Template : Social Enterprise Development Action Plan in SAARC countries

Anil Kumar Gade WhatsApp@+91-94900 69000 1 | P a g e
Action Plan for launching
Social Enterprise Development Program

CONTENTS
1.1. Introduction 03
1.2. The South Asian Association for Regional Cooperation (SAARC) 03
1.3. South-South cooperation (SSC) 04
1.3.1.Key principles for South-South cooperation 05
1.3.2.Objectives of South-South Cooperation 06
1.3.3.Benefits of South-South Cooperation 07
1.4. Triangular cooperation (TrC) 08
1.5. The Global Goals 08
1.6. Social Enterprise 11
1.7 Innovation 11
1.8 Social Innovation 11
1.9 Diffusion of Innovation 12
1.10 Innovation Systems 13
1.11 Enterprise Ecosystem 14
1.12 Innovation Commercialization 16
2 Action Plan
2.1 Preliminary Scope Research 18
2.2 Activity 1: Social Enterprise Development Facilitation
2.2.1 Identification 19
2.2.2 Due Diligence 19
2.2.3 Connecting with Markets & Investors 19
2.2.4 Support system for development 19
2.3 Activity 2: Incubation Centers Development
2.3.1 Setting up of Incubation Centers 21
2.3.2 Type of services offered in incubation centers 21
2.3.3 Stages in setting up an incubation center 22
2.3.4 InfoDev network of World Bank 23
2.3.5 Declaration 23
Figures
1. The Global Goals 09
2. Five stages of innovation diffusion / adoption 13
3. Entrepreneurial Ecosystem 15
4. Action Plan – Way forward 17
5. Activity 1:Sustainable Social Enterprise Development Facilitation Process 20
6. Activity 2: Incubation Centers Development 22
7. Support from World Bank 23 & 24

Action Plan for launching
Social Enterprises Development Program
1. Introduction
Asian–African Conference that took place in Bandung, Indonesia, in 1955 has
"provided the first major instance of the post-colonial countries collective resistance
to Western Dominance in International relations." This Bandung conference laid the
first seeds of South - South Cooperation idea.
Subsequently in 1978, the United Nations established the Unit for South–South
Cooperation to promote South–South trade and collaboration within its agencies.
However only in late 1900’s, the idea of South–South cooperation started to
influence the field of development. Gradually South–South cooperation has been
successful in decreasing dependence on the aid programs of developed countries and
in creating a shift in the international balance of power.
1.1. The South Asian Association for Regional Cooperation (SAARC)
On the other side the idea of co-operation in South Asia was discussed in at least
three conferences: the Asian Relations Conference held in New Delhi on April 1947;
the Baguio Conference in the Philippines on May 1950; and the Colombo Powers
Conference held in Sri Lanka in April 1954.
In the ending years of the 1970s, the seven inner South Asian nations that included
Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka agreed upon
the creation of a trade bloc and to provide a platform for the people of South Asia to
work together in a spirit of friendship, trust, and understanding.
In 1983, the international conference held by Indian Minister of External Affairs P.V.
Narasimha Rao in New Delhi, the foreign ministers of the inner seven countries
adopted the Declaration on South Asian Association Regional Cooperation (SAARC)

and formally launched the Integrated Programme of Action (IPA) initially in five
agreed areas of cooperation namely, Agriculture; Rural Development;
Telecommunications; Meteorology; and Health and Population Activities.
Officially, the union was established in Dhaka with Kathmandu being union's
secretariat-general. SAARC was founded in Dhaka on 8th December,1985 and
hosted by the President of Bangladesh Hussain Ershad.
SAARC is the regional intergovernmental organization and geopolitical union of
nations in South Asia. Its member states include Afghanistan, Bangladesh, Bhutan,
India, Nepal, the Maldives, Pakistan and Sri Lanka. SAARC comprises 3% of the
world's area, 21% of the world's population and 3.8% (US$ 2.9 trillion) of the global
economy, as of 2015. It launched the South Asian Free Trade Area in 2006. SAARC
maintains permanent diplomatic relations at the United Nations as an observer and
has developed links with multilateral entities, including the European Union.
1.2. South-South cooperation (SSC)
The Framework of operational guidelines on United Nations support to South-South
and triangular cooperation defines South-South cooperation (SSC) to be “a process
whereby two or more developing countries pursue their individual and/or shared
national capacity development objectives through exchanges of knowledge, skills,
resources and technical know-how, and through regional and interregional collective
actions, including partnerships involving Governments, regional organizations, civil
society, academia and the private sector, for their individual and/or mutual benefit
within and across regions. South-South cooperation is not a substitute for, but rather
a complement to, North-South cooperation”.
The definitions for South-South and triangular cooperation are based on the Nairobi
Outcome Document ii, negotiated in the UN High-Level Conference on South-South
Cooperation and adopted by the UN General Assembly in December 2009.

