CHALLENGE:FUTURE FINALS SUBMISSION 180 DEGREES...
Transcript of CHALLENGE:FUTURE FINALS SUBMISSION 180 DEGREES...
CHALLENGE:FUTURE FINALS SUBMISSION
180 DEGREES CONSULTING
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Contents
1. OUR IDEA
INTRODUCTION
PROBLEM DEFINITION
OPERATIONAL STRATEGY
ENGAGEMENT PROCESS
QUALITY ASSURANCE
2. INNOVATION AND RELEVANCE
INNOVATION
RELEVANCE
3. ORGANISATIONAL GOALS
GOAL 1: GENERATE A LARGE SOCIAL IMPACT
GOAL 2: MAKE THE EXPERIENCE ENJOYABLE FOR STUDENTS
4. IMPLEMENTATION AND FEASIBILITY
IMPLEMENTATION
FEASIBILITY
A FEW PHOTOS
5. THE FUTURE
OUR GROWTH ASPIRATIONS
INTERNATIONAL GROWTH CHANNELS
EXECUTION AND BRANCH MANAGEMENT CAPABILITIES
OUR FORECAST GROWTH
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Our Idea
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Section 1
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Our idea, which we are well on the way to implementing, is to create a worldwide student-
driven consultancy that generates significant social impact by enabling the most capable
university students to develop sustainable solutions to challenges faced by socially conscious
organizations.
Our team has been working on this idea for the past couple of years, however it has only
taken off in the past few months when we have been working on it as part of the
Challenge:Future competition.
So how does 180 Degrees Consulting operate?
180 Degrees consists of an international executive as well as many branches that are based at
universities around the world. The international executive is the main governing body of the
organization, responsible for overseeing and supporting the work of the individual branches.
There are currently branches situated in Indiana (USA), Ithaca (USA), Copenhagen
(Denmark), Sweden (Stockholm), Mexico (Mexico City), Russia (Vladivostok), and Sydney
(Australia).
At each branch, students are able to apply to become 180 Degrees consultants. After a
rigorous selection process involving written applications and in-person interviews, successful
students are allocated into consulting teams based on their areas of expertise and the degree
they are completing. Teams then work throughout the year with non-profits to identify and
overcome specific challenges they are facing.
A broad range of consulting services are offered, including organisational planning and
development, market research and analysis, and project review and realisation. Importantly,
we track the progress of clients over time, even after the official consultation process has
concluded. By using the records of our international client base to establish best practices, we
make an impact on social outcomes in the long-term.
Students are also given professional consulting training and mentoring by top-tier consulting
firms, so as to increase the quality of work undertaken.
Introduction
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We live in a time when non-profits and social enterprises are able to mobilise and network
internationally, while retaining their local identity and community engagement. At the same
time, governments across the world are enabling non-profits and social enterprises to take
over social services previously delivered by governments. One example of this trend is the
Swedish Government, which in 2008 passed a law to this effect. Social entrepreneurship is
on the rise, and is witnessing a new movement of people and ideas.
There are non-profits and social enterprises, however, which are constrained by a lack of
cost-effective professional services and are unable to employ for-profit consulting companies
to help them. Furthermore, the limited pro bono work undertaken by for-profit
consultancies is done mostly for established entities with public clout. This lack of cost-
effective professional service provision for non-profits and social enterprises constitutes a
market failure, which leaves them – and the communities that rely on their services –
wanting.
But there is another source of creative potential and problem-solving ability, which is largely
untapped. It is in young people, who may have limited money or professional experience,
but who do have the ability to think laterally. They have a boldness and an eagerness to
engage in socially beneficial activities, and are keen to apply their skills in a tangible and
professional manner.
The inability to connect this unmet demand with this untapped supply is attributable to two
sources of market failure:
! Information asymmetries: It is difficult for non-profits and students to connect with
each other efficiently, especially where the problem to be resolved requires expertise in a
specialized field.
! The incentive structures may not be spontaneously aligned: Non-profits require quality
and reliable assistance, and students require enough synergy between their academic
experience and the problem-solving process to merit the effort.
180 Degrees resolves these market failures by engineering a long-term, sustainable
connection between non-profits who seek assistance and students who are willing and able to
provide it.
