Social Enterprise Means Business Workshop

Report
Social Enterprise Means
Business
Social Enterprise Means Business Workshop
John McGowan
Enterprise North West
Social Enterprise Means Business Workshop
Social Entrepreneurship Programme
Frankie McCourt & Sharon Polson
Invest NI
Social Enterprise Means Business Workshop
Social Enterprise Means
Business
Sharon Polson
4 March 2013
Invest NI’s Social Entrepreneurship Programme
January 2013 – July 2015
Targets:
• New Starts
• Jobs
• Wealth Creation
• Focus on areas of economic disadvantage
SEP Delivery
• NI Wide
• Sub regional contracts
• Recognition of Partner Delivery
Invest NI related activity
• Jobs Fund – Franchising Programme &
Employment Grants
• Small Business Loan Fund
Partner & Stakeholder links
• DETI led SEPG
• SEP stakeholders group
• Social Enterprise NI
Support to growth in the sector
Challenges:
• Access to Finance
• Access to Skills
• Access to Markets
Towards a new customer model….
 From 2,000 businesses to c.100,000 businesses
 “Wider business base” approach
 From “client” to “customer”
 “Contractual” no longer the only relationship
 Standardised 1 : many solutions
 Bespoke 1:1 solutions
 Importance of PARTNERS in delivery model
A Customer Segmentation Model
BESPOKE, NEGOTIATED
SOLUTIONS
Scaling
Entrepreneurs
& Innovators
Direct delivery to segments
Driving economic outcomes
Delivering
services through
sub-regional
partners
Standardised
solutions to
support growth
Web-enabled
portfolio
management
International
Companies &
Markets
Overall business base c. 126,000
businesses
Negotiated solutions to c.2,000
businesses
A Customer Segmentation Model
BESPOKE, NEGOTIATED
SOLUTIONS
Overall
Export
Business
Prospects
Base
Export
Starts
Global
Starts
Growth
Scaling
Entrepreneurs
& Innovators
Direct delivery to segments
Driving economic outcomes
Delivering
services through
sub-regional
partners
Standardised
solutions to
support growth
Web-enabled
portfolio
management
International
Companies &
Markets
Overall business base c. 126,000
businesses
Negotiated solutions to c.2,000
businesses
Social Economy Work Programme
Juliet Cornford
Social Enterprise NI
Social Enterprise Means Business Workshop
Derry~Londonderry UK City of Culture 2013
Enterprise week
The Consortia was formed following a public meeting in March
2012 and is made up of Social Enterprises, Social Entrepreneurs and
those closely engaged in the sector including:
Northern Ireland
Bryson Charitable Trust
Business in the Community
CO3
Cunamh ICT
Employers For Childcare Charitable Group
Irvinestown Trustee Enterprise Company
Rural Development Council
Northwest Community Network
Work West
UK and Scotland
SE Academy
SE Mark
SENSCOT
Government definition
• A social enterprise is a business with
primarily social objectives whose surpluses
are principally reinvested for that purpose in
the business or in the community, rather
than being driven by the need to maximise
profit for shareholders and owners.”
• A social enterprise is a community
The Social Enterprise
umbrella covers
•
•
•
•
•
•
•
•
•
•
Consumer co-operatives (circa 1840s)
Housing associations (1900s)
Trading arms of charities (1940s)
Credit unions (1960s)
Workers’ co-operatives & employee-owned firms (1960s)
Community businesses & community enterprises (1970s)
Development trusts (1980s)
Social firms (1990s)
Intermediate labour market projects (1990s)
Social businesses (1990s)
Dates in brackets indicate when this type of enterprise first started In the UK
Did you know?
The 6th most popular coffee brand in the UK is owned by CaféDirect
The Co-operative is Britain’s biggest farmer with 85,000 acres of land
What it looks like in Practice
How many of these do you know?
What may not be
not social enterprises?
