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CED Bulletin: March 2013

dijennings — Wed, 13 Mar 2013 21:48:41 +0000

Hello CED practitioners and supporters,

What a fabulous summer we are having, and the year is also getting off to a good start for CED and social enterprise…

OCVS survey reveals diverse, mature and active social enterprise sector in NZ

A survey run by the Department of Internal Affairs has revealed a social enterprise sector in New Zealand which is relatively mature and diverse. Go here for the report.

Senior Policy Adviser Diana Suggate, says “Social enterprises in this country are operating in a wide range of industries, have a range of approaches to supporting their many and varied missions, and serve many different types of beneficiaries. While many survey participants have been operating for more than ten years, we are aware that there is a growing interest in the potential to grow the social enterprise movement.”

For the purposes of the survey, “social enterprise” was defined, based on the Australian FASES research definition, as an organisation which has a social, cultural, or environmental mission, that derives a substantial portion of its income from trade, and that reinvests the majority of its profit/surplus in the fulfilment of its mission.

Diana said the survey showed most social enterprises trade in their local area and focus on benefiting families, young people and other social groupings, although around 15 per cent focus on environmental causes. Highlights from the survey include:

Most social enterprises work in education and training (43 per cent), social assistance services (22 per cent), recreation and sport (17 per cent) and arts and heritage (15 per cent).
Charitable trusts make up 53 per cent of organisations in the sector; 37 per cent are incorporated societies, and 7 per cent are limited liability companies.
Around five per cent of the organisations that responded to the survey are affiliated with Māori authorities. This can be through a marae, an iwi organisation, having a Māori organisation as a shareholder; or having an informal association with a hāpu or iwi.
In addition to income from sales, government contracts provide significant income for 40 per cent of the organisations. Grants and donations are also important.

“Challenges faced by the sector include a more difficult trading environment caused by the economic downturn, and the need for funding to support development and growth,” Diana says. Other issues social enterprises contend with include changing market conditions; increased competition; demographic change; availability and capability of workers; compliance costs; governance and management issues; and lack of capacity for growth. Diana says “Particularly interesting for us was the finding that said around 65 per cent of the organisations felt they could benefit from external advice, particularly with developing marketing strategies and training in management skills,”. 

 Diana said government interest in social enterprises hinged on the potential for these organisations to both boost a local economy and tackle social, cultural and environmental issues. “The report provides a basis for ongoing investigation into social enterprises and will inform policy development about this important sector.”

CED Research – 100 interviews now completed

The Community Economic Development Research that is currently being carried out through the CED Trust (by myself and Dorte Wray), with Unitec as a research partner, is quite distinct from the above OCVS research. Diana and I have had frequent communications as to how these two pieces of work will complement one another. I see that the OCVS research provides an overview in terms of the size and scope of the social enterprise space in New Zealand. The CED research is being informed through 100 face to face interviews with social enterprise and CED practitioners, and will provide a deeper exploration of the success factors, challenges and needs of social enterprises from the grass roots. Dorte and I have now completed the 100 interviews with CED and social enterprise practitioners from around New Zealand. It has been fascinating to gain a sense of the regional similarities and differences. I look forward to the data analysis to see what is emerging and writing a report that will provide a snapshot of CED activity at this time. Big thanks to all of you social entrepreneurs who participated in the CED research, your contribution is much valued.

SENZ update

The Social Enterprise New Zealand (SENZ) Establishment Board is currently seeking foundation partners to establish SENZ as a national network, along the lines of SEUK, Senscot (Scotland) and Social Traders (Australia).

It was interesting to see that the OCVS research showed that 65% of social enterprises said that they would benefit from some external advice and support. From the CED research interviews, I am seeing that the need for support differs depending upon both the scale and stage of development of the initiative. Small start-up SEs are usually challenged by lack of access to both advice and financial resources. Larger more established SEs tend to have developed internal expertise and may also draw on their cash reserves for new initiatives.

I continue to be clear that there is an important role for a social enterprise national network to help facilitate connections and opportunities for peer learning – and maybe the more established SEs can lend a hand to start ups. And all SEs can join forces to share success factors, find ways of dealing with the many challenges, and join in collective advocacy towards a more enabling policy, legislative and financial environment.

SOCANZ Conference Coming Up

After the CED Conferences on 2010 and 2011, organisers felt that the priority was to establish a national network, before running further conferences. Get the foundations in place. So it has been great to see colleagues Viv Maidabourn and Shaun Lines initiating the SOCANZ conferences to continue to grow the conversations in this space. So… if you are a social entrepreneur looking for more connection, want to get inspired, energised and develop skills, or want to know what is happening in the current Social Entrepreneurship space, then you should be at SOCANZ 2013. Not only will you hear from international and local thought leaders who are working in this space and sharing their stories, but it will be catalyst for new conversations, collaborations and exciting decisions to be active in your community. The speaker line-up is filled with those who have taken the risks, achieved real success and in some cases failed spectacularly on their journey. They are committed to share these stories, celebrate these successes and encourage others to make a positive difference with their communities. Go to www.socanz.co.nz to view the programme, the speaker line up and to register ($395 + GST for 2 days).

An important part of the conference is the three Master Classes where you can focus deeply on your learning and subject matters that relate to you. Nic Frances will facilitate ‘Startup Social Enterprise and Reaching Scale’, Natalie Nicholles will facilitate ‘Building a Successful Consultancy Business’ and George Housakos will facilitate ‘Beyond the Affordable Housing Crisis – Communities Solving The Problem’. Each Master Class will be limited to 20 participants and run from 9.00am till 3.00pm allowing in-depth exploration of the subject matter, case studies and we guarantee challenging questions. The sessions will be deliberately intensive and not for the faint-hearted. Cost for each Master Class is $300 + GST.

ANGOA/MoH Social Bonds Roadshow

The Ministry of Health are currently exploring the implications of social bonds (often called social impact bonds) as an alternative contracting tool. ANGOA is running a road show around NZ to explain the social bonds concept – and to receive feedback from the community sector on the idea.

Social bonds will only work where measurement is possible. This how they work; non-government investors provide investment to social service providers – who are confident they can achieve a measurable outcome (e.g. reducing re-offending rates). The government pays a reward on performance to the provider – who can then repay investors, with interest. Government wins (the outcomes achieved have saved them considerable money), the investors get a financial return, and relevant providers have access to a new source of funds. Sounds attractive – but it is early days for social bonds (the first bond was issued in UK in 2010) so no proven record, or learnings emerging as yet from global trials.

My sense is that social bonds will have a relatively narrow application – as so much of the work in the community sector cannot be measured in simple ways. The main concerns raised at the session that I attended were around government transferring risk to social service providers, if outcomes cannot be achieved. Possibilities of risk sharing arose, but it is early days and the detail is yet to be developed – I guess the devil may be in the detail!

ANGOA will be using the feedback from the seminars and survey to prepare a report back to Treasury and Ministry of Health on the community sectors response. There are of course both benefits and risks that need further exploration. At this stage the government has approved a pilot – dependent upon a viable business case being developed. You can find the slides from the presentation here

ANGOA have also set up a survey monkey here and if you are interested in taking a more active role into the research on the feasibility of social bonds in NZ then you can respond to the notice on GETS or you can email socialbonds@kpmg.co.nz.

DIA host Axford fellow working on social enterprise and youth

Some of you may remember social financier, Laura Benedict, Ian Axford fellow who spent a year here sharing ideas about social lending. A colleague of Laura’s, 2013 Ian Axford Fellow, Mary Jo Kaplan is now in New Zealand to work on opportunities for social enterprise and innovation to engage and develop youth. Mary Jo is from Providence, Rhode Island based, and is based at MSD in Wellington. She is here in collaboration with the ASB Community Trust. In the States, Mary Jo leads Kaplan Consulting, a firm that is focused on strategic impact and multi-sector collaboration and she also teachers social enterprise and nonprofit strategy at Brown University. Mary Jo welcomes opportunities to connect with anyone involved in related issues and interests. You can email her at MJKaplan@Kaplanconsult.com or phone 027 521 7475

NZ Schools of Social Enterprise in 2013

Social Enterprise Institute

The Social Enterprise Institute (SEI) is being established by social enterprise practitioner and CEDNZ Trustee, Lindsay Jeffs, to identify, support and encourage New Zealand’s not-for-profit sector to explore social enterprise opportunities to create wealth. Following the success of last year’s programme which helped participants establish several new social enterprises in both Christchurch and Auckland, as well as the formation of local social enterprise networks in both cities, applications for the 2013 programmes are now open. Potential participants can either contact Lindsay Jeffs directly on 0274351732 or go to the Social Enterprise Institute website to enrol.

