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Lifehack Labs - "How To Make A Difference" - Alex Hannant // Ākina Foundation : Growing Social Enterprise

  1. ‘How to make a difference’ August 2014
  2. 1.  The way I see the world 2.  Making a difference through social enterprise 3.  A global trend + what’s emerging in NZ 4.  One step at a time 5.  Discussion Running order"
  3. The Anthropocene
  4. Disruption
  5. Dr Michio Kaku – ‘Physics of the impossible’
  6. Lateral power / the distributed century
  7. ‘Bursting at the seams’
  8. Half of all children live in poverty
  9. 1.5 billion are obese
  10. Ivan Macfadyen- ‘The ocean is broken’
  11. Climate change / systemic change "
  12. Inequality
  13. Inequality 67" 3,500,000,000"=" ="
  14. Unemployment > disempowerment"
  15. Fundamental breakdown
  16. We ain’t that smart
  17. "History does not crawl, it jumps." Black swans
  18. What do we want?"
  19. “The barrier to change is not too little caring; it is too much complexity” Bill Gates But how…?
  20. Systemic Enduring People What works?Enabling
  21. Social enterprise…
  22. What is it?
  23. EvolutionsSystemsChange CommercialLow LowHigh High Social Entrepreneur Social Enterprise Good deeds Optimal
  24. Hybrid form" primary objective. Other positive signs abound. Top-tier business school students are joining social enterprise clubs at record rates, forcing faculties to rethink curricula. ing as a distinct sector (see figure 1). The recent proliferation of certification bodies and legislative initiatives is one indication among many that the sector is reaching a tipping point. The Figure 1 Social enterprises blur traditional boundaries between for-pro t and non-pro t Source: Adapted from Heerad Sabeti, “The Emerging Fourth Sector,” The Aspen Institute, 2009. maximize nancial bene t to owners maximize social bene t Organizations categorized by PURPOSE OrganizationscategorizedbyINCOME contributedearned For-pro t Social Enterprise Non-pro t/ Govt Business Methods Entrepreneurship Public-Private Partnership Privatization etc. CSR, ESG Sustainability
  25. A powerful vehicle for change Evolu&ons) Avoids grant dependency Replication / Open source Scalability / sustainability Multiple- benefits Empowers communities Leverages private investment Innovative / disruptive
  26. 1 2 3 4 5 6 7 Varieties of Social Enterprise Commercial Enterprise Business with a charitable spend Socially Responsible Business Social Purpose Business Community Benefit Enterprise Charity with on mission contract income Charity with fundraising and/or grant income Businesses that do good BusinessNot For Profit The Social Enterprise Continuum (NESTA/Young Foundation 2011) Different structures
  27. ‘No profit – no mission’ ‘Private businesses are profit centres for shareholders, social enterprises are profit centres for stakeholders – the more income, the more benefit.’