Problem Definition
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Our operational strategy has a number of elements, such as expanding internationally
through universities, and operating under a decentralized organisational model so as to
achieve scale. However the aspect of our strategy we will focus on in this sub-section is the
type of organizations we plan to work with.
In broad terms, 180 Degrees works with socially-conscious organizations, which includes
non-profit organizations, social enterprises, and for-profit organizations in relation to their
corporate social responsibility.
So far 180 Degrees has mainly worked with grassroots non-profit organizations and social
enterprises. For example, we have worked with Helping Hands in Sweden on fundraising
strategies, AfriCap in Mauritius on improving social impact assessment, Crossroads in Hong
Kong on effectively connecting unwanted goods to where they are needed around the world,
and A21 in Ukraine on developing new social enterprises to provide employment to women
subjected to sex slavery.
In the medium-term it is our intention to also start doing some consulting for for-profit
organizations in relation to their CSR, and to use the revenue generated from this to cross-
subsidize our other operations. The experience, reputation and market knowledge we gain
from consulting for non-profits and social enterprises would put us in a good position to
make this transition. More specifically, we intend to target businesses that are considering
implementing socially-oriented business strategies and CSR initiatives. For example, we would target
enterprises such as denim manufacturer Nobody. This business donates a percentage of its sales
revenue to charities that supply clean drinking water to impoverished communities in Africa.
This client breakdown provides a good balance between activities that generate revenue for
the firm and activities solely focused on achieving the maximum social impact.
In terms of the geographic location of clients, we try to consult for organisations that have a
physical location close to where 180 Degrees’ branches are located. This is because
consultation is more effective if students can communicate face-to-face with clients.
However this does not mean that social solutions cannot be sourced internationally through
utilizing 180 Degrees’ extensive network and online knowledge sharing platform.
Operational Strategy
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To ensure prosperous development of ideas between the client and consultants, 180 Degrees uses a highly communicative engagement process that takes our initiatives from concept to creation, on a reliable and effective basis.
1. Introduction Meeting: This is an opportunity for our client to meet with their 180 Degrees consultant team. Here, our team will begin to understand the industry the organisation operates in, what it seeks to achieve, and examine the way it currently attempts to attain its goals.
2. Statement of Work and KPI Benchmarks: After our team has assessed the organisation and what it seeks to achieve, a statement of work will be prepared. It will outline the work to be undertaken, the aim of the work and the timeframe in which it will be accomplished. From this, we will establish a baseline outcome which is derived from the organisation’s current performance and that of competitors. This baseline will allow us to gauge the progress of our work, and develop a range of Key Performance Indicators (KPIs). These indicator benchmarks will be used to assess the implementation and effectiveness of our work in the long run.
3. International Collaboration: At this stage, an early report detailing the particular scenario and work to be completed will be filed and shared on our online platform. This will allow us to draw upon the wide base of international talent and experience available to 180 Degrees.
4. Progress Report: An intermediate progress report will be tabled and presented to the organisation at approximately the halfway point in the work. This details the work completed to date, and tracks the progress of the work compared to the baseline KPIs. Any major issues and risks to the work will also be addressed.
5. Final Presentation: This is the culmination of the consultancy process. A formal presentation to relevant stakeholders is made, outlining the key strategies and plans formed over the period of work. A review of the baseline KPIs is made, to ensure that the project outcomes reflect the goals set. A further checkpoint and another set of KPIs is established, which will allow the implementation and effectiveness of our recommendations to be measured.
6. Key Performance Indicator Review: This is the final planned stage in the consulting process, which occurs after implementation of recommendations has been carried out. During this stage, the outcomes of the organisation’s work are measured against the baseline set at the commencement of the consulting process. If the progress is deemed unacceptable, then further recommendations are made and additional KPI checkpoints established.
Engagement Process
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180 Degrees recognizes the need to provide a high standard of consulting services. It is for
this reason that students are required to undergo a rigorous selection process and then
engage in quality training before they are eligible to consult.
The selection of student consultants involves a three-stage process. First, students need to
have a demonstrated strong academic record. Second, candidates have to submit an
application outlining their proof of relevant experience and/or ability. Third, shortlisted
candidates will go through a series of interviews with local and international 180 Degrees
consultants to ensure that their motivations and values are consistent with those of the
organization. This rigorous selection process ensures that the quality of 180 Degrees student
consultants is comparable to the quality of students recruited by established for-profit
consultancies.