Social Entrepreneurs School

At the NZCSI Social Entrepreneurs School the vision is to support and enable social entrepreneurs throughout New Zealand in finding solutions for the country’s most pressing social needs. After feedback and reviewing the 2012 program, NZCSI are looking at reframing the program into a Changemaker 101. This is a shorter version of the 9 month program held last year and is specifically designed to be delivered in partnership with community in a time frame best suited to a social entrepreneur. For further details please go to www.nzcsi.org or contact Anna Love at anna.love@nzcsi.org

Local Living Economies

As events close to home and around the globe point to continued fragility in financial systems, and the effects of our resource consumption bring about ever greater impacts, the message is clear: Business as usual needs a rethink.

Living Economies offers real-value alternatives to loans, interest and chronic debt through:

Savings pools Why pay interest? Create a common reservoir.
Local money Cash-flow problem? Cash is the problem.
Food pools We can get a lot more mileage out of our meals.
Time banks Build healthy communities – one hour at a time.

The Living Economies Educational Trust has been up and running for over a decade now, and has made considerable strides in promoting, facilitating and demonstrating systems of cooperative exchange which enrich all their participants. They have an online shop online shop with excellent resources.

Check out People Money: The Promise of Regional Currencies Margrit Kennedy, Bernard Lietaer and John Rogers, 2012.

Iceland’s Hörður Torfason to visit NZ

During the height of the global financial crisis in 2008, multinational banks used the IMF to pressure Iceland's Parliament to pass laws which would use public funds to bail out banks which had become insolvent through reckless speculative activity. Hörður Torfason organised a peaceful citizens' movement to question, oppose and ultimately overthrow the government. A new constitution was drafted with input from all parts of Icelandic society. The banks were forced to pass their losses to their shareholders instead of the public. Large amounts of private debt were forgiven, criminal charges were laid against those responsible for the meltdown, and Iceland has regained a measure of economic stability without sacrificing its sovereignty. For dates to see Hörður Torfason see events section below or go here for more information.

Report from Global Shifts Conference in Melbourne

I was keen to attend this conference in Australia in December, but was short of funds, so had a crack at crowd funding – using Givealittle. And it worked to an extent. So big thanks to those who contributed to help me to get to Melbourne and soak up some international and Aussie wisdom. Now for a brief summary- my part of the bargain.

Bunker Roy and the Barefoot College

Of all the speakers I found Bunker Roy to be the most inspiring. He created the Barefoot College in India for the poor. Bunker is opposed to formal “elitist” education. At the Barefoot College no degrees or paper certificates are allowed! Any endorsement comes from the community being served.

The Barefoot College is most well-known for teaching illiterate grannies from rural villages to be competent solar engineers – in just 6 months. Bunker maintains that men are largely untrainable! The programme has enabled hundreds of Indian villages to be solar powered – at the same time as enhancing the value of women in these communities. It is a remarkable story. The programme has now been extended to Afghanistan and Africa. A Bunker Roy Ted talk is well worth a visit here

The Solution Revolution

Pamela Hartigan, Director of the Skoll Centre for Social Entrepreneurship at Oxford University's Said Business School had some interesting global insights. She said we are moving from “social entrepreneurship” (noun) to social entrepreneuring (verb). That it is no longer about idolising heros like Bill Drayton and Muhammad Yunus – but an activity that we can all participate in as citizens in our various communities. I liked this viewpoint that links democratisation and entrepreneuring. Pamela said this space is not a field, profession or sector – but a new lens or mind-set. Pamela used the term “Solution Revolution” to describe what is emerging – beyond the “dichotomy” to a solution focus, with all “sectors” being part of the solution.

Gross National Happiness Centre

The Gross National Happiness Centre in Bhutan aims to demonstrate a simple and sustainable way of life in harmony with nature utilising holistic measurement over nine domains. Interesting…See more here

These were my top picks. There were many other wonderful speakers. Here is the link to the Global Shifts Conference website

Conference themes

Transformation of Capitalism

A principle theme at the conference was that social enterprise is paving the way for the transformation of capitalism – that the Global Economic Crisis challenged our value system, and people are now looking for “good capitalism”. A transition is occurring from both ends of the spectrum from charities to social enterprise and “for profits” to social enterprise

Does Size Matter?

Scale was a significant conversation. When does size matter? Is small ever beautiful or is impact dependent on scaling up? Presenters said that it’s about scale of impact – not just scaling for size. As we know, scale can make organisations inflexible, slow to respond and inhibit freedom to criticise mainstream. However, there are ways of responding to this challenge.

Social franchising can create scale that that is not about command and control (e.g. McDonalds), but more collaborative. It is also possible that large social enterprises can have local leadership, internal delegation of power, local budgets, and some local autonomy. Size also creates influence and access to politicians and media. Kevin Robbie hit the nail on the head for me when he said that it is about whether the decision to scale (or not) fits with the organisations purpose.

Social Procurement

Social procurement emerged as a major opportunity for social enterprises to access more markets. For purchasers (e.g. local councils) smaller contracts are an opportunity to test social benefit and buy local policies, less risky than bigger contracts. We need to be able to assess and demonstrate impact to win over officers and politicians – and there is a need for intermediaries to broker the conversations. Social Traders is playing a role in Australia as well as Supply Nation, the indigenous business supplier council.

A couple of gems…

From Ego-System to Eco-system

I loved the phrase “From Ego-system to EcoSystem”. The “eco-system” around social enterprise is evolving fast in Australia – there is a proliferation of support agencies and networks emerging. This was seen as a sign of maturity and vital to the growth of the space. This space is not about individual glory – but how we can move forward together, beyond old ways of empire building, silos and suspicion of “other”.

Your own pigs don’t stink!

It emerged that we need both bottom up and top down initiatives and energy; that

social change happens because of people power, but government can foster an enabling environment. One presenter said that “your own pigs don’t stink!” -referring to wind farms in Germany becoming acceptable to local people- when they are owned by the community, not by an energy corporate. A previously perceived “scar on the landscape” can transform into a vision of beauty – when there is community ownership and benefit involved.

Where is it all heading in Australia?

Conference speakers indicated that the future will include:

Increasing visibility/brand awareness of social enterprise (like Fair Trade)
Support for intermediaries/growing an ecosystem
Government strategy and regulation to support social enterprise (Obama administration has an Office of Social Entrepreneurship).
Social enterprises as employers of choice
Local solutions in a global way through international global platforms
Demand driven investment – matching capital to need; social stock exchanges to attract capital; Investor education (e.g. Global Investment Network) link

Future challenges will be:

Resisting definitions, it ties us up in knots – focus on purpose instead
Loss of momentum, we are on a roll, can we keep the energy going?
Filling gaps in finance for social enterprises
Finding ways to fund and resource intermediaries/networks
Getting over tall poppy syndrome
Avoiding “fanfare” – keep an eye on purpose
Providing development support for investment readiness
More awareness raising and practical evidence
Re funding: understanding demand first, before working out supply (We tend to build a fund and push it out, doesn’t work well)
We don’t know how to measure impact, lots out there – important to collect data, even if don’t have framework yet.

Some key opportunities are:

Social procurement to open up markets for social enterprises
Networks and alliances
Celebrate champions and achievements through social enterprise awards
Businesses have much to offer
Social Enterprise as a response to the Global Economic Crisis
Finance: The right capital for the right purpose; Impact investing – for both social/ environmental impact and financial return; pension funds utilised for social enterprise investment
Recognising a spectrum of market based enterprising innovation
Enable people to create wealth for themselves

It seemed to me that most of the above is as relevant to New Zealand as it is to Australia. It was great learning more about the Aussie scene and making some connections, and thinking about opportunities for collaboration.

