Doctor Artur Steiner: Introducing social innovation through rural social enterprises: addressing challenges of ageing population 15 th Summer Academy Mouzaki, Greece 17 th - 23 rd July 2016

Social Innovation

What is social innovation? A social innovation is a novel solution to a social problem that is more effective, efficient, sustainable, or just than current solutions. The value created accrues primarily to society rather than to private individuals.

Social Enterprise

Social enterprise and social innovation SEs operate independently of the State SEs invest financial surpluses to address social challenges SEs use business solutions to achieve public good

Sustainable Solutions to Social Problems

Governments and social policy Failure of different political systems to meet social needs Limits of governments as the vehicle of social problem solving Drawbacks of large-scale, top-down government programs

Governments and social policy Decentralisation is critical because finding what works depends on having the right knowledge, being able to envision new combinations, and having the freedom to test ideas through action Social enterprise and social entrepreneurship considered as an element of a potential solution

Social enterprise as a social innovation Ability to explore a wider range of alternatives as opposed to standardised interventions Greater freedom of action than governmental agencies Freedom and flexibility due to lack of bureaucratic rules, legislative mandates, political considerations, and a fixed budget Ability to move more quickly than public officials and take risk

Social entreprise as a social innovation Ability to earn income from business ventures Access to private resources and private contributions such as voluntary gifts of money, time, and in-kind donations as well as public money devoted to the same problem Ability to tailor efforts to different communities or markets

Social Enterprise in Scotland

Social enterprises and policies Major interest in social enterprises Popularisation of the idea of non-state players working “in partnership” with the state Scottish and the UK governments want social enterprises to grow BUT How to develop more social enterprises?

Drivers of social innovation through the lens of policy initiatives Bottom up: driven by communities (rather than government and other powerful organisations) Empowerment: the process by which disadvantaged communities define their own needs and determine the response that is made to them Capacity Building: raising people’s knowledge, awareness and skills to use their own capacity to tackle their needs

Social enterprises in Scotland More than 5000 social enterprises in Scotland £3.63bn - annual income £1.15bn - in traded income 66% - expect their income to increase next year 54% - generate half or more of their income from trading 68% - sell directly to the general public £8.77bn - in combined assets

Social enterprises in numbers 45% - operate with the stated objective of creating employment More than 112,000 employees Nearly 70,000 volunteers supporting the delivery of SE activity 60% - led by a woman 42% of social enterprises formed in the last 10 year 200+ new social enterprises forming each year

Contribution of Social Enterprise to social innovation – a case study of rural Scotland

SEs in the Highlands and Islands Scottish Highlands and Islands Is the most remote and rural area in Scotland and one of the most sparsely populated areas in the EU. Only 9% of Scottish population lives in the Highlands and Islands. Yet, 22% of all Scottish SEs are located in the area.

Geographical location of the study Scottish Highlands

Example of community social entrepreneurship programme O4O = Older People for Older People Why older people? Demographic changes and apocalyptic scenarios Current perception of older people Challenges in service provision especially in remote and rural areas

Changing shape of Scotland’s population

Some facts Projecting costs of Health and Social care on the basis of demographic change would see the costs rise by just over £1bn by 2016 (a 22% rise) and by £3.5bn by 2031 (a 74% rise).

Increasing proportion of older people living in Europe In Scotland, from 2008: 65+ population projected to rise 62% by 2031 For the 85+ age group specifically, a 144% rise is projected by 2031 Remote, rural and peripheral areas have a higher percentage of older people than more central urban regions Some facts

Perception of older people

Background of the O4O Economic and socio-demographical changes Examples: Financial crisis, decreasing public spending, ageing population Consequences: Increasing role for communities to do more things independently from the state How this can happen? Social enterprise policy presented as a potential solution to current challenges O4O tested current policies 26

- To promote older people as a positive force - To involve older people in producing O4O organisations and services - To help maintain people living in their own communities for as long as possible O4O aims

Engagement of older people in O4O Engagement of older people in O4O Older people remain active for longer Older people remain active for longer Trust and social networks develop Trust and social networks develop Increased community capacity Increased community capacity Positive impact on physical and mental health Positive impact on physical and mental health O4O organisations deliver services for other older people O4O organisations deliver services for other older people Reduced dependence on the State as a provider O4O theory and action research

Community Action - Meet community - Publicity - Generate confidence/ enthusiasm Community engage in O4O concept - Discussion with community - Building trust Community identify needs Initiatives selected to take forward Support from O4O: - Building capacity - Building confidence - Avoiding duplication - Accessing finance - Accessing information - Skills needed - Community capacity - Models of social organisation Community action/ entrepreneurship Social organisation model established - Community takes on roles -Business planning - Resources - Training O4O delivers services Process of O4O creation

3 out of 4 communities were successful in implementing O4O project O4O projects facilitated development of products and services including -Transport services -Day care centre -Heritage project Innovative O4O services

T4T: Transport for Tongue - Provides Transport services including: - Informal connecting of people to share lifts - Formal volunteering for the car scheme - Demand responsive service and minibus hire O4O examples

Lochinver day care centre -Community Care Assynt -A community business created by the Assynt Centre Action Group

Ardersier heritage project: - Oral history DVD - Development of community buildings O4O examples

What does it all mean?

Social innovation in O4O PROBLEM 1: Ageing population + PROBLEM 2: Rural service delivery SOLUTION: Rural service delivery by older people

Social innovation in O4O 1.Older people perceived as asset rather than burden to our society 2.O4O organisations based on community needs with flexible management systems 3.O4O organisations generate social, economic and added value 4.Community capacity building as an integral part of O4O organisations

Findings and implications Entrepreneurial tools used by social enterprises might not be innovative. However, it is the outcome of their activities that brings social innovation Rural context is important in shaping up socially entrepreneurial opportunities and social innovation Social enterprises capable of implementing specific social innovations in their local settings

Useful O4O reading Munoz, S-A., Steiner, A. and Farmer, J. (2015) Processes of Community-Led Social Enterprise Development: Learning from the Rural Context, Community Development Journal, pp.50(3): Munoz, S-A., Steinerowski, A., Farmer, J. and Stephen, K. (2011) Community Social Enterprises as a Response to the Service Needs of Ageing Rural Populations. Journal of Social Management, 2(September), pp Farmer, J., Munoz, S-A., Steinerowski, A. and Bradley, S. (2011) Health, wellbeing and community involvement of older people in rural Scotland. In Lê, Q. (ed.) Health and Wellbeing: A social and cultural perspective, pp New York, Nova Science Publishers. Steinerowski, A., Bradley, S., Munoz, S-A., Farmer J. and Fielding, S. (2011) Participation for Health and Wellbeing: Factors Associated with Older People’s Participation in Remote and Rural Communities. In: Angus, D. and Boutsioli, Z. (eds) Health Studies: Economics, Management and Policy, ATINER, pp Munoz, S-A. and Steinerowski, A. (2012) Socially entrepreneurial skills and capabilities in a rural context. In Farmer, J., Hill, C., Munoz, S-A. (eds) Community Co-production - Social Enterprises in Remote and Rural Communities, Cheltenham, UK, Edward Elgar, pp

Group task Think about your local context and local challenges. Could social enterprises introduce social innovation and address those challenges? How this would happen? What resources and/or support would be needed? Can you identify any ways to ‘combine’ challenges in order to create a solution?

Group task Bottom-up social enterprise social innovation versus Supported social enterprise social innovation. Discuss advantages, disadvantages, similarities and differences of both approaches.