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Social Business to change the world 
Michael Brohm 
The Grameen Creative Lab
Speed Dating
Norman Borlaug 
Martin Luther King 
Mother Teresa 
Aung San Suu Kyi 
Nelson Mandela 
Elie Wiesel
„I believe that we can create a world without poverty, because it is not the poor who created poverty.“ 
Prof. Muhammad Yunus, Nobel Peace Prize Laureate, Founder of Grameen Bank Initiator of Social Business 
Founder of The Grameen Creative Lab
What is Grameen
97% of borrowers are women 
8,500,000 borrowers 
in Bangladesh only 
36,000,000 family members profit from program
$11,000,000,000 
have been distributed by Grameen Bank in the form of microcredits since 1983 
96.7% repayment rate
99% of the children 
of the borrowers can read and write 
50% of the borrowers have 
less than two children
… and many more 
Grameen is more than a bank 
Grameen Trust 
Grameen Healthcare Trust 
Grameen Shakti 
Grameen Krishi 
Grameen Check 
Grameen Shikkha 
Grameen Telecom 
Grameen Uniqlo 
Grameen Kalyan 
BASF Grameen 
Grameen Veolia 
Grameen Foundation 
Grameen Distribution Ltd. 
Grameen Fabrics and Fashion Ltd. 
Grameen Danone 
Grameen Cybernet 
Grameen 
Otto 
Grameen America 
Grameen Bank 
Grameen Creative Lab
0% 
10% 
20% 
30% 
40% 
50% 
60% 
70% 
80% 
Grameen Bank 
Industry average 
Mexico 
Income generating loans – Interest rate
Question Lab
What is Social Business
A social business is a no loss, no dividend company with the only purpose of solving a social problem.
"Social business unites the dynamism of traditional business with the social conscience of charity" - Prof. Yunus 
NGOs/Public Sector 
Social Business 
Traditional Business 
Ends 
Means 
Social/ ecological use maximization 
Donation financed 
Social/ ecological use maximization 
Self sustainable 
Profit maximization 
Self sustainable 
Social Business
1.Business objective will be to overcome poverty, or one or more problems (such as education, health, technology access, and environment) which threaten people and society; not profit maximization 
2.Financial and economic sustainability (non-loss) 
3.Investors get back their investment amount only. No dividend is given beyond investment money (non- dividend) 
4.When investment amount is paid back, company profit stays with the company for expansion and improvement 
5.Environmentally conscious 
6.Workforce gets market wage with better working conditions 
7.…do it with joy
Defining the spectrum
For-profit business 
Social Business 
Social Entrepreneurship 
Non-profit organisation 
Social Entrepreneurship is an activity with the goal of solving a social problem using entrepreneurial principles to 
organize, create and manage a venture to achieve the social goal. The entity is called social enterprise. 
Definition 
Hybrid non- profit
Profit- maximizing Business 
Responsible Business 
Inclusive Business 
Social Business 
Non-Profit 
Hybrid non-profit 
What about profit? 
What about dividend?
Pure Profit / dividend 
Good Profit / dividend 
Make profit / dividend and do good 
Make profit but no dividend 
Charity, no profit, no dividend 
Profit- maximizing Business 
Responsible Business 
Inclusive Business 
Social Business 
Non-Profit 
Charity, (no) profit, no dividend 
Hybrid non-profit
Pure Profit / dividend 
Good Profit / dividend 
Make profit / dividend and do good 
Make profit but no dividend 
Charity, no profit, no dividend 
Profit- maximizing Business 
Responsible Business 
Inclusive Business 
Social Business 
Non-Profit 
Profitable business that aims to maximize shareholder value without a direct social mission. 
Profitable business that pays dividends to its investors, acts responsibly according to a high code of conduct and leverages profits to engage in CSR activities. 
Target low-income communities at the Bottom of the Pyramid with a profitable business model and thus benefit sustainable livelihoods. 
Profitable business with zero-dividend policy that has the sole mission of serving society’s needs. 
Charity organizations that follow a social objective and are mainly financed through donations. 
