3. + 1.000 M people in extreme poverty
(- USD/day)!
We need to change the rules of the
game!
4. new, integrated models are emerging!
charity
fundraised
/
grant
income
!
!
social
enterprise!
impact
innovation!
CAUSE! STRENGHT!
!
Grey area in which organizations are often loosely referred to as
social enterprises!
charity
with
‘on
mission’
trading/
contrac6ng
!
social
enterprise
!
socially
responsible
enterprise
!
business
genera6ng
profits
for
charitable
spends
!
commercial
enterprise
!
Adapted from “Financing Civil Society”, Venturesome
5. FotoETV
social enterprise, !
which is the essence?!
ü is a business (delivers good / service)!
ü main goal: + social or environmental
transformation !
ü the impact is integral to the nature of
the trading activity!
ü profit is a mean, not an end!
Don’t live in the “or”, but in
the “and” world!
6. High
quality,
affordable
for
all
healthcare
A
network
of
medical
centers
that
offer
services
and
products
at
below-‐
market
prices,
6ered
according
to
the
pa6ents’
socio-‐economic
level.
the
impact
•
has
60%
of
the
market
share
of
health
services
in
Costa
Rica
•
has
generated
a
saving
in
surgical
procedures
+40%
vis
a
vis
other
private
clinics,
which
have
been
forced
to
lower
their
prices
•
provided
services
for
3
M
people.
27,000
sophis6cated
eye
surgeries
•
8
clinics
cover
geographically
the
whole
country
• also
serves
schools,
peniten6ary
centers,
homes
for
the
elderly,
etc.
the
business
model
• started
as
a
3-‐year
grant-‐based
eye
care
program
for
rural
areas,
now
8
clinics
covering
every
medical
specialty
(from
basic
vision
tests
to
sophis6cated
surgical
procedures).
• =erd
pricing
system
by
which
mid
income
pa6ents
-‐paying
rates
40%
below
market-‐
subsidy
low
income,
rural
pa6ents
• this
enables
ASEMIS
to
cover
costs
while
maximizing
impact,
not
profits.
Profits
reinvested
in
opening
new
clinics
and
health
special=es
(re6na
and
cornea
surgeries//permanent
provincial
clinics
replaced
periodic
tours)
• USD
5,700
Million
budget
case #1 // consolidated
7. the
learnings
• organic
growth,
financed
from
cash
flow.
Revenue
serves
to
finance
new
services
or
units
un6l
they
reach
break
even
//
occasional
cashflow
stretches
• pioneers
in
a
non-‐existent
market,
once
Asembis
found
out
how
to
deliver
services
effec6vely,
the
growth
strategy
was
based
in
developing
a
system
based
on
rou6nes,
improving
prac6ces
con6nuously,
and
inves6ng
profits
to
build
addi6onal
capacity.
Some6mes
the
innova=on
is
in
the
process
• “leave
Opera6ons
to
professionals”
• strong
investment
in
recrui6ng
“integrated”
staff
(top
quality
doctors,
nurses
or
admin,
socially
commi]ed)
• For
profit
mentality
while
maximizing
social
impact
–
the
sophis=cated
balance
8. A distribution network of products & services manufactured by
people with disabilities (PwD)!
increase skills and income, while promoting corporate conscious
purchasing!
PDW
B
B
B
PDW
PDW
TA,
financing,
equipment,
aggregated
supplies
purchase,
new
markets,
stability
in
sales
-‐
compe66ve
products
-‐
opportunity
to
build
inclusive
value
chains
Flexibility
in
Purchase
Corporate
Volunteers
U
TI
Universi=es
-‐
TA
-‐
Process
improvements
F
Financing
Pa6ent
working
capital
S
Suppliers
Flexible
condi=ons
- Increased income, skills, dignity, autonomy and citizenship for PwD
- New perspective from businesses and consumers towards the capabilities
case #2 // ready to scale
ª 20 PwD production
workshops !
ª 700 workers with
disabilities
improving skills
and income!
ª 90,000 + hours of
work !
ª 105 client
companies !
ª 943,000+ people
consumed a
redACTIVOS product!
ª 40% of redACTIVOS
annual profits
invested in La
Usina NGO!
9. The model / Lessons Learnt
² The Social – Commercial
“tension” was a catalyst for the
healthy growth of the social
enterprise!
² Breaking the mistrust barrier -
opening a new niche means the
need to build trust in every
stakeholder!
² Increase production capacity
while generating new skills in
PwD – not any product will do!
² Access to working capital!
² The relevance of relevant KPI to
make better strategic decisions!
² Network effect is key to success!
11. foto tagging
audio transcript !
community manager!
Software testing!
+ empowerment!
!
+ first work
opportunity!
!
+ work in your
place / flexible!
!
+ new perception
from the
corporate sector!
!
12. 4 models by which a social enterprise achieves
changes the rules of the game!
