Social
Entrepreneurship and a Meaningful Change
World has witnessed quite a many catastrophes
since World War-I. The great plague, the civil wars, the invasions, epidemics,
industrial disasters et al. Our secondary school text books carry many stories
of inspiration from olden times, telling us how Lord Baden Powel or a Florence
Nightingale had started the Boy Scouts or the Nursing profession during such
adverse conditions. Since those times until present breed of such brave
stalwarts -- all of whom brought in ideas to implement for creating socially
beneficial enterprises. These entrepreneurs came from various backgrounds and
at times without any formal discipline of study, which make their efforts even
more fascinating. Many of them had stumbled upon something adverse in their
lives which made them change their whole mindset or rather approach to living
itself. From Lord Powel with Boy Scout to Muhammad Yunus with Grameen Bank are
all such social entrepreneurs who went away from normative boundaries in thoughts
and ideas while initiating their enterprises for good of the people. An idea
that is seeded in a small town could branch out to a whole world benefitting
multitudes of common people who sustain life at the bottom rungs of societies
across the globe. Primary objective of social enterprise is not profit unlike
other business enterprises. This is in essence social entrepreneurship.
The
Background: Since the 1st World War it has been
observed that countries across the globe have still not found a perfect system
to maintain equality between its people – in both economic and social
perspectives. A perfect society is like a mirage as if inequality and
difference including denied basic rights to citizens is an accepted norm. One
can only say that only the rate of such inequalities vary from country to
country, while they remain in some form or another. This is true for
authoritarian, dictatorship, monarchy, communist, democratic: all forms of
government systems that exist in both socialist and capitalist philosophies. Past decades have seen many social
entrepreneurs taking result oriented action in various fields and their
dedicated efforts have brought in significant changes in such inequalities.
Though one cannot expect the whole world to achieve objectives in equality, work
of the social entrepreneurs every now and then emerges in our societies
contributing towards that ideal state. There still remains the relentless
spirit of hope for particularly the downtrodden masses.
As a Formal Discipline of Economic Studies:
Social Entrepreneurship is not a core area of study while Entrepreneurship has
always been a well-defined area within economic theories since Joseph Alois
Schumpeter (Austrian political economist)’s significant work in 1911. Only as
late as in the year 2006, Chris Steyaert (Switzerland) and Daniel Hjorth
(Sweden) for the first time focused on research on ‘Social’ entrepreneurship in
a number of collected works written & edited by them along with other
socio-economic scholars. Since then many have been studying this subject with
reference to its impact on social and economic change. However even today it is
not considered to be a strictly formatted discipline within studies in
economics.
Interestingly while Social ‘Entrepreneur’ is a
relatively new thinking, the ‘practice’ of ‘Social ‘Entrepreneurship’ has
always been there since the times of Florence Nightingale or even much before
in various forms.
Current
Context: Each adversity brings in some new opportunity with
it. The current turmoil the world has been going through with the breakout of a
full-fledged Corona Virus pandemic since the last part of year 2019 has
resulted in many startup social entrepreneurs as well, who defied all sorts of
adverse conditions to give birth to their ideas. Many of them plunged in as a
response to the crisis situation in India and their work was related to the
basic needs of people, particularly in health and medical support services
sectors.
Meaningful
Change: The whole aspect of this study was whether Social
Entrepreneurs have brought in some change in the area or society they worked
in. This means positive change in the people in terms of their economic and
social status or even the society’s outlook on such efforts. A positive shift
in status was considered as ‘meaningful change’.
Indian
Scenario: In India the most common scenario in Not-for-Profit
outfits are that they are majorly seen as ‘Government funded’ non-governmental
organisations (NGOs). In some cases government might not directly fund these
orgaisations but they enable them with various infrastructural support systems.
