Social Enterprises in the City Setting:A Study of Hong Kong, Taiwan and

Singapore (2006)

An initiative of the CAFO network

Presented byDr Gillian Koh

Senior Research FellowInstitute of Policy Studies, Singapore

Objectives• Comparative review of the social enterprise

sector in three Asian cities

• Assess impact

• Identify challenges

• Propose measures to increase SE impact in Asia

End game: social inclusion and development

Outline

What is success? Performance

Why the success? Innovation

How to grow further success? Capital

Models of Social Enterprises

• Work Integration, Social Inclusion MentalCare Connect, HK Mobile Cleaning Crew, St James’

Settlement, HK Sunshine Car Wash, Taipei Syinlu Foundation Gas Stations, Taipei Bizlink, Singapore Ikhlas Catering, Singapore

Models of Social Enterprises

• Empowerment St James’ Settlement, HK Information Technology Resource

Centre, HK Taiwan After-Care Association, Taipei Cultural and Educational Foundation

for the Blind, Taipei TYEM, Singapore

Models of Social Enterprises

• IntermediationSenior Citizen Home Safety Association, HKLong-Yan-Lin Community Development

Association, TaiwanSCORE, Singapore

The resource mobilisation strategy is a common

but not usually a stand-alone objective.

PerformanceProfit or sustainability?• Profits

Resource mobilisationDiscipline and accountabilityMotivationSustainable innovation

• Sustainability, and other bottom-linesRecidivismWork placementEmpowerment and self-relianceCommunity-building

Performance

Limitations of the profit-based bottom line

• Cultural context – discounted rates

• Low risk, low returns business

• Nature of the beneficiary base

A different, not level playing field

Performance

• Employment in an SE, a middle station between unemployment and employment in the mainstream economy

Bizlink, Sunshine, Syinlu and Foundation for the Blind

• Innovation

• Special licensing

Performance

Points to consider in weighing performance:

• Sustainability, not profit

• Meaningful but measurable social goals

• A different, rather than a level playing field

Innovation

Sources and forms of innovation• Role of the Government

Licensing and new marketsSeed fundingVendor / client

• The Social InnovatorsNew marketNew processNew context

Innovation

Challenges

• Competition

• Need for constant innovation

• Are social workers up to the challenge?

• Can business leaders be persuaded to take it up?

• Capacity-building much needed

Innovation

• The source and force of innovation can come from anywhere including the Government

• Constant innovation needed in a competitive city setting

• Business and strategic planning is needed too

Capital

Bottomless pit or virtuous circle?

• Concept of SE avoids the bottomless pit syndrome

• Sources of funding– The Government– Philanthropists– Good CSR

How about an innovation to fund innovation?

Capital

• Exploring the idea of a social venture fund– Business discipline and accountability– Capacity-building– Mentoring– The Cash

Conclusion

• In developed urban economies, SE more focused on work and social integration

• Think of creating ‘new’ playing fields• Weigh performance differently from

businesses and VWOs• Need constant innovation because of

competition• Can social venture funds help to grow the

sector?

Thank You