Making it happen: Results of CSC’s Day of Dialogue on Social Enterprise Executive Summary: How to make it happen Event and Discussion Facilitator Penelope Rowe – CEO, Community Sector Council NL On September 17th, 2012, 68 people from 49 Keynote Speaker organizations and government departments and 14 Gerry Higgins - Executive Director, Community communities around the province met in St. John’s to Enterprise in Scotland (CEiS) share ideas about the future of social enterprise in this Discussants province. This report records in detail the many ideas Dave Boland – Manager, Community that emerged from the day, which all come together to Development, ACOA answer a key question: “How can we make social Bruce Cooper - Deputy Minister, Department of enterprise happen?” Health and Community Services Discussions were guided by CSC CEO Penelope Rowe, Marilyn Field - Deputy Minister, Department of with ideas from around the world brought in by Gerry Advanced Education and Skills Higgins, head of Community Enterprise in Scotland Colleen Kennedy - Executive Director, Gros (CEiS) and chair of the Social Enterprise World Forum). Morne Cooperating Association Scotland has, in recent years, transformed itself into the Sheldon Pollett - Executive Director, Choices for best environment in the world for social enterprise. Youth Gillian Skinner - Director Regional and Joining Gerry Higgins to guide the conversation were 7 Economic Development, Department of discussants from the provincial government, federal Innovation, Business and Rural Development government, and community sector organizations, all of Dana Spurrell - Director of Policy and Strategic whom have a stake in the development of social Planning: Voluntary and Non-Profit Secretariat enterprise in Newfoundland and Labrador. So what is social enterprise? We’ll use the working definition adopted by the World Forum – that social enterprise means “pursuing social development using Challenge: Organizational Change business methods.” Within that simple definition is a Social enterprise work requires a set of skills – business profound cultural change for all the sectors: business planning, promotion, accounting, etc – that many government and the community sector. community organizations do not yet have (p.13) and a Why encourage social enterprise? At the most basic willingness to take risks, and in many cases a change of level, it can help bring more resources to social needs – organizational structure. something especially relevant in a time of austerity. It Solutions: also promotes innovation as organizations look for new ways to do their work (and pay their bills) and helps • Mentorship from the business community communities respond to their own needs. • Pro-bono support from legal and accounting • Government support for training programs professionals Before Newfoundland and Labrador can become a truly enabling environment for social enterprise, a number of targeted specifically at social enterprises challenges need to be overcome – and participants were left with a good sense of the supports needed to overcome them. 1 Making it happen: Results of CSC’s Day of Dialogue on Social Enterprise • Challenge: Access to Capital Promoting the idea that huge additional value emerges from socially-focused contracting One attraction of the social enterprise model is the • possibility of bringing more resources to bear on Get social enterprise concepts into the curricula at post-secondary institutions community needs. Organizations also need start-up capital to get off the ground just as purely for-profit Challenge: Building a Network businesses would. Especially in the early stages, it is essential that leaders interested in social enterprise – from all three sectors – Solutions: • can come together and share ideas, best practices, and Public procurement: government agencies can opportunities. These networks must include the clients purchase goods and social services directly from whose demand social enterprises serve. social enterprises • Solutions: Community benefit clauses: included in tendering contracts to spread benefits to social • becoming a social enterprise leader is a priority enterprises/community agencies • Grant funding to develop new ideas and • Working with banks to provide to risk capital • Bringing together networks at the local level to address community needs and big issue investment (loans repayable when certain conditions are met) • Formal, facilitated partnership programs connecting leaders from different organizations business plans • A clear articulation from government that Next Steps Government support for social impact bonds The seeds of a social enterprise movement have already that pay returns directly to investors when an been planted. Organizations like Choices for Youth and outcome is achieved the Gros Morne Cooperating Association are already Challenge: Cultural Change & Public Perception pioneering the ideas involved. Social enterprise is a different way of doing business, The beginnings of a network are also present. Many and can face resistance from several sides. Private attendees at the meeting indicated their interest in future businesses are often concerned about unfair competition. engagement and there is awareness that this is an issue Community organizations may feel pressured to adopt that cuts across sectors and government departments. the model even when not appropriate (p.13), and they Some of the steps involved are relatively simple – may face competition from social enterprises for scarce adapting training programs to include social enterprise- grant funding. Governments must also change their own tendering process and thinking about public services. focused content, fostering relationships with Solutions: development. • ambassadors, or providing grant funding for business An ambassadors program that connects with Major movement, however, is also dependant on some business leaders and politicians who can speak significant policy changes. Government procurement for social enterprise • procedures have played a major role in social enterprise Identifying and working with champions within development around the world – and they could here. government • Above all, though, the message was clear that Multi-stakeholder dialogue with service communities cannot wait for government to move. agencies, starting early • They need to come together and identify opportunities Nurturing champions in the social enterprise for social enterprises to make a difference. There are sector many. 2