The Financial Times on social enterprise

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The Financial Times carried a piece on social enterprise last Thursday, which somehow crept past our eyes, entitled "When the good struggle to be great". It covers the mighty GreenWorks, and attempts to wrestle with two key questions (which won’t be new to many of you…):

1) What exactly constitutes a social enterprise?
2) How can such businesses achieve the scale needed to meet the expectations being heaped on them?

The first is an old thorny argument: social entrepreneurs choosing the models most effective to them achieving their outcomes, or social enterprises being defined by their business model. As if to elucidate this issue, the FT article mentions CafeDirect, Big Issue and Fifteen, none of which are a CIC, a Co-op, a social firm, a DTA etc….but a Plc, a private limited company and (I think) another company (the Fifteen website says that the charitable arm, the Fifteen Foundation, "effectively owns the restaurant"). I’ve probably said enough on definitions to last a lifetime but would only add that the issue for me is transparency; we trust CafeDirect because it is clear that 86% of its profits go back into their social initiatives; we trust Fifteen because it is clear that all profits go to fund the work. And so on. A CIC does lock in assets (and prevent takeovers?) but it’s not necessarily a barrier to unethical practices, or a direct route to the most effective social impact.

Interestingly, Gordon D’Silva (of Training for Life) is quoted as saying that “a lot of rubbish about 55,000 successful social enterprises”, the government’s estimate, and it’s certainly true to say that there is a fair amount of scepticism about that figure. And there’s mention of a web toolkit for budding social entrepreneurs which we look forward to. It’s also interesting that Gordon talks of "sharing knowledge" as a means to scaling the industry, rather than necessarily expanding his own organisation to the hilt.

It’s just frustrating that a major piece of coverage in the mainstream business press should focus on what is, really, a bit of a tired debate. Yes, some focus on the individual making change and some focus on the model/structure. Some more on the social impact and some more on the (financial) sustainability….but there is room for all of them and more, and the less time spent debating these internal issues and the more spent delivering on the promises the better.

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Enterprising solutions and other things

Racking up things to blog about at the moment, so here’s a round-up of a few things to clear the blog intray…..

Enterprising Solutions Awards last night, organised by SEC (well done all), with some worthy winners (see the shortlist on the site), an entertaining host and a really moving speech by the main winner Sunderland Homecare….supplement on the winners in the Observer this weekend.

– Ed Miliband was also there last night, and worth mentioning the philanthropy research centre he launched last week; see the Cabinet Office press release for more. I assume they will be speaking to SSE Fellow Dave Pitchford, whose Intelligent Giving site goes live soon….

– Gordon Brown, meanwhile, gave a speech at the Corporate Social Responsibility dinner which talked of Britain being the world leader in CSR and talked of the achievements in social enterprise and volunteering….see here for more

– Interesting report on social enterprise and housing associations
from the Camberwell Project; coming at it from the housing associations
creating/becoming social enterprises, rather than empowering their
residents, though….

– Loving some new terms in this field: vetrepreneurs and hyperpreneurs; oh yes.

– Amidst all the hullabaloo (sp.?) about social enterprises delivering in health and care (after a big conference recently + a new initiative), it’s worth pointing out a more cynical view of the current trend from a practitioner who points at three drivers for becoming a social enterprise, namely:

    fausse sacoche de luxe

  • Looking impressive to political masters
  • Trying to stay one-step ahead of the next      organisational restructuring
  • Pure cold-blooded knee-trembling fear

– Finally, what about cut your friends, improve your effectiveness as a strapline for the future? Food for thought….

[via lots of places, but especially, VoluntaryNews and Xpress Digest ]

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Beijing Social Innovation Conference

A few blog posts about the Beijing conference on social innovation from others already, but here’s my contribution/reaction…chronologically, for want of any better ordering method.

SUNDAY: Arrived after a good flight chatting to Brett Wigdortz (of Teach First fame) and Steve McAdam (from Fluid) amongst others, and having flitted between Mission Impossible Three and China Shakes the World. Given my short amount of time, Brett and I caught the tube into the centre of Beijing that night for a brief glance at Tiananmen Square, and a good roast duck….before the real work began….

MONDAY: I was slightly disconcerted on my way down to the opening ceremony by the fact that the CNN news report I’d been watching in the hotel room had been cut off in the middle (it was concerning Nepal/Tibet border shooting: see this article for both sides of the story), leaving a black screen.

Anyway, we kicked off with intros from the organisers and dignitaries. Couple of quotes I captured include Gerard Lemos (of British Council) saying that social entrepreneurs had “optimism as a social duty, even a moral duty”, and that this was driven by “people who understand people”, and that “policy should be driven by practice, not the other way round”.

Geoff Mulgan (of Young Foundation) said that YF saw this as the “beginning of a global network of shared thinking”, and hoped it would “speed up the process of innovation and learning”. More interestingly, perhaps he also talked about “tapping into collective intelligence”, and the need for “leadership providing the space for innovators to evolve”. Finally, he also related it back to Michael Young who had “a clear focus on needs, an empathy to understand how people are experiencing those needs and a willingness to act” to address them.

