Partnering with an NGO to start a microloan program in a Ghanaian village: a global organic triple-bottom-line social enterprise in the making.(Instructor's Note)

Stephenson, Harriet ; Mace, Donna L.

CASE DESCRIPTION

The primary subject matter concerns social entrepreneurship which incorporates the triple bottom line. Secondary issues include financing new ventures, human resource development and motivation, globalization of collegiate curriculum with experiential/service learning methods, globalizing microenterprise, and entrepreneurship in a nonprofit. This could be used in for-profit or nonprofit management or entrepreneurship courses, developmental economics, and finance. It has a difficulty level of four, appropriate for senior level and five, appropriate for the first year graduate level. The case is designed to be taught in 1-3 class hours with two hours of outside preparation that can be done online.

CASE SYNOPSIS

The director of a student consulting program in a university hears about a way to globalize the program by partnering with an NGO in Wilmot, New Hampshire, WomensTrust, to start a microloan program in a Ghanaian Village. A meeting is called with interested colleagues, alumni, and students. There is support for the concept but several other possible scenarios are proposed. A go with Ghana decision is made somewhat unilaterally and without a business plan. Entrepreneurial enthusiasm abounds as in a typical start-up. The team must now quickly do its homework--get the buy in of the relevant stakeholders especially the Dean of the Business School, and the University Administration. The Dean would be concerned about the level of positive impact on students and alumni and mitigating possible increased overload on faculty. The University is concerned about liability and safety issues. There is a desire to make sure this is a triple- bottom-line social enterprise, which achieves desired outcomes of helping empower women to have more secure lives for themselves and their families. The people, profit, and planet aspects must be addressed. Is there someway of getting to Ghana without burning tons of carbon dioxide during a 14,000 mile round-trip flight? The model calls for investing $15,000 to begin a microloan program that charges interest to its peer lending group members and then becomes self-sustaining at 400 borrowers. How are they going to raise the $15,000 to start the process? It is an organic development model which starts with microloans and may grow into providing help with education, health, and meeting other needs if the women feel that is what they want. How will that be financed? What if the team doesn't get the buy in? The reservations cannot be canceled.

INSTRUCTORS' NOTES

The following material explains and provides details about suggested answers to each of the questions that the team raises in its strategy sessions. We have tried this case and found it to be useful. Where something has worked particularly well, it is noted. A mix of methodologies is covered if the instructor wants to use them: Interview business people and nonprofit directors, debate certain questions, develop pro and con list. The case can be used without homework but would be enhanced with a couple hours spent on www.womenstrust.org, www.microcreditsummit.org, and http://www.sustainabletimes.ca/articles/micrcredit.htm. One of the discussion questions asks to do a prospectus for the project. This is useful in a for profit or nonprofit course.

This case has been successfully used in a senior capstone course in a school of business and economics.

Names of individuals, except those of WomensTrust, have been disguised as have the university and city in which this is occurring. Otherwise, this is actual case of people two days away from traveling to Ghana to vet a village.

The term social enterprise or social entrepreneurship has evolving definitions. Mark Pomerantz, editor, Social Enterprise Magazine-Online, has described it thus: innovative, mission driven, outcome/social change oriented, income generating, activities that display an element of risk, business acumen, and effective non-traditional leadership.

1. They need ideas on how to raise money. Ideally, they need a plan on how to raise the money ... a plan that will not detract from current capital funds efforts and that will be consistent with the University's 501(c)(3) educational mission. How does this differ from financing a for-profit start up?

This discussion is geared to getting the student to think "out of the box." Most students will have some familiarity with how to finance a business or most will have an idea how nonprofits are funded. This can be an opportunity to think over the profit and nonprofit definitions. We are counting on nonprofit and for profit leaders to be able to communicate with their constituents. Nonprofits need businessperson expertise on their boards for business practices then can lead to efficiencies and donor requested effective use of resources. For profits need nonprofit leaders on their boards to become more of triple-bottom- line sustainable organizations. Cause marketing is desired by for-profit consumers. For profits partnering with nonprofits is key strategically today as is nonprofits partnering with for profits.

One productive way of handling this question is to require interviewing one for- profit manager, president, CEO and one nonprofit executive director, manager. What were the major sources of funding for the first two years of start up of your organization? What seemed to work the best? If you had it to do again, what would you do differently? Do you have both for-profit and nonprofit people on your board? Is the mix you have now ideal? Why or why not?

