patri 01. defining purpose: a guide for scaling social business
DESCRIPTION
Step by step guide to help social enterprises and social businesses clarify their purpose, vision and targets when scaling impact and operations. This guide is based based on the PATRI Framework for Scaling Social Impact.TRANSCRIPT
Defining Purpose: A Guide for Scaling Social Business
Rizwan TayabaliSupported by Ashoka Globalizer
2
Adapted from
The PATRI Framework for Scaling Social Impact
© Rizwan Tayabali, 2014
3
The PATRI framework takes you step by step through all the aspects of diligence needed to understand whether or not scaling is feasible
for you and if so, to produce an effective scaling plan that you can follow during implementation.
4
PATRI Framework
IPurpose
IIApplicability
(Viability)
IIITransferability
IVReadiness
VImplementation
5
An overview of the complete PATRI Framework, is provided in a
linked presentation called ...
“PATRI Framework for Scaling Social Business”
6
PATRI Framework
Caveats1. The following guide is specifically targeted at social
businesses and therefore places an emphasis on financial viability along with impact i.e. It is designed for organisations that create their impact through the use of business models.
2. The PATRI Framework is focused on scaling rather than incremental growth. If you are simply aiming to set up operations in another location or enter another market, then the framework will still offer you value, but some aspects of it may only be applicable a bit further down the line.
7
This presentation focuses specifically on the 1st step of the Framework, which addresses
clarity of purpose.
8
Purpose
9
Scaling social businesses can become a highly operational and financially focused
activity that can cause focus to shift towards operational growth and away from
outcomes when scaling.
Purpose
10
To mitigate against mission drift, it iscritical to ensure that you have clarity of
purpose and direction before embarking on your scaling endeavour.
Purpose
11
Key Factors
Primary Goal
Problem Definition
SelectionVision
Targets
12
Purpose
As an entity with both impact and financial aspirations, a social business may have a
number of reasons for scaling, but it is important that they are clearly prioritised.
Purpose
13
Primary Goal
This will help with decision-making furtherdown the line for all aspects of designing and preparing to scale, as any set of options can
then be assessed based on how well they service the various goals in order of priority.
Purpose
14
Primary Goal
As a social business, clarifying your primary goal will also play a key role in ensuring that you have a clear basis for decision-making in situations where financial survival threatens
quality of impact.
Purpose
15
Primary Goal
Thus, if your primary goal is to make an impact, you should prioritise social outcomes over
organisational outcomes to ensure that scaling results in impact rather than revenues alone.
Purpose
Primary Goal
In order to set meaningful impact goals for scaling, you will need to understand the size
(numbers) and nature (characteristics) of the problem you are trying to address
on its true scale.
Purpose
Problem Definition
If there isn’t easily accessible data related to numbers, then basic research and a degree of guesstimation is a reasonable starting point.
Purpose
Problem Definition
At the very least you should do enough to end up with a working idea of the numbers of people
impacted by the issue you are addressing, where they are located, what the problem looks
like for them, and whether or not there is a demand for your offering.
Purpose
Problem Definition
You can then improve this level of accuracy by investigating new environments or
demographics in more detail once you have selected where you want to start your
scaling journey.
Purpose
Problem Definition
Selection of areas or demographics is an important early step in your planning process.
Purpose
Selection
It is important to be strategic and focus on areas or demographics that best allow you to
service your priority goals.
Purpose
Selection
If you simply jump at the next opportunity to apply your model somewhere else, you risk following a reactive rather than pro-active
process, leading you into the more resource-heavy category of growth rather than true
scaling.
Purpose
Selection
Having researched these during the problem definition stage, you should be able to select and
prioritise candidates for scaling based on
1. Urgency of Need2. Market Potential / Demand
3. Practicality of access
Purpose
Selection
Having made an initial selection of areas or demographics to scale into, you will need a
reasonable vision of what it is you want to achieve and when, in terms of both financial
and impact outcomes.
PurposePurpose
Vision
As a social purpose entity, your vision is particularly important when considering impact.
Try and develop a rich picture of what you believe the problem will look like once it is fixed i.e. once you have impacted it with your solution.
PurposePurpose
Vision
Ideally split your vision into a long, medium and short term picture of outcomes. This will give you an early roadmap for your scaling journey.
PurposePurpose
Vision
Without tangible targets your vision will remain conceptual rather than practical.
PurposePurpose
Targets
In order to be able to assess whether your design will in fact make a difference and be applicable at scale, you will need to create
success criteria and set targets based on those.
PurposePurpose
Targets
If you want to ensure that you scale your impact along with your reach, it is advisable to set
targets based on the scale of need, rather than targets that primarily reflect growth.
PurposePurpose
Targets
Benchmarking outcomes and setting a baseline before you start will also solve impact
monitoring challenges further down the line.
PurposePurpose
Targets
All you should then have to do is repeat the benchmarking process periodically to track and monitor changes against the original baseline.
This is your impact.
PurposePurpose
Targets
You can then adapt your strategies or approach depending on whether the changes meet the
impact targets you have set yourself.
PurposePurpose
Targets
As a social business, you may also set yourself financial targets, but these should ideally be in line with your impact targets, rather than the
other way around.
PurposePurpose
Targets
To make your targets directional and easierto design for, split them into stages that
reflect the phases of your vision
1.Long Term – Aspirational2.Mid Term – Challenging3.Short Term – Realistic
PurposePurpose
Targets
Focus your detailed design and planning on your short and mid term goals.
PurposePurpose
Targets
Once you’ve identified your goals and set targets for scaling, you can assess whether
or not your impact or business model is capable of achieving those targets
i.e. if it will still be applicable at the scale you are aiming for.
Purpose
A guide to the next step of understanding and addressing applicability is provided in a
linked presentation called ...
“Applicability at Scale: A Guide forScaling Social Business”
38
Applicability (Viability)
©Rizwan Tayabali, 2014
39