South-South cooperation (SSC) is a broad framework for collaboration among
countries of the South in the political, economic, social, cultural, environmental and
technical domains. Involving two or more developing countries, it can take place on
a bilateral, regional, subregional or interregional basis. Developing countries share
knowledge, skills, expertise and resources to meet their development goals through
concerted efforts. Recent developments in South-South cooperation have taken the
form of increased volume of South-South trade, South-South flows of foreign direct
investment, movements towards regional integration, technology transfers, sharing
of solutions and experts, and other forms of exchanges.
1.2.1. Key principles for South-South cooperation
 Common endeavor of peoples and countries of the South, based on shared
experiences, common objectives, and solidarity
 Guided by the principles of respect for national sovereignty, ownership and
priorities as defined on national development plans and strategies.
 Partnership among equals and free from conditionalities
 Continuing to increase mutual accountability and transparency, while coordinating
with other development projects and programs on the ground
 Embracing a multi-stakeholder approach, including non-governmental
organizations, the private sector, civil society, academia and others that contribute
to meeting development challenges and objectives in line with national
development strategies and plans.

1.2.2. Objectives of South-South Cooperation
 The basic objectives of South-South cooperation are interdependent and mutually
supportive and contribute to the broader objectives of international development
cooperation. These objectives are to:
 Foster the self-reliance of developing countries by enhancing their creative capacity
to find solutions to their development problems in keeping with their own
aspirations, values and special needs;
 Promote and strengthen collective self-reliance among developing countries
through the exchange of experiences; the pooling, sharing and use of their
technical and other resources; and the development of their complementary
capacities;
 Strengthen the capacity of developing countries to identify and analyse together
their main development issues and formulate the requisite strategies to address
them;
 Increase the quantity and enhance the quality of international development
cooperation through the pooling of capacities to improve the effectiveness of the
resources devoted to such cooperation;
 Create and strengthen existing technological capacities in the developing countries
in order to improve the effectiveness with which such capacities are used and to
improve the capacity of developing countries to absorb and adapt technology and
skills to meet their specific developmental needs;
 Increase and improve communications among developing countries, leading to a
greater awareness of common problems and wider access to available knowledge
and experience as well as the creation of new knowledge in tackling development
problems;

 Recognize and respond to the problems and requirements of the least developed
countries, land-locked developing countries, small island developing States and the
countries most seriously affected by, for example, natural disasters and other
crises; and
 Enable developing countries to achieve a greater degree of participation in
international economic activities and to expand international cooperation for
development.
1.2.3. Benefits of South-South Cooperation
 Strengthening of the voice and bargaining power of developing countries in
multilateral negotiations;
 Use of experience and capacity that already exists and the development of new
capacities in developing countries;
 Opening of additional channels of communication among developing countries;
 Promotion and strengthening of economic integration among developing countries
on as wide a geographic basis as possible;
 Enhancement of the multiplier effect of technical cooperation;
 Fostering of economic, scientific and technological self-reliance;
 Increased knowledge of and confidence in the capacities available in developing
countries;
 Coordination of policies on development issues relevant to a number of developing
countries;
 Development of indigenous technology and the introduction of techniques better
adapted to local needs, particularly in traditional subsistence sectors such as
agriculture;
 Promotion of:
 National science and technology plans;
 Economic and social planning;
 Linkage of research and development with economic growth;

