A Social Enterprise Model towards a better World

1. To make world a better place and to
increase productivity of a country,
optimal utilization of manpower is of
utmost importance.
A Social
Enterprise
Model towards a
better World
An Idea based Paper
S K Roy
sanjkroy@gmail.com

2. A Social Enterprise model towards better world!
- S. K. Roy sanjkroy@gmail.com
Abstract: To make world a better place and to increase productivity of a country, optimal
utilization of manpower is of utmost importance. In telecom industry, a BTS tower has fixed
capacity and when connections less than its capacity are served, the rest capacity is simply
wasted. The airtime in mobile network once lost can never be recovered. Similarly, for a
nation, man-hour once lost can never be recovered. A man willing to work but not able to
get a suitable job is uncontrollable wastage of productivity.
There is a relationship between Currency and employment. Now a day currency is
affected by many national and international factors including corruption. Thus any
instability in currency may effect employment.
Use of Barter system to exchange goods or services has lot of limitations.
Taking the benefit of both currency system and barter system, a new point based
model can be developed. This model will generate large scale employment, give stability to
currency.
Introduction:
In telecom industry, a BTS tower has fixed capacity and when connections less than its
capacity are served, the rest capacity is simply wasted. The airtime in mobile network once
lost can never be recovered. Similarly, for a nation, manpower lost can never be recovered.
A man willing to work but not able to get a suitable job is uncontrollable wastage of
productivity.
To make world a better place and to increase productivity of a country, optimal utilization of
manpower is of utmost importance.
{how better place? – more money, happy people, jobs for all, maximum employment, better
health conditions}
Idea:
Many good ideas and precious minds are lost due to non-availability of full time jobs,
flexible working hours or part time jobs especially for females. Even if, in some cases not
completely lost then has some other kind of adverse effects on family and children
upbringing. Obviously, the answer lies in improving the work life balance for full time
working people by providing part time job roles or flexible working hours with choice of
work from home.
There are many jobs especially services which ideally is done on hourly basis and for such
roles part time jobs can be created or else payments can be made hourly.

3. · Step 1
Creation of Part-Time jobs systematically
a) Reserve some amount of jobs/ work pieces in every industry as part time work (15-
24 hour per week)
b) Even some percentage of full timer may be allowed to work part time for certain
duration
· Step 2
Introduction of Point based system
Point based salary system can be introduced to maximize the benefit for its users. Firstly,
the value of points will be higher than equivalent cash and secondly the system users or
providers can use the points within the system to avail other services and purchase products
as required. This will ensure that the people employed under this system are encouraged to
use points within the system so as to generate more revenues of the overall system and
help in making the business proposition viable.
Govt. and even private sector firms can create service excellence parks, SEZs etc. where a
form of social enterprise can be put to work which will employ people for variety of services
based on skill set for part time/ full time work. The employees will earn points for their work
per hour. The products and services created can be sold outside the system as well and cash
can be earned in return. The employees can redeem the points for cash from its employer
that they can use for buying products or services outside the system.
This idea is essentially a society run as a business model/ as a social enterprise where
everyone helps each other and exchange goods and services. Further this model will
utilise the manpower being lost of a nation and would provide as a earning platform for
those millions of people willing to work for part time/ full time to either earn a living or
work on activities of choice/ hobbies for sheer pleasure that they were unable to do due
to necessity to earn elsewhere to satisfy basic and family needs.
Some people may even work from home for example a housewife may easily engage
herself for 3-4 hours while her child sleeps or is out to attend school. Types of work from
home services may include IT services, teaching, and consultancy over phone or web etc.
She can also finish her stitching work if possible at home and visit the service park to
submit and get more work.
This enterprise may even supply temporary manpower (skilled) for a fee or can place its
employees for on-shore jobs. This enterprise can provide all sorts of services such as
carpentry, tuitions, landscaping, repair services, horticulture, stitching, painting, cooking
classes, pottery and IT services which includes networking, software development,
hardware repairs or installation etc.

4. All the services may be listed on the internet unit wise so that anyone can search and use.
The transactions in the system will be in both points and cash, as manpower will be paid in
points and raw materials, products etc. will be bought in cash. The earnings of the firms will
be in both points and cash. The cash earned can be used for proper running of the firm and
points will mainly be used for paying the salary. When a unit/ firm earn excess cash for a
period, cash incentive may also be given to its employees.
Is everyone employed in a country? NO!
Unemployment, lower productivity, loss of manpower
Start point based employment system as part time/fulltime service aggregator
Point used within the system in exchange of services/ products
Productivity increases, small jobs aggregated under a transparent system
Skills of manpower remains upgraded even during severe recession.
less fear of Job loss. Increased productivity.
Prosperous Nation with happier citizen.

