Sunday, December 9, 2012

Social Enterprise: Israel's new start-up frontier


If you are living outside of Israel, as most of the world does, then you are more than likely to have the impression that this country is torn by war, terrorism and constant fear of rocket attacks. 
After all, this is what the media portrays more than anything else, and the truth be said, there is more of our share of this kind of thing around here.
Yet, ask anyone who has been even marginally involved with Israel over the years and you will also learn that despite all these "war things" going on, the country is as vibrant as they come, amongst the global leaders in innovation and consistently on the cutting edge of anything that smacks of entrepreneurship.
Israelis, it seems, have it in their DNA to multi-task, to endure the pressures of living in a region that has not exactly befriended them, and to thrive in entrepreneurship, an area which necessitates embracing change, uncertainty and delving into the unknown.



As such, it is no surprise that social entrepreneurship has become a new movement in Israel, with the country already showing signs of uniqueness in this area as well.
While social enterprise has been rather a latecomer to the arena in Israel (with the US and the UK preceding it considerably), the Israeli scene is already dotted by a number of promising ventures.
Israel's small size, concentrated resources, communication infrastructure, entrepreneurial experience and mindset lends it the potential of quickly succeeding in the social enterprise area, similar to its breathtaking achievement in hi-tech.


Social enterprise seeks to bring the business world to serve social missions, the "new kid on the block", a new paradigm in contrast to the traditional dependency of non-profit organizations on government, public and corporate funding. 
Social businesses seek to utilize the "double bottom line" (the social and the economic) to drive the organization, employing business models to generate revenue, create self-sustainment and future growth.
As a new type of entity, social businesses will need to overcome a number of hurdles on the way, such as methods of taxation, legal structure, investor expectations, development of professional management, among others. 
The field is beginning to attract the attention of social investors, government officials and the public at large, although one cannot help but feel that we are all still straddling  the pioneering stage of it all.


Among Israel's exciting premier start-ups in the social enterprise area one can note the following:

  • "Call Yachol"- the first of its kind in the World! The company employs about 200 employees, most of whom are people with disabilities. It provides outsourcing services to companies that face difficulties maintaining long-term employees such as in Call Centers.
  • "Monita"- a taxi service run completely by women, including drivers who are all women.
  • "AQA"-a software testing venture formed in order to train and integrate autism spectrum people in software testing tasks.
  • "Yadaim Root"- (translated in to English as "Hands that See")- a venture that trains and employs blind people to serve as masseuses.
  • "Ringelblum Café"- which employs at-risk youth in various functions of the restaurant business.
  • "Eden's Cindrella"- a domestic help service employing and educating socio-economically disadvantaged women who are often widely exploited in the job market.
  • "Compost Hakerem"- a veteran project which has succeeded over the last 9 years in turning organic garbage in urban areas into high-quality compost for use by municipalities around Israel.

Taking its place in the background of the social business field in Israel is "Minga", a new idealistic venture on the scene that seeks to provide services and a "home" for the social business sector in Israel.
Minga works with NGOs to guide them how to integrate social enterprise models, with budding social entrepreneurs to provide them with tools and community, and with for-profit businesses to encourage their participation in the development of the social enterprise field.
The partners of Minga bring with them many years of previous experience in both the business and social sectors, along with the determination and vision to build social enterprise as a major force in bringing about a better, more equitable and progressive society in Israel.


As a participant in the first "Minga Taster workshop" at this time I can personally relate that what is being developed here far exceeds "just another workshop": over 20 social entrepreneurs- in practice and in potential- have come together to share, learn from each other and from the proven entrepreneur lecturers in a dynamic, exuberant and exciting manner.
Each has come from his or her own place in the world with the desire to take an idea forward, one that seeks not to cultivate profit before people but to empower and serve people by the promising means  that the business world is capable of offering.



The time has come to harness the tools of business to tackle some of society's most challenging problems.
Keep Israel on your radar screen for this one too. Never a dull moment over here…



Ronnie Dunetz, MBA international business, is a senior business and career coach and group facilitator.
He has been involved in entrepreneurial ventures and business development in the US, Israel and Asia for nearly 20 years- he resides in Kadima, Israel.




No comments:

Post a Comment