social entrepreneurship workshop part 2

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Youth Time 2013- Croatia Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal SOCIAL ENTREPRENEURSHIP Workshop “Become a changemaker” Youth Time

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Page 1: Social entrepreneurship workshop Part 2

Youth Time 2013- Croatia Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal

SOCIAL ENTREPRENEURSHIP Workshop

“Become a changemaker”

Youth Time

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Day 2

9-11.30 Find a Social Mission• Identify an issue

• Global MDGs (millennium development goals)• European Problems – Un employment, drug abuse, violence,

Xenophobia, immigration• Social –physical problems related to disabilities

• Innovate!

12-2pm Build a Social Enterprise with a social business model• Creating an organization around social mission

Role of institutions and eco-system in entrepreneurial risk taking

• Social Business Model (hybrid/ warning on mission drift) Case discussion on Kiva and MyC4 Different type of funders (eg. Venture philanthropy)

• Social Impact assessment

3-5pm Changemaking skills•Entrepreneurship, creativity…

Preparation for day 3

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Identify what are you passionate about…And give yourself the permission to act!

YOU can be a social entrepreneur

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Learning journey

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Social Mission

• What is your social mission?• How do you identify a social mission?

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Millennium development goals

http://www.youtube.com/watch?v=v3p2VLTowAA

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Mohamed Yunus

Vicky Colbert

Lucky Chetry

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Anne Roos-Weil

Matrone- Mali

Veronica Khosa (South Africa)

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WTO/ Selco/ Fabio Rosa

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Do you know who is one this banknote?

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• Born in 1870 in the small town of Chiaravalle, she was an average grade-school student who took an interest in sciences and became the 1st woman in Italy to graduate from medical school.

• Working as a psychiatrist with disabled and retarded children, she proved that with training and sensory stimulation, many of these children could pass tests designed for normal children.

• She has shown that the absorbent mind of a young child is infinitely capable of self-directed learning!

Maria Montessori

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THE ISSUE

France : 22% of the population (= 14 million people) are « senior »1 million are dependent & receive state benefits = cost of €4

billion

Medical research has added years to our lives but those years are not always full of life (lack of mobility, disease, dependency, loneliness)

- Life expectancy and medical costs are rising- The amount of people available to take care of the elderly is

diminishing

Jean-Michel Ricard, Siel Bleu

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Preventive health through adapted medical health

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“In a world where the amount or knowledge doubles every two years, we need to learn to learn and learn to unlearn. Adaptation is the only pattern possible in education in the 21st century, and it requires mastering meta-skills, not only steady knowledge.”

Insight: Unlock barriers between learning topics to foster the students’ creative, initiative-driven and exploratory attitudes to improve their success at school and in life.

François TaddéiFounder & Director

Center for interdisciplinary research

http://www.cri-paris.org/

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Arnoud RaskinFounder & CEO

Insight: Because street kids face so many problems, they need to look to create opportunities in order to survive. Mobile Schools and Streetwize use this creativity to help find ways to improve the lives of street children.

“Street kids have developed the skill to see opportunities in the context of crisis.”

Mobile School and Street Wize

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Mobile Schools has 31 organizations in 20 countries that are fully dedicated to implementing the model.

Streetwize has made the Mobile Schools project self-sustaining.

Learn more on Mobile School and Streewize:http://www.streetwize.be/en

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Marie Trellu-KaneFounder and CEO

Insight: Give the opportunity to the young generation to involve locally in solidarity, proving their changemaking potential and developing their social and emotional skills through community service.

Unis-Cité

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5,000 young people are mobilized every year in full time during 8 months in average

The actions carried by the young volunteers reached out 115,000 beneficiaries.

The project inspired the 2010 national law on Civic service in France.

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1. Know yourself (intrapersonal intelligence)-

Personal reflection • to catalyze and strengthen conceptions of

personal power • to understand passions and the consequences of

our own actions• to explore and challenge our preconceptions

Key steps

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Drivers and motivations

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Inside

What are you passionate about? What are your skills, competences?