  28. Social enterprise models
  29. ‘The Robin Hood Business’ " Y-Gap"
  30. ‘One for One’" TOMS"
  31. Social Enterprise !! !! !! ‘Fair Share’" Café Direct"
  32. Te Whangai Trust" ‘The Nurturing Business’"
  33. Fifteen" ‘The Nurturing Business’"
  34. Guayaki" ‘The Regenerating Business’"
  35. ‘Waste to Value’" TerraCycle"
  36. ‘The Good Asset’ " Blueskin Energy"
  37. ‘The Good Asset’ " Skypath"
  38. ‘Disruptive Provider’" Unchartered Play"
  39. ‘Disruptive Provider’" Chalkle"
  40. !! !!! Grameen Danone" ‘Disruptive Provider’"
  41. Global trends
  42. State of Social Enterprise Survey 2013 Global movement
  43. Accelerators, incubators, & hubs
  44. Education"
  45. Investing for impact January 2012 Research InstituteThought leadership from Credit Suisse Research and the world’s foremost experts How social entrepreneurship is redefining the meaning of return Investment primed
  46. Impact funds "
  47. Impact funds "
  48. SBBs have several benefits: Private investors and institutions can invest to help create better social outcomes and receive a financial return Paying only once performance targets are met ensures efficient allocation of scarce public resources Service providers are given latitude to determine which services to offer They enable expansion of services that might not otherwise obtain funding. Newpin SBB diagram SBB precedents around the world The first social benefit bond was issued in the United Kingdom (UK) in September 2010 to fund a preventative program targeting recidivism of former inmates at Peterborough Prison. When the program successfully decreases the rate of recidivism, the UK Government realises savings through reduced expenditure on corrective services and returns are paid to investors. The return to investors will be 7.5% to 13%, depending on success of the program. Initial indications are positive and the UK now has 14 further SBBs live or in development with an approximate total value of £280 million. New York City launched an SBB to reduce youth recidivism for over 3,400 adolescent Newpin SBB Trust Results $ Return SAVINGS UnitingCare BurnsideInvestors The Newpin Social Benefit Bond offers a unique opportunity to generate a competitive financial return, as well as create a lasting Social Impact Bonds New markets - impact
  49. ‘Impact for Cash’" Bikes in Schools"
  50. New markets – social procurement
  51. New structures"
  52. NZ Market…?"
  53. Pilots, Positions, & Prototypes
  54. Demand increasing & unmet" Capability low, understanding low" Need for standards / benchmarks" Limited support at all levels" Need to grow demand and supply capital"
  55. A sustainable, prosperous and inclusive NZ" To deliver the next generation of transformational social enterprise " Activate talent, raise awareness and building capability" Support social enterprises to deliver scalable solutions" Facilitate access to markets and capital"
  56. Monitor’s research has identified the following four stages of pioneer firm develop- ment that are distinct both from the firm’s experience and the investor’s perspective: Blueprint First of all, pioneers need to blueprint their designs for the future business. This is often driven by not much more than a strong sense of ‘moral imagination’, striv- ing for radically better solutions to meet the needs of the poor. This stage involves connecting the capability for business and often technical innovation to address the needs of customers or suppliers in the BoP. This is no trivial matter, as the requisite 1. Blueprint 2. Validate 4. Scale FOUR STAGES OF PIONEER FIRM DEVELOPMENT 3. Prepare We ve pio bu th fou life an Development pathway"
  58. Build an ecosystem"
  59. One step at a time"
  60. You are part of a growing global movement whose core goal is to create a tipping point You don’t have to do it all!
  61. But do something that matters
  62. PURPOSE PROBLEM SOLUTION KEY METRICS UNIQUE VALUE PROPOSITION UNFAIR ADVANTAGE CHANNELS CUSTOMER SEGMENTS COST STRUCTURE FINANCIAL SUSTAINABILITY IMPACT V1.04 Available at Existing Alternatives High Level Concept Early Adopters SocialLeanCanvasisadaptedfromTheLeanCanvas(‐ShareAlike3.0Un-portedLicense. Have a plan and a process"
  63. Copy proven models
  64. Make friends"
  65. Stay with it – it really is the journey …and do the little things well"
  66. Know where the door is
  67. Power – know it, use it
  68. “Power!properly!understood!is!nothing!but!the! ability!to!achieve!purpose.!It!is!the!strength! required!to!bring!about!social,!poli;cal!and! economic!change...!One!of!the!great!problems!of! history!is!that!the!concepts!of!love!and!power! have!usually!been!contrasted!as!opposites!—! polar!opposites!—!so!that!love!is!iden;fied!with!a! resigna;on!of!power,!and!power!with!a!denial!of! love.!!
  69. Now,!we've!got!to!get!this!thing!right.!Power! without!love!is!reckless!and!abusive,!and!love! without!power!is!sen;mental!and!anemic.!It!is! precisely!this!collision!of!immoral!power!with! powerless!morality!which!cons;tutes!the!major! crisis!of!our!;mes.”! ! Mar$n&Luther&King&