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The E-Spot Canvas
    Design      Bill of     E-Spot            Stakehold
                Materials   Determination     er

                                              Socio-
                                              Cultural
    End-of-     Failure                       Analysis
    Life        Analysis    Leverage Points
    Analysis                                  Economic
                                              Analysis


        Chanakya Mehta; Khanjan Mehta
Humanitarian Engineering & Social Entrepreneurship
                  @ Penn State
HESE
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                                                                                            2
Fast Moving Consumer Goods   3
Durable/Long-term Products   4
Infrastructure   5
Producer
Business
Model       Who / why / where will make / sell / maintain?




                       Entrepreneur/Community
Business
Model             How will they pay for the system?
                           How will they sustain the system?




         Consumers    Consumers    Consumers   Consumers    Consumers

                                                                      6
Major Challenges
• Stakeholder contributions / benefits - how and
  when?
• Transparency and trust
• Marginalized Stakeholders
• Power Relations and privilege systems
• Identifying champions
• Micro-Jealousy + Public Relations
• Business planning with non-cash equity
                                                   7
1
Ensuring Equity from and
 between Stakeholders

                       8
2
Process is as important
    as the Product

                          9
3
Structured Methodology
needed for Replicability

                           10
Implementation
                                Producer
Business
Model   Who / why / where will make / sell / maintain?




                                                              11
Visual Approach to Business
         Planning




     The Business Model Canvas
      by Alex Osterwalder & Yves Pigneur
Implementation
                                Producer
Business
Model   Who / why / where will make / sell / maintain?




                   Entrepreneur/Community
Business
Model         How will they pay for the system?
                       How will they sustain the system?




                                                              13
Implementation
                                    Producer
Business
Model       Who / why / where will make / sell / maintain?




                       Entrepreneur/Community
Business
Model             How will they pay for the system?
                           How will they sustain the system?




         Consumers    Consumers    Consumers   Consumers    Consumers

                                                                  13
The E-Spot Canvas
Design        Bill of     E-Spot            Stakeholder
              Materials   Determination     Analysis


                                            Socio-
                                            Cultural
End-of-Life   Failure                       Analysis
Analysis      Analysis
                          Leverage Points
                                            Economic
                                            Analysis
Design




         15
The E-Spot Canvas
              Bill of     E-Spot            Stakeholder
              Materials   Determination     Analysis


                                            Socio-
                                            Cultural
End-of-Life   Failure                       Analysis
Analysis      Analysis
                          Leverage Points
                                            Economic
                                            Analysis
Bill of Materials
The E-Spot Canvas
                         E-Spot            Stakeholder
                         Determination     Analysis


                                           Socio-
                                           Cultural
End-of-Life   Failure                      Analysis
Analysis      Analysis
                         Leverage Points
                                           Economic
                                           Analysis
Failure Analysis
The E-Spot Canvas
                  E-Spot            Stakeholder
                  Determination     Analysis


                                    Socio-
                                    Cultural
End-of-Life                         Analysis
Analysis
                  Leverage Points
                                    Economic
                                    Analysis
End-of-Life Analysis




                       21
The E-Spot Canvas
          E-Spot            Stakeholder
          Determination     Analysis


                            Socio-
                            Cultural
                            Analysis

          Leverage Points
                            Economic
                            Analysis
The E-Spot Canvas
          E-Spot            Stakeholder
          Determination     Analysis


                            Socio-
                            Cultural
                            Analysis

          Leverage Points
                            Economic
                            Analysis
Stakeholder Analysis
The E-Spot Canvas
          E-Spot
          Determination


                            Socio-
                            Cultural
                            Analysis

          Leverage Points
                            Economic
                            Analysis
Socio-Cultural Analysis
The E-Spot Canvas
          E-Spot
          Determination




          Leverage Points
                            Economic
                            Analysis
Economic Analysis
The E-Spot Canvas
          E-Spot
          Determination




