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Abc2 of present isea june 29 2012

  1. Institute for Social Entrepreneurship in Asia Marie Lisa Dacanay President, Institute for Social Entrepreneurship in Asia PRESENT Multisectoral Forum Series Launch; June 29, 2012
  2. ABC of Poverty Reduction through Social Entrepreneurship  PRESENT as Aspiration  The PRESENT Bill  The PRESENT Coalition  Convergence for PRESENT
  4. “Social entrepreneurship entails innovations designed to explicitly improve societal well-being, housed within entrepreneurial organizations, which initiate, guide or contribute to change in society” (Perrini, 2006)
  5. Social Entrepreneurship: GLOBAL PHENOMENON: RESPONSE TO CRISIS US: ◦ economic downturn in 70s and 80s  huge cutbacks of federal funding to NGOs Europe: ◦ crisis of welfare states in 80s  retreat from public services + phenomenon of structural unemployment  WISE Countries in the South/Philippines: ◦ continuing crisis of development in 90s: massive poverty and inequality  SE-PPS: Social Enterprises with the Poor as Primary Stakeholders
  6. Social Enterprise with the Poor as Primary Stakeholders (SE-PPS): social mission- driven wealth creating organizations Private enterprise Social enterprise Stockholders/ Primary Poor /Marginalized sectors: proprietors: owners of stakeholders/ engaged as suppliers, workers, capital beneficiaries clients and/or owners; partners in poverty reduction Single bottom line: Primary Double or triple bottom line: profit objectives poverty reduction, (social), environmental; financial sustainability as supportive objective Accumulative: enrich Enterprise Distributive: positive benefits individual owners of philosophy accrue to society specially capital oftentimes with among broad segments of poor negative social and environmental costs
  7. Social Enterprises with the Poor as Primary Stakeholders (SE-PPS) AS INNOVATIVE CHANGE AGENTS provide the poor a combination of transactional and transformational services: ‘Poverty as deprivation of basic capabilities’(Sen,1999; 2009) not just low income positively contribute to creation of economic and social value: much of value created not recognized by mainstream market economy use combination of principles as actors in economic development: market, redistribution reciprocity, solidarity, sustainability
  8. PRESENT: Developing SE-PPS as Partners of Poor in Strategic Economic Subsectors  Single social enterprise interventions  limited in terms of impact and sustainability  Importance of interventions at the level of economic subsectors  network of related actors and enterprises performing various functions in competing value chains; may be identified by major raw material source, finished product or final service provided
  9. PRESENT: Developing SE-PPS as Partners of Poor in Strategic Economic Subsectors  Strategic Economic Subsectors ◦ have a potential for growth ◦ large numbers of the poor are players or could become players  Examples of strategic economic subsectors where SE-PPS are already playing key roles: coco coir, muscovado sugar, organic rice, essential oils, bamboo, educational toys , school chairs, brewed coffee
  10. Pilipinas Ecofiber: Social Enterprise Value Chain Intervention in Coco Coir Subsector Coco fiber Coir ropes Geonets, Coconut plant liners, Final & & husks trays, etc. sale cocopeat mats  Engaged in the extraction of fiber & peat from coconut husks, and the processing of fiber into high quality stitched & woven coir products for sale in the Philippines and abroad. Weavers & Plant Husk Rural workers Edgers Traders Rural coops workers Associat’ns collectors Twining direct Plant agents workers buyers  Organized to link input providers, small producers & processors, with traders & distributors of various coir products, and to coordinate the activities of the former in order to meet the requirements of final users.
