“Social UP” for the challenges of social enterprises

"Dione" at the “Social UP” for the challenges of social enterprises

Through a brief interactive workshop, based on design thinking techniques, involving social entrepreneurs, business consultants, VET trainers, social partners and design thinkers, the participants approached objectives and challenges of social enterprises, discussed and validated prior Social UP project research (desk, survey with social entrepreneurs and social partners, interviews with design thinkers) in view of empowering social entrepreneurship in a multi-faceted and participatory way.

Internationally acclaimed British design thinker James Rock, head of DesignThinkersUK and the Social UP project, member of the international network of DesignThinkers Group, present in 20 countries (including in Greece) around the world involving over 25,000 design thinkers, participated online with a short presentation about Design Thinking, its principles and tools.

The mini experiential workshop and exchange of views facilitated by Knowl social enterprise for life long learning and Militos Consulting S.A., Greek partners of Social UP I Design Thinking for Social Enterprises.

The local development centre “Dione”, established in Ancient Olympia, participated in the workshop on creative thinking on the challenges of social enterprises.

The collection of the data was made using DT tools, such as the Issue Maps and Issue Cards that the participants renamed to Challenge Maps and Challenge Cards to better reflect the workshop aim and topic, the impact/difficulty Grid, etc.

The process was as follows:

-Introduction on the aims of the workshop and the Social UP project.

-Introduction of all members of the group (name, activities, organisation represented, function, target group representation, expectations).

-Presentation of Design Thinking online through skype and video connection by Social UP leader and renowned design thinker James Rock, DesignThinkers UK.

-Formation of 4 groups, mixing up target group representatives (3 people per group).

-Identification by each group member individually of challenges and writing down on post-its.

-Utilisation of Challenge Maps in groups to discuss all challenges and identify the 2-3 top ones per group (total of 8-12 top challenges for all groups).

-Fleshing out the 2-3 top challenges in group, using the Challenge Cards (one card for each selected challenge).

-Design of grid on the wall, based on 2 criteria (difficulty, impact).

-Positioning of top challenges on this grid through extensive discussion.

-Identification of the challenges with the highest/lowest impact and lowest/highest difficulty and the ones in between.

Outcome: 

The Grid shows the commonly agreed top challenges and their positioning with regard to their impact and difficulty to address.

A lot of discussion accompanied the positioning/ prioritisation (some challenges were changing positions, as should be).

It was finally agreed that without vision (“όραμα”) and a good/ functional team (“λειτουργία ομάδας”), impact and sustainability of social enterprises will be highly affected and remain limited. 

Lack of awareness/ divergent views of society on social enterprises and their work was the challenge that was equally impactful and difficult to address.

However, the latter finding was the first point discussed and put on the Grid and while the discussion was developing, it seemed that, if there was more time for debate, the positioning of some challenges would change (again).

Overall, the most important challenges in terms of impact, in priority order (from highest to lowest), were as follows,

while their level of difficulty differs (see next to each one from 1-8 with 1 the most difficult and 8 the least difficult):

Highest impact // 1 most difficult to address

• ·        Vision 6
• ·        Team formation 4
• ·        Lack of awareness/ divergent views of society on social enterprises and their work 1
• ·        Motivation and collaboration 2
• ·        Legal Framework 3
• ·        Know-how 8
• ·        Reality check (also a DT tool) 7
• ·        Business (profit) vs social dimensions in social entrepreneurship 5

Lowest impact // 8 least difficult to address

Social UP - Design Thinking για Κοινωνικές Επιχειρήσεις

Η «Διώνη» & η «Eco Δίβρης ΚοινΣΕπ» εκπροσώπησαν την Ηλεία στο Social UP - Design Thinking 

Στο ίδιο τραπέζι με άλλους κοινωνικούς επιχειρηματίες, επιχειρηματικούς συμβούλους, εκπαιδευτές και design thinkers από όλη την Ελλάδα,

βρέθηκαν το κέντρο τοπικής ανάπτυξης «Διώνη» και η «Eco Δίβρης ΚοινΣΕπ», ως εκπρόσωποι της Ηλείας,

και με έναν τρόπο διαφορετικό, που αντλεί από τη νοοτροπία του design thinking και χρησιμοποιεί εργαλεία του, 

εργάστηκαν με τεχνικές ενεργής ακρόασης και δημιουργικού διαλόγου πάνω στις σημαντικότερες προκλήσεις που αντιμετωπίζουν σήμερα οι κοινωνικές επιχειρήσεις στην Ελλάδα.