In recent years with the increase of CSR (corporate social responsibility)
activities by private corporates (as part of their Marketing Communication
strategy or otherwise) we have notice many successful social upliftment
projects by leading corporate houses as well. From a legal angle, the latest
amendments were made in April-2021 in the Companies Act, 2013 post the Covid-19
outbreak. As per these new rules Government of India made it compulsory for
companies with minimum Rs.1000 Crores turnover to spent 2% of the average net
profit as CSR contribution.
The Social Entrepreneurs are however not to be
seen as the traditional NGOs since their ideation and approach are very
different from those of the NGOs. There remains an inherent motivation to bring
in social change in these social entrepreneurs who are moved by a kind of
philanthropic zeal. In fact earlier such initiatives were seen as projects by
persons with certain ideals who also possessed entrepreneurship skills. Today
gradually social entrepreneurs have gained importance due to increase in
awareness on their work bringing in visible positive changes in society.
Here we shall try to bring in certain examples
of ‘change’ brought in by some social entrepreneurs in Indian context. These
leading examples came out of their routine lives to give shape to their ideas.
Harish
Hande & SELCO:
Hailing from Karnataka in South India, Harish
Hande had spent his childhood in Orissa, a state in East of India. He did
graduation in Energy Engineering from Indian Institute of Technology (IIT),
Kharagpur. He was a keen student with an
entrepreneur’s mind set from younger days. During his Masters and PhD in
Massachusetts Institute of Technology on the same study area, this vision of
harnessing solar energy for basic energy needs took shape. After working out on
the operational plan upon his return to India, SELCO (Solar Electric Light
Company) was launched in 1995. During that time lakhs of India’s poor families
particularly in the rural hinterland were without electricity, which accounted
for about 57% of the total population. Also these people were largely depended
on fossil fuel to burn and use, while India was already emitting billions of
tons of toxic carbon dioxide into the environment every year. The other problem
was inconsistency of power supply in mostly semi urban and rural regions due to
frequent load shedding.
Harish’s idea was to provide power on demand
to these people at an affordable price as well as address the serious
environment issue – trying to address two problem with single project. In the
initial phase Harish went from village to village to introduce and sell his
solar light sets and his primary target were the bi-cycle and TV repair shops,
which were commonly found in rural areas. With these lights the shops could
open for longer hours into the night which increased their volume of business
as well. These first cases of success led to a snowball effect through
word-of-mouth and more and more villages kept accepting the new idea to light
up their homes. SELCO provided routine after sales service through trained
technicians trained by Harish for upkeep of the equipment – that way generating
employment to local youth as an additional benefit. It also used to do
demonstrations from house-to-house to show how easy it was to maintain the set
by the users. As for the cost effectiveness - since most users were earning
very less to afford outright purchase of the sets – SELCO tied up with regional
rural banks and credit co-operatives to enable villagers to go for payments in
instalments. Though there was enough hard work done in the first phase of
launch, once the idea caught on with the villagers SELCO did not have much
difficulty in reaching the breakeven point from where it started getting good
revenue sustenance and reinvestment. In about seven years SELCO installed over
nearly 95,000 solar systems with over 400,000 people directly benefiting. There
are tens of thousands who have been benefited indirectly from this project.
Today SELCO is an enterprise with over Rs.100 Crores turnover and has since
diversified into other sectors in its value chain viz. Agriculture, Animal
Husbandry, Food Processing and Rural Craftworks.
SELCO under the leadership of Harish Hande
received international acclaims for his sustainable vision as a social
entrepreneur by several countries and organisations. Among the major awards
received by him are Ramon Magsaysay Award, Ashden Award for Sustainable Energy
(multiple times), Doctorate of Humane Letters by University of Massachusetts
and Ashoka Fellowship.
Urvashi
Sahni and SHEF:
Urvashi was a brilliant student from childhood
who was married off at a very early age in a typical patriarchal decision that
was common in Indian lower & middle class, particularly the Hindi belt of
India. Urvashi was very observant and conscious what went around her in the
society and always had a zeal for taking up life’s challenges by standing up to
face it. By the time she was 23, she already had two daughters who too were not
welcome in a male oriented society. However with her strong determination she
was not only able to complete her graduation in first division, she completed
her masters in Philosophy with distinction of being at the top of the class.
