generate revenue as well http://www.openinnovation.eu/open-innovation/ Youth Time 2013- Croatia 36
  37. 37. Open Innovation Youth Time 2013- Croatia 37 Ref: chesbourgh
  38. 38. Can customers innovate? Youth Time 2013- Croatia 38
  39. 39. Factors that Promote Open Innovation • Organizational Factors – – – – Flexible Organizations Hierarchy (Flat vs Pyramidal) Information hoarding vs Information sharing Service based vs Product based vs Project based • Market Factors – – – – Lead User innovation User education and Sensiblization Price, method of Promotion , place of promotion Competition Youth Time 2013- Croatia 39
  40. 40. Open Innovation video..geeky • http://fora.tv/2008/04/08/MITs_Eric_von_Hippel_Open_In novation Youth Time 2013- Croatia 40
  41. 41. Brainstorming time In groups, imagine! Invent solutions Objective: Imagine what you can do to solve the issue you have identified You have completed your shield? 20 min in group Youth Time 2013- Croatia Be carfeful! Try to be specific, you are not going to change the world at once
  42. 42. 4 Brainstorming rules Youth Time 2013- Croatia
  43. 43. Select one idea Lots of ideas 5 min VGI Among all the ideas, Find the VGI (Very Good Idea) ! Youth Time 2013- Croatia
  44. 44. Day 2 9-11.30 Find a Social Mission • Identify an issue • Global MDGs (millennium development goals) • European Problems – Un employment, drug abuse, violence, Xenophobia, immigration • Innovate! 12-2pm Build a Social Enterprise with a social business model • Creating an organization around social mission  Role of institutions and eco-system in entrepreneurial risk taking • Social Business Model (hybrid/ warning on mission drift)  Case discussion on Kiva and MyC4  Different type of funders (eg. Venture philanthropy) • Social Impact assessment 3-5pm Changemaking skills •Entrepreneurship, creativity… Preparation for day 3 Youth Time 2013- Croatia
  45. 45. I have a dream… that one day… Vision will drive you • A vision for society, for your organisation • Consistent with the social need • Ambitious but reachable • Attractive for any potential partner Big picture, long term : Your reason to get up in the morning The thing you will share with your team http://www.dailymotion.com/video/x2vlq1_martin-luther-king-i-have-a-dream-s Youth Time 2013- Croatia
  46. 46. Example: Ashoka’s vision Ashoka envisions an Everyone A Changemaker™ world: one that responds quickly and effectively to social challenges, and where each individual has the freedom, confidence and societal support Youth Time 2013- Croatia
  47. 47. An Everyone A Changemaker™ World SUPPORT GLOBAL CHANGE SELECT & SUPPORT BUILD COMMUNITY Youth Time 2013- Croatia
  48. 48. Vision & Key programmes Build a dynamic citizen sector where everyone can be a changemaker Promote Social Entrepreneurship, share best practises with all the key actors of the citizen sector Youth Venture, events, FEC… Fellowship Créer des groupes d’Entrepreneurs Sociaux Support professionnally & financially the Fellows in the scaling-up of their project; Encourage collaborations within the global network Venture Social Entrepreneurs Youth Time 2013- Croatia « Core Programme »: selection of innovative Social Entrepreneurs « Ashoka Fellows »
  49. 49. 5. Plan implementation Once ideas for social change are solidified, each participant will engage in a process of designing an implementation plan (Social Business Plan). A. B. C. D. E. F. G. Vision/ Mission/ Objectives Need analysis Added Value of the service/ product Strategy Business Model Organisation Evaluation of social impact Youth Time 2013- Croatia
  50. 50. Business Model • How organizations creates, delivers and captures value – What is the value proposition? – What are the target markets? – Who are the critical members of the team? – Where does competitive advantage exist? – Why is there a competitive advantage? – When will development, launch and cash flow breakeven occur? Youth Time 2013- Croatia 50
  51. 51. Types of Business Model • Brick-and-mortar – Companies that operate solely offline with traditional business practices • Click-and-mortar – Companies operating with both an online and offline presence Youth Time 2013- Croatia 51