Το μίνι αυτό βιωματικό εργαστήριο διοργανώθηκε στα γραφεία της Knowl στην Αθήνα, σε συνεργασία με την  Μίλητο Συμβουλευτική Α.Ε.  στο πλαίσιο του ευρωπαϊκού έργου Social UP - Design Thinking για Κοινωνικές Επιχειρήσεις.

Job finding tools & process

A dynamic youth workshop in Pyrgos

An one-day workshop aiming at introducing to the young people of Pyrgos in Elis (Ileia) county of Peloponnese, the various modern tools and processes connected to finding a job, and encouraging the local youth to get actively involved in the labour market,

was organized and successfully implemented by the local development centre “Dione” and the Erasmus Young Entrepreneur from Liberia, Emmanuel Dweh Togba.

The workshop that brought together local youngsters from Pyrgos and the surrounding cities, stressed the need for young people to get acquainted with key tools and processes included in searching and getting a job in their career area.

Some of the main conclusions of the workshop were that staying on the job is equally important as getting the job and that young people should concentrate in developing their career skills so as to become competitive and gain a strong advantage in the demanding, challenging modern world!  

SMEs’ Export Readiness in Zacharo (Greece)

The case of ΗΛΙΣ company

Introduction

Zacharo is the commercial and financial centre of the region of Elis (Ileia) and serves as a connecting point for Patras—Pyrgos—Kalamata, thus making it easily accessible for visitors coming from different nearby regions and places. The economic strength of the local economy of Zacharo lies in the agricultural and tourism sectors with the agricultural sector making up for tremendous portion of the local residents’ income. Agricultural activities are concentrated mainly on the cultivation of olive oil, raisins, tomatoes, vegetables, wine (red, white and rosé) and legumes. However, over the past 10 years, Zacharo’s local economy has continued to experience slow or no growth as with the national economy as part of the upshots of the debt crisis. The concentration of economic activities and the high dependence of the local economy on agricultural and tourism sectors seem to pose a fundamental problem to the local economy since these activities are highly seasonal.

Like many other small and medium-sized companies, particularly those located in rural areas, local businesses in Zacharo have been less likely to export. The fact is that, with overseas markets growing and the demand for Greek healthy agricultural products (e.g. Greek olive oil, Greek yogurt) getting high, there are many unexploited opportunities for these companies.

There are several reasons why exporting is of great importance for rural economic development, and for Zacharo’s economy in particular.

Firstly, business activities can strongly grow through exporting, especially when there is a downturn in the domestic economy.

Secondly, local businesses that expand their operation border tend to hire more employees to keep up with rapid growth, which will help partly solve the issue of unemployment due to crisis in returns.

Last but not least, companies that increase sales through exporting will need to expand or upgrade their production capacity in a way to grow their physical plant and equipment to fulfil orders, which may directly improve the trading status of the local businesses in general.

According to all the above-mentioned facts, understanding the criteria to evaluate the willingness level of Zacharo’s businesses in exporting, based on which local authority or other business development centres can propose effective solutions, has now become one of the top-priority problems to be focused for the development of the town. For that purpose, it is necessary to examine one local company who has been exporting its products to other countries so as to provide guideline or recommendations to motivate other local businesses to go global. Therefore, this study aims at evaluating the export readiness of a company in the field of agriculture in Zacharo utilizing the interview method, and then provide some lessons-learnt for local businesses. The case company - ΗΛΙΣ (/i'lis/) company – was chosen because it is located in the town of Zacharo (Tholo, Municipality of Zacharo, Ilia county) and, most important, the company has successfully exported to several countries (e.g. England, Norway, etc.).

ΗΛΙΣ company is a pure Hellenic family business established in 1967 that produces naturally dried pasta, based on the traditions of the land of Elis (Ilia), all the while encouraging diversity and initiative. The owners of the company proudly committed “to continue creating products with the utmost care and absolute attention to our production practices, so that every family shall enjoy excellent products.”.

For the purposes of this study, an export ready company can be defined as the one that has, at a minimum, the drive, experience, financial resources, and capacity to successfully meet demand for its product in a foreign market. With this in mind, we specifically address some of the more important aspects to be examined in order to determine whether a firm is export ready within the context of the business communities where they operate.