  11. Poverty Reduction through Social Entrepreneurship (PRESENT) ◦ Aspiration of SE-PPS to scale up impact through innovative partnerships with government
  12. THE PRESENT BILL Partnership with Congress to institutionalize Poverty Reduction Through Social Entrepreneurship
  13. PRESENT Bill: Main Features  Objective: ◦ Provide a nurturing environment for the development and growth of social enterprises as major vehicles for poverty reduction  Enacts: ◦ planning and implementation of a National Poverty Reduction Through Social Entrepreneurship (PRESENT) Program ◦ led by a Commission on Social Enterprises under the Office of the President
  14. PRESENT Bill: Main Features  National PRESENT Program: ◦ Development of strategic economic subsectors with potentials for growth and where the poor are concentrated or could be major players ◦ Benefits to the poor: increased incomes and capability to improve their means of living   as workers, suppliers, clients and/or owners of SEs in strategic economic subsectors   as partners in economic and social development ◦ Overall Outcome: substantive poverty reduction
  15. PRESENT Bill: Support Programs for SE-PPS  Provision of accessible non-collateralized loans thru special credit windows with a Guarantee Fund Pool  Comprehensive insurance system to reduce vulnerability to climate change/calamities  Resources for comprehensive capacity development for SEs and poor as partners
  16. PRESENT Bill: Support Programs for SE-PPS  Mainstream SE content in formal educational system  Proactive SE market development program promoting principles of fair trade  R&D on strategic economic subsectors; appropriate technologies; and innovations to democratize access of poor to quality basic social services  Recognition and support for LGUs in developing social enterprises
  17. PRESENT Bill: Incentives for SE-PPS  Preferential treatment in government procurement including coverage of performance bonds  Tax exemptions and tax breaks for SE-PPS and social investors  Cash incentives (i.e. at least 25% of minimum wage for social enterprises employing PWDs)
  18. PRESENT Bill Initiative: Strategic Rationale ◦ PRESENT Bill as a codification of agenda for change to assist poor overcome poverty resulting from state and market failures thru their effective participation in SE-PPS ◦ PRESENT Bill as codification of incentives and support for SE-PPS as major partners of government in poverty reduction
  19. THE PRESENT COALITION Microcosm, Voice and Action Network of Emerging SE Sector
  20. PRESENT Coalition: main actors  Co-Convenors: FSSI & Ateneo Sch of Gov’t  Members of Steering Committee include ◦ PhilSEN ◦ WFTO-Asia/Philippines ◦ INAFI-Philippines ◦ Eagle’s Wings Dev’t Foundation ◦ Bote Central/ Philippine Coffee Alliance ◦ Pilipinas Ecofiber Corporation ◦ Hapinoy/MVI ◦ Foundation for TheseAbled ◦ PRRM ◦ ISEA
  21. PRESENT Coalition: initiative to unite what was once a fragmented sector  Basis of Unity: o Push for the enactment and implementation of the PRESENT Bill o Undertake a nationwide education campaign on SE as vehicles for poverty reduction o Develop standards and benchmarks for self- regulation and development of sector
  22. PRESENT Coalition: Microcosm, Voice and Action Network of Emerging SE Sector  Informed estimate of Philippine SE sector: +/- 30,000  Various Actors: ◦ Fair Trade Organizations (crafts, agri-business, processed food) ◦ CSO-initiated SEs serving various segments of the poor (agri-based processing; trading and marketing in upland, lowland, coastal communities; important players in sustainable agriculture and forestry- related enterprises) ◦ Cooperatives (agriculture/agri-business; savings and credit; social services) ◦ Faith-based organizations espousing a solidarity economy ◦ Social welfare-oriented enterprises serving disadvantaged groups (PWDs, women and children) ◦ Micro Finance Institutions ◦ SEs initiated by young professionals (fashion, processed food, services to micro-enterprises) ◦ SMEs with double or triple bottom line ◦ Management and consulting services for SEs/micro-enterprises ◦ SE Service, Resource and Advocacy Institutions/Networks
  23. Convergence for PRESENT Possible Action Points with National Government Agencies (NGAs)
  24. Possible Action Points with NGAs: Invest in strategic PRESENT research  Undertake a comprehensive study to define the most strategic economic subsectors to undertake PRESENT programs. (NEDA)  Undertake a national profiling of the social enterprise sector to better ground government-social enterprise convergence initiatives. (NAPC)
  25. Possible Action Points with NGAs: Begin the paradigm shift towards PRESENT  Explore the reconfiguration of existing resources or develop new programs with ODA donors to ◦ Undertake initiatives to address bottlenecks negatively affecting social enterprise growth ◦ Evolve structures and systems that would inform the IRR (Implementing Rules and Regulations) of the PRESENT Bill
  26. Possible Action Points with NGAs: Evolve best practices in PRESENT  Develop social enterprise-government convergence initiatives ◦ As part of the socio-economic component of government’s thrust in 609 poorest municipalities identified by NAPC ◦ As a key component of priority industries for national convergence identified by DTI ◦ To strengthen/enhance the thrust of DA in organic/ sustainable agriculture  coco coir; organic rice; muscovado; coffee; school chairs; educational toys; bamboo
  27. Possible Action Points with NGAs: Pursue PRESENT innovations  Establish a planning, monitoring, evaluation body and system to evolve effective, transparent, corruption-free public procurement schemes and mechanisms involving SEPPS ◦ coco coir, organic fertilizer, community-based processing equipment for coffee, educational toys, school chairs  In cooperation with bank and non-bank-financial institutions, pilot risk-based lending with a Guarantee Fund Pool for SEPPS  Pilot the development of insurance schemes to address the vulnerability of SEPPS and the poor to natural disasters and climate change
  28. Possible Action Points with NGAs: Pursue PRESENT innovations  Set up a pilot Social Enterprise Development Fund to support capability building of social enterprises  Evolve a market development program promoting the principles of fair trade in partnership with SEPPS  Pilot social enterprise-based social protection schemes and the efficient/ effective delivery of quality basic social services in preparation for a post-CCT scenario  Explore appropriate tax incentives for SEPPS

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  1. Is the picture from PWD fed -din