2 Inclusive Value Chain!
1 Generates Access!
4 Community Ownership !
IMPACT
3 Circular Economy – Regenerating
Ecosystems!
13. Access
to:
Housing
Nutri6on
Energy
Health
Sanita6on
Produc6vity
Financial
services
" Aravind,
cataract
surgeries
to
fight
preventable
blindness,
6
hospitals
in
India,
300,000
surgeries
/
year
" Amagi:
Fashion
ougit
for
people
with
disabili6es
www.amagi.com.ar/
"
The
Working
World:
Accessible
financial
services
to
recovered
factories
and
coopera6ves.
www.theworkingworld.org
"
Proyecto
Ser:
high
quality
healthcare
for
low
income
women
in
Northern
Argen6na.
Purchasing
a
USD
5
card
annually,
they
have
access
to
affordable
medical
services.
100,000
women
associated.
" Moses
Muzaazi:
biodegradable
sanitary
pads
that
help
prevent
female
adolescent
scholar
drop
out
in
Uganda.
Local
produc6on.
"
IDEAAS:
Affordable
solar
energy
panels
in
rural
communi6es
with
no
access
to
electricity,
through
leasing.
"
Energe:
solar
heaters
for
low
income
communi6es,
rural
mid-‐income
producers,
and
ABC1
sector.
www.energe.com.ar
" SolarEar:
Low
cost
hearing
aids,
feed
with
solar
energy
and
rechargeable
ba]eries
(long
useful
life).
www.solarear.com.br
" Ikotoilets:
toilet
malls
to
promote
sanitary
use
culture
in
Kenya.
www.ecotact.org/ecoweb/
" ZMQ:
Health
preven6on
&
educa6on
in
isolated
rural
areas
through
mobile
phone
gaming
h]p://www.youtube.com/watch?v=du7zWSpKSKo
Genera=ng
Access
Model
14. Inclusive
value
chain:
Vulnerable
communi6es
Partners
Producers
Distributors
Co-‐creators
"
Interrupción:
sells
in
the
US
organic
produc6on,
under
fair
trade
system,
of
12,000
La6n-‐American
small
producers.
With
the
fees
of
fair
trade,
educa6ve
/health/
financial
service
funds
are
created
for
producers
and
their
families.
www.interrupcionfairtrade.com
"
Oro
Verde:
Cer6fies
social
and
environmental
mining
responsible
prac6ces
and
gives
craosman
miners
access
to
markets,
by
paying
a
fee
that
goes
back
to
their
local
communi6es.
700
families/5,000
people
self
www.greengold-‐oroverde.org/loved_gold
"
Granja
Andar:
Catering
service
and
bakery
that
gives
work
to
95
people
with
intellectual
disability.
Family
franchises.
"
RedAsta:
Direct
selling
system
of
jewelry
and
design
products
elaborated
by
800
small
craosman
women
in
Río
de
Janeiro,
Brasil.
www.redeasta.com.br
"
MicroConsignment:
Sale
of
product
and
services
that
improve
life
quality
of
isolated
rural
communi6es
through
local
entrepreneurs.
248
entrepreneurs
sold
55,400
products.
They
improve
income,
acquire
new
abili6es,
gain
protagonism.
Greg
van
Kirk.
www.cesolu6ons.org
Inclusive
value
chain
model
15. "
Mamagrande:
Bio
plas6c
produc6on
using
natural
renewable
resources,
cleaning
polluted
water
and
bringing
low
income
rural
communi6es
into
the
value
chain.
www.mamagrande.org
"
Guayaki:
Works
jointly
with
organic
cer6fied
yerba
mate
producers
and
under
na6ve
species
of
Atlan6c
rainforest
in
Argen6na,
Brasil
and
Paraguay.
The
objec6ve
is
the
conserva6on
and
development
of
communi6es
through
the
commercializa6on
of
products
in
USA
and
Canada.
www.guayaki.com.ar
Circular
economy
model
Ecosystem
regenera=on
17. # 1
create markets!
ü non-existent markets, no
suppliers, no competitors !
ü higher associated costs!
ü need to raise awareness!
18. # 2 empathy in R+D!
ü high quality technologies that
actually meet the needs and
desires of underserved
communities!
ü users are key to co-design goods
and services!
Foto Amagi
19. ü ‘last mile’ is the first one!
ü + eficiency in distribution
chain!
ü based in local entrepreneurs!
ü tiered pricing!
# 3
distribution to
enable access!
Foto Community Enterpise Solutions
20. # 4 governance /
decisions shared with
stakeholders!
ü underserved communities
gradually at some point of
decision making!
ü Producers opening costs /
consumers involved to lower
prices!
ü empowerment!
26. 26
Ø we believe in the high potencial of
social business!
Ø we create them!
27.
28. We
s=mulate
impact
innova=on
opportuni=es.
We
co-‐build
the
impact
economy
ecosystem
We
co-‐build
and/or
accelerate
impact
innova=on
enterprises.
Co
Crea=on
Hubs
Our
solu6on
28