For nonprofits: The answer might include infusion by the founder; fund raising; grants; auctions; donations; membership fees; advisory boards; boards of directors; securing sponsors; selling advertising; developing cause marketing partnerships; utilizing giving circles; forming action groups; credit card borrowing; partnership with major player in microcredit such as CRS, World Vision, Accion, and Plan USA (not currently into microcredit--why not?); getting financial support from Ghana itself.

For profits: Typically, especially for small business, start with founders own resources, after that include credit cards, mortgaging home, then the 3 F's of friends, families, and "fools"--the fools is to capture the concept of anyone investing or loaning money to a start up is a fool--it is hard to make a successful start up. Suppliers are possibly a source of funds if they will provide credit--bringing in a partner with money, or who has other 3 F's than founder does; bank borrowing.

Focusing on this particular case, one method of funding suggested by the WomensTrust model involves giving circles. A mini lecture is included here on giving circles.

Mini Lecture

The response to this "overall how can we financially cover it" question could focus on the following: a) WHO might be interested in participating and why? b) HOW might they be interested in participating? c) WHAT might they be interested in supporting? And d) WHEN, meaning over what timeframe, might this work?

a) WHO might be interested and why?

To best answer this portion of our question, let's take a look at the recent changes and trends in philanthropy. An organization call Giving Forum is a great source for analysis about recent changes in giving and for exploration into the "donor of the future." First, we can learn by looking backwards that the face of philanthropy is changing in dramatic ways:

Surge of high-profile giving by the wealthy Increased giving by women, racial and ethnic communities, youth, and other nontraditional donors (http://www.givingforum.org/givingcircles/)(http://www.givingforum.org/dof/, 200506).

Looking forward, Giving Forum presents twelve key trends, four of which are particularly relevant to our question at hand:

1. Interest in giving internationally will increase among all types of donors.

2. Donors will be increasingly attracted to self-formed learning and giving communities or gatherings that foster connectivity and exploration, sponsor events, etc.

3. More and more donors will take care of all of their giving--flash and more sustained--with internet giving portals.

4. People need to see themselves (i.e., people of their kind) in the leadership of the institutions to whom they give their money, time or allegiance will increase.

An article in the March 8, 2007 Chronicle of Philanthropy, "Turnover Rate High Among Baby Boomer Volunteers," by Suzanne Perry, found that on average 31% did not continue volunteering the second year. "Volunteers were most likely to return if they had made a greater commitment to an organization--among other factors." Giving circles may well help in getting and keeping donors.

So for our purposes relative to adding such an opportunity to our course curriculum, we would be very much "in tune" with current and future philanthropy demand! If fact, our "circle here-to-circle there" relationship connectivity and exploration approach seems to take the philanthropy demand for building and exploring relationships to the max! And as for a university having a learning-and-helping stake in a developing country's entrepreneurship and economic development resilience, who better than Brandon University to host: a) self-formed learning and giving communities, b) new technology methods, and student-lead infrastructures?

As for the types of participants interested in such a learning-and-helping venture through Brandon University, they could be vast. They could literally run the gamut from current students in this course or in other courses (nonprofit, technology, etc), to alumni, to staff, to friends of those affiliated with the university, to the community geographically or aligned with Jesuit principles and conceivably many of the stakeholders might be interested. (For suggested scope there, see listing of stakeholders in Question 6.

b) HOW might they be interested in organizing?

Giving Circles

By again consulting resources available thru the Giving Forum and their 2005 partnership with New Ventures in Philanthropy, we learn that Americans are finding ways to have greater control over their charitable giving and ultimately having a bigger impact. As such, new vehicles are emerging--especially for giving in lasting ways. The most startling insight however, is that "giving circles" are the latest trend in philanthropy and they are proliferating! Having been described as "a more meaningful version of a book club" by one member, they have wide appeal across gender, race and age.

(http://www.givingforum.org/givingcircles/,

http://www.givingforum.org/newventures/givinglandscape.html), (Personal Finance C. 2006. Grassroots Philanthropy. King Country Journal.)