In addition to this recruitment process, other methods 180 Degrees employs to ensure
quality of consulting services include:
" Providing student consultants with both general and project-specific training
conducted by the world’s leading consulting companies.
" Engaging university professors as mentors for student consultant teams.
" Matching students with specialized knowledge with clients needs.
" Encouraging students to consult for 180 Degrees over an extended period of time so
that experience is acquired.
" Enabling students to use the 180 Degrees online platform to access an international
pool of knowledge and expertise.
Quality Assurance
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Innovation and Relevance
Section 2
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180 Degrees Consulting is an innovative idea for a number of reasons:
" It goes against the general view of what it means for students to volunteer.
Volunteering by way of consulting is quite a novel concept.
" It ‘hits multiple birds with one stone’, enabling students to simultaneously get work
experience and make a difference (rather than students having to do these activities
separately)
" It strikes the right balance between how scalable and how tangible an activity is. If
students run their own social ventures then the impact is very tangible but it not
very scalable because it is very time-consuming. On the other hand, if students just
think up innovative ideas to change the world, the ideas have the potential to have
an impact on a large-scale but it is unlikely those ideas will be implemented (that is,
the impact is not tangible in most cases). By solving real-life problems faced by
real-organisations, 180 Degrees makes a tangible difference in a scalable way.
" Unlike most other initiatives that involve starting up a new charitable organization,
180 Degrees works to try to improve the effectiveness of existing charities.
" It is a true ‘win-win’ situation. This process is mutually beneficial. Non-profits are
assisted in the development of innovative, sustainable and practical solutions. At
the same time, students are able to contribute to their communities, apply their
university studies in a practical environment, and develop valuable life skills.
" There is also a ‘win-win’ outcome involving student consultants and the top-tier
consulting firms that provide training and mentoring. Top-tier firms are able to
interact with very capable students who are interested in consulting (which is very
useful for recruitment purposes), and students receive quality training.
" No other student-based consultancy in the world involves regular collaboration
between students from many corners of the globe. Having a variety of perspectives
on problems leads to better ideas being developed.
" Unlike most other student organizations, we operate in a professional manner and
the process of joining is quite selective. This is necessary to ensure a high quality of
services.
Innovation
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The consulting work undertaken by 180 Degrees is incredibly relevant because it is helping
socially conscious organizations to overcome systemic challenges they are facing. It is
important to realize that the effectiveness of a charity should not be determined based on the
percentage of donations that go to administration costs, but by the quality of its programs
and the social impact that charity creates. We try to address the underlying causes of
problems and to change the way things are done, rather than simply seeing money as the
solution to every problem.
Relevance
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Organizational Goals
Section 3
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Goal 1: Generate a Large Social Impact
As has already been mentioned, many non-profit organisations work ineffectively to achieve
their aims. Unless assistance is provided, they will continue to work ineffectively, trapped by
a mentality of doing things the way they’ve always been done.
Our main goal is to provide innovative and custom solutions to organisations who are trying
to make the world a better place. We harness their existing infrastructure, experience and
expertise and help to focus it on where they can make the biggest difference, in the most
effective way.
Below is a snapshot of the breakdown of the clients of the Sydney University branch at the
moment. As can be seen, we are working with a large variety of non-profits and social
enterprises.
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We believe that 180 Degrees generates a greater social return than other charitable
organisations, for three reasons:
1. 180 Degrees meets an unmet demand
There are many organisations that focus on solving social problems through either
fundraising or raising awareness. However many social problems cannot be solved using the
same thinking that created them. What is needed is not just money and awareness, but social
innovation – which is what 180 Degrees provides.
2. 180 Degrees facilitates a mutually beneficial arrangement
Social returns don’t just flow one way – both students and clients benefit. Clients benefit
through getting tailored solutions to systemic problems, whilst students benefit through
simultaneously gaining work experience, making a meaningful contribution to their
communities, and developing valuable life skills. This two-way arrangement makes the
organization sustainable, enabling social returns to increase over time.
3. There is a multipled social impact
Because 180 Degrees track the progress of clients over time, even after the official
consultation process, the organisation makes an impact on social outcomes in the long-term.
Records of clients are used to establish best-practices, with solutions applied in one location
transferable to others.