Charity, (no) profit, no dividend 
Hybrid non-profit 
Charity organizations that follow a social objective and are financed through donations and some revenue generating activities 
Business Means for Social Good 
Social Entrepreneurship / Social Enterprise
Products 
Operations 
Social Impact 
Ownership
Product/ Service 
Production 
2 
Product 
1 
Purchasing 
3 
Distribution & Sales 
4 
Marketing 
5 
Logistics 
6 
Operations 
Social Impact
Product/ Service 
Production 
2 
Product 
1 
Purchasing 
3 
Distribution & Sales 
4 
Marketing 
5 
Logistics 
6 
Operations 
In developed countries the product is not always the one that creates the main social impact 
In developed countries social businesses often create impact through the way the product is made available to the society and the way the business operates 
Society 
Social Impact
Case Study – Grameen Shakti
70% of population in Bangladesh without energy 
100+ Mio live in rural areas
No production after sunset 
Lack of access to energy 
Lack of economic power 
Lack of efficiency 
Limited business activity
largest rural based renewable energy company 
Grameen Shakti
Can also be used to charge cellular phones 
SHS are highly decentralized
Yearwise Installation of SHS (cumulated)
Design for women empowerment 
> 1000 women technicians have been trained
3% of Bangladeshis receive natural gas for cooking 
Most depend on biomass, crop residues, animal dung and wood for fuel
Yearwise Biogas Plant Construction Growth
Highest amount of energy used for cooking 
Indoor cooking causes indoor pollution 
Market potential of at least 2 million ICSs
Yearwise ICS Growth
•Electrification through solar PV technology 
•Community involvement 
•Organic fertilizers from slurry (by-product of biogas) 
•Production of energy transforming cow dung, poultry & biomass waste into biogas 
Solar Home Systems 
(SHS) 
Biogas 
Organic Fertilizer Program 
•Promotion of environmental friendly stoves 
•Protects women from in-door air pollution 
Improved cooking stove program 
(ICS)
5 million 
100,000 
205,000 
SHS 
Biogas 
Green Jobs Creation 
5 million 
ICS
Case Study: Dialogue in the Dark
WHAT IS IT LIKE IF YOU CAN‘T SEE ANYTHING?
›There is an estimated 650 million people with disabilities 
Dialogue in the Dark The Initial Social Problem
›About 160 million people are visually impaired worldwide 
›45 million of them are blind 
›About 87% of the world‘s visually impaired live in developing countries 
›Approximately 85% of all visual impairment is avoidable globally 
›Even in developed countries like Germany, only about 15% have a job 
Dialogue in the Dark The Initial Social Problem
Dialogue in the Dark The Initial Social Problem 
43 
›Interaction between “abled” and “disabled” people is hindered by stereotypes, fears, avoidance and prejudice 
›Levels of understanding, support and access to education, information, jobs etc vary from country to country 
›The prevailing opinion that disability is “less worthy than normal” leads to discrimination and marginalisation of the blind and disabled worldwide
Social inclusion of marginalized people on a global basis 
Employment of disabled people
7 million visitors to date
Dinner in the Dark 
Blind waiters serve a surprise four-course dinner
17 permanent establishments around the world
Different Product for different sences
Question Lab
How to start a social business
51 
Have a clearly articulated purpose
52 
Make sure the business model is sustainable 
You need to build something that financially sustains itself at a minimum
53 
Make sure that both what and how you do it are about excellence
54 
Don’t go it alone: 
Partner with people, build knowledge & expertise around you 
Be ready for tough 36 months
55 
Test and pilot 
new ways of doing things
56 
Measure results
57 
Implement with joy
The nine building blocks
Customer & Customer Segments 
1 
Customer Relationships 
5 
Sales Channels and Distribution 
3 
Products and Services / Value Proposition 
2 
Cost Structures 
9 
Key Activities 
5 
Key Resources 
6 
4 
Revenue Streams 
Key Partnerships 
8 
Top Priority 
If there is still time 
Source: Alexander Osterwald & Yves Pigneur (slightly modified)
Let’s work!
