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iq consult _shaping development
Norbert Kunz
• CEO of iq consult
• Ashoka Fellow (2007)
• Social Entrepreneur of the Year 2010
• Member of the Global Agenda Council on
  Social Innovation (World Economic Forum)




                                             iqconsult_Shaping development
• Member of le Groupe d'experts de la
  Commission sur l'entrepreneuriat social
  (GECES)
Sustainability



“sustainable development is development that
meets the needs of the present without
compromising the ability of future generations to
meet their own needs”
United Nations General Assembly (1987) Report of the World Commission on




                                                                                iqconsult_Shaping development
Environment and Development: Our Common Future. Transmitted to the General
Assembly as an Annex to document A/42/427 - Development and International Co-
operation: Environment. Retrieved on: 2009-02-15
Climate Change




iqconsult_Shaping development
Hardship, Poverty, Misery




                            iq consult _shaping development
 Over 30.000 people die every single day
  …due to poverty, hunger and easily preventable
  deseases and illnesses
 More than 1 Billion people live in poverty
 In Europe, one in five is under the poverty line (100 M




                                                            iqconsult_Shaping development
  people)
 External factors like „climate change“ aggravate
  problems further
• 21.08.2010

• 25.09.2009

• 26.10.2007




               iqconsult_Shaping development
• 1.11.2000

• 19.12.1987
iqconsult_Shaping development
iqconsult_Shaping development
Causes

 The rules of competition doesn`t work for natural goods or
  social goods
 Local problems have global causes – global problems have
  local causes
 The gap between rich and poor is widening; the resulting
  conflicts are becoming more and more pressing
 The spheres of influence of the national political
  institutions are so limited that they can hardly set
  priorities, much less cause an actual change
 The influence of the international institutions on the
  global development process is entirely unsatisfactory
 In relation to the high speed with which technological and
  economic developments change things, the political
  decision-making processes take far too long.
                                         iq consult _shaping development
The challenge in Europe




iqconsult_Shaping development
The dynamics of economic development differ strongly across
   the European regions with impact on employment rates




             GDP per capita, 2008                                        Unemployment rate, 2008
          (scale: <15.000 to >30.000)                                      (scale: <4% to >10%)


  Extensive variation in economic power                        Despite slow rise in employment rates in EU
between regions across Europe and within                        as a whole, peripheric regions suffer from
  countries with lowest values in south-                         enormous unemployment rates and fall
eastern, western and southern peripherals                                         behind
Source: EUROSTAT annual report of the European regions, 2010

                                                                       iq consult _shaping development
EU General vs. Youth unemployment, Feb. 2012



  Umemployment                            Youth unemployment




                                                                                         iqconsult_Shaping development
 Source: derStandart.at
 http://derstandard.at/1333185006677/Februar-Hoechste-Arbeitslosigkeit-in-EU-seit-1997
 Accessed: 26/06/2012
EU Youth unemployment (<25), March 2012


   Greece                                       51.20%

    Spain                                       51.10%

 Portugal                              36.10%

     Italy                            35.90%

        EU                   22.60%

 Eurozone                   22.10%




                                                           iqconsult_Shaping development
        UK                  21.90%

   France                   21.80%

  Austria           8.60%

 Germany            7.90%


         0.00%          20.00%        40.00%      60.00%


 Source: Eurostat
Youth unemployment in 2012


Facts


 EU unemployment rate reached 10,2 % in Feb. 2012
 EU youth unemployment rate more than 21% in Feb.
  2012




                                                      iqconsult_Shaping development
 Highest youth unemployment rates, over 50% !! …in
  Greece and Spain and over 30 % !!! in
  Italy, Lithuania, Portugal, Slovakia, Irland and
  Bulgaria
A lack of economic dynamic leads to a vicious circle




                                       High
                                   unemployment
                                       rates


                                                     No perspectives for
             Lack of workplaces
                                                     youths & graduates




                Unattractive
               conditions for                            Brain drain
                 companies

                                     Decrease of
                                  purchasing power




                                                          iq consult _shaping development
Consequences


    ....if we can`t stop the circle


    not enough economic capacitiy to ensure the needs of the
     population (lack of skilled workers, lack of shops, lack of
     culture, lack of replacement)

    The public service loose the ability to take the responsibilty
     for the existence provision (lack of schools, lack of
     physicans, lack of kindergarten)

    The dependence to get support from outside grows

    There is no capacity to change the situation (lack of
     competences and creativtiy)
How can we counteract these challenges?