  52. 52. Business Model Analysis Inputs Recipe Target Outputs How Output Valued People Revenues Customer Base Money Profits Business Model Intellectual Capital Market Opportunity License Revenues Cash Flow Value Creation via •IPO •Merger/ Acquisition •Dividend Stream Intellectual Property Physical Assets Youth Time 2013- Croatia 52
  53. 53. KIVA and MYC4 • http://www.youtube.com/user/kiva Youth Time 2013- Croatia 53
  54. 54. Business model canvas Youth Time 2013- Croatia
  55. 55. Youth Time 2013- Croatia
  56. 56. Base of the Pyramid Youth Time 2013- Croatia
  57. 57. Base of the pyramid • Nearly 3.7 billion people across emerging economies occupy the base of the pyramid (BOP); they earn less than US$ 8 a day (2002 PPP$) and remain largely excluded from formal markets • Within this group is a sizable segment of potential consumers, producers and entrepreneurs who could be engaged by companies profitably with new business models – they are the “Next Billions” • The first step for companies seeking to engage the poor as producers and consumers will be to overcome traditional stereotypes and mindsets about who they are and what they can accomplish • Companies that are first to overcome the inherent challenges of this segment with sustainable business models will gain a competitive advantage, while improving the lives and livelihoods of this large population Youth Time 2013- Croatia
  58. 58. Estimated BOP market sector Youth Time 2013- Croatia
  59. 59. Estimated BOP market sector Youth Time 2013- Croatia
  60. 60. Estimated BOP market sector Youth Time 2013- Croatia
  61. 61. Estimated BOP spending on health Youth Time 2013- Croatia
  62. 62. BOP market of Housing Youth Time 2013- Croatia
  63. 63. BOP Spending on ICT Youth Time 2013- Croatia
  64. 64. BOP market for Water Youth Time 2013- Croatia
  65. 65. BOP market for Energy Youth Time 2013- Croatia
  66. 66. BOP market for Food Youth Time 2013- Croatia
  67. 67. Social Impact Assessment : Definition Social impact (Burdge & Vanclay, 1996) By social impacts we mean the consequences to human populations of any public or private actions that alter the ways in which people live, work, play, relate to one another, organize to meet their needs and generally act as a member of society. The term also includes cultural impacts involving changes to the norms, values, and beliefs that guide and rationalize their cognition of themselves and society Social impact (Latané, 1981) By social impact, we mean any of the great variety of changes in physiological states and subjective feelings, motives and emotions, cognitions and beliefs, values and behaviour, that occur in an individual, human or animal, as a result of the real, implied, or imagined presence or actions of other individuals. Social Impact Assessment (Freudenburg, 1986) Social impact assessment refers to assessing (as in measuring or summarizing) a broad range of impacts (or effects, or consequences) that are likely to be experienced by an equally broad range of social groups as a result of some course of action. Youth Time 2013- Croatia
  68. 68. Social Impact Assessment : Definition • Impact Assessment (IA) : process of identifying the future consequences of a current or proposed action. The “impact” is the difference between what would happen with the action and what would happen without it….. – Provide information for decision-making that analyzes the biophysical, social, economic and institutional consequences of proposed actions. – Promote transparency and participation of the public in decisionmaking. Identify procedures and methods for the follow-up (monitoring and mitigation of adverse consequences) in policy, planning and project cycles. – Contribute to environmentally sound and sustainable development Youth Time 2013- Croatia http://www.iaia.org/publicdocuments/special-publications/What%20is%20IA_web.pdf
  69. 69. Youth Time 2013- Croatia
  70. 70. What is SROI? • Generic name given to methods of policy analysis that compare public and private benefits and costs • Results may be expressed in different ways – Percentage return on investment – Benefit/cost ratio – Net present value of project Anirudh Agrawal Youth Time 2013- Croatia