The overall mood of the conference was that we are at the dawn of BIG CHANGE. Dr Samdu Chetri from the Gross National Happiness Centre left us with this thought…

“We are not human beings trying to be spiritual,

We are spiritual beings trying to be human”

That’s all from me for now, wishing you all the best in your various socially just and enterprising adventures

Di Jennings

Convenor, CED Network

di@ced.org.nz

CED Bulletin: November 2012

Di Jennings — Thu, 29 Nov 2012 03:50:27 +0000

Hello CED practitioners and supporters,

Apologies – it has been a while since I managed to get a CED ebulletin out to you. Over the last two months, I have been flat out travelling right around the country to interview CED and social enterprise practitioners for the CED research project. Since I returned from living and working in the UK three years ago, I have been integrating what I learned there into our New Zealand context and the last couple of months have helped enormously. Travelling the country, meeting inspiring social entrepreneurs and finding out what’s working, what isn’t – and what our social enterprise practitioners need to thrive – has been an illuminating time. Between Dorte Wray (Research Assistant) and myself, we have now carried out 70 interviews – just 30 to go to reach the magic 100!

Some of the highlights from our road trip have been visiting:

Whale Watch, Kaikoura – the poster child for social enterprise in NZ. It was so good to go there at last. Inspiring story of when railways restructuring led to local unemployment, a Maori family mortgaged their house to get this project started to create local employment. Whale Watch now earns global awards for environmental tourism and employs up to 100 local people – with many small local businesses emerging as spin offs, making a huge difference to the local economy.
White Stone Civic Trust, Oamaru – another great story. The Whitesone Civic Trust had a vision and decided to take ownership of old heritage buildings (that most folks saw as a liability) – to create a unique tourist destination and reinvent the town. Oamaru is a good example of community being supported by their local council to attain mutual outcomes.
Blueskin Energy Project, Coastal Otago - Blueskin Power is an initiative of the Blueskin Resilient Communities Trust. Most of the community energy enterprises around the country are involved in insulation programmes, Blueskin is the only one I have discovered that is working towards community owned energy generation. There are many examples of this in the UK – it is an area of significant enterprise opportunity for local communities, to provide for the energy needs of their own community and sell excess energy to the national grid. This creates funds for further community initiatives and enterprises. It will be so interesting to watch how Blueskin develops.
Enspiral in Wellington are an eco-system of 85 people and 12 companies. While the core business is web development, the collective serves as an incubator for several web based social enterprises including: Bucky Box (an administration platform to make food distribution easier), Chalkle (an online marketplace for community education and peer to peer learning) and Loomio (a consensus and democratic decision making tool for groups, organisations and businesses). Enspiral use an innovative business model to deliver great value to their customers as well as supporting new business start ups. Very exciting!
McLaren Park Henderson South Community Initiative (MPHS) in Waitakere, Auckland – an excellent example of how an enterprising approach can help to transform a disadvantaged area. Hubwest, the community hub recently opened by MPHS is state of the art, and a genuine reflection of local people’s aspirations. It is also a base from which to develop social enterprises.
Skylight, Wellington are an innovative counselling service that has reinvented itself as a social enterprise and now sells quality resources both locally and globally.
Elevator in Auckland is a very established social enterprise that offers a wide choice of supported employment options for people with disabilities living in the greater Auckland region, through their own enterprise activity and also through their connections in the open employment market.
Changeability, also in Auckland, is a social enterprise under the umbrella of Connect, a mental health organisation. Changeability trades to fund the work of the parent body. Changeability specialises in change management – and is finding many of it’s customers in the private sector.
Xtreme Waste in Raglan is a community enterprise working in partnership with Waikato District Council to manage Raglan’s solid waste. Within just 10 years, Xtreme Waste has helped the community to divert 75% of waste from landfill and won a Green Ribbon Award. Xtreme Waste employs 26 local people. Waste is such a fertile area for social enterprise and I feel fortunate to have a great example in my own backyard here in Raglan.

As you can see from the diversity above, social enterprises are emerging and established in a range of sectors and activities including recycling, disability, Iwi and Maori organisations, arts, tourism, health/mental health, digital media, community empowerment etc. Some top of the head reflections to date are: that our social enterprise practitioners are passionate and determined people; that they mainly operate in an environment that provides minimal support and encouragement; large organisations and/or those with a track record are better positioned to access the relevant advice, skills and finance; smaller and newer organisations are much more challenged in these areas.

I am pleased now that we framed the research around CED (that includes social enterprise, but also includes community exchange schemes as well as small local SMEs that deliver social value). I am noticing that two schools of thought and practice are emerging to date – those that are developing social enterprises to trade in existing markets, and those that think that the current economic paradigm is ultimately unsustainable and are establishing “alternative” local economies through community currencies, timebanking, savings pools etc.

I am looking forward to a more settled period in the new year to start analysing and integrating all the information that we have gathered. The data analysis will be followed by a comprehensive report that will include five case studies.

Literature Review

In the meantime, you may be interested in the CED research literature review summary, that is a quick read with some valuable information. The review explores the following key concepts:

Community Economic Development (CED)
Social Economy
Social Enterprise
Social Entrepreneurship
Social Innovation
Community Ownership of Assets
Social Finance and Investment
Social Value and Impact Assessment

… in terms of their history, theroretical frameworks and critiques, and the New Zealand context.

The document includes a table of characteristics of these key terms and concepts that you may find useful. For those of you who would like a more in depth exploration, the full version of the literature review is 112 pages long, and can be purchased for a fee of $30 plus GST and postage. If you would like to order a copy, email Lindsay Jeffs at lindsay@csbec.org.nz. We are getting into enterprise mode – walking the talk!

As Dorte and I travelled around the country, it was great to see the level of interest in CED and social enterprise.

In Christchurch, I was privileged to meet a group of ex students from the Social Enterprise Institute course who are continuing to meet to explore ways of working together for peer support and to explore mutual trading opportunities.

In Whakatane, an event was organised to coincide with our visit there. I was pleasantly surprised that 35 people turned up to explore and discuss social enterprise opportunities. Thanks to Inspiring Communities, Te Pou Whakaaro and Bay Trust who made this possible – we just had to turn up!

And in Auckland I got to go to The Feast! It was the first worldwide dinner party for social good, held on Friday 5 October as part of global social innovation week. The Feast was born out of the New York event, which gathers innovators from across industries to engage each-other in creating world-shaking change. This year more than 500 hubs popped up over the world to host their own Feast on Good. The Kitchen in Auckland played host to this event in collaboration with Curative, Innovate Change and Imminent. With an impressive guest list of champions and leaders in social innovation in New Zealand, the Auckland hub was one of the largest evening events of those across the world – and it was great fun with wonderful food from Pop Up Dining.

Also in Auckland, just this week I presented at one day event “Social Enterprise: Navigating the Fourth Sector” - that was jointly organised by the Waitemata Local Board, University of` Auckland Business School, The Kitchen and the CEDNZ Trust. This successful collaboration enabled quality knowledge exchange and really useful connections to be made. A highlight for me was the snappy Petra Kucha session in which six practitioners talked passionately about their social enterprises. There was also significant interest expressed in the development of a national network for social enterprise.

In Wellington I happened across the Collaboration Cafe, an informal bi-monthly café event which brings together some of Wellington’s younger social entrepreneurs to support one another in kick-starting innovative projects. I was impressed with the creative process as well as the good ideas and practical advice shared.

Also in Wellington, I was fortunate to attend the Community Recycling Network (CRN) Annual Hui. The Community Recycling Network is the representative organisation of community enterprises in recycling, reuse, composting, waste reduction and waste education. Members are a great bunch of innovative people working together to working together towards Zero Waste in New Zealand. They make up a significant proportion of the social enterprise sector.

A Social Enterprise Network for New Zealand (SENZ)

The above hui inspired me to continue to work with colleagues to establish a similar national vehicle, but for social enterprises across all the various sectors and activities. My time spent in the UK taught me that a practitioner led national social enterprise network (with associated regional and local activity) has an important part to play in carving the space for social enterprise in terms of awareness raising, capacity building and advocacy to develop a supportive and enabling environment for social enterprises to thrive and prosper.