10 min

> Look inside of you

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2. Understand the others (interpersonal

intelligence) • Exploration of interpersonal dynamics: to

understand the connection to one another and to the larger community through active listening

 

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INVESTIGATE

ASK QUESTIONS

LISTEN TO PEOPLE’S STORIES

TAKE PICS AROUND YOUR NEIGHBORHOOD

IDENTIFY THE PEOPLE INVOLVED AND AFFECTED BY THE PROBLEM

ENGAGE, TALK with people, ASK QUESTIONS, TRY TO UNDERSTAND THE REASONS FOR THE PROBLEM

Empathize with the people who have the problem

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Why will I learn from you?

25

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Outside

> Observe the world around you

10 min

What do you observe? What are the social problems that bring you to say: « No, I can’t accept that! »

Who would you like to help?

Migrants, homeless…

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3.Explore an issue

Deep study of the community issue that you seek to solve through: • root cause analysis• systems thinking• identification of patterns• discussions with the community on its needs 

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How to find the root cause?

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Heart

Cause

Problem

Symptom

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Heart: low emotional

intelligence

Cause: multiple

Problem: student behavior

Symptom: violence in schools

Example: Roots of Empathy

Mary Gordon Ashoka Fellow since 2002

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4.Innovate!• Analyze what are the existing solutions and

imagine new ways to solve the issue you have identified

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Youth Time 2013- Croatia Social Entrepreneurship . Florence Rizzo and Anirudh Agrawal

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What is Innovation?

Institutional Innovation

Product-Service Innovation

Organizational Innovation

Organizational EnvironmentOrganizational Boundary

Organizational Structure

Organizational actors

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Types of Innovation?

• Structural level innovation (process, systems)• Actor level innovation (HR, work methods, team,

function-skill level)• Organizational boundary level innovation• Environmental level innovation (region, culture,

taste, macro-political-economical)

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Types of Innovation?

• Incremental innovation– IOS 5.1 to IOS 6.0– Windows 7 to Windows 8

• Radical Innovation– Windows 95– Iphone first generation, Ipad1, Ipod 1– Inductive charging

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Open Innovation vs Closed InnovationClosed Innovation Principles Open Innovation Principles

Smart People get hired, work for Large companies, are PhDs or Ivey League Universities, give them money

Smart People are everywhere, they can work from anywhere for anyone, their motivations are not just money

To profit from Innovation orientation, we must discover it ourselves, develop it ourselves, and get it to market

Firms must be receptive to Innovation surrounding us, innovation can come from both inside and outside firm boundaries

Patents, IP rights, copyrights give us undisputed monopoly in the market

We don’t really have to create innovation in order to profit from it

We must protect our capabilities from others, must not let anyone see or use our capabilities

We can create competitive advantage by letting outsiders use our capabilities and generate revenue as well

http://www.openinnovation.eu/open-innovation/

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Open Innovation

Ref: chesbourgh

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Can customers innovate?

38

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Factors that Promote Open Innovation

• Organizational Factors– Flexible Organizations– Hierarchy (Flat vs Pyramidal)– Information hoarding vs Information sharing– Service based vs Product based vs Project

based

• Market Factors– Lead User innovation– User education and Sensiblization– Price, method of Promotion , place of promotion– Competition

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Open Innovation video..geeky

• http://fora.tv/2008/04/08/MITs_Eric_von_Hippel_Open_Innovation

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In groups, imagine! Invent solutions

Objective: Imagine what you can do to

solve the issue you have identified

Be carfeful! Try to be specific, you are not

going to change the world at once

You have completed your shield?

20 minin group

Brainstorming time

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4 Brainstorming rules

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Among all the ideas, Find the VGI

(Very Good Idea) !

Select one idea

Lots of ideas

5 min VGI

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Day 2

9-11.30 Find a Social Mission• Identify an issue

• Global MDGs (millennium development goals)• European Problems – Un employment, drug abuse, violence,

Xenophobia, immigration• Innovate!