  71. 71. What is SROI? • Social Return on Investment (SROI) The ratio of social returns to investment. This includes monetizing predicted future outputs and sometimes outcomes. • It measures social, environmental and economic outcomes and uses monetary values to represent them. This enables a ratio of benefits to costs to be calculated. • An SROI analysis can Anirudh Agrawal encompass Youththe Croatia Time 2013- social value generated by
  72. 72. Youth Time 2013- Croatia Anirudh Wold bank SIA handbookAgrawal
  73. 73. Youth Time 2013- Croatia
  74. 74. Convince funders • http://lsi.mckinsey.com/Voices_from_the_field/Interviews _on_Impact.aspx Anirudh Agrawal Youth Time 2013- Croatia
  75. 75. Day 2 9-11.30 Find a Social Mission • Identify an issue • Global MDGs (millennium development goals) • European Problems – Un employment, drug abuse, violence, Xenophobia, immigration • Social –physical problems related to disabilities • Innovate! 12-2pm Build a Social Enterprise with a social business model • Creating an organization around social mission  Role of institutions and eco-system in entrepreneurial risk taking • Social Business Model (hybrid/ warning on mission drift)  Case discussion on Kiva and MyC4  Different type of funders (eg. Venture philanthropy) • Social Impact assessment 3-5pm Changemaking skills •Entrepreneurship, creativity… Preparation for day 3 Youth Time 2013- Croatia
  76. 76. New DNA! Youth Time 2013- Croatia
  77. 77. Discovery-driven vs delivery driven Youth Time 2013- Croatia
  78. 78. Key Skills Cooperation Leadership Empathy Creativity Youth Time 2013- Croatia
  79. 79. Youth Time 2013- Croatia
  80. 80. Example of criteria (to become Ashoka Fellow) NEW IDEA Is it new? Is it system changing? CREATIVITY Does he/she have a track record of taking creative initiatives? ENTREPRENEURIAL Will she/he not rest until their idea becomes QUALITIES a new pattern in society? SOCIAL IMPACT Does the project have the potential to create change at the national / continental level? ETHICAL FIBER Is the entrepreneur totally honest? Is he/she deeply committed to serve others? Youth Time 2013- Croatia
  81. 81. 6. Express your project Express your idea and learn how to make an elevator pitch. What is a social venture? An idea with legs! Youth Time 2013- Croatia Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal
  82. 82. Oral presentation- Elevator pitch • Name and slogan • Why this project? (social need, target, existing solution) • Your solution (social need, what is your added value) • Why this project is feasible? Concrete actions, potential of development, business model • Expected social impact • Why are you the right person? The right team? Youth Time 2013- Croatia
  83. 83. Oral presentation- Elevator pitch • Tell a story • Be authentic and passionate • Provide people with evidence • Be careful to non verbal communication : ‣ ‣ ‣ ‣ ‣ Silences Smile Eye contact Dynamism Body langage Youth Time 2013- Croatia
  84. 84. Exercice- Feedbacks from the others Feedback rules: • Groupe divided in 2 5 min oral presentation from each groupe + 5 min feedback from the others • Angel/ evil •Angel: positive comments, focus on strenghts •Evil: key questions •Each time we change Youth Time 2013- Croatia
  85. 85. Last tips 1.Be driven 2.Work hard 3.Fail fast 4.Remain persistent 5.Be ambitious and humble at the same time Youth Time 2013- Croatia
  86. 86. Further readings Youth Time 2013- Croatia
  87. 87. Contact us: Florence Rizzo frizzo@syn-lab.fr www.syn-lab.fr Youth Time 2013- Croatia Anirugh Agrawal Ani.mechanical@gmail. com Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal
  88. 88. Annexes Youth Time 2013- Croatia Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal
  89. 89. A. Issue Understand the urgency of the social problem in order to bring the best solution and convince potential partners and funders / investors. 1) 2) Identify & define the social need (problem / stakes / causes) Evaluate the total cost of the problem (sum of negative consequences / direct & indirect costs + human costs) Dependency allowances : € 4 billion Medical costs reimbursement : 80% of French Health public system (€118 billions) Impact on families Human costs : low quality of life, social isolation 3) Identify your targets (direct & indirect targets, the payers, the number of involved people…) The old people, their families, intermediaries (medical staff, retirement homes, …) = 1 million people involved, 15% of the French population is more than70 years old (9 million of people) Youth Time 2013- Croatia
