What next? Now that you’ve got a better idea of what might b …
Social Enterprises often get to the stage where they have so many different business streams going on, they find they are not doing any one of them as well as they could. At this point there becomes a need to prioritise which streams are the most important – a difficult exercise when we often just want to do it all!
One helpful framework to begin prioritising things is Jerr Boschee’s Impact | Income matrix, a useful tool to help organisations understand their current business model before strategic planning or progressing with new social enterprise activity.
To do with team members, the leadership team and board members. An external facilitator can help to move the conversation forward and help to raise and address any challenging areas of discussion.
The Social Enterprise Marketing Matrix. It was originally developed by an academic Jerr Boschee.
Use as a starting point to strategic planning or social enterprise development.
It will require some preparation to articulate the impact that you want to have as an organisation. This will require some preparation before the session. Even if the session will include a discussion of impact at the beginning it will help move things forward to have some thoughts together about what impact, outcomes and indicators for each of the areas that the organisation works in.
It will need some clarity about the costs and income from each of your programmes. This may require some analysis by the primary financial person before the session.
How: session questions to explore
1. Where does each of the organisations programmes or activities sit in the matrix? Discuss and agree.
2. Which have low impact and low income? Can these be discontinued?
3. Are the unprofitable activities supported sufficiently by others that are profitable? Can these become profitable or can profit be increase by others?
4. Where is the risk in the model? i.e. There are no activities that generate more income that outgoings (profit generating). Activities that cost your organisation (on the right) cost more that the profit generated by activities to subsidise them (on the left).