Table: Export readiness assessment criteria chosen for this study 

Aspects	Sample question(s)
Exporting Experience	Does the company have, at the very least, some experience in fulfilling orders in a market outside its own?
Human Resources	Does the company have an existing contact person or team dedicated to exporting?
Competitive Edge	§                  Does the company produce a unique product or service?  §                  Does the company possess the ability to modify the product to meet market requirements or demand?
Production Capacity	§                  Does the company have sufficient capacity currently?  §                  Does it have the means to expand production quickly to meet export orders? And do common production capacity measures include:  o          Monthly production (e.g., x # of pieces/month),  o          Minimum/maximum order quantities, and  o          Export frequency.
Certifications	Does the company possess relevant international or target market certifications to meet regulatory requirements? (e.g., International Standards Organization, Fair Trade) or applicable registrations (e.g., USFDA))
Finance	§                  Does the company have sufficient financial strength and resources to develop new markets?  §                  Can initial expenditures be adequately absorbed for activities such as advertising, promotional material, and the cost of market visits?  §                  Does the company have sufficient cash flow or access to credit/working capital?
Marketing	§                  Does the company have a marketing strategy for the export market?  §                  Does the company have adequate marketing/promotional materials in place (e.g., brochures, catalogues, and Web sites)?

(Source: U.S. Agency for International Development, “Best practices in determining export readiness”, 2009) 

  

Results from the interview and recommendations

Human Resources

ΗΛΙΣ company is a family based one and does not have managers or staff familiar with export procedures or more generally with foreign markets, customs or languages. Experience of this kind is not critical because the company exported through a domestic intermediary which already has the necessary expertise. However, in case that the company intends to export by its own means, it cannot afford to hire some export-experienced staff.

Additionally, there are key differences between domestic and foreign selling that include different payment terms and methods, different currencies, and different documentary requirements for invoicing, packaging, labelling, shipping, etc. More critical still are the vast differences in language and culture among countries.

Exporting Experience

The case company has already exported to several countries such as the United Kingdom, Bahrain, Norway. Experience, while obviously an advantage, is not a necessity if the company exports through a domestic intermediary, as it happens in the case of ΗΛΙΣ company. If the company would rather handle its own exports, it can overcome initial inexperience by hiring a professional or training someone internal. ΗΛΙΣ should also make use of public and private services available to help businesses along the way (e.g., Chamber of Commerce, national and local export guiding centres, freight forwarders, banks, etc.).

Besides, ΗΛΙΣ company has also received several unsolicited inquiries from foreign firms, which is evidence that potential overseas customers have at least heard about the company and that they want to know more about it. The company should consider exhibiting at some domestic trade shows to attract more foreign buyers. For direct overseas introduction, the Internet is a possible option with acceptable cost and may trigger unsolicited orders or inquiries. Ever more, the company is developing its own Web site to promote its products. This way, ΗΛΙΣ can also gain worldwide Internet exposure.

Competitive Edge

The fact that ΗΛΙΣ company has been well-known and established domestically within the industry is definitely a strong point in exporting because recognition and acceptance are valuable assets internationally which imply stability and reliability. Foreign customers need to feel that they can count on their suppliers over the long haul. Moreover, the company can think of translating its positive reputation at home to build credibility and confidence out of the country by, for instance, applying price and other incentives to attract foreign buyers.

The interview revealed that ΗΛΙΣ’s production lines are compared favourably with domestic competitors in terms of features and benefits. ΗΛΙΣ offers a wide variety of products to the local market with more than 50 types of pasta of different sizes, materials, shapes, and flavours. Besides, the firm would be willing to adapt its products and packaging to better suit foreign markets, which could greatly increase their market options.

Foreign markets differ not only from the domestic market, but also from each other because of cultural differences, business practices, etc. These differences may prevent a product from being allowed to enter the market or becoming able to appeal to potential buyers. Foreign buyers, for example, may require modifications in the product to make it more affordable, or to better comply with local preferences for sizes, tastes, health regulations, etc. Thus, flexibility in product design, packaging and promotion may well be crucial in certain markets.

However, ΗΛΙΣ’s pasta products have a low tolerance for harsh or widely varying environmental conditions, which may limit their options to enter, for instance, environmentally favourable markets. Many products can tolerate different environmental conditions up to a point, but lose effectiveness as extremes are approached (e.g., abnormal temperatures, humidity, altitudes, pollutants, etc.). The more sensitive the product to these changes, the more method required to protect it against the elements. Protection could be as inexpensive as strengthening or insulating the packaging, or it could involve more costly measures, such as altering the product itself or storing it under controlled conditions.