          Leverage Points
Leverage Points
The E-Spot Canvas
          E-Spot
          Determination
E-Spot Determination
The E-Spot Canvas
Case Study
E-Spot Canvas




                34
Case Study 1


Kochia Windmill Project

   Homa Bay, Kenya




                          35
Kochia Windmill
                    Design
Design
 Lack of electricity
   Exorbitant costs + political/administrative issues

 Current solution: Car Batteries
   People spend 6 hours + KSh 100 to get them charged

 Large open fields - Ideal location for windmill

 More Batteries = More Lighting = More Evening/Night activities

 More Batteries = More Customers = Higher Profit = More Employment

                                                                  36
Kochia Windmill
                   Bill of Materials
Bill of Materials
     Money                 Time             Sweat                  Other
                                       Digging, Steel
                                       Painting,            Permissions from
 Concrete, Steel     Design Research
                                       Transportation of    relevant authorities
                                       materials to site

 Wind Turbine &
                     Construction      Ground clearing      Land
 Blades
 Lights              Market Analysis   Building structure   Long term support
 Battery bank,        Seeking
                                                            Security
 Individual batteries permissions

                                                                                   37
Kochia Windmill
                 Failure Analysis
Failure Analysis
 Routine Maintenance      Money             Time               Sweat         Other
3 months               Greasing       Marketing             Cleaning      Bookkeeping
                                      Analyze tech +                      Reinvesting,
1 year                 Repainting     business model,
                                      Structural analysis                 Strategizing
                       Change metal                         Rebuilding
5 years
                       structure                            structure
  Common Failures         Money             Time               Sweat         Other
Turbine gets stuck      Greasing                            Cleaning
                       Charge         Check                 Check all
Batteries not charging
                       controller     electrical sys.       connections
                                      Find new
No profit              Marketing
                                      markets
                                                                                         38
Kochia Windmill
            Stakeholder Analysis
Stakeholder Analysis
 Community (Primary + Marginalized):
   Sustenance Farmers, Local Business Owners, Families, KDG
   Usually work 12-14 hr./day & earn $10/month
   Basic need: Electrical Power (for lighting, business)
   Primarily provide sweat equity + KDG provided Land
 University of Nairobi (Secondary)
   Students + Faculty from the engineering school
   Trusted + Respected by community leaders & members
   University Resources
 Pennsylvania State University (Secondary)
   Faculty + students: technical + business knowledge
   Brand recognition, Trust
 NCIIA (Secondary) - Primary funding agency
                                                              39
Kochia Windmill
         Socio-Cultural Analysis
Socio-Cultural Analysis
 The case of the neighboring communities...
   Visiting Mzungus
   Breeding micro-jealousy

 Village chief of Kochia
   Essential to seek approval of; major say in community opinion

 Power/Opinion Leaders
   4 Pastors, 3 Local Chiefs, 2 District Officers & A District Commissioner

 Popularity of special functions
   Weddings, Funerals, religious festivals

                                                                              40
Kochia Windmill
              Economic Analysis
Economic Analysis
 Customer Segments:
   Community members:
      Income: $10/mo.
      Monthly Savings: 10% - 15% of monthly income
   Small Business Owners:
      Eg. Telephone Operator (KSh 150/mo.), Entertainment Center (Ksh 150/mo),
    Bicycle Repair Shop (KSh 450/mo.), Library (KSh 1200)
   Prospective Entrepreneurs:
      Sisal Decortication, handyman services, cell-phone charging

 Pain-point alleviation for batteries:
   Desire for battery ownership
   $40 vs. $30
                                                                                 41
Kochia Windmill
                Leverage Points
Leverage Points
 Power Players
   Kochia Development Group
   Quirine Misango
   Local Pastor
   Local Chief

 Battery Price Point:
   Deficit for battery ownership: $10
   Informal ad-hoc hiring (construction + cook + babysitter)




                                                               42
Kochia Windmill
             E-Spot Determination
E-Spot Determination: Installation
  Stakeholder       Money            Time           Sweat           Other