 Project planning and evaluation;
 Use of human and natural-resource potential;
 Modern management and administration;
 Technical, scientific and administrative manpower; and
 Accelerated professional training at different levels.
1.3. Triangular cooperation (TrC)
The UN’s working definition for triangular cooperation (TrC) is “Southern-driven
partnerships between two or more developing countries, supported by a developed
country (ies) or multilateral organization(s), to implement development cooperation
programs and projects”.
Through triangular cooperation, Southern development assistance providers can
benefit from the financial and technical support, experience and technical know-how
of multilateral and developed-country partners. The increased capacity to tackle
development challenges, strengthened partnerships and enhanced regional
integration benefits everyone.
1.4. Social Development
Social Development theory attempts to explain qualitative changes in the structure
and framework of society that help the society to better realize aims and objectives.
Development can be defined in a manner applicable to all societies at all historical
periods as an upward ascending movement featuring greater levels of energy,
efficiency, quality, productivity, complexity, comprehension, creativity, mastery,
enjoyment and accomplishment.
1.5. The Global Goals
The Sustainable Development Goals (SDGs), officially known as “Transforming our
world: the 2030 Agenda for Sustainable Development” is a set of seventeen
inspirational "Global Goals" with 169 targets between them. Spearheaded by the

United Nations, through a deliberative process involving its 194 Member States, as
well as global civil society, the goals are contained in paragraph 54 United Nations
Resolution A/RES/70/1 of 25 September 2015.
1. No Poverty - End poverty in all its forms everywhere
2. Zero Hunger - End hunger, achieve food security and improved nutrition and
promote sustainable agriculture
3. Good Health and Well-being - Ensure healthy lives and promote well-being
for all at all ages
4. Quality Education - Ensure inclusive and equitable quality education and
promote lifelong learning opportunities for all
5. Gender Equality - Achieve gender equality and empower all women and girls

6. Clean Water and Sanitation - Ensure availability and sustainable
management of water and sanitation for all
7. Affordable and Clean Energy - Ensure access to affordable, reliable,
sustainable and modern energy for all
8. Decent Work and Economic Growth - Promote sustained, inclusive and
sustainable economic growth, full and productive employment and decent work
for all
9. Industry, Innovation and Infrastructure - Build resilient infrastructure,
promote inclusive and sustainable industrialization and foster innovation
10. Reduced Inequalities - Reduce income inequality within and among countries
11. Sustainable Cities and Communities - Make cities and human settlements
inclusive, safe, resilient and sustainable
12. Responsible Consumption and Production - Ensure sustainable consumption
and production patterns
13. Climate Action - Take urgent action to combat climate change and its impacts
by regulating emissions and promoting developments in renewable energy
14. Life Below Water - Conserve and sustainably use the oceans, seas and marine
resources for sustainable development
15. Life on Land - Protect, restore and promote sustainable use of terrestrial
ecosystems, sustainably manage forests, combat desertification, and halt and
reverse land degradation and halt biodiversity loss
16. Peace, Justice and Strong Institutions - Promote peaceful and inclusive
societies for sustainable development, provide access to justice for all and build
effective, accountable and inclusive institutions at all levels
17. Partnerships for the Goals - Strengthen the means of implementation and
revitalize the global partnership for sustainable development

1.6. Social Enterprise
A social enterprise is an organization that applies commercial strategies to maximize
improvements in human and environmental well-being—this may include maximizing
social impact alongside profits for external shareholders. Social enterprises can be
structured as a for-profit or non-profit, and may take the form of a co-operative,
mutual organization, a disregarded entity, a social business, a benefit corporation, a
community interest company or a charity organization.
1.7. Innovation
Innovation can be defined simply as a "new idea, device, or method". However,
innovation is often also viewed as the application of better solutions that meet new
requirements, unarticulated needs, or existing market needs. This is accomplished
through more-effective products, processes, services, technologies, or business
models that are readily available to markets, governments and society. The term
"innovation" can be defined as something original and more effective and, as a
consequence, new, that "breaks into" the market or society.
As per Crossan and Apaydin in Organisation for Economic Co-operation and
Development (OECD) manual, Innovation is: production or adoption, assimilation,
and exploitation of a value-added novelty in economic and social spheres; renewal
and enlargement of products, services, and markets; development of new methods
of production; and establishment of new management systems. It is both a process
and an outcome.
1.8. Social Innovation
Social innovations are new strategies, concepts, ideas and organizations that meet
the social needs of different elements which can be from working conditions and
education to community development and health — they extend and strengthen civil
society.