     People with innovative ideas from the entire social
      spectrum
     People...
        with creative thinking and who looks beyond one’s
         own nose
        who assume their own responsibilities and take
         their own decisions
        who set priorities and self-organise
        who set objectives and engage to achieve them


                                         iq consult _shaping development
Entrepreneurship as solution?



    Joseph Schumpeter
       The entrepreneur is a creator of change

    Entrepreneurial behavior consists of four qualities:
        Discovery of chances
        Realization of innovations
        Acquisition and use of resources
        Tolerance for risk


                                          iq consult _shaping development
Social Entrepreneur


    A social entrepreneur is an entrepreneur…
     who seeks to solve an unsolved or not adequately solved
      social problem
     who does not seek any financial profit, rather whose
      mission is social improvement
     whose values are based on democracy and human dignity
     who involves an appropriate organisation in fulfilling
      goals, an organization whose goal is sustainable
      development
     who strives to motivate others to contribute
     who is able to acquire the necessary financial and material
      resources

                                             iq consult _shaping development
Social Entrepreneur




                      iq consult _shaping development
Social Entrepreneur




                  Social Entrepreneurs

            NPO                    Social Business
         Welfare-Org.
                                                                  Private
                                                      CSR
                                                                 Business



                                                     Private
    Public          Hybrids with      Sustainable    Business with Traditional
    finance, fundin additional        income         social respon- business
    g and donation income             with social    sibility (shared
                                      activities     value)




                                                     iq consult _shaping development
Definition: Social Innovation


     The goal of social innovation is to satisfy needs that aren’t
      served by the market or that are not completely served by
      the market either by the state
     What sets social innovations apart is that their
      content, their goals and the methods used are all “social”

    In this way, we define social innovations as new ideas, be
    they products or services, that:
     seek to solve social problems
     create a social return (more efficiently and effectively)
     open the doors to new participation from target groups



                                              iq consult _shaping development
Support to social innovations


  human rights               Social innovations are directed to
                              the solution of social problems
poverty education
youth unemployment                                                   Social innovations are
                                                                         products and
  climate protection                                                    services, which
     democracy
                                                                   Are directed to the
promotion of culture                                                elimination of social
                               Players of social innovations
equal rights                                                        problems




                                                                                                    iqconsult_Shaping development
                               spread those and others will
               Integration                 follow                  are innovative, long-
                                                                    term, and value-driven
      HUNGER
    alternative                                                    ensure social return
generation of energy          They serve as an example and         players of social innovations
        health                other others will be mobilised        renounce profits in favour of
                                                                    maximising the social impact
       regional
     development
Social Entrepreneur




                                                 People with
                                                 purchase power



                       Social                    People with
                      Business                   ltd. purchase
                                                 power
      Social
 Entrepreneurship                              People without
                                               purchase power




                                 iq consult _shaping development
Social Entrepreneurship?




 Social innovation is the aera for smart people
   On the „social market place“ can small companies beat big
    ones
 Social innovations are mostly regional oriented




                                                                iqconsult_Shaping development
 Social innovation is labor-intensive
Perception of the Feasibility of Self-
employment in the EU, 2009


        EU 27

       15 - 24

       25 - 29

       40 - 54

         > 55




                                                                             iqconsult_Shaping development
 Women (all)

    Men (all)

                 0%        20%         40%         60%         80%    100%

                           Very or quite feasible
                           Not very or not feasible

 Source: Commission (2009), Eurobarometer, "Entrepreneurship in the
 European Union and Beyond"
How?




iqconsult_Shaping development
Youth and social entrepreneurship


What is needed ?
      Structural services
       give room to ideas and creativity
      Educational services
       qualify youth to take responsibility




                                                          iqconsult_Shaping development
      Finance
       making the first steps possible


iq consult has developed a model to support
entrepreneurship in metropol areas / especially for the
Social Sector
Social impact lab


The social impact lab is a central place to learn, exchange
ideas and work – espacially for existing social businesses
and youth who want to engage in social entrepreneurship

What we offer:
   High quality information




                                                              iqconsult_Shaping development
   Qualification offers to build professional skills
   Consulting, coaching and mentoring to enable more
    efficient and effective action
   Access to finance. Making concepts a reality and
    scaling successful projects
   Matching with potential partners and introduction in
    the right networks
Social Impact Enterprise Scholarships

   Young social entrepreneurs face very special
    challenges when trying to set up social enterprises
   Our response:




        Supporting Social Entrepreneurship through




                                                                   iqconsult_Shaping development
        scholarships for young social entrepreneurs.
        Scholarships include a working place in a social
        impact LAB, access to networks, coaching and
        mentoring by experienced SAP employees and a
        grant option.