                                                Majority of    Land of
 Community
                                                Construction   construction
 University of                   Collaborative Construction    Transportation
 Nairobi                         system design
                 Funds for daily System design,
 PSU                             Project        Construction   Knowledge
                 meals
                                 Management
                                                               Start-up
                 Materials &
 NCIIA                                                         knowledge +
                 supplies
                                                               social capital

                                                                                43
Kochia Windmill
             E-Spot Determination
E-Spot Determination: Sustainability
  Stakeholder       Money           Time            Sweat         Other

                 Maintenance,   Local project   Maintenance,
                 Breakdown
 Community                      management,     KDG routine    Knowledge
                 repairs from   Marketing       operation
                 income
 University of                                  Breakdown      Knowledge
 Nairobi                                        repairs        (Repairs)
                                Expertise for
 PSU                            complex tech.
                                problems
 NCIIA

                                                                           44
Closing Remarks


                  45
Questions ?
Comments ?
Expletives ?
               46
Case Study 2


 Husk Power Systems

Several Locations, India




                           47
Husk Power Systems
                  Design
Design
 Rice Husk based power generation
   Rice husk biomass gasification
   Significant tar generation causing engine clog-ups

 Boiler & Steam Generation System
   Steam Evaporation: 30,000 kg/hr
   Steam pressure: 42 kg. cm
   Boiler efficiency: 83%

 Steam Turbine for generator
   Output: 5,000 kW X 8,119 / 1,800 RPM



                                                        48
Husk Power Systems
               Bill of Materials
Bill of Materials
     Money                  Time                  Sweat             Other
 Husk burning        Assessment on           Metal work        Billing Systems
 furnace             availability of husk
                     System                  Gathering husk
 Generator, turbine, development based
                                             from farmers,
 meters              on local resource       Cleaning
                     availability
 Metal for support   Market/customer         Painting of all
 structure           research                metallic parts
 Feed system for      Develop strategy
 husks                for ‘char’ recycling

                                                                                 49
Husk Power Systems
               Failure Analysis
Failure Analysis
 Routine Maintenance      Money          Time          Sweat           Other
15 days                                             Clean furnace
                       Greasing of
1 month                              Tar disposal   Tar removal
                       generator
                       Paint metal                  Rebuilding
1 year
                       structure                    structure
  Common Failures         Money          Time          Sweat          Other
Turbine gets stuck     Greasing                     Cleaning        Manage Tar
                                     Furnace        Clean
Reduced steam
                                     choke-up       furnace
                                     Find new
No profit              Marketing
                                     markets

                                                                                 50
Lighting up Kenya
            Stakeholder Analysis
Stakeholder Analysis
 Community as the User (Primary + Marginalized):
   100 % Marginalized Customer Base
   Prepaid Group Billing
   Husk Power Systems University

 Community as the Supplier:
   Rice Farmers own largest stake in the plant by providing husks
   Integral customers of the HPS University system

 Ministry of New & Renewable Energy:
   Subsidized resources to accelerate HPS reach

 Acumen Fund
                                                                    51
Lighting up Kenya
          Socio-Cultural Analysis
Socio-Cultural Analysis
 Electricity Usage
   How will they use electricity? How can productive use be fostered?

 The better of the bad... What’s the tradeoff?
   42,000 lt. (11,111 gal.) Kerosene + 18,000 lt. (4,762 gal.) Diesel
   50,000 tons CO2




                                                                        52
Lighting up Kenya
              Economic Analysis
Economic Analysis
 Customer Segments
   Community members:
      Income: $30/mo.
      Monthly Savings: 10% of monthly income
   Small Business Owners:
      Convenience shop owners, Wood & metal repair shops

 Where is the money?
   Rs. 50 ($1) / Month / bulb
   $900 - $1000 per kW vs. 2X - coal vs. 7X - wind/hydro vs. 10X - solar