This work is continuing, (a little slower than some of us would like – it is currently being driven by volunteers), but the momentum continues. Following on from a comprehensive consultation process involving numerous stakeholders, an Establishment Board of committed “doers” is now getting the ball rolling: Jeannine Walsh (who helped to establish Changeability) Clementine Ludlow from the BNZ Bank, Bevin Fitzsimmons from Breakthrough Strategies, Joanne Harland (lawyer), Pat Watson from Community Waitakere – and myself. A company has been established, the business plan and value proposition are almost complete, with support from AUT students and Deloittes, and we will be seeking members and founding partners in 2013. So watch this space!

Social Finance

In the previous bulletin I mentioned a Social Enterprise Loan Fund, the Employment Generation Fund, that is based at Lifewise, in the Auckland CBD. In response to the bulletin, readers were in contact to tell us about other social loan funds of interest including:

The Nelson Enterprise Loan Trust that makes loans of up to $20,000 to small businesses and social enterprises operating in the Nelson region. They have been been operating since 1997 and have made $1.6m in loans to 190 small businesses with a recovery rate of 99%.

The Just Dollars Trust in Christchurch that also makes loans to social enterprise and small business. Just Dollars was set up in 1992 to achieve social outcomes by providing small loans of up to $10,000 to help people generate income and employment.

And while we are talking employment, take a look at dogoodjobs.co.nz – an online jobs board linking passionate, talented, “do-gooders” with job vacancies at organisations working to create social and environmental change.

Todd Foundation think piece on Social Enterprise and Social Finance

This is a brief think-piece from the Todd Foundation reviewing and summarising social enterprise and social finance in New Zealand. It includes three case studies of NZ social enterprises operating along different points of the charity – business spectrum and outlines their challenges and advice to funders. It’s good to see one of our funders exploring the social enterprise and social finance space. Here is the link »

Social Enterprise Institute Seeking Expressions of Interest for 2013

The Social Enterprise Institute (SEI) held two successful courses for budding social enterprise practitioners in 2012 – one in Christchurch and one in Auckland. SEI offers practical courses in how to start a social enterprise – including content on asset mapping, feasibility studies, business plans, marketing, financing, implementing and social value measurement. The tutor is Lindsay Jeffs from the Christchurch Small Business Enterprise who has built and managed a successful social enterprise over the last 20 year. The course has an emphasis on peer exchange and includes a number of relevant guest speakers.The SEI will be running further courses in 2013 in Christchurch, Auckland and Wellington.

Please contact Lindsay Jeffs for further information:

lindsay@csbec.org.nz

Phone 03 3669978

The Social Entrepreneurs School Applications Now Open

Applications are now open for the 2013 NZCSI social entrepreneurs (SES) school. SES is seeking bold and courageous social entrepreneurs with a cause. The programme involves group study sessions, coaching, action learning, hear from expert witnesses and gaining practical, business and life skills over 10 months. Students pay a $1,500 plus GST contribution fee towards the programme, plus travel expenses incurred. SES provides full scholarships to cover the remainder of the $15,000 plus GST programme cost. Click here to apply.

Festival for the Future

I wish I had managed to go to this event in Wellington, organised by one of our leading social innovators, Guy Ryan from the Inspiring Stories Trust. The Festival for the Future showcased the passion, vision and projects led by some of our most innovative young New Zealanders. I hear it was inspiring. These young social entrepreneurs are our future and it is so encouraging to hear about them just getting on and doing it.

Social Enterprise World Forum

Another event it would have been great to be at was the recently held fifth Social Enterprise World Forum in Rio de Janeiro The conference theme and keynote address were mainly on impact investing, acknowledging the growing social investment market around the world. A summary of some key messages from the conference can be viewed here.

A Request to Givealittle

CED crowdfunds for Social Traders conference

Social Traders Australia national conference Global Shifts 2012 is being held from 12 to 14 December in Melbourne. I really want to attend to soak up the latest that is happening on the Australian social enterprise scene and to further develop relationships with the movers and shakers across the ditch, that will help to inform us as to how to grow this space in New Zealand. The challenge is – where to find the funds? It will cost around $2000 all up including registration fee (at a reduced rate), fares and cheap accommodation. The CEDNZ Trust has offered to contribute half of that amount, and SENZ Establishment Board Member, Bevin Fitzsimmons has kindly added $100 to the cause. This generosity prompted us to consider crowd funding to enable me to find the remaining funds to attend this conference. So…

If you would like to contribute to this CED cause, please Givealittle here »

Anyway, it’s hard to believe, but Christmas is approaching fast – I am going to aim to find the perfect gifts at social enterprises – the Trade Aid Shop, charity shops or environment and recycle centres etc. An opportunity to give our social enterprises a seasonal boost.

I borrowed the following quote from the Senscot newsletter, couldn’t resist it: “So let us solve the great problem of our time, the disease of excessive size and uncontrollable proportions, by going back to the alternative to both right and left – that is, to a small-scale social environment with all its potential for global pluralistic co-operation and largely unaffiliated self-sufficiency, by extending not centralising control but by decontrolling locally centred and nourished communities, each with its own institutional nucleus and a limited but strong and independent gravitational field.”

- Leopold Kohr (Austrian Economist)

That’s all from me for now, wishing you all the best in your various socially just and enterprising adventures!

Di Jennings

Convenor, CED Network

di@ced.org.nz

CED Bulletin – September 2012

Di Jennings — Mon, 03 Sep 2012 02:52:54 +0000

Hello CED practitioners and supporters,

Doing Real Good

Last week I attended the SOCANZ “Doing Real Good” Conference in Wellington. Congratulations to Viv Maidaborn and Shaun Lines for creating an event that provided a space for innovative ideas and inspiration to be shared and discussed.

Highlights for me were:

The inclusion of a Maori work stream and the opportunity to participate in conversations about how the Maori Economy is developing and how this relates to the social enterprise movement in general.
Social entrepreneurs who think and operate globally and seek social/environmental impact on a large scale (like Nic Francis, Melissa Clark Reynolds and Katherine Corich). Apart from Nic, all the speakers were from New Zealand, (some of who operate globally, some nationally and some at a community level). So it is evident that there is plenty of activity happening in our own backyard.
The possibilities that emerge when social enterprise intersects with the digital/knowledge economy realm. I am so not a digital native and don’t understand all the implications, but my intuition tells me that this is where big impact innovation is going to be happening, especially in the global democracy space. For example, the work of Enspiral in Wellington is particularly inspiring!
I have been reminded of the power of a good story. And our collective need for new stories that demonstrate business as a force for good.

Some of my reflections since the conference are:

Some of the presenters had businesses that undoubtedly are “doing real good” – and also distribute profits to individual shareholders. In my book that is called social business, not social enterprise. Both are absolutely valid in terms of making positive change in the world. This may sound like semantics, but it seems to me that the inherent nature of social enterprise is that profits are principally reinvested for community benefit, to distinguish it from mainstream “business as usual” that has, in some cases, allowed greed for profit to lead to the abuse of both people and the environment. Investor profits can lead to a slippery slope. However I can accept that this is not necessarily the case. The Scots take the view that the ratio between highest and lowest paid in a social enterprise should be no more than 5:1. Seems fair. I don’t doubt that this is a debate that will be around for a while.

Personally, I am most excited where social enterprise intersects with a localism, community empowerment agenda. You know, small is beautiful, thriving local communities, reduced oil dependency etc. I guess that’s because my background is in community development. The SOCANZ conference highlighted the role of large scale global social entrepreneurship – and the significant impact it is making. It seems to me we need both the global and the local.

Corporate attempt to appropriate the term “Social Enterprise”

A company called Salesforce is attempting to trademark the term social enterprise for its own business products. In response, Steve Wyler from Locality in the UK says, “…there is something very wrong indeed with the idea that a private company should appropriate the term social enterprise for its own narrow commercial ends, and moreover claim legal ownership for itself. What astonishing effrontery!”

