Wednesday, October 3, 2012

We need innovative policies for innovative models

 
Ten minutes clip on Grey Stone bakery was superb! Very inspiring!
I came across the similar case study. This is about New York based, not for profit bakery called “Hot Bread Kitchen”. This is a social enterprise which provides, job and training to immigrant women in culinary art. Once they have hands on experience, they move on to other new jobs. This initiative is an attempt to balance social and economic interests, where the bakery is not dependent on government grants or funds. The profit from the business of baking bread feeds into driving the social welfare of these women.
 
 
 
 videosource:Youtube(Hot bread kitchen-short documentary)
Julia Battilana and Mathew, in Stanford Social lnnovation in an article ‘ In Search of Hybrid Deal’ terms this model a hybrid model which combines the two separate model; social welfare model and revenue generation model. As per the article, there has been a significant increase in the usage of this model to address range of social challenges from hunger, environmemnt, economic development, law etc.
However, for this model to be successful it has to strike a fine balance between social value creation and commercial revenue creation. Enterprise with such a model may struggle in finding the right place between profit and non- profit sectors. As a result, such enterprises  face continuous challenge in legal recognition and having access to capital, labour and market.
 
Can we be innovative in developing policies and programs that protect and encourage such innovative hybrid model?

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