1 
Short group discussion to identify the Social Problem 
(5 minutes) 
Brainstorm Social Business Ideas (10 minutes) 
2 
Develop Social Business Model 
(45 minutes) 
3 
The steps for a successful Breakout Session
Presentation of Results
Social business – Do it with joy!

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Negocios sociales como la norma competitiva de las industrias del mañana- MICHAEL BROHM.

  • 1. Social Business to change the world Michael Brohm The Grameen Creative Lab
  • 3. Norman Borlaug Martin Luther King Mother Teresa Aung San Suu Kyi Nelson Mandela Elie Wiesel
  • 4.
  • 5. „I believe that we can create a world without poverty, because it is not the poor who created poverty.“ Prof. Muhammad Yunus, Nobel Peace Prize Laureate, Founder of Grameen Bank Initiator of Social Business Founder of The Grameen Creative Lab
  • 7. 97% of borrowers are women 8,500,000 borrowers in Bangladesh only 36,000,000 family members profit from program
  • 8. $11,000,000,000 have been distributed by Grameen Bank in the form of microcredits since 1983 96.7% repayment rate
  • 9. 99% of the children of the borrowers can read and write 50% of the borrowers have less than two children
  • 10. … and many more Grameen is more than a bank Grameen Trust Grameen Healthcare Trust Grameen Shakti Grameen Krishi Grameen Check Grameen Shikkha Grameen Telecom Grameen Uniqlo Grameen Kalyan BASF Grameen Grameen Veolia Grameen Foundation Grameen Distribution Ltd. Grameen Fabrics and Fashion Ltd. Grameen Danone Grameen Cybernet Grameen Otto Grameen America Grameen Bank Grameen Creative Lab
  • 11. 0% 10% 20% 30% 40% 50% 60% 70% 80% Grameen Bank Industry average Mexico Income generating loans – Interest rate
  • 13. What is Social Business
  • 14. A social business is a no loss, no dividend company with the only purpose of solving a social problem.
  • 15. "Social business unites the dynamism of traditional business with the social conscience of charity" - Prof. Yunus NGOs/Public Sector Social Business Traditional Business Ends Means Social/ ecological use maximization Donation financed Social/ ecological use maximization Self sustainable Profit maximization Self sustainable Social Business
  • 16. 1.Business objective will be to overcome poverty, or one or more problems (such as education, health, technology access, and environment) which threaten people and society; not profit maximization 2.Financial and economic sustainability (non-loss) 3.Investors get back their investment amount only. No dividend is given beyond investment money (non- dividend) 4.When investment amount is paid back, company profit stays with the company for expansion and improvement 5.Environmentally conscious 6.Workforce gets market wage with better working conditions 7.…do it with joy
  • 18. For-profit business Social Business Social Entrepreneurship Non-profit organisation Social Entrepreneurship is an activity with the goal of solving a social problem using entrepreneurial principles to organize, create and manage a venture to achieve the social goal. The entity is called social enterprise. Definition Hybrid non- profit
  • 19. Profit- maximizing Business Responsible Business Inclusive Business Social Business Non-Profit Hybrid non-profit What about profit? What about dividend?