Some of the noted social innovations are: Emissions Trading, Fair trade, Community
centered Planning, Habitat Conservation Plans, International Labor Standards, Micro
finance, Socially responsible investing, Open source platforms etc.,
1.9. Diffusion of Innovation
In Everett Rogers, a professor of rural sociology in his book “Diffusion of
Innovations” proposed diffusion theory in which, Diffusion is the process by which an
innovation is communicated over time among the participants in a social system.
Rogers proposes that four main elements influence the spread of a new idea:
the innovation itself, communication channels, time, and a social system. This
process relies heavily on human capital. The innovation must be widely adopted in
order to self-sustain. Within the rate of adoption, there is a point at which an
innovation reaches critical mass.
Diffusion occurs through a five–step decision-making process. It occurs through
a series of communication channels over a period of time among the members of a
similar social system. Rogers' five stages (steps) are awareness, interest, evaluation,
trial, and adoption. An individual might reject an innovation at any time during or
after the adoption process.
Based on the adoptability to innovation, there are four categories of adopters
such as innovators, early adopters, early majority, late majority, and laggards.

Five–step decision-making process
1.10 Innovation Systems
The concept of the innovation system stresses that the flow of technology and
information among people, enterprises, and institutions is key to an innovative
process. It contains the interactions between the actors needed in order to turn an
idea into a process, product, or service on the market.
According to innovation system theory, innovation and technology development are
results of a complex set of relationships among actors in the system, which includes
enterprises, universities and research institutes.
Innovation systems have been categorized into
 Local innovation systems
 National innovation systems
 Regional innovation systems
 Technological innovation systems and
 Sectoral innovation systems
1
• Knowledge
2
• Persuasion
3
• Decision
4
• Implementation
5
• Confirmation
Accept
Reject

1.11 Entrepreneurial ecosystem
Entrepreneurial ecosystem refers to the social and economic environment affecting
the local/regional entrepreneurship. "Ecosystem" refers to the elements –
individuals, organizations or institutions – outside the individual entrepreneur that
are conducive to, or inhibitive of, the choice of a person to become an entrepreneur,
or the probabilities of his or her success following launch. Organizations and
individuals representing these elements are referred to as entrepreneurship
stakeholders. Stakeholders are any entity that has an interest, actually or
potentially, in there being more entrepreneurship in the region.
Entrepreneurship stakeholders may include government, schools, universities,
private sector, family businesses, investors, banks, entrepreneurs, social leaders,
research centers, security systems, labor representatives, students, lawyers,
cooperatives, communes, multinationals, private foundations, and international aid
agencies.
There are several conditions that typically define a healthy ecosystem. The
ecosystem:
 is tailored around its own unique environment – it does not seek to be something
it isn’t, like the “next Silicon Valley”
 operates in an environment with reduced bureaucratic obstacles in which
government policies support the unique needs of entrepreneurs and tolerate failed
ventures
 actively encourages and invites financiers to participate in new ventures -
although access to money isn’t without barriers for those planning new business
ventures
 is reinforced, not created from scratch, by government, academic or commercial
organizations

 is relatively free from, or is able to change the cultural biases against failure or
operating a business
 promotes successes, which in turn attract new ventures
 is supported by dialogue among various of the entrepreneurship stakeholders
Entrepreneurship Ecosystem

1.12 Innovation to Commercialization
Innovation & Entrepreneurship are critical drivers of a social and economic
development. Innovative people drive society and economy of a country forward.
Innovation can be triggered by training the youth and by facilitating the ecosystem
suitable for creative exploration of ideas. Developing youth’s innovative skills will
make them future resilient. Currently the government system too is promoting
entrepreneurship.
It is observed that innovative people tend to exhibit five major attributes
 Creativity
 Self efficiency
 Energy
 Risk Propensity
 Leadership
The modern word, ICT has opened up many platforms for innovation. We can
observe that it has lead to innovation in ICT & also ICT enabled innovations
To understand the country’s innovation support system, one can administer
Innovation Radar Methodology. This will study the following elements
Innovation Potential Indicator of an ecosystem can be studied by measuring
following three parameters such as
 Innovation Readiness Indicator
 Innovation Management Indicator
 Market Potential Indicator
Innovators capacity can be assessed from innovators ability and innovators
environments such as internal and external bottle necks, real time monitoring of
business, business culture among innovators, innovation progress checks,
assessment of policy support and framework etc.
After studying the gap areas and existing development framework mapping, strategy
document / action plan has to be developed.
After innovations are generated, a well handholding with better market connectivity
and required resources will ensure into successful commercialization and
development of Innovative Entrepreneurs.