5. Furthermore, this system will lead to more business between Urban and Rural area. Often
the needs of people residing in rural and urban areas complement each other, for example,
excessive need of quality education services in rural area unit can be counterbalanced by
supplying carpeting, gardening services or by conducting agriculture output trade with
urban area unit.
If, service parks or units located in areas as diverse as rural and urban trade among each
other and exchange goods and services on point’s basis as per requirement, it may lead to
inclusive growth of a nation.
Policy Framework:
A strong policy framework and regulations must be in place to support and run the system.
Govt. will gain by increasing the overall productivity of nation, decreasing the
unemployment level, providing improved quality of life and minimizing the spending. This
model is a business proposition for govt. to implement reform in a business like way without
inflating its subsidy bill and still improving the productivity levels of the nation. Initially govt.
will have to invest in building and promoting the enterprise, but with more and more people
joining the system, it will become self-sustainable and will further add to the revenues of
the govt.
· Objectives:

6. o Increasing productivity
o Lowering unemployment level
o Flexible part time/ full time work based on hourly rate
o Options for full timers to switch to work of choice or hobby based
o Incentive for part time work will induce people to get engaged in their
hobbies/ other skills and still earn in a way; thus improving high work
satisfaction levels
o Skills of the unemployed and others remain upgraded
o Point based salary system to ensure sufficient work for all industry/ service
providers within the system by exchange of products/ services on using
points
o A proper system for channelizing the employers and job seekers at one place
for multiple skill requirement
o Reduction of inflation
o Easy accessibility of the services
· Structure:
o A website containing details of all the people willing to work/ working in the
system including basic bio, identity info, skills, prior experience and points
accumulated till date.
o Database of all the employers willing to participate in the system and hire
people registered within it.
o Database of all the outside people, firms willing to accept the services/
product on cash basis – this should be limited to a certain amount in a year
for outside firms
o For cash based service rendering beyond the set limit; the outside firm must
become part of the enterprise and employ on point based salary account
system.
o Registration of individual job seekers in the enterprise based on AADHAR
numbers or similar unique card.
· Revenue model:
o Govt. can implement a tax method for the point based salary system. Later
these points can be used in the same system to offer contracts for govt. work
o Firms will earn via 2 way payment mode. First point based payment for the
manpower and second cash based payment for the products/Raw materials
and towards rental
o Firms will pay labour salary and other allowances using the points only.
To ensure that this social enterprise is run business like without letting the employers take
undue advantages and employees assume it for charity, initial implementation must be
supported by govt. as in long run it will help making govt. reduce its spending still
generating employment and increasing GDP. Phase wise implementation starting from a

7. small town with medium unemployment levels and later extending the network to other
cities and town and later bring rural areas also under its purview will make it a success.
Point based system:
There will be software to allot points. The software will take into consideration the
employee’s past experience, salary of other colleagues’ of same group into consideration
while allotting point on joining the group. If any person of similar experience is not available
in same group then it will search nearby groups or whole country and suitably allot points
on joining. If nowhere people with similar experience are available then it will allot points
based on a list of predefined profiles matching nearest to that of person concerned. Like any
organisation here also point based salary will have different parts e.g. fixed, variable,
allowances etc. Here fixed part will be much less than variable part to encourage people to
work honestly. Depending on performance of individual, group & organisation software will
vary the variable pay. The discretionary power to change the point allotted to a particular
employee by software will be with head of organisation with information to all employees
of that organisation & to the point controlling authority who will oversee the functioning of
the whole system. Point controlling authority will have two third directors from private
organisation and one third from government. At a time head of any organisation cannot
change point of more than 10 % of employees allotted by software without the approval of
board. Board of directors can change point of any employee and can overrule decision of
any head of organisation. Initially Points earned by an employee will have a validity of one
year. Points older than one year will expire. Government can Tax points also. Government
can use points earned as tax for sourcing product for welfare programs. E.g. Government
wants to give school uniform to all children of a school then simply Government may pay for
cloth in cash or supply cloth and encash taxed points toward stitching charge. Like this
government can encash taxed points in hundreds of ways.
• Taxation method:
o Case 1:- A person earns both in cash and points. For cash taxation method
will be as if he does not earn any points. After filing of income tax returns for
cash, the same data will be copied to a new point based taxation system. In
this system for the purpose of taxation only one point will be equivalent to
one Rs/$. As the points earned may expire so here points utilised in last one
year will be used for taxation purpose. In this point based system tax will be
recalculated after adding cash and points used and employee balance tax will
be deducted in terms of points e.g. A person earns $500000 and used 200000
points in one year. For $500000 suppose his tax liability is $100000 which he
deposits in cash. After adding points total will be 700000 on which tax liability
is suppose 130000. Then his tax liability in terms of points will be 30000.

8. o Case 2:- A person earns only points. As he does not earn cash so he will file
tax return as zero income. Taxation method will be as if he does not earn any
points. After filing of income tax returns for cash, the same data will be
copied to a new point based taxation system. In this system for the purpose
of taxation only one point will be equivalent to one Rs/$. As the points
earned may expire so here points utilised in last one year will be used for
taxation purpose. In this point based system tax will be recalculated after
adding cash and points used and employee balance tax will be deducted in
terms of points e.g. A person earns 500000 points in one year. For 500000
points suppose his tax liability is 100000 which will be deducted as points.