During these times, also due to the shock of losing her young cousin sister in
a mysterious fire tragedy, she had determined to work for the women and girls
including the marginalised ones in society. She had realised well that
education was the only power which could bring change into the lives of women
by lifting their status in society which dehumanized girls in various ways
snatching away their rights. She had founded Suraksha (protection) a women’s
rights organization, the first such organization in Lucknow and the first
women’s counseling cell in Uttar Pradesh the highest populated state in North
India. She has started another organization DIDI (meaning ‘elder Sister’ in
Hindi) – a social enterprise for sustainable livelihood of women. She was
conferred National Youth Award in 1987 for her such initiatives by the
Government of India. Her most known initiative however has been the Study Hall
Education Foundation (SHEF) which epitomizes her life work in providing access
to education for millions of underprivileged children – most of whom are girls.
Her brilliant idea of creating Digital Study
Hall (DSH) to impart education in poor and remote rural schools. Starting her
experiment with 35 schools in Uttar Pradesh, Maharashtra, West Bengal and 10
schools in Bangladesh as well. The idea is to create lessons in video formats
by qualified teachers and to provide these recordings to these DSH centres,
where these are played to students by a trained local teacher who could act as
the mediator and could stop the play of any lesson too explain difficult points
to students. This way Urvashi could minimize the cost of teaching as well as
she could give access to lessons by some of the best teachers to these
underprivileged students. During year 2001
Government of India launched an ambitious education extension initiative
names Sarva Shiksha Abhiyan (Universal Education Programme). Around that time
according to UNICEF reports there were 100 million children in India still out
of school, many of whom were drop outs. Government’s own records had admitted
that drop out rate for boys up to grade five were 40.67 %, which was even
higher for girls. The government had cited among reasons for this as lack of
facility, lack of qualified teachers, cost of schooling, unavailability of text
books in rural areas. Also reported that from 2007 to 2008, over 88,000 class
rooms and over 130,000 qualified teachers were required to make basic education
reach out to all. In another report “Comparative Study of emerging economies by
Quality of Education” by Associated chambers of Commerce & Industry of
India with data from UNESCO , IMF and World Economic Forum had placed India at
6th position with a poor 3.3 marks among 7 nations.
Urvashi Sahni’s Study Hall Education Foundation
(SHEF) achieved great success as a social entrepreneurship programme reaching
out to lives of underprivileged people in an unprecedented manner with Digital
Study hall initiative. Each such study hall was provided with
a TV and a video player set, which the trained
mediators could use very easily across centres. These centres impacted over
100000 teachers and 5 million children most of whom were girls from
marginalised communities. Later on this module was adopted by Pakistan to
extend their education initiatives in rural Pakistan as well.
From her youth Urvashi has been fighting for
gender equality which always remained her priority in life. She knew from her
personal experience how education was the powerful force to crush such gender
barriers. Her relentless work for over 35 years with SHEF brought her many
accolades and recognition – both nationally and internationally.
Urvashi Sahni had received her PhD in
Education from UC Berkeley. She is a non-resident fellow at the Center for
universal Education, Brookings Institution, USA and is an Ashoka fellow. In
2017 she was named Social Entrepreneur of the Year India by the Schwab-Jubilant
Bhartiya Foundation and had joined their international fellowship of social
entrepreneurs. She was a co-founder of Catalyst 2030 a global network to
expedite the Sustainable Development Goals (SDG) through innovation. She has
been featured in many international magazines like Time Magazine, NBC News,
Sydney Morning Herald, Toronto Star in addition to national news media in
India. She has been consulted by various state governments for advice on
primary and secondary education from time to time. Urvashi stands tall and
remarkable both as a social entrepreneur as well as a social activist in recent
times, bringing in meaningful change at grass root levels of our society.