Wyler says that Social Enterprise UK is mounting a challenge, and hopefully, will win. He says that this is as an indicator of what we are up against as our movement grows, and has a deeper significance. Ideas and practices of social enterprise have moved quickly from the margins to the mainstream, in part due to catastrophic failures of “business as usual”, and in part due to the growing credibility and reach of the social enterprise sector itself. The hope for a better way of doing things is, at last, becoming a threat to those who have sat so long and so comfortably around corporate boardroom tables and he thinks that that increasingly, the tactic will be to appropriate the term, to wear the attractive new clothes – without changing the nature of the beast within. Wyler says that this is nothing more nor less than a confidence trick!

CED Research Progress

Dorte Wray and I are making good progress with the CED research that is being carried out with Lotteries Community Research Funding, through the CEDNZ Trust with support from Unitec. The literature review is now completed and a summary will soon be published on the CEDNZ website. We have held five focus groups around the country. The many conversations have been illuminating. Focus Group participants say that they have welcomed the opportunity to meet with other practitioners to explore CED issues at a depth. In fact, the mid north island group that was held in Rotorua is continuing to meet, an unanticipated outcome of the research. Through September and October, Dorte and I will be travelling around New Zealand carrying out face to face interviews with 100 social enterprise practitioners. Next steps are the data analysis and report writing including some case studies.

OCVS Social Enterprise Research

The CED research above is distinct from the Social Enterprise Mapping Survey that is currently being carried out by OCVS, that has most likely come your way by now. The OCVS survey is a mapping exercise and it is anticipated that the two pieces of research will complement one another. You can link to the OCVS survey here. The closing date is 14 September 2012. If you are a social enterprise and have not completed the survey as yet, here is some relevant information from Diana Suggate.

The survey aims to get a better understand of the number and range of social enterprises, their activities and their contribution to New Zealand society and the economy. A social enterprise is an organisation that:

has a social, cultural, or environmental mission;
derives a substantial portion of its income from trade; and
reinvests the majority of its profit/surplus in the fulfilment of its mission.

At this stage we don’t want to tightly define what a “substantial proportion” of trading income is. In Australia, the definition of a “social enterprise” specifies that income from commercial activity is 50% or more (but can be less for newer ventures that have a clear aim of increasing their trading income).

Some people have encountered issues with the link to the survey or with particular questions. The new link www.surveymonkey.com/s/V6G9GLK should work for everyone. (People who have already used the earlier link don't need to worry – we will have that information.) Questions that require an answer are marked with an asterisk (*). It helps to have your organisation's financial report for the year ending in 2011 on hand before you start. For some questions you will be asked to provide numerical information. Please do not use dollar signs ($), percentage signs (%), commas, spaces or decimal points when answering these questions, or you may find you cannot proceed.

If you have for any reason partially completed the survey and then exited, we would encourage you to start again and complete the survey for us. Many thanks! If you encounter any problems, feel free to contact Diana.

Taking the risks…

I recently carried out a review of a community based information technology social enterprise in the Waikato region that unfortunately failed. Hats off to Community Waikato for having a go in the first place – and having the courage to commission an independent review to determine the causes of failure. They were, of course, multiple.

Developing social enterprise is challenging work, and it feels so important to me that we accept that, just like the private sector, not all social enterprises will succeed, that we learn from our mistakes – and even better, share the lessons with others for our collective learning. A copy of the report can be found here.

Here’s to having as few failures as possible and ensuring that we learn from our mistakes when things don’t pan out. In the course of my recent research, I read that it is a fallacy that social entrepreneurs take more risks than others, but that successful social entrepreneurs embark on a thorough investigation of potential risks in advance and plan rigorously for risk mitigation. That seems like a healthy attitude to risk, one that enables and does not stymie innovation – at the same time as accepting that unforeseen circumstances will inevitable emerge to undermine the best laid plans!

Establishing a National Social Enterprise Network

It continues to feel important that we develop a national network for CED and social enterprise that is sufficiently resourced and able to provide a cohesive voice for this growing sector. This is a journey that a number of us have been engaged in for some time. Here is a brief summary of what has happened to date, the ups and the downs…

Phase 1.0

The CEDNZ Trust was established in 2010
CEDNZ Conferences were held in Auckland in both 2010 and 2011 – with significant support from Community Waitakere, the Christchurch Small Business Enterprise Centre and the Auckland Council
A database of CED practitioners and supporters has been developed and regular ebulletins sent
November 2011 – the vision to establish a national network is stymied by lack of resource, a number of funding applications are declined (with the exception of the application to Lotteries Community Research Fund to carry out research that is currently being carried out by the CED Trust, with support from Unitec)

Time for a new approach….

Phase 2.0

CEDNZ reaches out and a number of new people bring significant time, skills and energy to the process
BNZ pays for facilitation and concept development
Sub groups are established to hone up the key messages and develop a structure
The challenge (still) is how to access funds to employ staff to get the ball rolling… and develop a financially sustainable model in the longer term
Peter Holbrook visits New Zealand and provides a road map based on the SEUK journey

Social Enterprise New Zealand (SENZ) is born. At a recent meeting an Establishment Board was created to develop the following:

A Business Plan
A Communications Plan
Identification of founding partners and patrons
The legal entity and constitution

At this stage, this work is being carried out by a handful of people on a voluntary basis. If our efforts are successful, you will certainly hear about it, and you will be invited to continue to be involved in this journey to establish and develop a national network for social enterprise.

Do you need a Social Loan?

Based at Lifewise, in the Auckland CBD, the Employment Generation Fund has been making loans to business ventures in Auckland and Northland since the early 1990's. This independent charitable micro-finance fund was set up by Methodist Churches in Auckland and Manukau to create jobs at a time of high unemployment.

The Fund assists small businesses which are unable to access finance from mainstream funders, making loans to ventures looking to start up, or expand. So far it's assisted more than 150 ventures, created over 340 full-time equivalent jobs and used the re-generating nature of the Fund to make loans of more than $1.7M.

The fund acts primarily as a “lending institution of last resort” to support new and early stage businesses get ahead and create employment on the way. But recently, as a consequence of the global financial crisis, businesses are watching their debt levels closely and in many cases not entertaining the thought of taking on more, which means that despite having funds to lend - their loan book is looking a bit too lean. The fund is seeking more business!

If you know someone whose business fits the basic criteria and needs funds up to about $20,000, please encourage them to call Phil Hickling on (09) 302 5394 or email philh@lifewise.org.nz and he will discuss their needs. The Management Committee is versatile in its approach and the web site is only a click away at www.microfinance.org.nz. It has a downloadable application form, but if in doubt do make the phone call.

Want to know more about micro finance in New Zealand? Email microfinance@lifewise.org.nz to subscribe to the Generator, a regular newsletter featuring articles, case studies and news.

Happenings at “The Kitchen”, Auckland

Six months in and The Kitchen, a shared work space for changemakers, located in Ponsonby, Auckland, is steadily developing as a launch-pad for good ideas. The team are currently developing a database of professional skills that members are able to offer each other and the broader community. If you'd like to work with other social entrepreneurs and community sector types, membership options are available to freelancers and small business people with a focus on positive/social and environmental impact.

Last Wednesday they hosted their first showcase of Kitchen talent "Table Talk". Seven organisations wowed an audience of 100, speaking on international development projects, health initiatives, brain-computer interfaces, sustainable housing, creative communications, and guidance and mentoring of sports people. You can check out the photos "here". Or if you missed that, they'll be hosting Pecha Kucha on 10th Oct.

See the Kitchen website for details, sign up to receive monthly invites or get in touch via hello@thekitchen.net.nz. The Kitchen Trust also offers a limited number of membership subsidies for deserving start-ups and non-for-profits – email trust@thekitchen.net.nz for more information.

Urban Edible Gardens Project

The British Council are launching an Edible Garden project in association with the Auckland Council. The idea is to create vegetable gardens in urban environments within the city, to both sustainably make use of organic waste and to showcase the possibilities for implementing urban closed loop permaculture systems in environments where there may not be access to grass or gardens.