  90. 90. B. Solution Analyse the main obstacles that prevent the problem from being solved and identify your leverages. 4 steps : 1) Define your long-term vision (10 years ahead) Better quality of life for the old people, recognition of non medical health prevention in the Health public policies. 2) Identify obstacles to overcome Lack of proof to recognize the relevance of prevention; lack of public funding, lack of interest from professionals to work with old people. 3) Leverages Studies of prevention, lobbying, communication/raise awareness, position SIEL Bleu as a key player 4) Success indicators Prescription of « adapted physical activities » by doctors Reimbursement by the Health public system as « preventive medecine » Youth Time 2013- Croatia
  91. 91. C. Added value What are the other existing solutions? (Actors & prices) What are your advantages? What in your work is really unique? 1) Existing solutions Sport Federations, retirement homes’ activity leader, sport coaches at home… Comparison criteria : geographical location, qualification level, trans-sector dimension…) 2) How to you compare yourself to them ? Lower total cost SIEL bleu : 60€ / hour, budget in 2007 : €6 millions Higher social impact Help 60 000 people per week stay fit + professionalism Main goal : HEALTH – not sport Creative way of mobilizing resources Large range of pricing to make the activities accessible to everyone Youth Time 2013- Croatia
  92. 92. D. Core business Which activities should you keep, focus on, let down, develop? How can you choose ? How to be the most relevant & coherent with your vision? What is the best strategy to succeed? Be at the crossroads of : 1) Your deep motivation Prevent the risks for old people, prevent & delay dependency, create social connections 2) Where you can be the best Invent new methods, stay sharp on innovation & preventive health Ex : create a new profession, ne programs – at home, for companies, for disabled people… 3) What allows you to generate money (economic model) Sale of services to direct or indirect beneficiaries (Department of Social Welfare, Health insurance companies…) Youth Time 2013- Croatia
  93. 93. E. Business Model How to find sustainable funding to support & reinforce the social mission? 1) Can the direct beneficiaries pay for the services ? Sale of adapted physical activities programmes – multitiered pricing model, adaptation to everyone’s revenus. 2) Can the indirect beneficiaries pay for the services ? Partnerships with the Welfare system & insurance companies 3) Can you reduce the costs? 4) Can you value some assets? Youth Time 2013- Croatia
  94. 94. F. Mesure social impact How to measure social impact ? Which methods can be used ? 1) Think about your reporting tools right at the beginning of the project 2) Create quantitative & qualitative criteria & indicators Direct beneficiaries : 60 000 people per week / less accidents at workplace for GPS santé Medical impact – partnership with the French Institute of Medical and Health Research (INSERM) Regular physical activity allows a 30% reduction of the mortality rate; diminishes the incidence of cardiovascular diseases and diabetes; inhibits the development of a number of degenerative diseases such as osteoporosis. One hour of physical activity reduces the risk of femur fracture by 6%. 3) Take into account the impact on direct beneficiaries but also on indirect beneficiaries (families, neighbourhood, society…) Indirect impact : creation of a new profession (representive in adapted physical activity) and trainings through a specific specialization at the Sport Sciences University. Youth Time 2013- Croatia
  95. 95. Social Change with LONG-TERM IMPACT Youth Time 2013- Croatia
  96. 96. G. Team/ Organisation What would be the best team to lead the various activities of your organization ? 1) Find your model, think about your organization Which governance? What are your company values? What is your management style? 2) Organize and anticipate operations! HR management, mobilization of the right competencies Infrastructure, best locations, tools… Financial anticipation (analytical accountability, planning…) Youth Time 2013- Croatia

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