Delivery strategy: Moving into a hybrid model

Towards a hybrid delivery model:
Maximazing social impact and
financial return
April 2015
Author: Windy Natriavi, Faelasufa, Shofi Awanis, Ghufron Mustaqim
Proprietary of Forum for Indonesia. All rights reserved. No part of this document may be
reproduced in any format without specific writing permission from Forum for Indonesia

Forum for Indonesia 2
Copyright©2015byForumforIndonesia
Windy Natriavi
Biography
Selected organizational experience :
• Head of Young Leaders for Indonesia Alumni 2011 - 2012
– Co-led youth unemployment initiative to help ~50 underprivileged youths through
interview trainings and development of a job-matching application software
– Developed partnerships with Balai Latihan Kerja (Training Development Center) led
by the Government to enrollment rate into the Center
Selected project experience
• Endeavour Indonesia, Breakthrough Leadership Project
– Diagnosed market opportunities and proposed entrepreneur matching for Endeavour to
expand its scale-up investment funding
• Yayasan Indonesia Setara, Breakthrough Leadership Team Member
– Led a 5-person team working with Sandiaga Uno to create a video branding campaign
for Yayasan Indonesia Sejahtera – in which result of survey was used by a leading
American university
Selected work experience:
• McKinsey & Company, Business Analyst
– Led development of financial stability strategy and roadmap for Indonesia 2025
– Developed an Asian supranational digital banking strategy and financial
assessment for a $90 bn private financial institution
– Design 2024 Human Resource strategy and implementation plan for an Indonesian
Ministry
– Conduct market analysis and expansion opportunities for a leading Asia wholesale
retailer
• PT. Principia, Private equity analyst
– Manage stakeholders and partners in securing a deal for the Entertainment industry
[highly confidential]
Education :
• Bachelor of Finance – Management from Universitas Indonesia (2008 – 2012)
Windy is a proud Indonesian
who believes in building
Indonesia through targeted
investments and a
collaborative effort across all
parties and sector
As a consultant, her main field
of work has been in the
financial sector (both public
and private)
She loves travelling and
reading mind / neuro-science
related books.

Faelasufa
Biography
• Forum for Indonesia, Director of Secretariat (2011 – 2012)
– Help to establish a ‘family’ atmosphere in internal team, MoM development
• Jogja Berpijar, Founder (2012)
– Established an on-line portal, develop stories based on one-on-one interviews with
inspiring figures in Jogjakarta
• DAAD Joint Research Project, Student Researcher
– Involved as a researcher in DAAD joint research project between Universitas Gadjah
Mada and the University of Freiburg for two consecutive years
• Mapres (Mahasiswa Berprestasi) UGM
– Help to improve the Mapres selection process in UGM
• Edelman, Account Executive
– Provides communication advisory and facilitation services to the governments, private
business, international organizations, NGOs and media group
– Served various clients from different background
• Gramedia Pustaka Utama, Frelance Writer
– Wrote a published novel in 2011
Education :
• Candidate for the Master of Public Policy – Graduate School of Public Policy, The University of
Tokyo (2014-2016)
• Bachelor of Social and Political Science – International Relations, Universitas Gadjah Mada
(2009-2014)
Before taking her master
degree at The University of
Tokyo, Faela worked at a
global communication
consultancy firm based in
Jakarta as PR practitioner.
Her passion in youth
empowerment makes her
involved in several forum and
organizations during her
undergrad year.
She has a dream to relish a
remarkable ride in social,
personal and professional life.