Other highlights from the various presentations included:

– Ezio Manzini (from EMUDE, amongst others) discussing everyday social innovations at the grassroots, and of the importance of everyone getting the opportunity to be involved

– John Bird (of Big Issue) waking a few up by saying that “it was a crying shame that there aren’t more people like me up here saying ‘I was part of the problem and am now part of the solution’ ” amongst other slightly tired, if entertaining ramblings

– Yang Xuedong, from CCPE, discussed the Local Innovations Prize, and how it had helped evaluate government performance in Chinese regions, and help make them more accountable; it was also interesting to hear how it had stimulated the development of local democratic politics in some areas

– Shen Dongshu, from Fu Ping, champions NGOs in China, and has a social entrepreneur school (capacity building focus), an entrepreneurial fund and other initiatives;

– Steve McAdam (see above) talked about their bottom-up, people-centred approach to planning and regeneration, next to which my notes simply say “very interesting; follow up”

– later we got more international perspectives with Peter Spink from Brazil reeling off countless interesting examples (an open access online participative budget, for example) and talking about genuine grassroots-led change, based on pragmatism, diagonal and horizontal relationships and “incremental learning-by-doing”….+ Rhoda Kadelie from South Africa giving some inspiring innovations from there, including dance and opera initiatives amongs the black community, as well as some damning critiques of SA govt; Josephine Green added the corporate design perspective from Philips, adding (intriguingly from a multinational) that “the concept of enough is one we ought to explore”…

– After the break-out sessions (too much to report here) came a banquet, a mask-changing dance and a poem, no less, in our honour….

TUESDAY:

Slightly smaller crowd on Tuesday morning (Monday night drinks anyone?), and an equally packed line-up. Simon Tucker from YF’s Launchpad kicked off, outlining some of their current projects, followed by Lv Zhao from the Shanghai NPO Network who gave an interesting overview of the Chinese NGO scene (I love the concept of a government-sponsored non-governmental organisation….but some would argue that many of our third sector organisations are in this situation as well…)

Mike Gibbons gave a clear and focused presentation on his challenges and approaches at the DfES’ Innovation Unit, particularly interesting around leadership learning, and enabling others to take risks

John Thackara discussed his Designs of the Time project in the North-East of England, and made the important point that technological innovation should be driven by social innovation/social needs, not the other way round….an interesting project to track

– another breakout session (which helped give me more of an insight into the Chinese third sector scene, if I can even categorise it like that) took place before the round-ups; the one key thing I wrote down here was from He Fan (I think) who said:

“in China everyone is born an entrepreneur” and “small progress in China is multiplied by one billion”, followed by the payoff, “real social entrepreneurs should come to prove themselves in China”; that’s the sound of a gauntlet being thrown down, I believe….

I also found the Mondragon perspective very interesting (thanks Carlos), as scaling but keeping true to principles and values is a real problem in this sector. Mondragon have much to share on this, i think.

Final round-ups followed before dinner, and then a Wednesday morning meeting about the prospects for a social innovation network; watch this space, I guess….. but I’ll post up this mindmap to give an indication of the tentative beginnings of a mapping exercise….(click to expand, I think).

Yf_china_soc_inn_network_of_networks

Overall – lots of material, lots of speakers, lots of thoughts, lots of good networking: a really good beginning to providing some momentum and focus in this area, widening out to encompass multitudes, as it were, rather than becoming stuck in replique audemars piguet the same areas and silos. As ever, hearing from other fields (design, architecture) and other locations (China, Brazil, South Africa) is inspiring and fires off other ideas…

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Bangladesh, North Wales, London and Beijing

A few things to report in on this weekend; sorry to group such disparate things together….

– the first, of course, is Muhammad Yunus winning the Nobel Peace Prize for his pioneering work in microcredit; he’s had many plaudits (rightly: read Audeamus and Social ROI blogs, for example) which I don’t need to add to. Worth reading some articles about his work on the Global Ideas Bank, though; search for ‘Grameen’

– from Bangladesh to Wales…I spoke at a BLOC seminar in Betws-y-Coed the other evening, along with Francis Irving of the mighty MySociety, and Alan Harris of KnowNet. Will blog about this more soon (particularly the most amazing taxi drive ever…), but take a look at the BLOC site which is doing interesting things around promoting creativity, technology and enterprise across Wales.

– and across, more predictably, to London, for the launch of the Enterprise for All Coalition’s launch of its report "Progressing the agenda"; it’s an excellent piece of work, and very much accord with SSE‘s current thinking, so I will post up when it’s available for download. In the meantime, you can read the Times’ take on the report within this article

– and, finally, the SSE blog is off to Beijing to a Social Innovation conference; internet access allowing, I’ll be blogging from there over the next few days….

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Social enterprise: not a Waste of time

Another day, another bad pun in the title. Recently our Director of Learning, Matthew Thomson, hotfooted it to become Chief Executive of the London Community Recycling Network, which "is a not for profit, second tier, organisation that supports and represents London’s existing and emerging Community Recyclers". We were chatting recently about how the next generation of enviro-entrepreneurs, ecopreneurs or green-preneurs might emerge, so I was interested to see the following website on my radar today:

Social Enterprise(s) and Waste, which is the website of the Social Enterprise and Waste Research Network, or SEWRN (one day, one of these acronyms will be SPECTRE or SMERSH). The Network aims to "support practitioners and researchers in learning
more about social enterprises and community organisations engaged in
dealing with waste and resources", as you might have surmised. It will aim to provide links to resources, evaluations, evidence, support agencies (including SSE, I’m delighted to note), and is part of the marvellously acronymed BRASS at Cardiff University. BRASS stands for Business Relationships, Sccountability, Sustainability and Society, and is part-funded by DEFRA and ESRC.

It’s undoubtedly going to be one of the growing areas for social entrepreneurs to operate in over the next few years, and it will be interesting to see different initiatives emerge and innovate.

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