Amity Business School SOCIAL ENTREPRENEURSHIP MBA(E) 4 th Sem. Dr. Anjani Kumar Singh 1

Amity Business School Social Entrepreneurship 2

Amity Business School Kevin Carter’s Pulitzer Prize winning photograph from 1994, taken during the Sudan famine. Identify the problem Innovative idea Social entrepreneurship model 3

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Lijjat Case Mission  Empowering the Indian women Problem Patriarchal Social restrictions 5

Amity Business School Opportunities Women at a grassroots level became active agents in the process of their own empowerment. 6

Amity Business School Organizational Context Shri Mahila Griha Udyog Lijjat Papad, popularly known just as Lijjat. Since its inception in 1959, Lijjat has provided self-employment opportunities to mostly poor urban women. Today with 72 branches across 17 states of India and a membership of 42,000 women 7

Amity Business School Core product is Papad Cooperative, where ownership is restricted to its working women members, Members(Sisters) are typically unskilled women hailing from poor to lower-middle– class backgrounds. Membership in Lijjat is open to any woman, irrespective of class or caste or religion, 8

Amity Business School In 2008–2009, Lijjat’s financial turnover was Rs. 5 billion ($111million) The organization also employs a few salaried employees, both men and women working in drivers, and administrators. The employees do not have any ownership rights. 9

Amity Business School The average monthly income of a Lijjat sister is Rs. 3,000/– (about $70/–) for rolling papad from home for 6 hours of manual labor. Besides the daily rolling charges, the women earn distributed profits. For instance, in 2008, women members of Bandra Branch in Mumbai were paid Rs. 15,000/– (about $330/–). 10

Amity Business School Welfare measures to its women Daily transportation from home in company buses, Health checkups, scholarships for sisters’ children, literacy campaigns, computer training for sisters’ children, and a savings/borrowings scheme. 11

Amity Business School Lijjat is organized as a for-profit cooperative with a nonhierarchical organization Decision making in the organization is based on consensus. The overall running of Lijjat is entrusted to a Central Management Committee of 21 members, six of whom are sister members elected for a fixed term of 3 years. Similarly, branches are run by branch committees. 12

Amity Business School In 1966 it was formally registered and recognized as a cottage industry by the Khadi & Village Industries Commission(KVIC), a government body in India. This helped Lijjat to access a subsidized, working capital loan for Rs. 8 Lakhs (approximately $18,000), and the organization’s status as a cottage industry attracted tax exemptions. 13

Amity Business School LEARNING OF THE CASE  Collective Ownership  Cooperation  Self reliance  Profit sharing  Economic security  Development of entrepreneurial behaviuor  Contribution to the family 14

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