• Innocent (Coca Cola), The Body Shop (L’Oréal),
Ben & Jerry’s (Unilever) all sold wholly or in part
to make millions for the founders.
• Companies whose brand may be defined by
ethical trading and social concerns are not
necessarily social enterprises in that they
generate profit for individuals
Diversity of Social Enterprises
Value of Social Enterprise
to the economy
•Social Enterprises are now growing faster than SMEs
and contribute around £24 billion GVA (Gross Value
Added) to the UK economy
•Are most likely to start-up and work in many of our
most deprived communities
•Reinvest in the communities where they
are based
•Are accountable to their customers and communities,
involving them in business decisions
SE and Government
• Priority area in programme for Government
• Cross departmental cooperation across 9
areas to promote cohesion and growth
• Jointly exploring issues such as Asset transfer
and Social Enterprise incubation Hubs
Objectives
•
•
•
•
•
•
DETI Strategic
Objectives of the
Work Programme
Promote and raise awareness of Social Enterprise
Represent the collective interests of the sector
Provide impetus for collaboration
Promote good practice
Communicate existing support programmes
Develop new products to aid sustainable
development
Headline events
•Meet the Buyer
•Local regional networks
•Series of seminars and master classes on the hottest topics
•Social Ambassadors programme
•Development of an all party working group
•Social Enterprise Qualification
• Speed Networking
• Showcase Events
•Skills bank
•Seminars and Master classes
• Annual Awards Ceremony and Conference
•Crowd funding
Regional networks
• Local and relevant to your area
•
•
•
•
•
•
•
•
•
•
•
Space to learn and share best practice
Develop local action plans
Host showcase days
Develop thematic groups e.g. Disability
Develop themes for Master Classes
Access to Social Ambassadors
Take part in Action Learning Sets
Signposting, bespoke support and advice
Develop your own network of support
Develop partnerships
Trading opportunities
Contact us
028 9267 3223
Director & Southern Co-ordinator: Juliet Cornford
[email protected]
Central Regional Coordinator: Amanda Johnston
[email protected]
Northwest Regional Co-ordinator: Denise Crossan
[email protected]
Western Regional Co-ordinator: Tiernach Mahon
[email protected]
Thank You
www.socialenterpriseni.org
Bryson Group
Laurence Arbuckle
Bryson Energy
Social Enterprise Means Business Workshop
Founded in March 1906
Aim: To do permanent good to the deserving poor
Belfast Charitable Organisation Society
1906
Belfast Council of Social Welfare
Belfast Voluntary Welfare Society
1920
1974
Bryson House
1986
Bryson Charitable Group
2006
Mission Statement
Bryson Charitable Group is a Northern Ireland charity committed to
identifying and developing sustainable
responses to
existing and emerging social needs.
Social Enterprise
An enterprising business-based approach to achieving
social aims.
• Tendering and contracting for service;
• Full cost recovery – longer term contracts;
• Residual profits reinvested for social good
- no shareholder distribution
Where we work
We operate out of 33 offices and have 657 staff and over 130 volunteers working across Northern Ireland and Donegal.
In the last year we delivered over 25,700 services per day to families and individuals right across Northern Ireland and
Donegal.
Milford
Stranorlar
Group Structure
Bryson Charitable Group
Registered Charity and Limited Company
Bryson Care
Bryson
Intercultural
Bryson CareWest
Wholly owned
subsidiary
Wholly owned
subsidiary
Wholly owned
subsidiary
Bryson Energy
Wholly owned
subsidiary
Bryson
LaganSports
Wholly owned
subsidiary
Bryson
FutureSkills
Wholly owned subsidiary
Bryson Recycling
Wholly owned
Subsidiary
Excellence Strategy
3-pronged Approach
EFQM Excellence Model
Organisational Focus
Investors in People (IiP)
People Focus
CSE/ISO/IQRS/
RQIA/NISCC
Customer Focus
Focuses on ensuring that the quality of the organisation and its people
deliver high quality services to its customers; validated externally
through inspections and accreditations.