Shofi Awanis
Biography
• Forum for Indonesia, Vice-Chairman (2012-2013), Executive Board of Media (2011-2012)
– Managing the executive boards of FFI central, focused on internal restructuration. Coordinating
with local representatives for FFI chapters, 1 new regional chapter established.
• Gadjah Mada Chamber Orchestra, Vice-President
– Coordinating internal relation within management-team and player-team, maintaining external
relation with sponsor and university rectorate.
• CubeWeb Indonesia, Account Executive
– Managing various clients for website developing and social media integration
• CESASS UGM’s SEA Gate Program in collaboration with NUS, Tutor
– Being responsible for 4 NUS exchange students in UGM for language study program and field
research on Southeast Asia topics.
• PT Kadence International, Simultanous Translator
– Provide real-time English translation on focus group discussion for Danone marketing research
purposes.
• Yayasan Gerakan Indonesia Mengajar, Partner Engagement Officer
– Engaging corporate, institution, and public to be actively involved in sponsorship schemes to
secure funds for Indonesia Mengajar's sustainability plan.
• Bentang Pustaka, Publicist
– Perform public relation and marketing function through social media, website, and offline events.
Managing communication flow between consumers, writers, distributors, media, and company.
Education :
• Bachelor of Social and Political Science - Communication, Universitas Gadjah Mada (2009-2014)
Shofi is a young professional
specializing on strategic
communication for corporate
and non-profits organization
She is driven to contribute to
the development field that
would shape a sustainable
social change

Muhammad Ghufron Mustaqim
Biography
• Forum for Indonesia, Co-Founder, Co-Chair, and CEO
‒ Develop five year transformation blueprint, design operating model and delivery strategy,
and lead the development of intersector collaboration and social innovation knowledge
‒ Oversee program development and implementation in organzation’s regional chapters
• Rotaract Club in Yogyakarta, Charter Member and President
– Led the implementation of community service, mentored volunteers, and maintaned
professional network with other clubs from inside or outside Indonesia
• FFI’s Obrolan Sabtu, Founder and Advisor
– Initiate sharing platform that connects students with inspiring professionals or young
leaders to discuss about social innovation. After two years, Obrolan Sabtu has been
delivered 25+ times in 6 different cities—inviting 35+ speakers and attended by 800+
audiences
• Rotaract’s community service in Elementary School in Yogyakarta, Project Manager
– Support school’s facility and conducted trauma healing for students in local elementary
school impacted by Mount Merapi eruption. This project was delivered in cooperation with
United World College of Italy & Netherland.
• McKinsey & Company, Consulting Analyst
– Drived gas mega infrastructure project worth USD 100 million in capex to be completed
on schedule. Analaysed the hydrocarbon maturation of client’s oil and gas field in South
China Sea and forecasted its 10 year production profile
Education :
Ghufron is a young leader
committed to improving the
state of Indonesia
His core interests are on using
data to inform public policy
and social intervention, and
creating resposive city
governance
He extensively reads books on
public philosophy and
economic development

Executive Summary
This part is omitted

Contents
• The new era: Moving into a hybrid structure
• Successful social innovators understand
hybrid models and adapt accordingly
• Potential key solutions in tackling challenges

This section is omitted

Contents

Light integration
A model striving for
social means using for-
profit ways
Medium integration
Strives for both social
and profit through
separate mechanisms
High integration
Strives for both social &
profit through one
mechanism
There are largely three different type of hybrid models entrepreneurs
can adopt with their respective strengths and weaknesses
1 2 3
Degree of integration between social and profit logic and mechanisms
Goals
Elements
• Social goals • Both for profit and social
goals
• Both for profit and social
goals
Entity structure
Beneficiaries
• One entity • Typically has 2 separate
entities (one social and one
profit)
• One entity
• One end set of
customers
• May have 2 separate
entities (not always the
same)
• One end set of
customers
Funding
mechanism
• Typically, high-margin
products will subsidize
social activities
• Typically, profit is re-
invested in social arm
• One for-profit sources to
cater both social and profit-
oriented goals
Source: Stanford Social Innovation Review; Team Analysis

Successful case example: Visionspring enhances and
leverages community in reaching out to customers
LOW INTEGRATION
• Visionspring is a social
innovation company that
strives to provide quality
eyewear at a low cost to
bottom-of-pyramid
customers
• Currently present in India
and El Salvador
• Uses cross-subsidization of
higher-priced eyeglasses to
compensate for bottom-of-
pyramid customers
Company profile and operating metrics
Vision and
mission
Operating
model
Impact
• Affordable access to eyewear, everywhere
• Cultivates micro-entrepreneurs to sell
eyewear to their communities
• Hub-and-Spoke model : 2 entrepreneurs (one
who educates the community, and one who
runs the shop operations (hub)
• Productivity increase by 35% amongst
beneficiaries due to clearer vision, increasing
monthly income of beneficiaries by 20%
• Has created $280 mn in economic impact
Toti and Omprakash managed to
increase their crops’ harvest due
to new-found ability in seeing the
pests and insects that were
ravaging their crops
Pros
Hybrid model evaluation
Cons
Use if…
• High leverage of talent and surrounding
community
• Medium-low scalability due to high
dependency on the talent and community
awareness
• Your social innovation has a stronger
social mission that motivates people to help
• You have strong community management
skills
Source: Stanford Social Innovation Review; Vision Spring; Team Analysis