    The program was developed by iq consult and made possible by
Thank you very much!



                               Norbert Kunz
                            iq consult gmbh
                         Muskauer Straße 24
                                10997 Berlin

                       kunz@iq-consult.com



                       www.iq-consult.com
-Soziale Innovationen finden in Märkten statt, in denen andere
Konkurrenzbeziehungen exisitieren. Hier sind keine GP unterwegs, hier
werden keinen Menschen ausgebeutet, hier bedarf es intellektuellen
Kapitals. Hier können die Kleinen die Großen schlagen.
-Soziale Innovationen sind in aller Regel arbeitsintensiv
- Mit der Förderung von sozialen Innovationen können wir beides
erreichen, wir können jungen qualifizierten Menschen eine Perspektive
geben und ihr Potenzial nutzen.




                         Social Entrepreneur




                                                 iq consult _shaping development
Principles


New forms of learning and leadership
          We create participation opportunities for all ( Co-working and       co-
learning spaces etc) to foster the horizontal    accountability. We are looking for new
forms of leadership


Comprehensive approaches
          It is more than a high quality business advice; it is work on the framework


Scaling
          We don`t only invest in new ideas but also contribute to
          the spread of successful models
Principles: Our theorie of Change


Ownership
        Solutions must be developed together with the target groups
        preferably from them themselves but never without them!


Strength – strengthen!
         Strategies must start with the strengths of people and
         communities and not with the weaknesses!

Create partnership!
           We must invest more in networks than in competition between    all groups
of society and we need new forms of governance           between public
institutions, private companies and the third sector!


!



8/10
Fostering Social Innovation and Social Entrepreneurship

Why?

Wenn wir die Richtung nicht kennen, müssen wir das Tempo
erhöhen! Mark Twain


-Soziale Innovationen finden in Märkten statt, in denen andere
Konkurrenzbeziehungen exisitieren. Hier sind keine GP
unterwegs, hier werden keinen Menschen ausgebeutet, hier
bedarf es intellektuellen Kapitals. Hier können die Kleinen die
Großen schlagen.
-Soziale Innovationen sind in aller Regel arbeitsintensiv
- Mit der Förderung von sozialen Innovationen können wir
beides erreichen, wir können jungen qualifizierten Menschen
eine Perspektive geben und ihr Potenzial nutzen.

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Social Impact for Innovation & Entrepreneuship / Norbert Kunz