                                                                           53
Lighting up Kenya
               Leverage Points
Leverage Points
 Power Players
   Systems of Privilege : USA educated students
   Village Panch’s
   Mr. S. K. Singh - Scientist @ MNRE

 Rambalak Yadav
   “After 60 independent years, we have found freedom from darkness”

 Samta Samidhi Foundation
   Community ROI = 2X Investment
   Fully paid education for over 250 kids


                                                                       54
Lighting up Kenya
           E-Spot Determination
E-Spot Determination: Installation
  Stakeholder      Money      Time       Sweat           Other

 Community                           Construction
 (User)
 Community    Husk                   Rice Milling   Transportation
 (Supplier)
 Ministry of  Governmental
 New & Renew- subsidies
 able Energy
                                                    Start-up
                Materials &
 Acumen Fun                                         knowledge +
                supplies
                                                    social capital

                                                                     55
Lighting up Kenya
              E-Spot Determination
E-Spot Determination: Sustainability
  Stakeholder      Money           Time          Sweat         Other

                Usage charges,
 Community      Increased       HPS University Breakdown
                                                           Knowledge
 (Users)        usage through training         repairs
                productive use
 Community      Continued                                  HPS University
 (Supplier)     supply of husks
                Subsidies,
 MNRE
                Land grants
 Acumen Fund                                               Topical Help



                                                                            56

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Penn State - Design Space Exploration Tool - Open 2011

