Tools & Resources for Developing Social Enterprise Practices 2015 NAO Business Summit

1. Tools & Resources for Developing Social Enterprise Practices 2015 NAO Business Summit Orlando, Florida Richard K. Merchant, CEO Health Workforce New York

2. Social Enterprise: The Concept and Practice of Organizational Self-Reliance • Directly addresses social needs through products and services and/or by employing/engaging disadvantaged people. • Focuses on earned revenue strategies to generate financial support.

3. The Process…………….. …..first, the overview …..then, the details

4. Phase 1: A Happy Peaceful AHEC

5. Hey!!! I’ve got an idea……. Phase 2: A Dark Day Arises

6. Phase 3

7. Phase 4

8. Phase 5

9. Phase 6: Turning the Corner

10. Phase 7: Waking Up

11. Phase 8

12. The Double Bottom Line Business Plan Social Impact Hire, Train, Support Social Goals Social Costs, Grants Costs, Business Revenue Plan, Invest, Operate $ Financial Goals Track Social Impact of Venture Track Financial Impact of Venture

13. JOHN HOWARD SOCIETY OF ALBERTA 2008

14. Social Enterprise Development Process

15. Evaluation/Revision Launch Business Planning Feasibility Ideation Readiness Education

16. EDUCATION YOU ARE HERE

17. EDUCATION Development

18. Education: A Never-Ending Process • Learn as much as you can - always • Written material • Visits • Networking/Professional Organizations • Engage strategic thinkers affiliated with your organization • Construct a communications plan • Generate a concept paper &/or informational material

19. READINESS YOU ARE HERE

20. Social Enterprises are Accountable to Many Stakeholders: • Clients (program participants) • Community • Funders • Investing Partners • Operating Partners • Customers There are high transaction costs associated with multiple accountabilities and bottom lines. This can lead to tensions surrounding mission focus. Readiness

21. Readiness

22. Make sure to properly and fully conduct your Entrepreneurial Leadership Characteristics and Readiness Worksheets!! Readiness

23. IDEATION YOU ARE HERE

24. Good ideas are born, not by suppression but by inclusion. - State Rep. Roland Gutierrez, Texas Ideation

25. Ideation Pre-Feasibility-Viability Feasibility Business Plan Source: Building Community Wealth: A Resource for Social Enterprise Development, Ch. 4

26. Ideation Selection Criteria Exercise

27. RK Merchant Personas 2015

29. Persona Exercise

30. FEASIBILITY YOU ARE HERE

31. Determination of Feasibility: The Process

32. BUSINESS PLAN YOU ARE HERE

33. The Double Bottom Line Business Plan Social Impact Hire, Train, Support Social Goals Social Costs, Grants Costs, Business Revenue Plan, Invest, Operate $ Financial Goals Track Social Impact of Venture Track Financial Impact of Venture

34. There is no definitive prototype for a social enterprise business plan • There is, however, general agreement on what components are essential to include • Consultants and coaches will vary on their opinions of weighted importance and the details required • Select a template that includes the essential elements, follow through with its construction, access expertise in its construction, seek credible feedback at its conclusion, and adjust as necessary Development of a Business Plan

35. Executive Summary • Market Opportunity • Business Model • Operations • Management • Social Outcomes • Financial Projections and Financial Statements • Appendices Essential Elements Source: Enterprising Non-Profits

36. Failing to communicate realistic goals • Failing to anticipate problems andrisk • Failing to provide leadership, dedication and commitment to the venture • Lack of experience • Failure to obtain necessary buy-in • Failure to demonstrate market niche • Failure to plan for revisiting and/or modifying plan • Failure to do the necessary homework Business Plan: Common Pitfalls

37. LAUNCH YOU ARE HERE

38. In golf as in life it is the follow through that makes the difference. - Some Guy Launch

39. A few things to remember………. • Its never too late to withdraw • Communication is key • Be “proactively responsive” • Make sure your measurement tools/people are in place, and that measurements are being done on time and accurately • If returns are low, don’t automatically think adding another ‘salesperson’ will help • Revisit the Business Plan regularly • Push hard, and be nice about it • Be confident Launch

40. EVALUATION YOU ARE HERE

41. Although measures should be tailored at various levels of an organization, measurement categories should be consistent across an organization. Key categories may include: • Financial Sustainability • Operational Efficiency • External/Market Impact • Mission Accomplishment • Additionally, organizations should establish, track, and coordinate benchmarks within each category. Social Enterprise: Impact Source: Virtue Ventures: The Adapted Balance Scorecard

43. Lean Canvas Exercise

44. Entrepreneurial Characteristics Profile Worksheet • Readiness Self-Assessment • Lean Canvas Template • Persona Example and Template • Ideation Scorecard • Ideation Selection Criteria • NED & LC Model for Enterprise Selection Criteria Template • Determination of Feasibility Worksheet • Checklist of Social Enterprise Business Plan Essential Elements • 10 Updated Tips for Launching a Product or Service (2012) • List of Recommended Books & Multimedia; Resources for Social Entrepreneurs • 11 Secrets to Building a Game-Changing Organization • Copy of Presentation Slides Tools & Resources

45. Richard K. Merchant Health WorkForce New York rkm@nahecnet.org 315.212.0159