Social Economy what is it and why should we care

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Social Economy what is it and why should we
care?

• Workshop A
• 9.30 am 10.45 am
• June 10, 2006

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Linking, Learning, LeveragingSocial Enterprises,
Knowledgeable Economies,and Sustainable
Communities

• Northern Ontario, Manitoba, Saskatchewan
• Node of the Social Economy Suite
• Co-Directors
• Lou Hammond Ketilson, Centre for the Study of
  Co-operatives
• Kate Waygood, Community University Institute for
  Social Research

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Linking, Learning, LeveragingSocial Enterprises,
Knowledgeable Economies,and Sustainable
Communities

• a total of 1.745 million from SSHRC and matching
  in-kind funds from our partners totaling an
  estimated 6.45 million, to conduct a five-year
  national study
• involves 24 academics in 10 disciplines from 12
  universities, and over 40 community partners from
  four provinces, the United States, Colombia, and
  Belgium
• purpose
• describe and measure the impact of the social
  economy in Saskatchewan, Manitoba, and northern
  Ontario
• strengthen and expand existing capacity

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Social Economy Suite of Projects

• regionally-based, community-university alliances
• carry out programs of research and knowledge
  mobilization that are relevant to that region
• conduct new research, facilitate networking among
  stakeholders, and train students and community
  researchers
• governance model includes active partnerships
  between universities and community organizations
• involves researchers and/or community partners
  from other regions
• forms a network involving academics, students,
  community groups, and other interested partners
• regional nodes are linked together, via the
  national hub, in a network of networks for
  creating and mobilizing knowledge

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What Is the Social Economy?

• 1970s-80s, France and Belgium, Quebec
• Structural/descriptive definitions
• co-operatives, mutuals, associations people
  before profits
• expanded 1992 Quarter
• mutual-interest organizations
• nonprofits in public service
• near-government and government organizations

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What Is the Social Economy?

• Normative/integrative definitions
• Actors those involved are relatively dominated
  in their daily lives
• Activities socially necessary activities where
  state and market have failed
• Rules
• democratic practice among members
• members determine the activity
• members determine the use of surplus
• collective ownership

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What Is the Social Economy?

• The social economy is that spectrum of
  activity between the public and private sector
  (and so driven neither by the logic of capital
  nor by that of the state) which is a form of
  economic organization aimed at addressing social
  need.It is economic activity which has social
  impact, and as such, embodies the principle of
  placing social viability on par with economic
  viability, social sustainability being equal to
  economic sustainability and the two being
  interdependent. (Mullan and Cox, 2000)

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What Is the Social Economy?

• An entrepreneurial, not-for-profit sector
  that seeks to enhance the social, economic, and
  environmental conditions of communities.
• Separate from the private sector and
  government,the social economy includes
  co-operatives and credit unions, foundations,
  non-profit organizations, the voluntary sector,
  charities and social economy enterprises. They
  operate in sectors ranging from housing to
  communications and in areas such as recycling,
  home care, forestry, restaurants, cateringand
  manufacturing. (WED Canada, 2005)

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What Is a Social-Economy Enterprise?

• Social economy enterprises are a component
  of the social economy that are run like
  businesses, producing goods and services for the
  market economy, but manage their operations and
  redirect their surpluses in pursuit of social and
  environmental goals.(WED Canada, 2005)

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Points of Agreement

• For-profit and government controlled
  organizations are excluded
• Entrepreneurship or a market aspect is important
• Autonomy, democracy, citizen participationare
  important
• Service to marginalized/excluded groups and
  involvement of multiple stakeholders may be of
  special interest

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Why Are Definitions Important?
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Why Are Definitions Important?
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Why Are Definitions Important?

• Previous government identified the social economy
  as a priority
• 2004 budget, government allocated
• research (SSHRC) 15 million over five years
• patient capital 100 million over 5 years
  (total 25 million for West)
• capacity building 17 million over 2 years
  (potential 30 million over 3 additional years)
• Government at all levels is trying to
  identify what their role should be with regard to
  the social economy

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How Will the Research Proceed?