"Giving circles" (giving or donor circles) are when donors come together, formally or informally, to pool their resources as a powerful grassroots philanthropy force. And they are so popular because they represent a "win-win" all the way around! Collectively, they are:

* bringing new and more money into the philanthropy sector

* exposing members to new organizations and issue areas

* changing how donors (members) give--are more involved and thoughtful, focused and strategic in their giving; generally give fewer, but larger gifts, and are re-directing and increasing their personal giving

* providing opportunities for members to participate in agenda-setting, deliberation and decision-making

* providing opportunities for members to connect with other donors and nonprofit professionals in new ways

* connecting members with individuals in need through increased awareness of and interaction with issues faced by these individuals

* providing networking opportunities to develop relationships and contacts that will last a lifetime based on significant meaningful activities that make a difference. (http://www.givingforum.org/givingcircles/research.html).

Are they all the same? No, these circles appear to follow a typology of six levels, and range from a Level 1 Stakeholder "traditional fundraising identity group" up to a Level 6 Proactive "formal collaborative: donor advised fund" as follows: Dependency Intensity Circle Name Purpose CIRCLE HIGH 5 Proactive Lasting Legacy Finding the leverage points- systems 4 Collaborative Making a Difference A difference in funded projects MED 3 Active Learning & Giving Together About the issue and making connections LOW 2 Trust Friend-Raising Emerging--driven by the participants ORIG 1 Stakeholder Fundraising A stake in the org. Dependency Intensity Circle Name Member Commitments CIRCLE HIGH 5 Proactive $25,000-100,000 4 Collaborative $10,000-25,000 3- 5 year commitment Focused on making a strategic difference with their money MED 3 Active $500-2500 2 + year commitment Emotional interest in issue together, learning is central activity of circle LOW 2 Trust Free-will; <= $1000 Relationship identity still emerging Time & goals are circle- dependent ORIG 1 Stakeholder $1000-25000 Relationship is with org. More than a donor, but time is minimal Dependency Intensity Circle Name Expectations CIRCLE HIGH 5 Proactive * Identifying good strategy that makes systems change * Being a leader on the issue 4 Collaborative * Making impact * Connections to others with similar drive MED 3 Active * Learning and understanding the issue better * Connect to others * Social change proportionate to giving level--see results LOW 2 Trust * Personal factors * Identification with like- minded others ORIG 1 Stakeholder * Being an org. stakeholder (5 Donor Circle Types: Launching & Leveraging Shared Giving. 2005. Women's Funding Network.)

To illustrate some examples, let's take a look first right here in our own Spokane backyard. Women's Funding Alliance hosts the "Ripple Fund" and is a small, intimate circle of 5 members who contribute a minimum of $5,000, and learn first-hand about issues affecting women and girls in our community, participate in the grant making process, more effectively and strategically expand their personal philanthropy, and extend WFA's grantmaking capacity to more women's and girls' organizations. (WFA encourages other women to start new circles.) Cited as a level #2; Trust circle (in study) because of its intimate nature and free-will time commitment.) Social Venture Partners, Spokane (a branch of the 22 giving circles with thousands of members worldwide) is described as "a giving circle on steroids" whose 270 members donate $5500 per year for 2 years, and they are encouraged to work on a committee, to attend workshops about social issues and philanthropy, or to contribute time to nonprofit groups. Assumed a Level #3; Active circle. Pangea: Giving for Global Change is an association of individuals where members contribute $1000 or $2500 annually to a grant pool plus an additional 10% of their contribution to an administrative fund in order to increase engagement of U.S. donors in international philanthropy through grantmaking, education, and travel.

Another example of how circles can operate simply and creatively under a national umbrella is Dining for Women; whose tag line is "changing the world one dinner at a time". Dining for Women offers the opportunity for independent, local chapters where women "dine in" together once a month, bringing a dish to share and then pooling their "dining out" dollars (i.e. $30 each) towards grass-roots programs in education, healthcare, vocational training, microcredit loans, and economic development to help improve the lives of women and children living in extreme poverty in some of the least developed countries in the world. In Greenville, S.C., women contributing $25 per dinner each specifically planned out and funded "two years of nursing school for an East African woman".