Staff 2000 – 2012
700
590
642
654
660
10
11
12
613
Staff Numbers
600
490
500
510
439
400
332
326
300
286
285
256
200
100
0
00
01
02
03
04
05
06
Years
07
08
09
Contract Income 2000 – 2012
100
92
90
84
84
94.3
95 +
11
12
84
80
% of Total Income
80
75
70
60
60
52
52
55
56
50
40
30
20
10
0
00
01
02
03
04
05
06
Years
07
08
09
10
Turnover 2000 – 2012
35.0
34.5
30.8
Turnover in Millions
30.0
24.7
25.0
19.7
18.5
20.0
16.0
14.1
15.0
10.7
10.0
6.0
6.2
6.7
7.2
8.0
5.0
0.0
00
01
02
03
04
05
06
Years
07
08
09
10
11
12
Bryson is a Busy Place
(figures for 2011/12)
•
Reception dealt with over 58k calls
•
Provided over 252k hours of care to over 4,200 people
•
Recycled 48,930 tonnes of materials from 420k homes
•
Provided energy advice to over 106k homes
•
Everyday we provide over 25,700 service episodes
•
96.4p in every £1 spent on services
Case-study-
Warm Homes
Laurence Arbuckle
Senior Manager
March 4th 2013
Background
• Bryson Energy formed in 2007 - merger of three
energy agencies in Derry, Belfast and Enniskillen
• Main areas of work - fuel poverty scheme
management, energy efficiency freephone and
outreach advice, home visits, oil brokering,
energy/waste education, benefits, wind
community fund management
• Better business opportunities by merger – but
short-term challenges e.g. staffing, terms and
conditions, additional travel
Benefits
•
•
•
•
•
Pool resources - fund a development manager
Able to bid for NI wide contracts
End negative competition/duplication
Provide cross north service – no gaps
Turnover in 2011/12 of over £9M and this is
expected to rise to £10M for 2012/13.
• We currently directly employ 50 staff plus 40
others indirectly through sub-contractors
Warm Homes - Background
• Our primary contract is Warm Homes
• Main government fuel poverty programme –
heating and insulation, benefits assessments
• Two contractors – private sector company +
Bryson
• 13 of the 26 Council areas since July 2009.
Social Enterprise
• Bryson Energy believes our Social Enterprise
model delivers this public service contract
differently from public and private sector
norms.
• We add value to the service and advance
social policy
Benefits to the wider community
from a social economy approach
Examples
• Exceeding Contractual Requirements on Warm
Homes
• Contractual target of 4,500 homes @ fee of
£115 per job
• Total homes 2010/11 - 5,404
• An additional 904 jobs without the £115 fee
• That’s an additional £103,960 we contribute
through our social enterprise model
Benefit Report
• Commissioned a report at our own cost to see
how many people take up the additional benefits
we have identified and the monetary values and
why others don’t.
• Cost - £3k taken from Bryson Energy reserves.
• Private WHs contractor is not partnering us as no
funding to do this but we believe for a little effort
and cost we can increase income and therefore
quality of life.
• Our independent Report through UU shows that
increased income for successful applicants
averaged £2,448 in the first year (£47 per week)
Maximising & Entitlement Checks
• We are required to do benefit maximisation
checks by programme
• For those not on the required benefits, we
introduced entitlement checks to see if we
could get more people onto the scheme or
increase their income.
• We did twice as many benefit checks as the
private sector contractor, these are low
profitability.
Signposting
• Clients who are not eligible for
Warm Homes are directed to
our 0800 Freephone which
provides independent and
impartial advice and details of
all grants – continually updated
Sub-contractors
• The Bryson business model approach is to
subcontract the installation of measures
currently using 6 companies supporting some
43 staff across our service region
• In 2010/11, we put £4m back into local
communities through subcontracting.
• Cheaper and more profitable to do in-house.