In a quantitative sense, it is forecast that across all branches 180 Degrees will be able to
consult for more than 700 organizations by 2015, which equates to over 160,000 labour
hours - a significant social impact.
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Goal 2: Make the Experience Enjoyable for Students
We have always strived to make 180 Degrees an organization that is fun to be a part of.
Indeed, many students tell us it is the most enjoyable activity they do each week. Some
ways we create fun are as follows.
" We have regular social events. For example, we recently held a Gala Ball for all
Australian students involved in 180 Degrees Consulting. It was an amazing night
enjoyed by all. Other social events include ‘potluck’ dinners, social drinks, and
cocktail receptions.
" We focus on working in teams. Students enjoy working with others and forming
new friendships.
" Our student consultants get a lot of enjoyment out of helping others and seeing
the work they are doing make a big difference to the lives of other people.
" We encourage global collaboration in a number of ways. In addition to
encouraging sharing on our online knowledge sharing platform, we also run
‘international projects’ where we select students from all over the world and send
them to a developing country to work together and help a charity there. This
cross-cultural exchange is very rewarding and enjoyable for many people.
Furthermore, the very fact that we enable people to travel the world to
undertake consulting makes it fun!
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Section 4
Implementation and Feasibility
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Implementation
Since being selected for this round of the Challenge:Future competition all members of our
team have been working hard to bring our idea for a worldwide student consultancy to the
next level. Ben Coles has focused on operations, Shane Treeves on marketing, and Edward
Miller on the financial side of things. We have made substantial progress. Some of our key
achievements in the past 3 months are:
" Doubling the number of existing 180 Degrees branches and lining up many
more branches to commence operations in 2012 (see map below).
" Securing substantial sponsorship from a leading for-profit consulting company
" Setting up support systems to enable the growth of the organization
" Increasing awareness of the 180 Degrees brand amongst students and non-profit
organizations
" Establishing an international executive team of 25 people to help out all the
different 180 Degrees branches around the world
" Ensuring each 180 Degrees branch is incorporated in the jurisdiction where it
operates
" Sending teams of consultants to developing countries to undertake projects. For
example, we recently sent teams to Uganda and Bangladesh, and in February a
consulting team will be based in Cambodia.
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Feasibility
We have proved to ourselves as well as others that our idea is feasibly, both financially and
in terms of how it operates. Some testimonials to illustrate this are as follows:
“180 Degrees i s one o f the f ew organizat ions that i s l eg i t imate ly thought ful and nove l . I t i s a great opportunity for s tudents to ge t pract i ca l exper ience that i s manageable a longs ide fu l l - t ime s tudy.” – Alex Lewis (member of a 180 Degrees Consulting Team)
“We are incredibly grate ful for the he lp o f the 180 Degrees Consult ing team, made up o f immense ly inte l l i gent and creat ive indiv iduals . Upon implementing the ir recommendations we have seen a 60% increase in the number o f KPIs we meet . Thank you.” – CEO of Sydney-Based Non-Profit Organization
"180 Degrees Consult ing i s a fantast i c ini t iat ive ." - Kevin Rudd (former Prime Minister of Australia)
"180 Degrees i s such a worthwhi le act iv i ty for s tudents to ge t involved in" - Marie
Bashir (Governor of New South Wales, Australia)
In terms of finances, one of the great things about 180 Degrees Consulting is that we
operate on a very low budget. At most of our university branches, the university provides
180 Degrees Consulting with in-kind support (such as free room-hire), as well as some
pecuniary support. We also receive some financial support from a top-tier consulting
company, which covers the costs of the international executive and enables us to provide
start-up grants to new branches. To further improve the financial position of 180 Degrees,
we intend to commence consulting for for-profits organizations in relation to their CSR in
the medium-term (in addition to continuing to consult for non-profits and social
enterprises). The revenue generated from this will be reinvested into the organization.
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A Few Photos
Above: One of the consulting training events we recently held.
Below: Some of the international executive at a planning lunch.
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A Few Photos
Above: Two students who recently went to Uganda for a consulting project. They are clearly enjoying themselves!
Below: Recruiting new student consultants.
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A Few Photos
From top to bottom: The 180 Degrees branch leadership teams in Denmark, Russia and Mexico.