  • 1. The E-Spot Canvas Design Bill of E-Spot Stakehold Materials Determination er Socio- Cultural End-of- Failure Analysis Life Analysis Leverage Points Analysis Economic Analysis Chanakya Mehta; Khanjan Mehta Humanitarian Engineering & Social Entrepreneurship @ Penn State
  • 2. HESE !"#$%&'() ;"6"#-$%) 0'(#("7"'/) !  *+,$-".&/)010)1"-23$#/") !  <=9>08)?090) !  @#6%#AB) !  C&6%D#6/) !  4#55)6"7"6/"-8) !  #6-7/(>%%#%%/#$,( !  066"'2#5)E"6&(') !  "#$%&'()$*(+&$,'&--#'(".%,#/( !  ".%,#/%(?84$@4$1( !  &9FG109) 0$,#1')2&$( !  +7-,7')-(>$,8'&6&-&1.( !  ?090),)<'.&#) !  "&34)-(5$,'#6'#$#7'%846( !  "&34)-($#,A&'@%B(,'7%,()$*( 3#--68&$#%( !  0$;#$2&$(H(I#$,7'#( !  9:-&'()6"7"6/"-8) !  0$*41#$&7%(C$&A-#*1#( +&$=#'#$3#( !  9'&:#3,%(4$(+&//7$4,.( ".%,#/%()$*("23@.(0$=&( !  J4-@4$1(,8#(K84$&L(0""( "#';43#(5$14$##'4$1( !  <#%41$("6)3#(5D6-&')2&$( !  C&384)(+8'&$43-#%( !  <#%41$(=&'(<#;#-&64$1( +&//7$42#%( !  +8)$14$1(,8#( !  >3)*#/0C(+&$$#32&$%( +&$;#'%)2&$( !  MCNOHP+#$,#'(=&'("34#$3#( !  E-&F)-(G71))*(+&//&$%( 4$(,8#("38&&-%Q( 2
  • 6. Producer Business
Model Who / why / where will make / sell / maintain? Entrepreneur/Community Business
Model How will they pay for the system? How will they sustain the system? Consumers Consumers Consumers Consumers Consumers 6
  • 7. Major Challenges • Stakeholder contributions / benefits - how and when? • Transparency and trust • Marginalized Stakeholders • Power Relations and privilege systems • Identifying champions • Micro-Jealousy + Public Relations • Business planning with non-cash equity 7
  • 8. 1 Ensuring Equity from and between Stakeholders 8
  • 9. 2 Process is as important as the Product 9
  • 11. Implementation Producer Business
Model Who / why / where will make / sell / maintain? 11
  • 12. Visual Approach to Business Planning The Business Model Canvas by Alex Osterwalder & Yves Pigneur
  • 13. Implementation Producer Business
Model Who / why / where will make / sell / maintain? Entrepreneur/Community Business
Model How will they pay for the system? How will they sustain the system? 13
  • 14. Implementation Producer Business
Model Who / why / where will make / sell / maintain? Entrepreneur/Community Business
Model How will they pay for the system? How will they sustain the system? Consumers Consumers Consumers Consumers Consumers 13
  • 15. The E-Spot Canvas Design Bill of E-Spot Stakeholder Materials Determination Analysis Socio- Cultural End-of-Life Failure Analysis Analysis Analysis Leverage Points Economic Analysis
  • 16. Design 15
  • 17. The E-Spot Canvas Bill of E-Spot Stakeholder Materials Determination Analysis Socio- Cultural End-of-Life Failure Analysis Analysis Analysis Leverage Points Economic Analysis
  • 19. The E-Spot Canvas E-Spot Stakeholder Determination Analysis Socio- Cultural End-of-Life Failure Analysis Analysis Analysis Leverage Points Economic Analysis
  • 21. The E-Spot Canvas E-Spot Stakeholder Determination Analysis Socio- Cultural End-of-Life Analysis Analysis Leverage Points Economic Analysis
  • 23. The E-Spot Canvas E-Spot Stakeholder Determination Analysis Socio- Cultural Analysis Leverage Points Economic Analysis
  • 24. The E-Spot Canvas E-Spot Stakeholder Determination Analysis Socio- Cultural Analysis Leverage Points Economic Analysis
  • 26. The E-Spot Canvas E-Spot Determination Socio- Cultural Analysis Leverage Points Economic Analysis
  • 28. The E-Spot Canvas E-Spot Determination Leverage Points Economic Analysis
  • 30. The E-Spot Canvas E-Spot Determination Leverage Points
  • 32. The E-Spot Canvas E-Spot Determination