2. Action Plan: Curators for Social Enterprises in the new media age requires
knowledge in
 Social Work
 Community Development
 Entrepreneurship
 Environment Sciences
With this academic background and professional experience, I propose the following
action plan to be executed in the next two years.
Research
SED Facilitation
Identification
Selection
Mentoring
Investment &
Market
Connectivity
Incubator
Network
Identify Existing
Gap Areas
Develop New
Training and
Coordination
Gap
Identification
COMMUNICATION
withStakeholders:DonorAgencies,Office,Youth,
Financialinstitutions,IGOs,Others

2.1. Preliminary Scope Research
Initially the research has to be conducted from primary and secondary resources
regarding the market analysis, stake holder mapping. This research being the inter
governmental in nature involving seven countries would take nearly 3 months to get
the research conducted and analyzed to feel of the needs / situation.
Initial Research
Research of existing situation in SAARC innovation system
Mapping incubation centers in SAARC region
Identify the gap areas
Device the action plan in consultation with stakeholders
Mapping investors / VCs, Banks, HNI, PE, Training institutions
Mapping service providers
Mapping innovators existing in the field
list of colleges, it is, Universities etc for innovation mapping
Continuous
Prepare Knowledge reports (Sector Based)
Make central database of all innovations for easy access
Research will give fair knowledge to execute the proposed activities with a better
confidence lever and control over the situation. Proposed activities are
 Social Enterprise Development Facilitation
 Incubator Network Coordination

2.2 Activity 1:
Social Enterprise Development Facilitation
Facilitation of Social Enterprise Development has four phases
2.2.1. Identify - innovative green products, technologies and services
- Call for business plans announcement
- Conducting Road Shows
- News Paper advertisements in different countries
- Website notification
2.2.2 . Due Diligence - Provide mentoring with their business development
- Assessment of business idea
- Business model
- Benefit to the environment
- Social impact
- Management team
- Market assessment
- Sector analysis
2.2.3. Connect - With capital and markets
- Sector analysis
- Business advisory services through
o Coaches Network
o Pro-bono Mentoring
- Training program
- Skill development program
- Market connectivity
2.2.4. Support System Development - For company’s overall development
- Investor Network
- Investor Forum
- Investor Summit
- Investor Meetings
- Deal flow sessions
- Incubator Development
- Partnership building with other stakeholders

Social Enterprise Development Facilitation Process
Continuous engagement of enterprise development facilitation would be an year
round cycle. Market research, information material on sector wise scope for
investments would be prepared; establishment and strengthening the entrepreneur
ecosystem would be carried out as a continuous process.
2.2.5. Key Performance indicators (KPIs)
- Number of innovations mapped
- Number of business plans received
- Quality of business plans received
- Trainings and workshops delivered
- Improvisation in innovators abilities as entrepreneurs
- Number of companies successfully running after due diligence
- Number of investors connected
- Number of investors joining the investors network / steering committee
- Number of stakeholders connected
- Entrepreneurial ecosystem created
- Social impact created
- Environment impact measured