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Section 5
The Future
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!Our Growth Aspirations
We want to grow 180 Degrees Consulting from what it is today to over 50 branches and over
4000 consultants by the beginning of 2015. With 13 new or growing branches in the pipeline
at the moment, we believe this to be a realistic expectation. The branch growth strategy is to
maximize the inflow of branches into our pipeline by leveraging our three major growth
channels and to maintain the high conversion rate. We plan to support that high conversion
rate by assisting branches over the four hurdles identified in branch filter diagram below.
The remainder of this section will:
" Further examine the channels of growth utilized by 180 Degrees.
" Explain the capabilities of 180 Degrees in executing and managing this growth.
" Provide an annual forecast for 180 Degrees branch growth
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International Growth Channels
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A number of 180 Degrees consultants are exchange students from
foreign universities. 180 Degrees runs workshops for those students
who are interested in establishing a branch at their home university.
This method has already proven successful with the Indiana and
Copenhagen Branches setting up recently. This method is preferred
because branches are established by individuals who understand
how 180 Degrees operates and therefore are more likely to
successfully establish branches. Further, this growth method should
support short-term exponential growth. To maximize this
opportunity the Branch Management Office ensures that branches
hold start-up sessions and focus on recruiting international students.
Many consultants go to youth leadership conferences, business plan
competitions and debating tournaments. These conferences are
melting pots of young ambitious people where the 180 story gains
significant traction. It is expected that through formal events and
informal relationships a number of branches will be established
following the example set by the Mexican, Swedish and Russian
branches. Our strategy to develop this channel is to train all 180
Degrees members on how to identify and take advantage these
opportunities, where they can get support, and the process of setting
up a new branch. It is hoped that with increased funds, we could
allow executives who identify new branches, which are successfully
established to go on a subsidized secondment to these to help their
contact establish the branch. This would incentivize members to
develop new branches at international student conferences.
As the 180 Degrees Consulting brand name penetrates national
markets students from other universities have approached 180
Degrees consulting to establish a branch at their university. We have
already received four such applications within Australia. It is
expected that this channel will provide a significant source of
medium term growth opportunities as the current generation of
branches mature. To maximize this growth channel we are
developing media kits for all branches to increase the brand’s
penetration into their markets. Further we have clear pathways for
students looking to establish branches to reach-out to.
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Execution and Branch Management Capabilities
Over the past few months 180 Degrees has had an enviable record of converting leads into
branches. This is expected to continue as the international body will continue to provide
support to new branches. This support is channeled through Branch Management Office,
which provides best practice procedures including step-by-step guides on recruitment,
accountability systems to track branches and resources to reduce the workloads on branch
executives. Specifically, our “branch master pack” provides templates for many of the
standard forms and documents needed to establish a branch and takes prospective branch
heads through a series of easy to implement steps. This reduces the risks faced by fledgling
branches and the work needed to set one up.
Over the past 2 months we have established support systems to help branches execute day-
to-day activities and set-up. The systems in place include:
1. Electronic tracking of branches: This system reduces the variable work load
associated with new branches.
2. Start-up branch management team: Each branch is given very personal support
from a member of our growth team. This team is easily scalable as each person
manages a portfolio of branches. As the growth rate, in aggregate, does not increase
significantly from period to period it is relatively manageable. Further, we currently
have the capacity to manage this growth through to semester 1 2013.
3. Established branch management team: This team involves a number of people
who manage a portfolio of established branches. This is relatively low level of work
per branch and therefore allows significant flexibility with how many branches are
allocated to individual team members, which streamlines the process of adding
capacity to the team.
The prize money from the Challenge:Future competition would help to further establish
these support systems, thereby enabling the continued growth of 180 Degrees Consulting.
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Our Forecast Growth
The table below shows the forecasts of the number of branches per semester.
Time Semester 2,
2011
Semester 1,
2012
Semester 2,
2012
Semester 1,
2013
Semester 2,
2013
Semester 1,
2014
Semester 2,
2014
Total 7 14 18 25 41 53 78
We expect our growth rate to increase at an increasing rate. The chart below illustrates our growth sources. In the short term, our existing pipeline is the major source of growth. This pipeline has low risk levels – a number of the branches are already close to set-up, with enthusiastic and committed executives who have lined up both clients and consultants. It should be noted that the pipeline is also de-risked as existing branches which are yet to scale up to five or more projects a semester are included. In the future, it is expected that growth will largely be driven by international exchange students returning to their home universities to establish branches.
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