• We encourage our subcontractors to employ
apprentices. (Nine new apprentices were
employed in 2009)
Training
• We spent £13k in 20010/11 on training our
staff. Examples include NEA training on
dealing with vulnerable customers & benefit
training through law centre.
• Home Surveys & Energy Performance
Certificates
• Energy Efficiency & Renewable Energy
• Management training
Challenges for the social economy
• The first difficulty for any Social Enterprise was to
meet the requirement of a £10m turnover, we were
fortunate in this respect through the wider Bryson
group
• Requirement for Excellence Strategy- 3-pronged
Approach – expensive to acquire and maintain
– Organisation (EFQM),
– Staff (IIP) and
– Customer (CSE/ISO/IQRS/RQIA/NISCC)
• Focuses on ensuring that the quality of the
organisation and its people deliver high quality
services to its customers - validated externally
through inspections and accreditations.
Other social benefits
• WH subsidises less profitable but socially essential
services in Bryson Energy such as independent Energy
Advice, schools programme or projects not funded at
all such as oil brokering
• Hardship Fund - We have developed a Hardship Fund
• Local employment - employing people directly in local
regions and rural areas through offices in Enniskillen
and Derry and indirectly through sub-contracting
Thank You
March 4th 2013
Break
Social Enterprise Means Business Workshop
Eleanor McGuckin
Avert Training
Social Enterprise Means Business Workshop
AVERT TRAINING LTD
Beyond Expectations
Eleanor McGuckin
Business Manager
Social Franchising Workshop
Ortus
Social Enterprise Means Business Workshop
Understanding Social Franchising
and the support available
Stephanie Reid
Business Services Executive
Nearly every problem has been solved by someone,
somewhere. The frustration is that we can’t seem to
replicate (those solutions) anywhere else.
Bill Clinton
What is Franchising?
A business method that involves the licensing of
Trademarks and Ways of doing business
TERMS
• Franchisor: owner
• Franchisee: purchaser
Structure of the Franchise Network
Local Franchisees
Global:
Brand
Developer /
Franchisor
Country:
Master
Franchisee
Local Franchisees
Local Franchisees
Franchising Sectors
• Advertising
• Automotive
• B2B
• Care
• Children’s
• Cleaning & Maintenance
• Computing
• Delivery
• Fitness
• Food and Drink
• Health
• Fitness & Beauty
• Pet
• Photography
• Print & Design
• Property Care
• Sport
“The statistics on business start ups show that
becoming a franchisee is a far safer route into
self-employment than starting up a new business
alone. The average annual commercial failure
rate of franchise units has been less than 5% each
year since 2001.
‘...around 90% of new franchise businesses are still
operating after 5 years, compared with 30% of
other types of business start-up.”
Keynote Report on Franchising, 2010, quoted in ‘Scaling up for Success
by The Shaftesbury Partnership
http://www.whichfranchise.com
£150,000+ (Set-up)
£30,000 (Fee)
£5,000 (Training Deposit)
£6.5 - £9k
£9,725
£20k- £45k
£19,500
£15k – £50k
£30k
£15,000 – £50,000
£16,975
What is Social Franchising?
• A business method that involves the licensing
of Trademarks and Ways of doing business
•
•
So??
How does it differ from commercial
franchising??
Versus
http://www.socialfranchising.coop
Social Franchising Programme
Project Outline
Franchisee Programme
• 32 hours one-to-one mentoring
• Mentor based programme – that covers all aspects of buying a
franchise; legal, operations, marketing, etc
• UCIT Package
Project Outline
Franchisor Programme
• 55 hours one-to-one mentoring
• Mentor based programme covering all aspects of setting up a
franchise such as: legal, operations, marketing, etc.
• UCIT Package
Thank you for listening
Barry Kelly
Social Franchising Programme
Ortus, Filor Building, Twin Spires Centre,
155 Northumberland Street, Belfast
BT13 2QW
[email protected]
028 9031 1002
Thank You
Social Enterprise Means Business Workshop

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