2.3. Activity 2:
2.3.1. Setting up of Incubation Centers
Enterprise Incubation Centers are considered as the brooding grounds where future
companies are hatched. These innovations and enterprises are critical for the
development of social and economic development of a nation.
Business incubation processes will assist in unleashing the fullest capacity of human
ingenuity, ability to compete and create sustainable jobs. Venture initiation process
is something very much similar to hand holding with an expert of the sector. A well
developed enterprise ecosystem will create favorable environment to the success of
the ideas by adding value in the form of services and products.
The global market place is a competitive world, it demands high end international
networks to qualify the business idea and there are many opportunity for replication.
International networking, knowledge sharing, experiential learning from divergent
communities can add value to the business ideas in a quick span of time and it needs
facilitation in the form of incubation centers.
A business incubator in business speak is an office that helps new and startup
companies to develop by providing services such as management training or office
space. Business incubators differ from research and technology parks in their
dedication to startup and early-stage companies. Research and technology parks, on
the other hand, tend to be large-scale projects that house everything from
corporate, government or university labs to very small companies. Most research
and technology parks do not offer business assistance services, which are the
hallmark of a business incubation program. However, many research and technology
parks house incubation programs.
There are wide variety of services an incubation center can offer. Since startup
companies lack many resources, experience and networks, incubators provide
services which helps them get through initial hurdles in starting up a business. These
hurdles include space, funding, legal, accounting, computer services and other
prerequisites to running the business.
2.3.2. Type of services made available in an incubation center:
 Help with business basics
 Networking activities
 Marketing assistance
 Market Research
 High-speed Internet access
 Help with accounting/financial management

 Access to bank loans, loan funds and guarantee programs
 Help with presentation skills
 Links to higher education resources
 Links to strategic partners
 Access to angel investors or venture capital
 Comprehensive business training programs
 Advisory boards and mentors
 Management team identification
 Help with business etiquette
 Technology commercialization assistance
 Help with regulatory compliance
 Intellectual property management etc.,
2.3.3. Stages in setting up of Business Incubation Centers
Gap
Research
Planning Stage Marketing
Identification of
Client
Financing
Management
Assistance
Monitoring Financial Planning Commercialisation
Virtual IncubationNetworking
Continuous
Learning

SAARC Development Fund (SDF) will do the initial survey of existing incubation
centers in the SAARC countries. This will be done by primary and secondary data and
gap areas will be identified.
Basic premise is, having the technically sound infrastructure, capital equipment,
operating facilities, availability of experts for advising will help the ideas to transform
into enterprises.
Incubation centers can be established for various sectors such as manufacturing,
transport, energy, health, education, agriculture, water and sanitation etc. Social
Enterprise more over requires many such centers in many under privileged regions
close to the communities. This can be taken up as a social venture in itself. These
incubation centers will not discriminate the intake of any innovation and will
encourage SMEs and interested individuals or organizations to join them to assist
them in the process of idea generation to commercialization.
To have the distribution across the nation, incubation centers can be established in
Public, Private and Community Partnership (PPCP) Model. Interested and competent
individuals, companies, colleges, universities, technical schools, hubs and clusters
can apply for the support from SDF in the form of funds for infrastructure,
technology or working capital for initial few years. After 5 years of operation, these
incubation centers are expected to become self sufficient and generate their own
funds by commercializing their services
Major challenge is identified as the handholding needed for these incubation centers
itself in becoming self sustainable. It requires continuous training of incubation
managers, continued marketing of services, upgrading of technologies, networking
with experts and facilitating the companies in business facilitation services etc. All
these approximate five years, SDF should work very closely with the incubation
centers and there after too should coordinate with them in a network.
2.3.4. InfoDev initiative of World Bank
classified incubation centers into:
■ Business incubators
■ Science and Cyber parks
■ National Associations
■ Foundations and not-for-profit organizations
■ Universities and research institutions
■ Other (private sector, consulting) organizations

So far it has supported incubation centers in three forms of grants
 Operational Grants
 Capacity Building Grants
 Planning Grants
In Asia (East and South), between 2003 to 2006 total of 22 grants have been
awarded in the tune of USD 3,970,000
Research plays an important role in understanding the market gap areas. Learning
from one country can be verified its applicability with other countries and process of
operations can be further streamlined.
A detailed plan with activity based budgeting can pay a path forward for successful
and efficient execution of this project. This would work as a two pronged approach to
attract not only social enterprises but also many SMEs to get benefit from the
incubation facilities.
2.3.5. Declaration
As a person exposed to this whole gamut of activities for six years, I feel confident to
propose myself as a competent person to execute this project beyond India in all the
SAARC nations with little inputs.
My education in Social Work, Environmental Sciences, Experience in Community
organizing, interaction with SMEs and innovators in entrepreneurship development
would be a opt for to operate as Assistant Director – Sustainable Social
Enterprise Development Facilitation program at SAARC Development Fund.
Look forward to present myself before you.

Template : Social Enterprise Development Action Plan in SAARC countries

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