The first garden was launched as part of the opening party for Co-Space (the new K Rd BizDojo makers space), on August 17th. Waste from cafes and working spaces will be utilised, and it is intended that the gardens will provide fresh greens for the community come summertime.

“System Jumpers”

In conversation with a UK colleague, I just discovered some new language for a concept that I am a big fan of. “System Jumpers” describes those people who love to work in the margins between sectors and systems, broker connections and encourage opportunities. When I was working in Waitakere we named this role a “community broker”. This felt right in its time, but in today’s environment it feels too wedded to one sector – the concept of a “system jumper” feels freer and more outward looking. Sometimes nailing the language is useful to enable the conversations to flow and the innovations to happen! My experience is that when these “system jumper “roles are resourced, that magical innovation can happen.

SIMPOL: People Power and Global Democracy

This is exciting. Many of us are disenchanted with nation state politics and the inability of our leading politicians to gain agreements on the big global issues of our times. SIMPOL is as an innovative concept that responds to this seemingly intractable dilemma. In this link the founder, John Bunzl, talks about citizens developing bottom-up power and global cooperation in addressing fundamental problems. I was riveted and have signed up. And am thinking how to encourage our New Zealand politicians to sign up…

Cleaning the World – with unused hotel soap

Clean the World takes in amenities from hotels and makes soap, more than 10 million bars of it, for people in need around the world. Check it out here.

That’s all from me for now, wishing you all the best in your various socially just and enterprising adventures…

Di Jennings

Convenor, CED Network

di@ced.org.nz

August bulletin

dijennings — Wed, 18 Aug 2010 03:39:32 +0000

13 August 2011

Hello community economic developers and supporters,

I have just come back from the blessing of the new Community Waitakere premises that will incorporate a hub for social Innovators in West Auckland. The team followed our Kaumatua as he blessed the many spaces in the building. I was diverted by a large 50 cent piece sitting on a window ledge – the old solid kind with hexagonal edges. It may seem fanciful, but as this building will become the Auckland home for the CED network, I have chosen to see that 50 cent piece as a positive sign for the future of CED and the potential power that we collectively hold to continue to create a strong, resilient and financially independent community sector. I am going to frame it and put it on my office wall as a constant reminder!

The new CED website

The yMedia Challenge is now over, bar the awards ceremony that is being held next Thursday night. Our whizz bang new CED website with web 2.0 social media bells and whistles is now live at http://www.ced.org.nz

I have been working closely with my wonderful team of students (and their mentors from the communications industry) through the web development process and they have worked really hard on this project. It has been a tight time frame and they have done a great job. However, the training session that will enable me to manage the site won’t happen until next week! So please be gentle in your expectations re new content etc for the next few weeks.

The vision is to develop a facility for an online CED community that can share information and ideas in a way that is participatory rather than functioning in a top down centralised way. What we have through the new website are the tools to enable this to happen. I expect that, over time, there will be further honing of the site and functions as I get feedback from you about how well it is working. Any comments on the initial structure and function at this stage would be much appreciated. I am not a “digital native” and this is a steep learning curve for me so I am taking lots of deep breaths! All going well, these bulletins will start to appear as a blog as I get my head around using the new tools.

For more information about the yMedia Challenge go to http://challenge.ymedia.co.nz/

Report from Laura Benedict re Social Lending in New Zealand

Laura Benedict, a 2010 Axford Fellow, heads up the commercial lending department at the US’s largest non-profit community development financial institution, Self-Help. Self-Help is a 30 year old non-profit “bank” that has invested over $5 billion in low-income and minority communities, by making market rate loans to non-profits, small businesses and first-time homebuyers. Thanks to the Ian Axford (New Zealand) Public Policy Fellowship, Laura has been in New Zealand in recent months exploring the emergent social lending scene here and has written a report based on her findings. Laura will be presenting her report, “Social Lending: A Tool for Grantmakers, an Opportunity for Communities”, in a couple of settings in Wellington and she has asked me to extend this invitation to our community of CED supporters.

The first event is through Fulbright New Zealand and the Institute of Public Administration New Zealand IPANZ) from 12:30-1:30pm on Friday 20 August. IPANZ members can register online at www.ipanz.org.nz. All others should RSVP by email to admin@ipanz.org.nz

The second event is at ComVoices’ next Parliamentary Breakfast on Tuesday 24 August at 7:30 am. The Hon Minister Dunne is the host. If you can come, please RSVP directly to rsvp@ideasshop.co.nz

Attached are the invitations to the seminars and the abstract for Laura’s paper that will be available on-line after the presentation on 20 August. Here is the link http://www.fulbright.org.nz/voices/axford/2010_benedict.html which will go live on 20 August.

“Hubs” emerging around Auckland

The Hub: Central Auckland

The Hub Auckland creates workplaces for accessing space, resources, connections, knowledge, experience and investment ‐ for people who change things. The Hub Auckland will be a shared workspace in Central Auckland for social entrepreneurs, NGOs, and all those working for more than profit. Membership is flexible: You can be based there part time or full‐time. 23 Hubs already operate globally in 15 countries. Check out http://the-hub.net)

Murray Sheard, the social entrepreneur behind the Hub development tells me that he is looking for research on social businesses in NZ, especially Auckland. He is looking to access information on the number of businesses that are set up as socially motivated businesses, what is the growth rate, and what their office needs typically are. If you are able to help with any relevant information, please email Murray at murray.sheard@tiri.org

And in Waitakere….

There’s nothing quite like a good idea that has come of age. A similar idea has been bubbling away here in Waitakere. Community Waitakere, one of the organisations that supported the February CED conference, is establishing premises in central Henderson that are being established as a hub for social innovators who are based out west. As above, flexible arrangements are possible from hot desking through to full time office space.

The Auckland and the Waitakere Hubs are seen as being complementary to one another and a collaborative relationship has been initiated. If you would like to know more about the Waitakere Social Innovation Hub please email Janet Cole at janet.cole@xtra.co.nz

Sustainable Business Network Social Innovation Awards

These awards recognise outstanding programmes, innovations or businesses that use entrepreneurship to meet pressing social needs through research, collaboration, creating new ventures, and working with community groups and public agencies. And entry is FREE!

The organisers at SBN are seeking innovative solutions to society’s unmet needs. Entries will be assessed via a questionnaire that considers a creative approach, as well as the social environmental and financial impact

Please mail sarah@sustainable.org.nz for an entry form. Final date for entries is 30 September 2010. Finalists will be announced early October 2010 and winners will be announced at the NZI National Sustainable Business Network Awards on 28 October.For more information please go to http://www.sustainableawards.org.nz/categories/social-innovation

More food for thought re definitions from the UK

I continue to follow the Social Entrepreneurs Network in Scotland with much interest as I see them as being international leaders in this field – and I love the strong community based approach that they take to social enterprise. I have borrowed the following from a recent Senscot newsletter…

“A social enterprise is a business which meets specific criteria – designed to ensure (amongst other things) that no-one can become personally wealthy from its operations. There is still a niggling lobby in the UK which wants to remove such restrictions – stemming mostly from the USA, where any restraint on individual wealth is considered communism. Let a thousand businesses prosper from the infinite mix of private and social motivations

- but let’s not call them social enterprises. http://www.senscot.net/view_art.php?viewid=9851

The Power of Organizing without Organizations

I am currently reading Clay Shirky’s book “The Power of Organizing without Organizations” that was kindly loaned by a colleague. This subject feels very relevant to the development of the CED Network – and is giving me a foundation for how to progress in a way that is flexible, light footed and doesn’t require the development of a rigid organisational structure that eats up resources. The new web tools are of course an important part of this journey.