• Participatory action research methodologies
• comparative institutional (ethnography)
  analyses,strategic cases
• Surveys
• comparative, cross-sectional
• Geographic information systems (GIS)
• map and analyse underlying patterns

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Research Focus Cluster 1Social Enterprise
Development

• comprehensive profiles of social-economy
  organizations, highlighting innovative
  organizational structures, internal and external
  processes for community and member engagement,
  effective financing strategies, and comprehensive
  measures of organizational and community outcomes
• identifying models for best practice
• examine whether such models and practices need to
  be rethought or adapted to fit different cultural
  contexts such as Aboriginal communities
• partners include BC, Saskatchewan, Manitoba and
  Ontario Co-operative Associations, Sask First
  Nations Co-operative, Canadian Worker Co-op
  Federation

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Research Focus Cluster 2Financing Strategies
for SocialEnterprise Development

• what kinds of financing strategies are needed to
  support the development and expansion of the
  social economy what models exist, how well do
  they function for social-economy organizations?
• partners include VanCity Credit Union,
  Assiniboine Credit Union, St. Agathe Credit
  Union, Saskatoon Credit Union, Arctic
  Co-operatives Ltd., Manitoba and Saskatchewan
  Credit Union Centrals, Canadian Community
  Investment Co-operative

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Research Focus Cluster 3Governance of
Social-Economy Enterprises

• what are the best practices with regard to
  governance models what can we learn from
  co-operative organizations how can this
  knowledge be transferred?
• measurement of good governance and its impacts
• development of tools for assessment and
  self-assessment of democratic and governance
  practices
• establish norms and benchmarks
• partners include Canadian Co-operative
  Association, Ontario, Manitoba, and Saskatchewan
  Co-operative Associations, Cooperation Works USA

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Research Focus Cluster 4Measuring and
Mappingthe Social Economy

• what does the social economy look like in our
  region?
• how should we measure social-economy
  organizations?
• can traditional methods capture social and
  economic objectives?
• what is the impact of social-economy activity
  within the larger economy?
• partners include Ontario Co-operatives
  Association, Arctic Co-operatives Ltd.,
  Co-operatives Secretariat, Cooperation Works,
  VanCity, SaskCentral, Saskatoon Community Clinic

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Research Focus Cluster 5 Developing Policy
Frameworksfor the Social Economy

• what have governments done what should they do
  and not do regarding the social economy?
• review of the existing regulatory frameworks
  affecting the region at all three levels of
  government
• conduct a broad survey of the regions social
  economy actors to capture their perspective on
  the current state of government policy
• partners include Canadian Co-operative
  Association, Co-operatives Secretariat, Ontario,
  Manitoba, and Saskatchewan Co-operative
  Associations, Departments responsible for
  co-operatives in Manitoba and Saskatchewan

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Administrative andGovernance Structure

• the overall project is administered by the Centre
  for the Study of Co-operatives
• centrally administered funds for regional
  conferences, communication across the region,
  dissemination of results
• targeted funds distributed on the basis of
  research cluster
• each cluster has an academic and community
  co-director, jointly responsible for setting
  direction and monitoring the progress of the
  cluster

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Administrative andGovernance Structure

• funds distributed directly to community
  organizations through a competitive process
  interested parties apply for funding to pursue
  research agendas consistent with the direct needs
  of their organizations
• funds for this purpose will be distributed
  through
• Saskatchewan Community-University Institute for
  Social Research (CUISR)
• Manitoba Winnipeg Inner City Research Alliance
  (WIRA)
• Ontario Community Economic and Social
  Development Program, Algoma University College
• each has a co-director management model in place

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• Administrative and Governance Structure

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Mechanisms for FacilitatingResearch and
Networking

• through the provincially-based organizations
• for students a total of 22 four-month graduate
  internships and 38 twelve-month internships
  (part time for 8 months, full time for 4) at the
  undergraduate and graduate levels support for
  conference travel
• for community partners community release funds
  funds for an annual local workshop funds to
  support travel to the annual local workshop
  funds to support travel to each of the two
  regional conferences
• for the host organization funds to support
  administrative/community liaison activities and
  supplies

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Mechanisms for FacilitatingResearch and
Networking

• through the clusters
• for students 3 PhD and 10 MA scholarships
  travel funds for field research
• for academic partners matched and unmatched
  release allowances
• travel funds for field research

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Why Should Co-operatives Care and How Can You Get
Involved?

• Identifying with the social economy provides
  opportunities for
• innovation
• building broader alliances
• positioning co-ops as leaders in socially
  responsible community lending, social accounting
• Check out our website http//www.usaskstudies.coop
  
• Contact us if you would be interested in
  partnering in our nodes projects