Social Innovation Ecosystems A Seedbed for Innovation? Judith TERSTRIEP 22 June 2017 Regional Helix 2017

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1 Social Innovation Ecosystems A Seedbed for Innovation? Judith TERSTRIEP 22 June 2017 Regional Helix

2 INTRODUCTION Why Social Innovation?

3 State of Play in Europe 1.7% GDP Growth in 2017»Global Economic Outlook: Better, but not good enough«source: OECD % of people in EU-28 were at risk of poverty or social exclusion Source: Eurostat 2016 (lfst_r_lfu3rt) 3

4 Source: Eurostat 2016 (lfst_r_lfu3rt) 4

5 OECD Better Life Index Jobs Jobs 6.7 North-Rhine Westphalia Central Portugal 5

6 THE CONCEPT OF SI Multiplicity of Actors, Processes & Structures

7 Definitions [ ] a dynamic process of performing socially innovative activities with an entrepreneurial mindset. (Kleverbeck et al., 2017, p. 51) [ ] an organisation that exists for social purpose and engages in commercial activities to fulfil its mission, using market-based techniques. (Kleverbeck et al., 2017, p. 50) 7

8 Social Innovation Actors Private Sector PPPs Social Enterprise»Multilevel Governance«Public Sector Co-creation Shadow Economy Prosumption Non-Profit Sector Co-Production Social Movements Collaborative consumption Informal Sector»Mass Collaboration«8

9 Actorsinvolved in SI NPO/NGO Public Bodies Private Company Research & Education Foundations Individuals & Networks Social Enterprise PPP 46,4% 45,5% 37,1% 15,2% 13,9% 13,9% 12,5% 6,5% N = 928 Other 9,9% 9

10 Alliance Partner N = 439 TYPE % TYPE % TYPE % TYPE % Other 29,9% Public Entities Private Companies NGOs/NPOs 10

11 Social Innovation Actors Roles Inner Core Promoter Supporter Knowledge Provider Actors Actors Actors Actors providing initiating and providing facilitating the knowledge to spur operating the infrastructural spread and and enrich the solution equipment, diffusion of the development funding, etc. solution process 11

12 Objectives Social Economic - Empowerment - Social cohesion - Inclusion - Enhanced quality of life - Social impact - Profit/welfare maximisation - Increased employability - Cost reduction - Discharge of public budgets - Inclusion 12

13 Interplay of Components, Objectives & Principles SOCIAL ECONOMIC COMPONENTS OBJECTIVES PRINCIPLES ACTORS RESOURCES INSTITUIONS EFFICIENCY GOVERNANCE 13

14 Focal Levels Micro Level Meso Level Macro Level - Single social innovation, users, innovators, beneficiaries - Individual impact - Organisations & networks => transactional environment - Institutional change - Society => social structures & regulations (e.g. welfare regime) - Social change 14

15 RSIS An Ecosystem for Social Innovation

16 Preconditions Environment People Governance Linkages - Enabling - Experimentation - Open to Change - Facilitators (e.g. supporters) - Balancing social and economic objectives - Governance capacity - Shaping integrated projects - Local/regional nodes and pipelines - Knowledge circulation 16

17 RIS RSIS - Knowledge provider - Human capital - Seldom involved - Unclear role - Innovator - Social Enterprise (Innovator) - Supporter - Representing the market - Open Innovation - Co-production - Provision of infrastructure - Innovator - Beneficiary - Knowledge provider - Innovator - Promotor - No explicit role - Innovator - Knowledge provider 17

18 REGIONAL SOCIAL INNOVATION ECOSYSTEM Global SI Community Platforms & Fora European SI Community CONTEXT Ecologic Intermediaries Local Policy & Welfare Agents Social Innovators Supporter Promotoren Social Economic Institutional REGIONAL CHALLENGES Welfare regimes Policy Fields (Governance) 18

19 TBfW «Exchange Education for Accommodation», unfolding the potential of children from deprived households through the establishment of a prevention chain in Duisburg Marxloh. 5 THE YEAR INNOVATION PROCESS FROM THE FIRST IDEA TO IMPLEMENTATION TARGET GROUP CHILDREN AGED 6 TO 10 IN DUISBURG MARXLOH ESTIMATED ANNUAL BUDGET ACHIEVED OUTCOMES STAFF COSTS 58% ETHNIC CONCENTRATION 64% 35 CHILDREN 6 MENTORS 4 SCHOOLS STAKEHOLDERS INVOLVEMENT NETWORK EVOLUTION + PARTNER Duisburg-Marxloh

20 FINANCE & CONSULTING PRO BONO DEUTSCHLAND E.V. STARTSOCIAL E.V. LAHTMAN & WATKINS STRATMANN FOUNDATION HELP & HOPE SEA VODAFONE FOUNDATION KANDERS IMMOBILIEN GESTALT ANSTALT Example: TBfW EUROPEAN COMMISSION VOLUNTARY SERVICE DIOCESE ESSEN WENKO WENSELAAR BPB DEUTSCHE BANK AG ELEMENTRY SCHOOL SANDSTRASSE RAINBOW SCHOOL ELLY HEUSS KNAPP GYMNASIUM SCHOOL AT THE PARK TOOM BBK NOVITAS B+L CITY OF DUISBURG EG DUISBURG BOARD OF TRUSTEES MBWSV NRW BUND PUBLIC FUNDING TAUSCHE BILDUNG FÜR WOHEN E.V. DITIB NIEDERRHEIN TERME ROSES FOR MARXLOH ST ANNA RISP Inner Core Supporter LABDOO E.V. KULTURLOGE RUHR E.V. Promotor 20

21 Questions & Discussion? POTENTIAL Is social innovation a promising avenue towards smart and inclusive growth?? REGION Is there a potential for social innovation in your region? And what are your expectations as regards regional development?? ROLES Where in the RSIS would you position yourself/your organisation? What could be your role? 21

22 References Kleverbeck, M., Terstriep, J., Deserti, A. & F. Rizzo (2017): Social Entrepreneurship: The Challenge of Hybridity. In: David, A.; Hamburg, I. (Eds.), Entrepreneurship and Entrepreneurial Skills in Europe, Bielefeld/Toronto: Barbara Budrich Publishers, Phills, J. R., Deiglmeier, K. & Miller, Dale T. (2008): Rediscovering Social Innovation. Stanford Social Innovation Review, 6(4): OEDC (2017): OECD Economic Outlook, Volume 2017 Issue 1, OECD Publishing, Paris. OECD (2017): Better Life Index. Additional Readings Terstriep, J. (ed., 2016): Boosting SI s Economic and Social Impact. Gelsenkirchen: Institute for Work and Technology. Komatsu, T., Deserti, A. & F. Rizzo (2016): Social Innovation Business Toolbox. Gelsenkirchen: Institute for Work and Technology. Dhondt S. et al. (2016): Social Innovation Evaluation Toolbox. Gelsenkirchen: Institute for Work and Technology. 22