6 ways of proving caring more than shareholder value
Incentives
Governance
Lobbying
Procurement
Investment
Producrs
Social Bricoleur
Perceive and act upon opportunities to address a local social need. They are motivated, and have the expertise and resources, to address it.
Small scale, local in scope
Small scale and local scope allow for quick response times.
Many social needs are non-discernable or easily misunderstood from afar, requiring local agents to detect and address them.
Social Constructionists
Build and operate alternative structures to provide goods and services to address social needs that governments, agencies, and businesses cannot.
Small to large scale, international in scope
They address needs left un-addressed
Laws, regulation, political acceptability, inefficiencies and/or lack of will prevent existing governmental and business organizations from addressing many important social needs effectively
Social Engineers
Creation of newer, more effective social systems designed to replace existing ones when they are ill-suited to address significant social needs
Very large scale that is national to international in scope and which seeks to build lasting structures that will challenge existing orde
They seek to rip apart existing social structures and replace them with new ones.
Some social needs are not amenable to amelioration within existing social structures
Social enterprise
Social Enterprises have a social mission, an economic goal and a socio-political goal
Social Innovation
Social innovation has to do with proven solutions that are already generating impact
Social Entrepreneurship
. Social Entrepreneurship is the process of creating impactful and sustainable solutions…
Managing Hybrid Organizations 101
Mission: Business and purpose .
Vision: Long term goal for the society .
Values: Culture and guidelines .
Bcorporation: Impact certification and assessment for companies or hybrid organizations committed to the impact agenda.
Business model definition
A business model describes the rationale of how an organization creates, delivers, and captures value, in economic, social, cultural or other contexts. The process of business model construction is part of business strategy
Revenue 2 important variables
willingness to pay versus ability to pay
Mission Drift, what?
Give up to social bottom line .
Social bottom line instrumental to commercial objectives .
Change target population or social issue addressed
Business Model:
Client = Ben
Automatic spillover
Market hybrid
Client =/= Ben
Bridging hybrids
Cont.spillover
Blending hybrids
Coupling hybrid
BPO, what and why?
Business process outsourcing (BPO) is a subset of outsourcing that involves the contracting of the operations and responsibilities of a specific business process to a third-party service provider.
Why do companies outsource services? .
Economic: cost reduction and transformation of fixed costs into variable costs .
Strategic: flexible service and focus on core competencies .
Technological: access to new technology
Impact Sourcing.
Impact Sourcing (IS) employs people at the base of the pyramid, with limited opportunity for sustainable employment, as principal workers in business process outsourcing centres to provide high-quality, information-based services to domestic and international clients. (Rockefeller Foundation, 2011) People at the base of the pyramid are individuals who live on annual incomes of less than $3 per day.
What is impact?
Impact = “significant and lasting changes in people’s lives, communities or ecosystems brought about by a given action or set of actions"
What is Impact Measurement?
Process of identifying the results that were achieved during or after a given activity
Factual What happened? (Baseline is the original state)
Conterfactual What would have happened? (Baseline is the alternative state
Theory of change
The Theory of Change (Weiss, 1995) elucidates how short-term changes relate to intermediate changes and then to long-term changes. It offers a logical causal description, which lists the set of activities and results necessary to achieve the desired change or impact.
It should be:
Plausible
-feasible
verifiable
Scarling Readyness 5 R
Readiness
Relevance
Risk
Revenue
Resources
Impact Scaling, 3 Strategies:
Scale Deep -> Existing Costumer
Scale Up -> New Costumer
Scale Out -> Make it for free
Who finances “no business model yet”
FFF
Donations
Reward-based crowdfunding
Venture Philanthropy
Who finances “B2B // B2C (user = payer)”
Hybrid grant / loan
Equity crowdfunding
Unsecured loans
Quasi-equity
Who finances “B2G (user not payer)”
Social Impact Bonds Secured
Last changed7 months ago