Anshu
Gupta and Goonj:
Born in Meerat in Uttar Pradesh, Anshu Gupta
had seen life’s pain early in life. Eldest of four children Anshu’s father was
in Military Engineering Service (MES). When Anshu was just 14 his father
suffered a massive heart attack due to which he along with his mother had to
get into household management. This in fact thought Anshu, how a middle class
family manages to optimise their resources. At the end of 12th Standard due to
an almost fatal road accident left Anshu an invalid and had to stay on bed for
a year. This time on bed was spent on introspecting and extensive reading. He
also contributed to household expenses by writing articles in Hindi newspapers.
Thereafter, against the advice of doctors he appeared in school leaving exams
walking in pain against the advice of doctors, as he did not want to get pitied
by using a crutch.
Eventually he completed a masters in Delhi and
double majors in Mass Communication and Journalism. As a graduate student he
took part in relief operations in Uttar Kashi after the devastating earth quake
in 1991, when he saw from firsthand experience the perils of rural India. It
was at this time germination of Goonj (echo) idea was taking shape in his mind.
For sometime he got into a government job and then switched to a job in a large
manufacturing multi national company. During this time in 1997, he once saw
written on the back of a Rickshaw (tri-cycled carriage pulled by
someone) “Meant for Unclaimed corpses” in Khooni Darwaza area of old Delhi. By
speaking with the Rickshaw puller he came to know that many on the streets die such deaths during cold
winters of Delhi from lack of warm clothes. He immediately donated his surplus
clothes among pavement dwellers. After this incident he left his MNC job and
started Goonj (echo) – an idea he had in him since 1991. His simple idea was to
collect surplus clothes from urban areas and to distribute to homeless poor
ones. He slowly partnered with number of grass root level social organizations
and made a strong network and logistics for the purpose. The good quality
clothes were distributed while recycling the poor quality ones. However Anshu
believed that the recipients should not be deprived of their dignity while
receiving these free clothes. Hence he started a concept calling it Clothes for
Work – in which villagers had to work for the community in some way to receive
free clothes for their families. With the cost for clothes take care of, the
villagers could spent their meager earnings into other productive needs.
Thereafter Goonj started another novel concept named - Not a piece of cloth, in
which low cost sanitary pads created from recycled clothes and provided to
rural women who otherwise could not afford it. S2S was another initiative by
Goonj where students in urban schools shared their school material with the
rural school students. Goonj has played major roles during rehabilitation
operations after devastations from natural disasters like flood, cyclone, earthquake
etc. As time passed, Goonj made a mark in newsrooms across the world for unique
sustainable business model with the objective of charity at the forefront. Soon
in addition to partnering over 400 grass root level NGOs, Goonj received
support from major organizations like National Aeronautics and Space
Administration (NASA), Ramon Magsaysay Foundation, Deutsche bank, Ashoka
Foundation, Schwab Foundation all of whom got into supporting Goonj’s cause.
Goonj presently undertakes disaster relief,
humanitarian aid and community development in 23 states across India and its
operations have increased with ongoing Covid19 pandemic. Naming it Rahat-Covid
(Covid Relief) Goonj has undertaken activities like: support to frontline
workers, food kits, support to people on quarantine, face masks and cloth
sanitary pads, support to farmers, support to forgotten communities like AIDS
patients, sex workers, people with determination and the like.
Anshu Gupta so far received Ashoka Fellowship,
Schwab Fellowship, Social Entrepreneur of the Year award from Schwab
Foundation, Ramon Magsaysay Award among others. In 2012 Forbes magazine listed
Anshu Gupta as one of India’s most powerful rural entrepreneur as well. As per
World Economic Forum’s report (where Schwab is a sister concern) Goonj is a
‘Game changing Innovation’ and has distributed more than 8,800 tones of ration
and essential items, provided over 362,000 free meals, sourced 225,000
kilograms of vegetables from farmers, reached out to 380,000 families in
distress (about 1.5 million people), produced more than 800,000 face masks and
1.2 million sanitary pads.