Production Capacity

ΗΛΙΣ’s current share of the domestic market is estimated at around 11-20%, which reflects a significant competitive advantage. Due to the fact that competition is even more intensive abroad, companies may also need to consider of improving their pricing policy, better adapting their products to specific market needs, and more actively supporting their distributors and customers.

Besides, the case company would have great advantage in filling new export orders from present inventory or other sources (productivity at 1 ton of pasta per day). Their outstanding ability to produce and deliver promptly will surely help them gain trust from customers. Foreign buyers are not less anxious than local customers to get what they demand. Thus, the company should never incur backlogs or delivery delays that could disappoint customers. In case they need upfront money to produce or acquire the quantity sought, they may try to look for financial support in order to secure working capital.

Certifications

The main focus of ΗΛΙΣ company is the continuous improvement of the business performance in a way to achieve maximum customer satisfaction by creating additional value; ΗΛΙΣ takes into consideration all active regulations, the rapid development of technology and environmental issues in producing high quality products.

For that purpose, the company has been certified by LETRINA SΑ for the quality assurance systems that it has developed and applied, ensuring the top quality of its products. More specifically and according to the Codex Alimentarius standard, ΗΛΙΣ has been HACCP certified on quality control and assurance of its products on every critical control point of pasta production (raw materials to finished product).

Additionally, ΗΛΙΣ has been certified on Food Safety Management System, in accordance with the ISO 22000:2005 International Standard.

Besides, all physiochemical and microbiological testing takes place in certified laboratories and are applied to all products produced or promoted by ΗΛΙΣ.

In three consecutive years (2015, 2016 and 2017), ΗΛΙΣ company was awarded with the Superior Taste Award from the International Taste and Quality Institute (ITQi) in Brussels. The conducted tasting follows a strict procedure of organoleptic analysis. ΗΛΙΣ’s products were deemed remarkable with a total score of over 80%. ITQi’s tests fall under the supervision of the Belgian Ministry of Economic Affaires – Market Organisation.

The certifications are surely a reliable assurance of superior quality and represent a great competitive advantage of ΗΛΙΣ in producing high quality products.

Finance

The case company’s adequate financial situation allowed it to commit more than EUR 5,000 per year for export development. Costs of exporting can be kept to a minimum, but can't be avoided altogether. It would be very costly to establish market identity abroad, attract buyers, and build strong relationships with distributors and customers who will hopefully pay off in high, ongoing sales and profits. There may be other costs not encountered in domestic selling as well, such as for design changes to adapt the product to a foreign market, translations, sales trips abroad, etc. Clearly, firms with stronger, more flexible resources are in a better position to absorb these incremental export costs.

If internal funds of the company are not available for export start-up or working capital, they can consider export financing programs offered by the EU. Alternatively, the company could save upfront costs by keeping on exporting through an intermediary. They already have relationships abroad and will incur the initial costs to find customers and generate orders. The company would mostly pay only when any business actually results, basically in the form of a commission based on a percentage of the sales price.

Export Marketing

ΗΛΙΣ company has established a regional distribution network in the target markets that help the company in exporting. Most exporting is done through local agents or distributors in each market. Local distributors speak the language, know the market, and know where the customers are and how to reach them. Besides, the case company sometimes conducts market research (mostly utilizing personal contacts) and plans for their domestic operations. That could be a recipe for success in exporting. Systematic market planning is essential to exporting. Analysis and planning are even more critical overseas and can be instrumental in avoiding costly mistakes. Exporters may encounter different demand types abroad, different languages, cultures and environments, different laws and regulations, etc. Long-term success in exporting requires an awareness of these differences, an accurate assessment of the resulting potentials and pitfalls, and a strategy to deal with them in each target market.

In addition, ΗΛΙΣ company puts a lot of effort on domestic advertisement and promotion. When exporting, the company may compete not only against potentially more experienced exporters from other countries, but also against domestic competitors aiming at the same target market.

Companies generally need to promote even more aggressively abroad than they do domestically. Most companies have adequate media and can support any of the methods that would normally apply to their products, including direct mail, telemarketing, press releases, paid ads, trade shows, sales trips, Internet directories and Web pages, and e-mails. Costs, however, could also affect the company’s approach.

Conclusion

In a nutshell, from the case of ΗΛΙΣ company in Zacharo, it is advisory for Small and Medium sized Enterprises (SMEs) that exporting is worth considering only if they are an established, successful company having unique products. Besides, the SMEs already sell quite successfully against imported products and have a strong finance base to support their export endeavours for a period of 12 to 24 months without necessarily generating any immediate income.