12-2pm Build a Social Enterprise with a social business model• Creating an organization around social mission

Role of institutions and eco-system in entrepreneurial risk taking

• Social Business Model (hybrid/ warning on mission drift) Case discussion on Kiva and MyC4 Different type of funders (eg. Venture philanthropy)

• Social Impact assessment

3-5pm Changemaking skills•Entrepreneurship, creativity…

Preparation for day 3

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I have a dream… that one day…

Vision will drive you • A vision for society, for your organisation• Consistent with the social need• Ambitious but reachable• Attractive for any potential partner

Big picture, long term :Your reason to get up in the morningThe thing you will share with your team

http://www.dailymotion.com/video/x2vlq1_martin-luther-king-i-have-a-dream-s

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Ashoka envisions an Everyone A Changemaker™ world: one that responds quickly and effectively to social challenges, and where each individual has the freedom, confidence and societal support to address any social problem and drive change.

VIS

ION

Example: Ashoka’s vision

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SELECT &SUPPORT

SUPPORT GLOBAL CHANGE

BUILDCOMMUNITY

An Everyone A Changemaker™ World

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Vision & Key programmes

Build a dynamic citizen sector where everyone can be a changemaker

Fellowship

Créer des groupes d’Entrepreneurs Sociaux

Venture

Social Entrepreneurs « Core Programme »: selection of

innovative Social Entrepreneurs « Ashoka Fellows »

Support professionnally & financially the Fellows in the scaling-up of their project; Encourage collaborations within the global network

Promote Social Entrepreneurship, share best practises with all the key actors of the citizen sector

Youth Venture, events, FEC…

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5.Plan implementationOnce ideas for social change are solidified, each participant will engage in a process of designing an implementation plan (Social Business Plan).A. Vision/ Mission/ ObjectivesB. Need analysisC. Added Value of the service/ productD. StrategyE. Business ModelF. OrganisationG. Evaluation of social impact

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Business Model

• How organizations creates, delivers and captures value– What is the value proposition?– What are the target markets? – Who are the critical members of the team?– Where does competitive advantage exist?– Why is there a competitive advantage? – When will development, launch and cash flow

breakeven occur?

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Types of Business Model

• Brick-and-mortar– Companies that operate solely offline with traditional

business practices

• Click-and-mortar– Companies operating with both an online and offline

presence

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PhysicalAssets

People

Money

Business Model

Market Opportunit

y

Revenues

Customer Base

Profits

Cash Flow

Intellectual Property

Value Creation

via

Inputs Recipe Target OutputsHow Output

Valued

Intellectual Capital

LicenseRevenues

•IPO

•Merger/ Acquisition

•Dividend Stream

Business Model Analysis

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KIVA and MYC4

• http://www.youtube.com/user/kiva

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Business model canvas

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Base of the Pyramid

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Base of the pyramid

• Nearly 3.7 billion people across emerging economies occupy the base of the pyramid (BOP); they earn less than US$ 8 a day (2002 PPP$) and remain largely excluded from formal markets

• Within this group is a sizable segment of potential consumers, producers and entrepreneurs who could be engaged by companies profitably with new business models – they are the “Next Billions”

• The first step for companies seeking to engage the poor as producers and consumers will be to overcome traditional stereotypes and mindsets about who they are and what they can accomplish

• Companies that are first to overcome the inherent challenges of this segment with sustainable business models will gain a competitive advantage, while improving the lives and livelihoods of this large population

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Estimated BOP market sector

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Estimated BOP market sector

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Estimated BOP market sector

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Estimated BOP spending on health

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BOP market of Housing

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BOP Spending on ICT

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BOP market for Water

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BOP market for Energy

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BOP market for Food

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Social Impact Assessment : Definition

Social impact (Burdge & Vanclay, 1996)

By social impacts we mean the consequences to human populations of any public or private actions that alter the ways in which people live, work, play, relate to one another, organize to meet their needs and generally act as a member of society. The term also includes cultural impacts involving changes to the norms, values, and beliefs that guide and rationalize their cognition of themselves and society

Social impact (Latané, 1981)

By social impact, we mean any of the great variety of changes in physiological states and subjective feelings, motives and emotions, cognitions and beliefs, values and behaviour, that occur in an individual, human or animal, as a result of the real, implied, or imagined presence or actions of other individuals.