Anshu and Goonj has shown a new beacon of
light in ‘charity with dignity’ within social entrepreneurship by building a
bridge between the urban rich and the rural impoverished communities with far
reaching positive consequences.
Santosh
Parulekar and Pipal Tree:
Santosh Parulekar was a successful careerist
with Vistaar in the USA. In 2004 while on an assignment to India to examine the
business model of one of the equity funding applicant microfinance institutions
fate took a different turn. Upon examining the MFI he discovered that the
finance which was to create livelihood for youth in rural areas they were
actually doing business of lending money. For instance in Rae Bareilly, where
now Santosh has one of his training centres, he found out that the money given
to people had no clue that is was to buy buffaloes. The MFI was actually
lending money and earning interest from it instead of creating livelihood. This
discovery motivated him to do something worthwhile for the rural youth
particularly the women in the villages. He discussed the idea with two of his
friends, Shailendra Ghaste of IDFC Capital and Vikram Reddy of KMC Construction
in Andhra Pradesh. Thus Parulekar’s idea took shape in the form of Pipal Tree
Foundation a non-profit organisation.
The idea was to create sustainable livelihood
for poor youth and women in rural India. To reach this objective his plan was
to provide training, create employment and to provide financial and other
assistance for them to start on their own small businesses.
Santosh also observed that large number of
farmers suicides took place in the past years due to crop failure, low income
from agriculture, heavy debt burden etc. Also the rural population is double
than that of the urban, which creates additional pressure on livelihood with
low incomes in rural households. This created serious distress in rural India
with widening of the gap between rich and poor. In addition, there have been
clashes over land, water and other local issues between the haves and
have-nots, adding to the overall economic stress situation.
Santosh saw that the heavy reliance on the
farm sector alone would not help the situation of unemployment in the rural
areas. He held that if a Self-Sustaining Model is created which do not rely on
donations or grants it would eventually reduce the severity of the problem
significantly in the future. This could be done through training the rural
youth and women in non-farm and agri-allied sectors and to employ them in these
sectors to reduce pressure on core agricultural sector through earning of
regular salary incomes.
YOUTH EMPLOYMENT PROGRAM OBJECTIVE: Pipal Tree
Foundation (PTF) has already taken the initiative and established 18 training
centers spread across 8 states of India which are Andhra Pradesh, Bihar, Orissa,
Uttar Pradesh, West Bengal, Telangana, Jharkhand and Maharashtra for skill
development in youths benefiting underprivileged youth in India. PTF intends to
establish 19 more training centers across these India over next three years.
PTF aims at provides skill enhancement training to youth through these training
centers. The training would include:
Regular skill based training classes, site visits, workshops, etc. Classes by executives and( counseling by
employers. Also for work experience
hands-on-training at site. All trained youth
are provided jobs in the relevant skills. Also
major part of this training would be On the Job training to ensure the
sustainable livelihood for youth. The target beneficiaries under this project
are the under privileged youth (18-35 years) from proposed location who are
either class 10th or class 12th passed or even school dropout after 7th std.
Majority of them are from BPL families.
WOMEN EMPOWERMENT PROGRAM OBJECTIVE: Pipal
Tree Foundation (PTF) has already taken the initiative and established 18
training centers spread across 8 states of India which are Andhra Pradesh,
Bihar, Orissa, Uttar Pradesh, West Bengal, Telangana, Jharkhand and Maharashtra
for skill development in women benefiting underprivileged women in India. PTF
intends to establish 19 more training centers across these India over next
three years. PTF aims at provides skill enhancement training to women through
these training centers. The training would include: Regular skill based training( classes, site
visits, workshops, etc. Classes by
executives and( counseling by employers.
Also for work experience( hands on training at Retail Stores. All trained
women are provided jobs in the relevant skills. The target beneficiaries under
this project are the under privileged women (18-35 years) from proposed
location who are either class 10th or class 12th passed.