I love the following quote from Shirky… “Civic value rarely comes from sudden social conversions; nor does it bubble up from individual actions. It comes, instead, from the work of groups, small groups at first that grow in size and importance, the pattern of collaborative circles, communities and practice, and many other group patterns. If we want to create new forms of civic value, we need to improve the ability of small groups to try radical things”.
Clay Shirky, Cognitive Surplus

That’s it from me for now – bar a request. As I talk to folk who are interested in knowing more about CED, I am often asked for examples of New Zealand case studies that demonstrate CED principles and tools. To date, I just haven’t had the time or resource to develop actual case studies ( although this part of the plan!)….and I frequently hear about innovative initiatives that I look forward to exploring further, as resource allows. However many of these examples are in the Auckland area as this is where I am based and I am determined not to be a myopic “Jaffa”! I know that there are many inspiring examples of social enterprise from all around New Zealand – so if you have examples or stories about social enterprises that are based in your area, please let me know – email di@communitywaitakere.org.nz

Wishing you the very best in your various enterprising adventures

Warm Regards

Di Jennings

di@communitywaitakere.govt.nz

July Bulletin

dijennings — Sun, 08 Aug 2010 10:42:26 +0000

Friday 9 July 2010

Hello community economic developers and supporters,

This has been such a busy and exciting month, so many opportunities, never enough time, but from the many conversations that have come my way, I have no doubt that the national interest in community economic development is growing fast. Sometimes I wonder how effective we are at communicating key messages about this space. My current favourite descriptor is “Profit for Community Benefit”.The new CED web platform
This week I am deep in the midst of the yMedia Challenge to develop an interactive web platform for the CED Network. I am working with a great bunch of students and some savvy mentors from the communications industry. They are inspired about the potential of CED and how the web can support the growth of this movement. Developing websites and utilising social networking tools is a major learning curve for me and I am at times mystified by the new language and concepts and myriad of social networking tools springing up. But I am getting excited about the potential of the new web communications to create two way dialogues and enable sharing of information, ideas and peer support. We aim for the website to be live around the end of August. I am so looking forward to having this online vehicle for two way communication and participation.

The interim CED Website
While this web platform is being developed, we are continuing to use the CED Conference website for network news. Check out the five minute documentary from the February conference that was made by UNITEC students. It cracks a great pace and is a wonderful reminder of the key messages from the conference. Also online are the filmed plenaries from the conference. The website has a sign up function to receive this monthly bulletin so do share it with colleagues who may be interested in community economic development. A big thank you to Lindsay Jeffs (co-host of CED Conference) and Amadeus from the Christchurch Small Business Enterprise Company for managing this interim website. Progressing the CED agenda is a very collaborative venture.

If We Ran the World
Talking about the web, I am currently sharing an office with Tim Gregory who ran a workshop called “If We Ran the World” at an Open Space session at the February Conference. He is talking about “making civic action contagious”. Tim says that IfWeRanTheWorld is an online programme for organising and galvanising grassroots action and coming up with solutions together, proving that online tools can be used to galvanise community through social media – the watershed event being ‘mybarackobama’ and ‘Organising for America’. IfWeRanTheWorld will connect you to a community of individuals, social organisations and businesses who share your goals and can join you in breaking them down into easy steps that everyone can commit to achieving in a fun and easy way. Check out IfWeRanTheWorld.com where you can set up your own action platform. Or contact Tim Gregory. He would love to hear about your individual projects and talk to you about how best IWRTW could be used to progress them.
Also worth a look is a link that was sent by Justine Munro from The School for Social Entrepreneurs to an excellent video that explores how open source (meaning free for us luddites!) software is serving a new era of global co-operative culture.

Glossary of key terms
I have also had a stab this month at developing a glossary of terms for the CED Network. The glossary is by no means definitive, but is intended as a starting point to facilitate meaningful conversations and de- mystify some of the inevitable jargon. I would like to acknowledge Senscot and Local People Leading as I used many of their definitions as source material for the glossary. Some of the terms are contentious and there is disagreement about their specific meanings. I anticipate that some of the definitions in the glossary will be debated…. and welcome your thoughts.

CED Events
No decision has been made as yet about a date for a second CED conference. It is a big undertaking and we have minimal resources. A group of colleagues have been exploring the idea of designing an event that will provide income to enable the CED Network to continue. That would really be walking the talk. Will keep you posted about progress.
While that idea is brewing, invitations are flowing in to talk at events around the country. This month I was invited to make a presentation to VASS (The NZ Federation of Vocational and Support Services), an umbrella group for organisations that provide employment, training and support services for people with disabilities. A key theme that emerged was the journey that a number of organisations are on from providing sheltered workshop facilities for their clients – to operating a social firm (that is a social enterprise that provides employment and training opportunities for marginalised people– see the glossary!). The people I spoke to felt that a social firm should be working towards paying a fair wage to all employees. Sounds fair enough to me …..

Some fresh thinking from around the globe…

New Economics Foundation, Co-production and the Core Economy
A manifesto that has come my way from the New Economics Foundation in the UK has a foreword from US Professor Edgar Cahn, the creator of Time Dollars and the Co-production principle. Professor Cahn introduces the concept of the Core Economy and says…. “Family, neighbourhood are the Core Economy. The Core Economy produces love and caring. Coming to each other’s rescue, democracy and social justice. It is time now to invest in rebuilding the Core Economy.” This manifesto shows how public services can help to rebuild and reinvigorate this core economy and realise its potential. It is about “a partnership between the monetary economy (comprised of public, private and non-profit sectors) and the core economy of home, family, neighbourhood and civil society.” Well worth a read.

From charity to social enterprise
The Senscot bulletin introduces an interesting piece from UK social entrepreneur, Duncan Fisher, who suggests that the charity model is `broken`. He predicts a crisis in the UK for the funding of all kinds of services at every level that will result in a shift towards social enterprise and self-help. It seems to me that a similar crisis is happening here in Aotearoa. Fisher’s mantra is… “Don’t mix the business management with the social sector politics…and to focus on clients rather than funders”. He says that the future belongs to those who can eliminate grants from their financial planning. Asked whether the shift he expects will be positive or negative, he is ambivalent. “The advantage is that services will become more efficient and focus on clients rather than funders,” he says. “But we will get an increase in the exclusion of certain groups: it doesn’t pay to cater to some, and that’s where government should come in.”

Upcoming tour on Asset Based Community Development (ABCD)
Cormac Russell is an international leader in ABCD – strengths based approach to community development that refers to “assets” in the widest sense of the word. Cormac will be touring Australia and New Zealand in November, in partnership with Ted Smeaton from ABCD Asia Pacific. Some of you will remember Ted’s dynamic presentation at the CED conference. Cormac says “… we focus on developing new ideas and strategies which are not needs based and funding-led, but instead use assets more effectively and promote citizen led initiatives. In short, approaches that support communities to actively engage in a democratic and inclusive way in co-producing stronger, safer and healthier neighbourhoods within villages, towns and cities in urban and rural areas.” Check out the flyer for further information.

That’s it for now- wishing you the very best in your enterprising adventures

Warm Regards
Di

June Bulletin

dijennings — Sun, 08 Aug 2010 09:53:10 +0000

Friday 11 June 2010

Hello CED supporters,

Through the many conversations I have participated in over the last month about next steps for CED in New Zealand, it has been increasingly clear to me that we are continually being hampered by limited access to social finance.

Like many of us, I am fortunate to work around innovative and creative thinkers who are excited about opportunities to develop socially innovative projects and community enterprises, but it seems to me that we just keep getting stumped when it gets to accessing the buck. We need a financial engine to build our sector that enables innovation, viability and sustainability.

In Scotland I was impressed by the way that Senscot has helped to develop a “pipeline” of support for social entrepreneurs and social enterprises……from small amounts of seed funding for individual social entrepreneurs to develop a good idea, to start -up funding for social enterprises, to more significant funding to enable established social enterprises to grow to the next level. As well as finance available from social investors, the Scottish government provides a mix of grants and loans through its Social Investment Fund to develop the sector. Any readers from the New Zealand government please take note!

A number of CED conference delegates have told me that they understand social enterprise as a concept, but that social finance is harder to get a grip on… So what is this new “thing” that we are calling social finance? I am learning that social finance includes social investment, social lending, microcredit, asset transfer initiatives, credit unions, community sector banking, community development finance institutions, time banking, local currencies, community foundations… and more.

This is a major learning curve for most of us community sector folk and I am not going to attempt to define the above concepts. But I do suggest that if this is an area that interests you that you check out some of the presentations from the 2010 CED Conference proceedings.

For example:

Lindsay Jeff’s presentation “Potential New Zealand approaches to social finance” provides an excellent overview and definitions of some key terms.