Last but not least, the companies should not only have good contacts in their sector abroad that must be ready to support and assist them, but they also need to have the necessary skills and know-how within their own firm in order to become ready to start exporting.

Co-authored by the Erasmus team: Anh Bui Mai Nguyen, Irina Purdea, Muhammet Serin, Emmanuel Dweh Togba, and the project assistant Eleni Gerbura,

for “Dione” local development centre (Ancient Olympia, Peloponnese), Greece 

Supervisor:

Vaso Charitopoulou, Founder & general manager of “Dione”

"Dione" in “The Family” project

Elis’ local development centre in 

“The Family” project 

at Gaziantep

Aiming at revealing and understanding the causes of the domestic violence and its consequences, and suggesting possible solutions, “The Family” project  that took place between 2nd and 10th of July, 2017 in Gaziantep, Turkey, gathered together young people from Turkey, Greece, Italy, Romania and Spain.

Organized by the “Zift Organization” (www.ziftorganization.com),   the project activities included visiting local institutions and organizations dealing with violence in general, and domestic violence, in particular. As such, participants were able to converse with them in order to have a better understanding of the issue. However, given the fact that the issue of domestic violence is a global problem, participants were requested to make a research and briefly present the problem in their respective countries.  

Additionally, participants visited the city’s kindergarten and some public places, where they fruitfully interacted with the inhabitants and exchanged ideas and experiences on the issues related to domestic violence. Throughout that exchange, banners/flyers, which were prepared by the participants for the occasion, were distributed to the local people under the guise of raising their awareness on the issues of domestic violence.  

Furthermore, since children and women are generally the most vulnerable to domestic violence, participants were requested to research and make group presentations on “Children & Women’s Rights”. The aim of this activity was to raise awareness on the existing domestic and/or international laws that protect children and women.  

Since one of the main aims of any Youth Exchange under the Erasmus+ program is to bring young people together in order for them to break their pre-conceived prejudices about other cultures, many team-building games were performed during “The Family” project. 

It is worth mentioning that throughout this project, except for the research and presentation on the “domestic violence”, where participants presented the trend in their home country, all other activities were performed through randomly formed groups. 

“Dione” local development centre, established in Ancient Olympia, Greece, was represented to the project by the Erasmus Intern Abdou Rahim Lema Mohamed from Benin.

Contact:

-Abdou Rahim Lema Mohamed: lema.abdourahim@gmail.com

-Vaso Charitopoulou (Founder & head of “Dione”):

      vasso-charitopoulou@hotmail.com 

3 reasons to take an internship in Elis (Ileia), Peloponnese

An Internship experience in 

Ancient Olympia

Internship experience in Greece has been one of the pick of my academic career. Coming to work for “Dione” local development centre in Ancient Olympia, was the great decision I made when I had to select internship offers from different organizations for my Erasmus program.

Past two months are full of significant learning experiences, wonderful adventures with multinational friends, memorable memories and unforgettable beauty of this amazing country and the region we stayed in. 

I am working in the area of sustainable development and therefore, this internship offered me the opportunity to work as a project management assistant on highlighting Natura 2000 sites. It is worth mentioning that I became familiar with Natura awards and other environmental initiatives because of this internship. I am looking forward to utilizing this information in my academia as well. 

The region of Elis, Greece, is rich in history, culture and environment. It is all about greenery and natural beauty.

The six Natura 2000 sites of the region are all rich in natural beauty, precious species and habitat of plants and animals. There is also a long beautiful, neat and gushing beach.

Visiting these sites and beach has always been rejuvenating and I have enjoyed all the fun and relaxing time we had during my internship. 

Another fascinating part of the internship was working in an ultimate international environment. The intercultural experience, while living with interns from England, Vietnam, Finland, France, Liberia, Turkey and meeting with people with different backgrounds had great impact on my personal development. 

I learned a lot about the dynamics of different parts of our planet, mainly about their rituals, food, living styles and a lot more interesting things. All this experience will undoubtedly help me in my life ahead. 

In conclusion, I would like to thank my school, and my hosting organization for providing me with a wonderful internship experience, which was certainly well above my expectations. I enjoyed every single day of my stay here and will definitely miss this time of my life.  

Mohammad Abdullah Shaikh (Turkey)

Erasmus Intern at “Dione” local development centre, Ancient Olympia, Western Greece

Contact: abdullahshaikh@std.sehir.edu.tr,

vasso-charitopoulou@hotmail.com (Vaso Charitopoulou, Founder & head of “Dione”)