  • 20. Pure Profit / dividend Good Profit / dividend Make profit / dividend and do good Make profit but no dividend Charity, no profit, no dividend Profit- maximizing Business Responsible Business Inclusive Business Social Business Non-Profit Charity, (no) profit, no dividend Hybrid non-profit
  • 21. Pure Profit / dividend Good Profit / dividend Make profit / dividend and do good Make profit but no dividend Charity, no profit, no dividend Profit- maximizing Business Responsible Business Inclusive Business Social Business Non-Profit Profitable business that aims to maximize shareholder value without a direct social mission. Profitable business that pays dividends to its investors, acts responsibly according to a high code of conduct and leverages profits to engage in CSR activities. Target low-income communities at the Bottom of the Pyramid with a profitable business model and thus benefit sustainable livelihoods. Profitable business with zero-dividend policy that has the sole mission of serving society’s needs. Charity organizations that follow a social objective and are mainly financed through donations. Charity, (no) profit, no dividend Hybrid non-profit Charity organizations that follow a social objective and are financed through donations and some revenue generating activities Business Means for Social Good Social Entrepreneurship / Social Enterprise
  • 22. Products Operations Social Impact Ownership
  • 23. Product/ Service Production 2 Product 1 Purchasing 3 Distribution & Sales 4 Marketing 5 Logistics 6 Operations Social Impact
  • 24. Product/ Service Production 2 Product 1 Purchasing 3 Distribution & Sales 4 Marketing 5 Logistics 6 Operations In developed countries the product is not always the one that creates the main social impact In developed countries social businesses often create impact through the way the product is made available to the society and the way the business operates Society Social Impact
  • 25. Case Study – Grameen Shakti
  • 26. 70% of population in Bangladesh without energy 100+ Mio live in rural areas
  • 27. No production after sunset Lack of access to energy Lack of economic power Lack of efficiency Limited business activity
  • 28. largest rural based renewable energy company Grameen Shakti
  • 29. Can also be used to charge cellular phones SHS are highly decentralized
  • 30. Yearwise Installation of SHS (cumulated)
  • 31. Design for women empowerment > 1000 women technicians have been trained
  • 32. 3% of Bangladeshis receive natural gas for cooking Most depend on biomass, crop residues, animal dung and wood for fuel
  • 33. Yearwise Biogas Plant Construction Growth
  • 34. Highest amount of energy used for cooking Indoor cooking causes indoor pollution Market potential of at least 2 million ICSs
  • 36. •Electrification through solar PV technology •Community involvement •Organic fertilizers from slurry (by-product of biogas) •Production of energy transforming cow dung, poultry & biomass waste into biogas Solar Home Systems (SHS) Biogas Organic Fertilizer Program •Promotion of environmental friendly stoves •Protects women from in-door air pollution Improved cooking stove program (ICS)
  • 37. 5 million 100,000 205,000 SHS Biogas Green Jobs Creation 5 million ICS
  • 38. Case Study: Dialogue in the Dark
  • 39.
  • 40. WHAT IS IT LIKE IF YOU CAN‘T SEE ANYTHING?
  • 41. ›There is an estimated 650 million people with disabilities Dialogue in the Dark The Initial Social Problem
  • 42. ›About 160 million people are visually impaired worldwide ›45 million of them are blind ›About 87% of the world‘s visually impaired live in developing countries ›Approximately 85% of all visual impairment is avoidable globally ›Even in developed countries like Germany, only about 15% have a job Dialogue in the Dark The Initial Social Problem
  • 43. Dialogue in the Dark The Initial Social Problem 43 ›Interaction between “abled” and “disabled” people is hindered by stereotypes, fears, avoidance and prejudice ›Levels of understanding, support and access to education, information, jobs etc vary from country to country ›The prevailing opinion that disability is “less worthy than normal” leads to discrimination and marginalisation of the blind and disabled worldwide
  • 44. Social inclusion of marginalized people on a global basis Employment of disabled people
  • 46. Dinner in the Dark Blind waiters serve a surprise four-course dinner
  • 47. 17 permanent establishments around the world
  • 48. Different Product for different sences
  • 50. How to start a social business
  • 51. 51 Have a clearly articulated purpose
  • 52. 52 Make sure the business model is sustainable You need to build something that financially sustains itself at a minimum
  • 53. 53 Make sure that both what and how you do it are about excellence
  • 54. 54 Don’t go it alone: Partner with people, build knowledge & expertise around you Be ready for tough 36 months
  • 55. 55 Test and pilot new ways of doing things
  • 59. Customer & Customer Segments 1 Customer Relationships 5 Sales Channels and Distribution 3 Products and Services / Value Proposition 2 Cost Structures 9 Key Activities 5 Key Resources 6 4 Revenue Streams Key Partnerships 8 Top Priority If there is still time Source: Alexander Osterwald & Yves Pigneur (slightly modified)
  • 60.
  • 62.
  • 63. 1 Short group discussion to identify the Social Problem (5 minutes) Brainstorm Social Business Ideas (10 minutes) 2 Develop Social Business Model (45 minutes) 3 The steps for a successful Breakout Session
  • 65.
  • 66. Social business – Do it with joy!