How for-profit businesses and NGOs can reduce their distance and cooperate.

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SUSTAINABLE SOCIETY How for-profit businesses and NGOs can reduce their distance and cooperate

Transcript of How for-profit businesses and NGOs can reduce their distance and cooperate.

Page 1: How for-profit businesses and NGOs can reduce their distance and cooperate.

SUSTAINABLE SOCIETY

How for-profit businesses and NGOs can reduce their distance and

cooperate

Page 2: How for-profit businesses and NGOs can reduce their distance and cooperate.

A SNAPSHOT OF THE PRESENT SITUATION For-profit businesses and NGOs operate

in different sectors with hardly any meeting points

CSR? Donations?

POWER INEQUALITY

Page 3: How for-profit businesses and NGOs can reduce their distance and cooperate.

TRADITIONAL ATTITUDES AND CONCEPTS Business is business Market rulez NGOs are needy, low-status, charitable

organizations with philantropic ambitions

Business is evil Market is evil For profits exploit

employees/environment

Page 4: How for-profit businesses and NGOs can reduce their distance and cooperate.

MUTUAL PREJUDICE VS MUTUAL INTEREST Cooperations based on needs

NGOs need

- Income- New connections - Acknowledgment /respectable status- Sensitive social environment

- BUT WHAT MIGHT BUSINESSES NEED?

Page 5: How for-profit businesses and NGOs can reduce their distance and cooperate.

FOR-PROFIT BUSINESSES NEED:

A better image Bigger market Affordable services Cost reduction

Page 6: How for-profit businesses and NGOs can reduce their distance and cooperate.

HOW TO PAIR THEM UP? FOR-PROFITS SEEK:Economically sound solutionsSocially sound solutions

NGOs SEEK:Solutions in line with their missionMarketable and profitable solutions (which

enable them to build connections in the entire society thus promoting their aims and causes)

Page 7: How for-profit businesses and NGOs can reduce their distance and cooperate.

ONE POSSIBLE SOLUTION Austrian So-Pro initiative (Soziale

Produziert)

Products produced by social enterprises Production spares resources, as it is

produced:

Locally By local partnerships By supported employment From waste materials

Page 8: How for-profit businesses and NGOs can reduce their distance and cooperate.

IN THE HUNGARIAN SO-PRO Supporting social enterprises’

appearance in the market

Preparing cooperation with for-profit actors

Finding common opportunities for cooperation

Page 9: How for-profit businesses and NGOs can reduce their distance and cooperate.

INTERNATIONAL DISSEMINATION Preparig the international network

Preparing a European trademark (high quality, economically and socially sustainable product)

Cooperation with Danube Region Strategy

Page 10: How for-profit businesses and NGOs can reduce their distance and cooperate.

EXAMPLES SO FAR Industrial waste of a matress producing company is

turned into construction toy cubes by people employed by Caritas

Gardening jobs are done by mentally handicapped people at a car dealership

Coffeepods from a cafeteria are turned into jewellery by under-educated and drug-addicted young people

Bags are produced from waterproof textile banners previously produced and used by an advertising agency

Page 11: How for-profit businesses and NGOs can reduce their distance and cooperate.

TO SUMMARIZE THE CONCEPT BASIC PRINCIPLES:

Environmental awareness Social responsibility Economic responsibility (reasonable

wages, free from tax evasion and corruption)

IT IS NOT:- Donation / Charity / CSR

Page 12: How for-profit businesses and NGOs can reduce their distance and cooperate.

THE NOVELTY OF THE CONCEPT It accepts that market is profit-oriented

It accepts the basic principles how the market works

It emphasizes responsibility and sustainability: they are a priority for all actors

Page 13: How for-profit businesses and NGOs can reduce their distance and cooperate.

AND WHAT IS OUR ROLE IN THIS?

We work as advisors with both parties

Page 14: How for-profit businesses and NGOs can reduce their distance and cooperate.

WITH FOR-PROFIT COMPANIES:

We build connections We introduce the model We explore opportunities

(with state sector actors cooperation is also possible, local authorities, etc)

Page 15: How for-profit businesses and NGOs can reduce their distance and cooperate.

WITH NGOS:

A much more gradual process

1. Fundraising techniques (donations, volunteers, etc) – 1st stage of social enterprises

2. Finding services our products they can supply even if only temporarily or seasonally – handicappes people making Christmas decorations – how and where to sell it – involvement of professionals,eg.a designer – 2nd stage of social enterprises

3. Services or products which are self-sustaining – environmentalist NGO letting accommodation in a house in a forest – thus making it possible for the activists to use it for free – market research, marketing, business plan – all needed. -3rd stage of social enterprises

4. Profitable product or service is developed and launched – a full scale business by the NGO though the profit is used in order to help the beneficiaries, the NGO’s target group – 4th stage of social enterprises