SOCIAL INNOVATION AND SOCIAL ENTREPRENEURSHIP: NEW STRATEGIES FOR SOCIAL CHANGE ANTONELLA NOYA, Senior Policy Analyst, OECD BALLYHOURA Development Forum on SOCIAL INNOVATION: DESIGNING PROGRESSIVE COMMUNITIES OCTOBER 8TH AND 9TH 2015

OECD work on social innovation and social entrepreneurship Longstanding work on social enterprises, social economy and social entrepreneurship Longstanding work on social innovation innovations.htm

Social innovation : the OECD definition It can concern conceptual, process or product change, organisational change and changes in financing, and new relationships with stakeholders and territories.” It seeks new answers to social problems by: –identifying and delivering new services that improve the quality of life of individuals and communities; –identifying and implementing new labour market integration processes, new competencies, new jobs, and new forms of participation, as diverse elements that each contribute to improving the position of individuals in the workforce both as producers and consumers. (OECD, 2000)

Why is social innovation relevant? To address social complex challenges by providing innovative solutions at local and global levels ( social and economic exclusion, poverty, ageing and demographic change, green growth, etc ) To modernise public local services, general interest services and community services often by involving users in the design, implementation and evaluation of these services = reactivating, rebuilding social capital To respond in a more tailored, effective way to people’s needs Social innovation aims to produce social change. This can be incremental or radical 4

Key ingredients of social innovation Individual, collective and institutional creativity Capacity to « think out of the box » and to walk off the beaten tracks Ability to mobilise different human and financial ressources and to work in partnership: not the monopoly of one sector. Some actors ( eg social enteprises, community organisations) can be better suited than other sto implement social innovation Ability to make a social impact and to change the society – it requires an enabling environment with the adequate incentives, finances, structures and drivers

A new economic model based on a triple bottom line with an explicit aim to produce positive social impact and externalities (well being of the users) Economic sustainability and entrepreneurial approach (often non profit constraint/cap) Ownership and governance models :multi- stakeholders governance (ex SCIC in France or CIC in UK) 6 Social enterprises’ features

Are social enterprises better (social) innovators? Based on international researche (SELUSI) social enterprises seems more active in launching innovations in good, services and products than comparable « regular » enterprises 67% of radical innovation swere service related and 57% of social enteprises were at the time of starting up venturing in a new market Values of universalism,stimulation, benevolence more than power, conformity and tradition explain this Social entrepreneurs ideas invole more integrative ideas and approaches to problem solving and achieving sustainable behavioural change Still important to say that all social enterprises are not innovative

Links between social innovation and social entrepreneurship SOCIAL INNOVATION 1.New solutions to social challenges 2.Improvement of individual and collective well- being 3.Organisational and process changes and changes in relations with the stakeholders and territories SOCIAL ENTREPRENEURSHIP 1.New solutions to social unmet needs 2.Intendend positive externalities ( social impact) 3.New internal (with stakeholders) and external ( with territories) relationship/ governance models 8

Tailored Public policies SOCIAL INNOVATION 1.Support further research 2.Establish innovation funds 3.Create incubators and foster intermediaries to match demand and supply side 4.Evaluate the impact of social innovation in selected areas. SOCIAL ENTREPRENEURSHIP 1.Build enabling environments and implement supportiing policies 2.Provide sustainable finance 3.Support further research 4.Provide training for social entrepreneurs and introduce curricula in the education system 5.Support market development for Ses and training to deal with public procurements 6.Evaluate the impact of SEs 9

Conclusions Strong links between social innovation and social entrepreneurship Policies which will support social enterprises might have the effect to support social innovation as well. Policies which will support social innovation are likely to have positive impact on social enterprise development

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