Transcript EC15: Social Enterprise

EC15: Social Enterprise
3. Management Theory
Enterprise Networks
Marcus Thompson
University of Stirling
Management Theory Outline
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Social Entrepreneurs as Leaders
Types of Organisations
Building Teams
Social Enterprise - Business Formation
Social Entrepreneurs as
Change Agents
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Adopting a mission to create and sustain social
value (not just private value),
Recognizing and relentlessly pursuing new
opportunities to serve that mission,
Engaging in a process of continuous innovation,
adaptation, and learning,
Acting boldly without being limited by resources
currently in hand
Exhibiting a heightened sense of accountability to
the constituencies served and for the outcomes
created.
Dees, Stanford,1998
What is Social Entrepreneurship?
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Describes an approach to a social issue.
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An approach that cuts across disciplines
(medicine, engineering, law, education,
investment banking, agronomy, environment,
etc.)
Is not confined to sectors (health, transportation,
finance, labour, trade, and the like).
More related to leadership than to
management
http://www.schwabfound.org/definition.htm
Models
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Social enterprise models are combined
to:
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facilitate enterprise or social program
growth;
increase revenues by entering new
markets or businesses;
augment breath or depth of social impact
by reaching more people in need or new
target populations.
http://www.virtueventures.com/setypology/semg.aspx?id=MODELS&lm=1
Operational Efficiency
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Leverage organization's core competencies and assets
through the commercialization process.
Require responsiveness and adaptability to opportunities and
threats to capitalize on the market and exist as a going
concern in the face of competition.
Increase cost-effectiveness through cost-sharing, leveraging
assets, and streamlining systems and processes in order to
maximize earnings by reducing costs and waste.
Encourage market discipline of strategic thinking, planning,
rapid decision-making, creative solutions, flexibility, and
perseverance.
Increase accountability through cost accounting, particularly in
time-based services and performance-based management
tools (i.e. Balanced Scorecard); and the use of standard
business performance and financial measures.
Outstanding Social
Entrepreneurs
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Innovation
Reach and Scope
Replicability
Sustainability
Direct positive social impact
Role model
Mutual value-added
http://www.schwabfound.org/criteria.htm
Entrepreneurial Drivers
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Conditions for Business Formation
Motivation
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the drive to succeed, generally, or do something
in particular.
Ideas- creative imagination to think from different
perspectives, and create new ways of working or
new products.
Ability-the skills and knowledge of business
enterprise, such as planning.
Resources- such as finance and knowledge.
Gibb (1987);
Improving Business Prospects
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This is further supported by suggestions to
improve business enterprise:
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Proactive approach – changing a part of the enterprise
before the change is necessary.
Focused knowledge- in the area of the enterprise
service provision
Belief- in one’s self to succeed in the business
enterprise
Perseverance – to continue efforts to make the
enterprise succeed, even when the business is not
performing as forecasted. Gibb (1987)