Successful case example: Mobile School operates two distinct
organisations to ensure fulfillment of social goals
MEDIUM INTEGRATION
• Mobile school is a Belgian non-
profit that provides educational
materials and empowers children
living on the street; as well as
help street workers with their
employment problems
• The initial business model was
unsustainable as Mobile School’s
main beneficiaries were poor
children Hence, founder Arnoud
Raskin launched a consulting
business, Streetwize, to generate
revenue which will sustain the
non-profit’s operations (currently
75% of funding sources)
Vision and
mission
Operating
model
Impact
• Increases sustainable development of people,
organisations, and society by the strengths of the
street kids
• Empowers kids and street workers self-esteem
through Mobile School
• Document and “sell” key learnings of dealing with
street-kids through trainings and consulting
sessions and uses funds from StreetwiZe to fund
operations of Mobile School (currently comprises as
source for 75% of budget)
• 36 mobile schools in 22 countries
• Serves ~200 well-known companies in 20141 through
600 boost sessions, 4000 action workshops; 11,640
people;
• 82% of street children reported significant increase
in happiness and ~60% reported increase in talents
Pros
Cons
Use if…
• Minimizes tension through clear focus and
separation of profit and social organisation
• Requires much more effort and resources than the
other models due to separation of teams, separation
of focus, etc
• Your social innovation, as it stands by itself, will
not make economic value to sustain operations
• You are able to devote significant time in both
organisations
Children learning on the streets in
one of Mobile School sessions
1 Companies such as ING Direct, Rabobank, Deloitte, Cocacola, etc
Source: Stanford Social Innovation Review; Mobile School; Team Analysis

Successful case example: Learnvest ensures fulfillment of its social
goals through its non-profit business
HIGH INTEGRATION
• Learnvest is a financial
management company aiming
to help individuals manage their
money
• Established in 2009 by Alexa
von Tobel, an ex-HBS drop-out
and Wall-street investment
banker
• Key value proposition of
providing quality financial
advice at a much cheaper cost
– ensuring accessibility to
everyone
Vision and
mission
Operating
model
Impact
• Our mission is to make financial planning
affordable, accessible, and even delightful
• Customer fill online profile and discuss with a
Financial planner to set plan
• ~70% lower cost at ~$300 for one-time set-up
fee + $19/ per month (compared to traditional fee
of $1,900)
• Gained $41 mn capital of seed funding
• Within first two years of operations, grow 200%
of subscribers
• Employs around ~80 – 95 FTE
Easy on-going consultation with
your private planner
Pros
Cons
Use if…
• Highest sustainability amongst all the other
models
• Highest risk of “drifting away” to profit-
oriented goals
• Potential tension between two different type of
employees (profit-oriented versus social)
• Your social innovation has a stronger “for-
profit” angle that can lure investors
• You can adhere yourself to social metrics, in
addition to for-profit metrics
Source: Stanford Social Innovation Review; Learnvest; Team Analysis

Contents

This section is omitted

Tertarik mempelajari lebih lanjut
atau ingin agar Forum for
Indonesia memberikan workshop
tentang delivery strategy untuk
organisasi Anda?
Silahkan hubungi kami di
mail@forumforindonesia.org dan
ceritakan bagaimana kami dapat
membantu Anda!

Delivery strategy: Moving into a hybrid model

Recommended

Recommended

More Related Content

Similar to Delivery strategy: Moving into a hybrid model

Similar to Delivery strategy: Moving into a hybrid model (20)

Recently uploaded

Recently uploaded (20)

Delivery strategy: Moving into a hybrid model