PROGRAM OBJECTIVE: The project aim is to help rural women in
villages to generate additional income by way of Agriculture allied activities.
Keeping this objective in mind various initiatives are identifies which meet
the following objectives – 1. Should help generate additional income of at
least INR 60,000 each year for the beneficiary, 2. Should have low gestation
time i.e. should be able to give additional income within 6 months for start of
the project, 3. Should be simple, suitable to the territory and implementable
with available resources in the area.
Honey Bee Keeping:
This program aims at improving livelihood of
rural household by way of providing skill training to rural men and women in
Honey bee Keeping and Honey Production. Due to large amount of Agri-allied
activities in India there are ample amount of local Self – employment
opportunities available in this domain. The intention is to provide training in
Honey bee-keeping, provide initial set up of honey bee hives and tools to
beneficiaries to start their own production units. It also provides adequate on
field support by way of market linkages to ensure income to these
beneficiaries. The intention is help provide regular additional source of
income to families of farmers.
Food Processing:
In this initiative first and foremost
important criteria is the availability of raw material in the area and
availability of market to sell the final produce at reasonable margin. One
example of such initiative we are doing in West Bengal and Telangana is Neem
seeds processing. Due to large availability of Neem in the area, it was decided
to work on the initiative to procure local available raw material, process it
to make marketable products and create market linkages to sell them in the
market. Women in local area are trained on making oil and cake from the Neem
seeds. Then they are provided with the initial
machinery and raw material. Pipal Tree takes care of market linkages for the
final produce and ensures that women earn at least INR 5000 to 6000 per month
for this activity after provisioning for the raw material and other cost.
Eventually the model could be made sustainable from market linkages on the
final produce.
Santosh Parulekar worked to create job
opportunities for the unemployed youth in rural India. He started ‘Pipal
Tree’, a company that aims to impart formal training to the youth and provides
them with reputable jobs in companies across the country. Operating since 2007,
Pipal Tree has trained over 1,500 workers and had intended to open training
centres pan India in the coming five years to empower about 60,000 under
privileged youth and women across the country through skill development
training in selected market driven courses. This plan got a setback due to
unprecedented situation in the country from Covida19 pandemic.
Pipal Tree is affiliated to National Skill
Development Council (NSDC). Among various awards received are Sankalp Award
from Intellecap, UK India Skill Forum Award, Jeevika Award from Government of
Bihar as Best Training Provider. Santosh Parulekar is an active member of a
working group formed under the Ministry of Labour as well.
These few pioneering examples have been cited
here to draw a conclusion as to how social entrepreneurs can bring in
meaningful positive transformation in our societies. There are many such individuals
and groups who are pursuing different objectives with their entrepreneurship
zeal.
When keenly observed we find the following
common ingredients present in each such social entrepreneur contributing to
social change:
Rarity:
Unique attention in observation of things around and finding gaps in society
Resilience:
Indomitable mental strength to overcome any obstacle in the path
Road
Map: A clear objective and a road map in mind.
Resource
Mobilization: Identification of available resources which leads to
finding right solutions to plug the gaps
in society.
Raring
to go: A high built-in spirit to go ahead, many times alone
with others joining in as a project takes shape.
References:
-
Yunus, Muhammad, Building Social Business: The
new kind of capitalism that serves humanity’s most pressing needs (2010),PublicAffairs/1586488244(ISBN13:9781586488246)
-
Shukla, Madhukar, Social Entrepreneurship In
India: Quarter Idealism and Pound of Pragmatism (2020),Sage Publications India
(P) Ltd./ISBN13:9789353882372
-
https://www.selcofoundation.org
-
https://www.studyhallfoundation.org
-
https://www.goonj.org
-
https://www.pipaltreefoundation.com
-
https://www.ashoka.org
-
Annual Report 2020-21 of Pipal Tree
Foundation.
-
Annual Report 2019-20 of Pipal Tree Foundation.
-
Annual Report 2019-20 of Selco Foundation
-
Annual Report 2019-20 of Study Hall Foundation