social enterprise in south australia

fredsocial enterprise practitioner

www.reddengreen.comwww.sse.org.au

Hi. I am…

fredWhat would I know?

fred

• DECS• Wheelchair Sport / SIU / APC• SPARC Disability Foundation• SA Mental Health• CanTeen• Consulting – NDS• Youthinc• School for Social Entrepreneurs

What would I know?

The starting point for any good discussion, meeting, or workshop on social enterprise should be a shared understanding of what a social enterprise actually is.

The starting point for any good discussion, meeting, or workshop on social enterprise should be a shared understanding of what a social enterprise actually is.

…2 minutes (promise!)From a practitioner’s perspective

Social enterprises are organisations that:

a. Are led by an economic, social, cultural, or environmental mission consistent with a public or community benefit;

b. Trade to fulfil their mission¹;

c. Derive a substantial portion of their income from trade²;

d. Reinvest the majority of their profit/surplus in the fulfilment of their mission.

¹Where trade is defined as the organised exchange of goods and services, including:• monetary, non-monetary and alternative currency transactions, where these are sustained activities of an enterprise;

contractual sales to governments, where there has been an open tender process ; and• trade within member-based organisations, where membership is open and voluntary or where membership serves a traditionally marginalised social group.

²Operationalised as 50% or more for ventures that are more than five years from start-up, 25% or more for ventures that

are three to five years from start-up, and demonstrable intention to trade for ventures that are less than two

years from start-up.

Social Enterprises take a number of forms and deliver outcomes as diverse as employment for the disadvantaged, important

goods and services or fundraising for other charitable activities and community projects.

A social enterprise is defined as any business venture created for a social purpose--mitigating/reducing a social

problem or a market failure--and to generate social value while operating with the financial discipline, innovation and determination of a private sector business.Social enterprises use entrepreneurship, innovation and market approaches to create social value and change; they usually share the following characteristics:

Social Purpose - created to generate social impact and change by solving a social problem or market failure;

Enterprise Approach – uses business vehicles, entrepreneurship, innovation, market approaches, strategic-

orientation, discipline and determination of a for-profit business;

Social Ownership – with a focus on public good and stewardship, although not necessarily reflected in the legal

structure.

Social enterprises may be structured as a department within an organization or as a separate legal entity, either a subsidiary nonprofit or for-profit.

The purpose of the social enterprise may be:

an additional funding mechanism for the organization’s social programs or operating costs;

a sustainable program mechanism in support of the organization's mission; or

a leadership development mechanism in support of social innovation.

Used for either purpose, business success and social impact are interdependent.

www.socialinnovator.info/

WARNING:What follows is a non-profit-centric view of the world(!)

social innovation

activism

social innovation

non-profit

activism

social innovation

non-profit

S-Ent

activism

social innovation

earned-income

non-profit

S-Ent

activism

Variety ClubMc2 FoundationQEHRF

social innovation

earned-income

business ventures

non-profit

S-Ent

activism

Smith Family

social innovation

social business venture(

s)

earned-income

business ventures

non-profit

S-Ent

activism

Examples to follow

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

activism

Grameen BankKivaWestpac

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

$(S)

activism

SEDIF

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

$(S)

G &P-S

activism

Jobs Fund

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

$(S)

G &P-S

CSR

activism

Bendigo BankVodafone

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

$(S)

G &P-S

CSR

SRB activism

All of the above

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

$(S)

G &P-S

CSR

SRB

P

activism

Engaged philanthropy / investment

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

$(S)

G &P-S

CSR

SRB

P

activism

V Volunteer sector

social innovation

social business venture(

s)

earned-income

micro-finance

business ventures

non-profit

S-Ent

$(S)

G &P-S

CSR

SRB

P ‘social enterprise’ as a noun or a verb

activism

V

Social enterprise in South Australia…

Social enterprise in South Australia.

Via the rest of the world…

UK (2007)

USA NYC, Wash.

(2008)

USA/CAN SF, Vanc. (2010)

South Australia

Op shops x135

Some observations:

• disconnectedness• co-opetition• welfare / charity / CRM • innovation, more than SBV• e.g. Jobs Fund (8 & 1)• no gathering around SE (noun)

Interesting opportunities:

• TACSI• social enterprise hub• Renew Adelaide• Indigenous social enterprise• SEDIF

Interesting opportunities:

• TACSI• social enterprise hub• Renew Adelaide• Indigenous social enterprise• SEDIF• Adelaide SSE

"At least half the non-profit executivesin this country now understand that they have to do something different… probably the best 2% to 3% of them understand what needs to be done and have the guts to actually try it."

(Jerr Boschee, 2007)

http://www.inc.com/magazine/19970515/1497.html

At the end of the day…• grants V earned-income• guidelines V innovation• funders V clients• compliance V relationships• ‘strings’ V self-determination• funding V self-sufficiency• survival V social impact

At the end of the day…• grants V earned-income• guidelines V innovation• funders V clients• compliance V relationships• ‘strings’ V self-determination• funding V self-sufficiency• survival V social impact

Take a look around…

fredM: 0411 864 820

www.reddengreen.comwww.sse.org.au

SSE & study tour…