  • 1. iq consult _shaping development
  • 2. Norbert Kunz • CEO of iq consult • Ashoka Fellow (2007) • Social Entrepreneur of the Year 2010 • Member of the Global Agenda Council on Social Innovation (World Economic Forum) iqconsult_Shaping development • Member of le Groupe d'experts de la Commission sur l'entrepreneuriat social (GECES)
  • 3. Sustainability “sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs” United Nations General Assembly (1987) Report of the World Commission on iqconsult_Shaping development Environment and Development: Our Common Future. Transmitted to the General Assembly as an Annex to document A/42/427 - Development and International Co- operation: Environment. Retrieved on: 2009-02-15
  • 5. Hardship, Poverty, Misery iq consult _shaping development
  • 6.  Over 30.000 people die every single day …due to poverty, hunger and easily preventable deseases and illnesses  More than 1 Billion people live in poverty  In Europe, one in five is under the poverty line (100 M iqconsult_Shaping development people)  External factors like „climate change“ aggravate problems further
  • 7. • 21.08.2010 • 25.09.2009 • 26.10.2007 iqconsult_Shaping development • 1.11.2000 • 19.12.1987
  • 10. Causes  The rules of competition doesn`t work for natural goods or social goods  Local problems have global causes – global problems have local causes  The gap between rich and poor is widening; the resulting conflicts are becoming more and more pressing  The spheres of influence of the national political institutions are so limited that they can hardly set priorities, much less cause an actual change  The influence of the international institutions on the global development process is entirely unsatisfactory  In relation to the high speed with which technological and economic developments change things, the political decision-making processes take far too long. iq consult _shaping development
  • 11. The challenge in Europe iqconsult_Shaping development
  • 12. The dynamics of economic development differ strongly across the European regions with impact on employment rates GDP per capita, 2008 Unemployment rate, 2008 (scale: <15.000 to >30.000) (scale: <4% to >10%) Extensive variation in economic power Despite slow rise in employment rates in EU between regions across Europe and within as a whole, peripheric regions suffer from countries with lowest values in south- enormous unemployment rates and fall eastern, western and southern peripherals behind Source: EUROSTAT annual report of the European regions, 2010 iq consult _shaping development
  • 13. EU General vs. Youth unemployment, Feb. 2012 Umemployment Youth unemployment iqconsult_Shaping development Source: derStandart.at http://derstandard.at/1333185006677/Februar-Hoechste-Arbeitslosigkeit-in-EU-seit-1997 Accessed: 26/06/2012
  • 14. EU Youth unemployment (<25), March 2012 Greece 51.20% Spain 51.10% Portugal 36.10% Italy 35.90% EU 22.60% Eurozone 22.10% iqconsult_Shaping development UK 21.90% France 21.80% Austria 8.60% Germany 7.90% 0.00% 20.00% 40.00% 60.00% Source: Eurostat
  • 15. Youth unemployment in 2012 Facts  EU unemployment rate reached 10,2 % in Feb. 2012  EU youth unemployment rate more than 21% in Feb. 2012 iqconsult_Shaping development  Highest youth unemployment rates, over 50% !! …in Greece and Spain and over 30 % !!! in Italy, Lithuania, Portugal, Slovakia, Irland and Bulgaria
  • 16. A lack of economic dynamic leads to a vicious circle High unemployment rates No perspectives for Lack of workplaces youths & graduates Unattractive conditions for Brain drain companies Decrease of purchasing power iq consult _shaping development
  • 17. Consequences ....if we can`t stop the circle  not enough economic capacitiy to ensure the needs of the population (lack of skilled workers, lack of shops, lack of culture, lack of replacement)  The public service loose the ability to take the responsibilty for the existence provision (lack of schools, lack of physicans, lack of kindergarten)  The dependence to get support from outside grows  There is no capacity to change the situation (lack of competences and creativtiy)
  • 18. How can we counteract these challenges?  People with innovative ideas from the entire social spectrum  People...  with creative thinking and who looks beyond one’s own nose  who assume their own responsibilities and take their own decisions  who set priorities and self-organise  who set objectives and engage to achieve them iq consult _shaping development
  • 19. Entrepreneurship as solution? Joseph Schumpeter The entrepreneur is a creator of change Entrepreneurial behavior consists of four qualities:  Discovery of chances  Realization of innovations  Acquisition and use of resources  Tolerance for risk iq consult _shaping development
  • 20. Social Entrepreneur A social entrepreneur is an entrepreneur…  who seeks to solve an unsolved or not adequately solved social problem  who does not seek any financial profit, rather whose mission is social improvement  whose values are based on democracy and human dignity  who involves an appropriate organisation in fulfilling goals, an organization whose goal is sustainable development  who strives to motivate others to contribute  who is able to acquire the necessary financial and material resources iq consult _shaping development
  • 21. Social Entrepreneur iq consult _shaping development
  • 22. Social Entrepreneur Social Entrepreneurs NPO Social Business Welfare-Org. Private CSR Business Private Public Hybrids with Sustainable Business with Traditional finance, fundin additional income social respon- business g and donation income with social sibility (shared activities value) iq consult _shaping development