  • 36. Case Study 1 Kochia Windmill Project Homa Bay, Kenya 35
  • 37. Kochia Windmill Design Design Lack of electricity Exorbitant costs + political/administrative issues Current solution: Car Batteries People spend 6 hours + KSh 100 to get them charged Large open fields - Ideal location for windmill More Batteries = More Lighting = More Evening/Night activities More Batteries = More Customers = Higher Profit = More Employment 36
  • 38. Kochia Windmill Bill of Materials Bill of Materials Money Time Sweat Other Digging, Steel Painting, Permissions from Concrete, Steel Design Research Transportation of relevant authorities materials to site Wind Turbine & Construction Ground clearing Land Blades Lights Market Analysis Building structure Long term support Battery bank, Seeking Security Individual batteries permissions 37
  • 39. Kochia Windmill Failure Analysis Failure Analysis Routine Maintenance Money Time Sweat Other 3 months Greasing Marketing Cleaning Bookkeeping Analyze tech + Reinvesting, 1 year Repainting business model, Structural analysis Strategizing Change metal Rebuilding 5 years structure structure Common Failures Money Time Sweat Other Turbine gets stuck Greasing Cleaning Charge Check Check all Batteries not charging controller electrical sys. connections Find new No profit Marketing markets 38
  • 40. Kochia Windmill Stakeholder Analysis Stakeholder Analysis Community (Primary + Marginalized): Sustenance Farmers, Local Business Owners, Families, KDG Usually work 12-14 hr./day & earn $10/month Basic need: Electrical Power (for lighting, business) Primarily provide sweat equity + KDG provided Land University of Nairobi (Secondary) Students + Faculty from the engineering school Trusted + Respected by community leaders & members University Resources Pennsylvania State University (Secondary) Faculty + students: technical + business knowledge Brand recognition, Trust NCIIA (Secondary) - Primary funding agency 39
  • 41. Kochia Windmill Socio-Cultural Analysis Socio-Cultural Analysis The case of the neighboring communities... Visiting Mzungus Breeding micro-jealousy Village chief of Kochia Essential to seek approval of; major say in community opinion Power/Opinion Leaders 4 Pastors, 3 Local Chiefs, 2 District Officers & A District Commissioner Popularity of special functions Weddings, Funerals, religious festivals 40
  • 42. Kochia Windmill Economic Analysis Economic Analysis Customer Segments: Community members: Income: $10/mo. Monthly Savings: 10% - 15% of monthly income Small Business Owners: Eg. Telephone Operator (KSh 150/mo.), Entertainment Center (Ksh 150/mo), Bicycle Repair Shop (KSh 450/mo.), Library (KSh 1200) Prospective Entrepreneurs: Sisal Decortication, handyman services, cell-phone charging Pain-point alleviation for batteries: Desire for battery ownership $40 vs. $30 41
  • 43. Kochia Windmill Leverage Points Leverage Points Power Players Kochia Development Group Quirine Misango Local Pastor Local Chief Battery Price Point: Deficit for battery ownership: $10 Informal ad-hoc hiring (construction + cook + babysitter) 42
  • 44. Kochia Windmill E-Spot Determination E-Spot Determination: Installation Stakeholder Money Time Sweat Other Majority of Land of Community Construction construction University of Collaborative Construction Transportation Nairobi system design Funds for daily System design, PSU Project Construction Knowledge meals Management Start-up Materials & NCIIA knowledge + supplies social capital 43