Social Impact Assessment (Freudenburg, 1986)

Social impact assessment refers to assessing (as in measuring or summarizing) a broad range of impacts (or effects, or consequences) that are likely to be experienced by an equally broad range of social groups as a result of some course of action.

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Social Impact Assessment : Definition

• Impact Assessment (IA) : process of identifying the future consequences of a current or proposed action. The “impact” is the difference between what would happen with the action and what would happen without it…..

– Provide information for decision-making that analyzes the biophysical, social, economic and institutional consequences of proposed actions.

– Promote transparency and participation of the public in decision-making. Identify procedures and methods for the follow-up (monitoring and mitigation of adverse consequences) in policy, planning and project cycles.

– Contribute to environmentally sound and sustainable development

http://www.iaia.org/publicdocuments/special-publications/What%20is%20IA_web.pdf

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What is SROI?• Generic name given to methods of policy analysis that

compare public and private benefits and costs

• Results may be expressed in different ways

– Percentage return on investment

– Benefit/cost ratio

– Net present value of project

Anirudh Agrawal

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What is SROI?

• Social Return on Investment (SROI) The ratio of social returns to investment. This includes monetizing predicted future outputs and sometimes outcomes.

• It measures social, environmental and economic outcomes and uses monetary values to represent them. This enables a ratio of benefits to costs to be calculated.

• An SROI analysis can encompass the social value generated by an entire organisation, or focus on just one specific aspect of the organisation’s work, and can be an in-house exercise or led by an external researcher. Anirudh Agrawal

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Youth Time 2013- CroatiaAnirudh AgrawalWold bank SIA handbook

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Convince funders

Anirudh Agrawal

• http://lsi.mckinsey.com/Voices_from_the_field/Interviews_on_Impact.aspx

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Day 2

9-11.30 Find a Social Mission• Identify an issue

• Global MDGs (millennium development goals)• European Problems – Un employment, drug abuse, violence,

Xenophobia, immigration• Social –physical problems related to disabilities

• Innovate!

12-2pm Build a Social Enterprise with a social business model• Creating an organization around social mission

Role of institutions and eco-system in entrepreneurial risk taking

• Social Business Model (hybrid/ warning on mission drift) Case discussion on Kiva and MyC4 Different type of funders (eg. Venture philanthropy)

• Social Impact assessment

3-5pm Changemaking skills•Entrepreneurship, creativity…

Preparation for day 3

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New DNA!

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Discovery-driven vs delivery driven

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Cooperation

Empathy

Creativity

Leadership

Key Skills

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Is it new?Is it system changing?

NEW IDEA

CREATIVITY

ENTREPRENEURIAL QUALITIES

SOCIAL IMPACT

ETHICAL FIBERIs the entrepreneur totally honest? Is he/she deeply committed to serve others?

Does the project have the potential to create change at the national / continental level?

Will she/he not rest until their idea becomes a new pattern in society?

Does he/she have a track record of taking creative initiatives?

Example of criteria (to become Ashoka Fellow)

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What is a social venture? An idea with legs!

6.Express your projectExpress your idea and learn how to make an elevator pitch.

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• Name and slogan

• Why this project? (social need, target, existing solution)

• Your solution (social need, what is your added value)

• Why this project is feasible? Concrete actions, potential of development, business model

• Expected social impact

• Why are you the right person? The right team?

Oral presentation- Elevator pitch

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• Tell a story• Be authentic and passionate• Provide people with evidence• Be careful to non verbal communication :

‣ Silences‣ Smile‣ Eye contact‣ Dynamism‣ Body langage

Oral presentation- Elevator pitch

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5 min oral presentation

from each groupe

+ 5 min feedback from the others

Feedback rules:

• Groupe divided in 2

• Angel/ evil• Angel: positive

comments, focus on strenghts

• Evil: key questions

•Each time we change

Exercice- Feedbacks from the others

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1.Be driven 2.Work hard3.Fail fast4.Remain persistent5.Be ambitious and humble at the same time

Last tips

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Further readings

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Together, we can

change the world

Florence [email protected]

Anirugh [email protected]

Contact us:

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Annexes

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Understand the urgency of the social problem in order to bring the best solution and convince potential partners and funders / investors.