  • 23. Definition: Social Innovation  The goal of social innovation is to satisfy needs that aren’t served by the market or that are not completely served by the market either by the state  What sets social innovations apart is that their content, their goals and the methods used are all “social” In this way, we define social innovations as new ideas, be they products or services, that:  seek to solve social problems  create a social return (more efficiently and effectively)  open the doors to new participation from target groups iq consult _shaping development
  • 24. Support to social innovations human rights Social innovations are directed to the solution of social problems poverty education youth unemployment Social innovations are products and climate protection services, which democracy  Are directed to the promotion of culture elimination of social Players of social innovations equal rights problems iqconsult_Shaping development spread those and others will Integration follow  are innovative, long- term, and value-driven HUNGER alternative  ensure social return generation of energy They serve as an example and  players of social innovations health other others will be mobilised renounce profits in favour of maximising the social impact regional development
  • 25. Social Entrepreneur People with purchase power Social People with Business ltd. purchase power Social Entrepreneurship People without purchase power iq consult _shaping development
  • 26. Social Entrepreneurship?  Social innovation is the aera for smart people  On the „social market place“ can small companies beat big ones  Social innovations are mostly regional oriented iqconsult_Shaping development  Social innovation is labor-intensive
  • 27. Perception of the Feasibility of Self- employment in the EU, 2009 EU 27 15 - 24 25 - 29 40 - 54 > 55 iqconsult_Shaping development Women (all) Men (all) 0% 20% 40% 60% 80% 100% Very or quite feasible Not very or not feasible Source: Commission (2009), Eurobarometer, "Entrepreneurship in the European Union and Beyond"
  • 29. Youth and social entrepreneurship What is needed ?  Structural services give room to ideas and creativity  Educational services qualify youth to take responsibility iqconsult_Shaping development  Finance making the first steps possible iq consult has developed a model to support entrepreneurship in metropol areas / especially for the Social Sector
  • 30. Social impact lab The social impact lab is a central place to learn, exchange ideas and work – espacially for existing social businesses and youth who want to engage in social entrepreneurship What we offer:  High quality information iqconsult_Shaping development  Qualification offers to build professional skills  Consulting, coaching and mentoring to enable more efficient and effective action  Access to finance. Making concepts a reality and scaling successful projects  Matching with potential partners and introduction in the right networks
  • 31. Social Impact Enterprise Scholarships  Young social entrepreneurs face very special challenges when trying to set up social enterprises  Our response: Supporting Social Entrepreneurship through iqconsult_Shaping development scholarships for young social entrepreneurs. Scholarships include a working place in a social impact LAB, access to networks, coaching and mentoring by experienced SAP employees and a grant option. The program was developed by iq consult and made possible by
  • 32. Thank you very much! Norbert Kunz iq consult gmbh Muskauer Straße 24 10997 Berlin kunz@iq-consult.com www.iq-consult.com
  • 33. -Soziale Innovationen finden in Märkten statt, in denen andere Konkurrenzbeziehungen exisitieren. Hier sind keine GP unterwegs, hier werden keinen Menschen ausgebeutet, hier bedarf es intellektuellen Kapitals. Hier können die Kleinen die Großen schlagen. -Soziale Innovationen sind in aller Regel arbeitsintensiv - Mit der Förderung von sozialen Innovationen können wir beides erreichen, wir können jungen qualifizierten Menschen eine Perspektive geben und ihr Potenzial nutzen. Social Entrepreneur iq consult _shaping development
  • 34. Principles New forms of learning and leadership We create participation opportunities for all ( Co-working and co- learning spaces etc) to foster the horizontal accountability. We are looking for new forms of leadership Comprehensive approaches It is more than a high quality business advice; it is work on the framework Scaling We don`t only invest in new ideas but also contribute to the spread of successful models
  • 35. Principles: Our theorie of Change Ownership Solutions must be developed together with the target groups preferably from them themselves but never without them! Strength – strengthen! Strategies must start with the strengths of people and communities and not with the weaknesses! Create partnership! We must invest more in networks than in competition between all groups of society and we need new forms of governance between public institutions, private companies and the third sector! ! 8/10
  • 36. Fostering Social Innovation and Social Entrepreneurship Why? Wenn wir die Richtung nicht kennen, müssen wir das Tempo erhöhen! Mark Twain -Soziale Innovationen finden in Märkten statt, in denen andere Konkurrenzbeziehungen exisitieren. Hier sind keine GP unterwegs, hier werden keinen Menschen ausgebeutet, hier bedarf es intellektuellen Kapitals. Hier können die Kleinen die Großen schlagen. -Soziale Innovationen sind in aller Regel arbeitsintensiv - Mit der Förderung von sozialen Innovationen können wir beides erreichen, wir können jungen qualifizierten Menschen eine Perspektive geben und ihr Potenzial nutzen.