  • 45. Kochia Windmill E-Spot Determination E-Spot Determination: Sustainability Stakeholder Money Time Sweat Other Maintenance, Local project Maintenance, Breakdown Community management, KDG routine Knowledge repairs from Marketing operation income University of Breakdown Knowledge Nairobi repairs (Repairs) Expertise for PSU complex tech. problems NCIIA 44
  • 48. Case Study 2 Husk Power Systems Several Locations, India 47
  • 49. Husk Power Systems Design Design Rice Husk based power generation Rice husk biomass gasification Significant tar generation causing engine clog-ups Boiler & Steam Generation System Steam Evaporation: 30,000 kg/hr Steam pressure: 42 kg. cm Boiler efficiency: 83% Steam Turbine for generator Output: 5,000 kW X 8,119 / 1,800 RPM 48
  • 50. Husk Power Systems Bill of Materials Bill of Materials Money Time Sweat Other Husk burning Assessment on Metal work Billing Systems furnace availability of husk System Gathering husk Generator, turbine, development based from farmers, meters on local resource Cleaning availability Metal for support Market/customer Painting of all structure research metallic parts Feed system for Develop strategy husks for ‘char’ recycling 49
  • 51. Husk Power Systems Failure Analysis Failure Analysis Routine Maintenance Money Time Sweat Other 15 days Clean furnace Greasing of 1 month Tar disposal Tar removal generator Paint metal Rebuilding 1 year structure structure Common Failures Money Time Sweat Other Turbine gets stuck Greasing Cleaning Manage Tar Furnace Clean Reduced steam choke-up furnace Find new No profit Marketing markets 50
  • 52. Lighting up Kenya Stakeholder Analysis Stakeholder Analysis Community as the User (Primary + Marginalized): 100 % Marginalized Customer Base Prepaid Group Billing Husk Power Systems University Community as the Supplier: Rice Farmers own largest stake in the plant by providing husks Integral customers of the HPS University system Ministry of New & Renewable Energy: Subsidized resources to accelerate HPS reach Acumen Fund 51
  • 53. Lighting up Kenya Socio-Cultural Analysis Socio-Cultural Analysis Electricity Usage How will they use electricity? How can productive use be fostered? The better of the bad... What’s the tradeoff? 42,000 lt. (11,111 gal.) Kerosene + 18,000 lt. (4,762 gal.) Diesel 50,000 tons CO2 52
  • 54. Lighting up Kenya Economic Analysis Economic Analysis Customer Segments Community members: Income: $30/mo. Monthly Savings: 10% of monthly income Small Business Owners: Convenience shop owners, Wood & metal repair shops Where is the money? Rs. 50 ($1) / Month / bulb $900 - $1000 per kW vs. 2X - coal vs. 7X - wind/hydro vs. 10X - solar 53
  • 55. Lighting up Kenya Leverage Points Leverage Points Power Players Systems of Privilege : USA educated students Village Panch’s Mr. S. K. Singh - Scientist @ MNRE Rambalak Yadav “After 60 independent years, we have found freedom from darkness” Samta Samidhi Foundation Community ROI = 2X Investment Fully paid education for over 250 kids 54
  • 56. Lighting up Kenya E-Spot Determination E-Spot Determination: Installation Stakeholder Money Time Sweat Other Community Construction (User) Community Husk Rice Milling Transportation (Supplier) Ministry of Governmental New & Renew- subsidies able Energy Start-up Materials & Acumen Fun knowledge + supplies social capital 55
  • 57. Lighting up Kenya E-Spot Determination E-Spot Determination: Sustainability Stakeholder Money Time Sweat Other Usage charges, Community Increased HPS University Breakdown Knowledge (Users) usage through training repairs productive use Community Continued HPS University (Supplier) supply of husks Subsidies, MNRE Land grants Acumen Fund Topical Help 56