1) Identify & define the social need (problem / stakes / causes)

2) Evaluate the total cost of the problem (sum of negative consequences / direct & indirect costs + human costs)

Dependency allowances : € 4 billionMedical costs reimbursement : 80% of French Health public system

(€118 billions)Impact on familiesHuman costs : low quality of life, social isolation3) Identify your targets (direct & indirect targets, the payers, the

number of involved people…)The old people, their families, intermediaries (medical staff, retirement

homes, …)= 1 million people involved, 15% of the French population is more

than70 years old (9 million of people)

A. Issue

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Analyse the main obstacles that prevent the problem from being solved and identify your leverages.

4 steps :1) Define your long-term vision (10 years ahead)Better quality of life for the old people, recognition of non medical

health prevention in the Health public policies. 2) Identify obstacles to overcomeLack of proof to recognize the relevance of prevention; lack of public

funding, lack of interest from professionals to work with old people.

3) LeveragesStudies of prevention, lobbying, communication/raise awareness,

position SIEL Bleu as a key player 4) Success indicatorsPrescription of « adapted physical activities » by doctorsReimbursement by the Health public system as « preventive

medecine »

B. Solution

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What are the other existing solutions? (Actors & prices)What are your advantages? What in your work is really unique?

1) Existing solutionsSport Federations, retirement homes’ activity leader, sport coaches at

home… Comparison criteria : geographical location, qualification level, trans-

sector dimension…)2) How to you compare yourself to them ?- Lower total cost SIEL bleu : 60€ / hour, budget in 2007 : €6 millions- Higher social impactHelp 60 000 people per week stay fit + professionalismMain goal : HEALTH – not sport- Creative way of mobilizing resources Large range of pricing to make the activities accessible to everyone

C. Added value

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Which activities should you keep, focus on, let down, develop? How can you choose ? How to be the most relevant & coherent with your

vision? What is the best strategy to succeed?

Be at the crossroads of : 1) Your deep motivation Prevent the risks for old people, prevent & delay dependency, create

social connections2) Where you can be the best Invent new methods, stay sharp on innovation & preventive healthEx : create a new profession, ne programs – at home, for companies, for

disabled people… 3) What allows you to generate money (economic model)Sale of services to direct or indirect beneficiaries (Department of Social

Welfare, Health insurance companies…)

D. Core business

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How to find sustainable funding to support & reinforce the social mission?

1) Can the direct beneficiaries pay for the services ? Sale of adapted physical activities programmes – multitiered pricing

model, adaptation to everyone’s revenus. 2) Can the indirect beneficiaries pay for the services ?Partnerships with the Welfare system & insurance companies3) Can you reduce the costs?4) Can you value some assets?

E. Business Model

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How to measure social impact ? Which methods can be used ?

1) Think about your reporting tools right at the beginning of the project 2) Create quantitative & qualitative criteria & indicatorsDirect beneficiaries : 60 000 people per week / less accidents at

workplace for GPS santéMedical impact – partnership with the French Institute of Medical and

Health Research (INSERM) Regular physical activity allows a 30% reduction of the mortality rate;

diminishes the incidence of cardiovascular diseases and diabetes; inhibits the development of a number of degenerative diseases such as osteoporosis.

One hour of physical activity reduces the risk of femur fracture by 6%.3) Take into account the impact on direct beneficiaries but also on

indirect beneficiaries (families, neighbourhood, society…)Indirect impact : creation of a new profession (representive in adapted

physical activity) and trainings through a specific specialization at the Sport Sciences University.

F. Mesure social impact

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Social Change with LONG-TERM IMPACT

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What would be the best team to lead the various activities of your organization ?

1) Find your model, think about your organization - Which governance? What are your company values? What is your

management style?

2) Organize and anticipate operations!- HR management, mobilization of the right competencies- Infrastructure, best locations, tools…- Financial anticipation (analytical accountability, planning…)

G. Team/ Organisation