John Prendergast from the Community Trust of Southland told us a tale of grants and loans made to support community economic development in the Southland region. Seems to me those south islanders really know a thing or two about social finance!

Glen Saunders presentation on his report that was commissioned by Tindalls and the ASB Trust “A New Funding Paradigm” – about the status of social lending in New Zealand – is well worth a look. Commenting on the current state of play, Glen says about social lending that “No one is asking for it, so no one is providing it; no one is providing it, so no one is asking for it”! So how about we start asking for it and see what we can manifest!

Ingrid Burkett brought an Australian model, Forresters Community Finance, that enables the flow of new capital into community enterprise, to our attention. Forresters have an innovation and education arm that ensures ongoing development of best practice in terms of social investment. Ingrid’s presentation stressed the need for a balance between viability and sustainability.

Margaret Jeffries presentation about time banking is also good stuff. Margaret says that time banking is “a way of trading skills in a community. It uses time, rather than money, as the measurement tool. Members of a Time Bank share their skills with other members within the community and are given time credits for the work they do. With the credits they gain, each member can buy? someone else?s time, and get the service they need.”

David Marra and Christopher Hensch co -presented about the Pegasus Exchange that “ is creating a local complementary currency which will enable individuals, not-for-profit organisations and businesses to be more involved and have greater participation in the economy. The currency is set up as a membership organisation with a focus on small business activity and to support the not-for-profit community organisations in Canterbury’s urban and rural areas.

On the international front

I am continuing to be in touch with Annemarie Naylor from the Development Trusts Association (some wonderful resources and case studies available) in the UK who got us excited at the CED conference about asset transfer possibilities.

Annemarie has been telling me about the development of the Community Sharesproject in the UK. Community shares are a way of raising money from communities through the sale of shares or bonds in order to finance enterprises serving a community purpose. Unlike charitable fundraising, community investors can get their money back, and many also receive interest or dividends on the money they invest. It is not a new idea. Community investment underpinned the birth, growth and development of consumer co-operatives in the nineteenth and twentieth centuries. In the last ten years there has been a resurgence of interest in using community investment to finance a range of community initiatives.

I was interested to note that a book called “Slow Money” by Woody Tasch has been published that explores community investment in local food economies.

In the UK, the Young Foundation has carried out some emergent work on Social Impact Bonds and Social Value. Social Impact Bonds are a financial tool being developed to provide a new way to invest money in social outcomes. Their key innovation is to link investments (by commercial investors or foundations) to a programme of actions to improve the prospects of a group (for example 14-16 year olds in a particular area at risk of crime or unemployment) and commitments by national government to make payments linked to outcomes achieved in improving the lives of the group (for example, lower numbers in prison, and lower benefits payments). Its early days – this is still at the concept phase and yet to be piloted, but such an interesting idea. If governments get that investing in the social economy actually saves them money in the long term – now that would be something!

In Sweden around 2000 social entrepreneurs are currently gathering to “Rework the World” . It is the 5th Global Summit and they are really getting down to it – 100 concrete and investible initiatives and ventures from all over the world have been selected for discussion that fall within five areas: Energy, Water, Land, Cities and People. This site is giving me some great ideas for our next CED Conference.

A social enterprise online course is currently available. There is still time to enrol in the University of Waikato Post Graduate Social Enterprise papers for B semester 2010. The core paper taught this coming semester will be SCEN 502 Management and Social Enterprise, one of the two compulsory papers in the Social enterprise certificate and diploma programmes. This paper examines some of the issues which may arise for managers of an organisation engaged in social enterprise, community development or not for profit activity. This programme is taught entirely online, so there are no classes to attend. All you need is internet access and the motivation to study. If you feel a little isolated in your region, the ‘virtual-classroom’ generates a creative learning community. Classes start 12 July, so if you are interested in enrolling it is really important you get the process started NOW! Enrolment needs to be completed by the third week in June. For enrolment queries, contact Kim Barclay Kerr.

I’d like to leave you with some wise words from one of my Scottish community heroes, Lawrence Demarco. In this week’s Senscot bulletin, he says….

“Among community development workers (I’m one) there’s a clear distinction between those of us who believe that we should be employed by local people (my view) and those who believe that community empowerment should be an activity of local councils (the majority view). This encroachment by the state into the workings of civil society is confusing, intrusive and needs to be resisted. The alternative, of communities taking responsibility for themselves, is best exemplified by the likes of Development Trusts and Community Housing Associations which flourish in Scotland. These organisations are owned by the community they serve – often as the anchor organisation for a whole area – coordinating multiple activities. I believe that this model will increasingly become accepted as mainstream Policy” - Senscot

Wishing you the very best in your enterprising adventures

Warm Regards
Di

Di Jennings

May Bulletin

dijennings — Sun, 08 Aug 2010 09:49:51 +0000

Wednesday 19 May 2010

Hello Community Economic Development supporters,

It is now three months since the successful Community Economic Development (CED) Conference that was held in Waitakere - and the ripples are still flowing out into our communities around the country. Post conference feedback was overwhelmingly positive with many reports of inspired activity at the grass resulting from inspiration gleaned at the conference.

The week following the conference Lindsay Jeffs and I accompanied Aidan Pia (fromSenscot) and Annemarie Naylor (from the Asset Transfer Unit of the Development Trust Association in the UK) to Wellington to spread the word. We met with a range of community leaders, government officers and politicians. The NZFVWO supported the conference by hosted an event that attracted around 50 people attended and also arranged an interview of our overseas guests on Collaborative Voices. This whirlwind couple of days was a wonderful opportunity to soak Aidan and Annemarie’s wisdom around social enterprise development and asset transfer. As they told their stories at our many appointments a snappy mantra emerged… “Community enterprise for viability: community asset ownership for sustainability”

Conference presentations are available on the conference website (provide link) and a conference DVD has been produced by UNITEC students that will be available online shortly along with the filmed plenaries. Since the conference, Lindsay Jeffs and I have written a joint article for the NZFVWO New Dialogue newsletter and I have this month written a piece about asset transfer for the Inspiring Communities newsletter.

The results from the from the conference participants survey have been analysed. A key outcome was that 88% of delegates are interested in being a part of a social enterprise network with preferred functions being coordination, communication, mentoring and peer support.

On the back of this response, Community Waitakere has acquired seed funding from the ASB Trust to initiate a social enterprise networking initiative, with support and advice from leading social entrepreneurs. We are in the process of shaping up this initiative and establishing an advisory group with representation from across NZ to debate the way forward. The working name for this initiative is the CED Network, but this may change as it develops. Branding issues aside, the aim is to create an “Ecosystem” that enables the sharing of stories from social entrepreneurs, social enterprises, peer support, pointers to information/ resources, disseminate regular bulletins, raise awareness and support development of this emergent sector. Initially web based it is intended that the network will develop over time to include a national, regional and local focus. A key theme emerging to date is to develop a Business Plan with a strong financial sustainability focus – so that we are walking the talk of moving beyond grant dependence. No small challenge then!

Setting a date for a follow up conference within the next 18 months is a priority. So watch this space. The development of local networks that feed back information to the national network for sharing and cross fertilisation of ideas, challenges and inspiration is also intended.

Brief Sector News

Lindsay Jeffs has initiated a Social Enterprise School in Christchurch with a view to rolling it out to other parts of New Zealand over time. If you are interested in knowing more about the Social Enterprise School, contact Lindsay Jeffs

Justine Munro from the NZ Centre for Social Innovation is continuing to develop a School for Social Entrepreneurs based on the UK model

The NZFVWO are developing a focus on social enterprise approach and are currently advertising a community enterprise position.

The yMedia challenge is moving along in Auckland. A group of young social entrepreneurs are behind this creative initiative that supports community organisations by bringing them together with digital media students and communications industry specialists to plan and implement a project.

Please let me know what is happening in your neck of the woods so as I can include news from around the country in future email bulletins. And please feel free to pass this bulletin on to relevant folk in your networks.

In the meantime, wishing you the very best with your enterprising adventures…

Warm Regards
Di

Di Jennings for Community Waitakere