Editor's Notes

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  12. Alex Osterwalder, an author and advisor on developing innovative business models created an amazing tool called the Business Model Generator. The objective of this tool was to help technological geeks like me understand the various intricate aspects of developing a business plan and identifying a business model.\nIt addresses topics like:\nIdentifying your value proposition, customer segments and key partners\nDeveloping customer relationship and marketing channels\nAnd establishing the revenue streams and cost structures. \n
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  14. Alright folks, so without wasting any time, i&amp;#x2019;m going to dive right into the canvas here.\n\nParticipatory\n\nThere are 9 blocks to this canvas\n\nLets look at each of these blocks individually...\n\n
  15. The first part of the process is obviously the design phase.\n\nNow, beyond the actual design of the system, this block identifies the locally available resources vs those that must be brought in from outside:\n\nMATERIALS, SKILLS, and EXPERTISE that is found locally, or can be trained locally\n
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  17. Once we have a design, we move into developing the bill of materials, which is classified under 4 types of equity:\n\nMoney: all items that must be bought\n\nTime: time + non-labor intensive work\n\nSweat: time + labor intensive work\n\nOther: knowledge, credibility, trust, social capital, etc.\n
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  19. Next we examine the bill of materials, &amp; identify all possible failure situations that could occur within the system:\n\nthey could be regular maintenance items such as cleaning and oiling\n\nor common failure modes such choke-ups. \n\nThe idea is a develop MTSO tables for both these situations, along with timelines.\n
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  21. Next, we develop an End-of-life plan, for every physical item on all MTSO tables.\n\nEXACTLY what will happen to these items after their life period, whether its items discarded from maintenance or the entire system being decommissioned\n\nThe objective of this block is to answer ONE question.. If the design cradle to cradle?\n\n\n
  22. If yes, well fantastic. \n\nBut if not...\n
  23. Then this is the time to go back to the design, develop a new bill of materials and refresh the failure analysis \n\nto obtain as close to a cradle to cradle design as we can.\n
  24. The objective of this block is to identify EVERY SINGLE STAKEHOLDER, classify them as primary, secondary or tertiary stakeholders\n\nand then identify those stakeholders which were conventionally marginalized. \n\nthere are a few basic questions that we want to answer about these stakehodlers:\n\nwho they are and what they do?\nwhat are their needs and expectations from the venture?\nwhat can they offer to the venture?\nand what are their limitations?\n
  25. The Equilibrium Spot, or E-Spot canvas is a visual planning tool that allows social entrepreneurs to do 3 thigns:\n1. It allows the planner to develop a detailed bill of materials for installation &amp; sustainability of the system.\n2. It identifies the various stakeholders and the social, cultural and economic drivers for these stakeholders.\n3. Through a well-structured process, it lets the entrepreneur perform monetary &amp; non-monetary equity matches between the various resources required and the stakeholders to ensure win-win situations for all involved.\n\nLets look at each of these blocks individually...\n\n
  26. After the stakeholders, we analyze the target society as a whole and identify various social and cultural factors that significantly impact the venture:\n\nlifestyles, religions, cultural, occupations, the way of thinking and doing things\n\nbasically, we want to ask these questions:\n\n
  27. The Equilibrium Spot, or E-Spot canvas is a visual planning tool that allows social entrepreneurs to do 3 thigns:\n1. It allows the planner to develop a detailed bill of materials for installation &amp; sustainability of the system.\n2. It identifies the various stakeholders and the social, cultural and economic drivers for these stakeholders.\n3. Through a well-structured process, it lets the entrepreneur perform monetary &amp; non-monetary equity matches between the various resources required and the stakeholders to ensure win-win situations for all involved.\n\nLets look at each of these blocks individually...\n\n
  28. Now, we get into the trouble area:\n\nanalyzing the economics of our target market.\n\nhow much money do people make? how much of it can they save? \n\nwhere do they spend their money? what are their priorities? what factors influence their economic choices? \n\nbut, above all, as the entrepreneur, you want to answer 2 questions for your venture:\n\nHow much is the customer willing to pay for whatever you are selling?\n\nIn what form can they and will they pay this? \n\n(one thing i want to reiterate here is the whole concept of marginalized stakeholders. remember that including those that have been conventionally marginalized is a very important aspect of this canvas. and often times, those that are marginalized, have been marginalize due to various socio-cultural issues, resulting in lack of money. Can you come up with new innovative forms of payment, so that your venture can now give those marginalized stakeholders an agency?)\n
  29. The Equilibrium Spot, or E-Spot canvas is a visual planning tool that allows social entrepreneurs to do 3 thigns:\n1. It allows the planner to develop a detailed bill of materials for installation &amp; sustainability of the system.\n2. It identifies the various stakeholders and the social, cultural and economic drivers for these stakeholders.\n3. Through a well-structured process, it lets the entrepreneur perform monetary &amp; non-monetary equity matches between the various resources required and the stakeholders to ensure win-win situations for all involved.\n\nLets look at each of these blocks individually...\n\n
  30. Identifying leverage points, is a very tricky process whose output can only be bettered with experience. \n\nthe way i like to think about this block is: these points, are your wild cards. every time you are stuck, due to power, or politics or lack of resources, basically non design related issues, what or who can bail you out? \n\nthose are your leverage points. \n\nso obviously there is a lot of guess work that goes into knowing these points, however, identifying some of the power relationship and how they work can help identify the leverage points\n\nwho are your power players, opinion leaders, governmental authorities, popular naysayers, religious leaders, etc.\n
  31. The Equilibrium Spot, or E-Spot canvas is a visual planning tool that allows social entrepreneurs to do 3 thigns:\n1. It allows the planner to develop a detailed bill of materials for installation &amp; sustainability of the system.\n2. It identifies the various stakeholders and the social, cultural and economic drivers for these stakeholders.\n3. Through a well-structured process, it lets the entrepreneur perform monetary &amp; non-monetary equity matches between the various resources required and the stakeholders to ensure win-win situations for all involved.\n\nLets look at each of these blocks individually...\n\n
  32. And finally, the coup-de-gras: The E-Spot determination algorithm\n\nall the analyses that we have done till now, enery bit of information we have identified, it all goes into here. \n
  33. Now, i uderstand that this was a lot of information, thrown out at a very rapid pace. so now i&amp;#x2019;m gonna try to bring it home with 2 case studies. \n
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  44. 3.5 years down, 90% of capital has been recovered. \n
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