And what is World Class? It's WomensTrust offering--so in keeping of what we've learned above--of a "big tent" secular, non-partisan institution in which to house donor circles of like-minded people. Originated by Skidmore College's Class of 1971 and their friends, World Class's mission is to engage, educate, and empower women to improve the conditions of their lives and that of their families. They started it because they shared a passionate concern for human rights and poverty issues; backward they rallied in common around their peers who died at Kent State and in Vietnam, and forward looking to the poor women and girls in Africa whose lives and promise are so much in jeopardy today. Hence, they come together and draw inspiration around their slogan: "redeeming their promise ".

With these circle examples in hand, how might Brandon University raise the initial $15,000 requirement? Here are some scenarios...

1. Offer a giving circle partnership with a unique village to each "class of" group within the School of Business. What would our math look like? $15,000 divided by 1000 total students this year = only $15 per student needed. And, for organizational sake, suppose we looked to this group to shepherd this task? With 1000 total students divided by 30 of you, each of you would need to be responsible for contacting 66 students and collecting a total of $500. Depending on your entrepreneurial skills and on the interest you receive, you would either end up with either: a) each "class of" member putting in their fair share, b) a subset putting in higher shares, c) finding a way of raising "your shepherding share thru a social enterprise effort, or d) negotiating with your shepherding team to social enterprise the whole lot.

2. Extend scenario #1 to partner with other schools on campus

3. Extend scenario #1 to "like alumni"

4. Offer scenario #1 for only alumni

5. Extend scenario #1 to selected high school students via a contest or other mechanism?

We've mentioned our alumni above. But, what about the effect this could have on their existing donation considerations with the University capital campaign, and specifically the $3 million for the Entrepreneurship Center? With giving circles, we need not be talking about a lot of money per person; it's more about pooling like-minded people together to do bigger impact things. And earlier we talked about the win-win nature of giving circles. So our hypothesis here to be validated would be that this association would only serve to make their tie with BU stronger and more intimate, and that they'd end up giving to more overall thru BU. This may also be a very effective way of reaching out and bringing in some alumni who are not now nor have been engaged with BU.

Another Alternative: Kiva.org

Another relevant way to organize--also very in-keeping with our philanthropy giving trend learning--is by utilizing KIVA.org! Kiva uses the power of the internet to facilitate one-to-one connections that were previously prohibitively expensive. Child sponsorship has always been a high overhead business, but Kiva creates a similar interpersonal connection only at much lower costs due to the instant, inexpensive nature of internet delivery. The individuals featured on their website are real people who need a loan and are simply waiting for socially-minded individuals to lend them money.

Today, Kiva.org is its own 501(c)(3) nonprofit public benefit corporation registered in the state of California, and donations to Kiva.org are tax-deductible. Kiva is a Swahili word meaning "agreement" or "unity", and Kiva.org's loans are personal agreements between lender and borrower--there is no note or security involved. Kiva partners with many existing microfinance institutions. In doing so, Kiva gains access to outstanding entrepreneurs from impoverished communities worldwide. Their partners are experts in choosing qualified borrowers, and through Kiva.org, these partners upload their borrower profiles directly to the Kiva.org site so you can lend to them.

Kiva then lets you connect with and loan money to unique small businesses in the developing world. By choosing a business on Kiva.org, you can "sponsor a business" and help the world's working poor make great strides towards economic independence.

It's a beautiful thing to see Kiva Loans raised in a matter of hours, knowing that their Field Partners are also watching the website and informing borrowers when the loan is fully raised. And throughout the course of the loan (usually 6-12 months), you can receive email journal updates from the business you've sponsored. As loans are repaid, you get your loan money back. Kiva provides a data-rich, transparent lending platform for the poor, and they are constantly working to make the system more transparent to show how money flows throughout the entire cycle.

Kiva has created something quite extraordinary, uplifting, dignifying and empowering. They've made the world a little bit smaller and extended "helping hands" in a really revolutionary way. They've introduced folks to each other with pictures and profiles, and created a network of over 20,000 people around the globe as of 1/07.

So, given what we're trying to accomplish here, what all could be done with this dynamic and viral model?

* Partnering up Kiva.org with WomensTrust--OK'd in November 2006--possibly could be used by Brandon

* Accepting a combination of loans and donations--by personal preference and/or by type of "on-the-ground" service need

* Emailing friends, family, fellow students, or co-workers about Kiva and opportunities

* Hosting a banner on your profile, blog or website

* Adding a footer to your outbound email

* Joining a YahooGroup to learn how people are supporting Kiva in their cities, campuses, companies, and communities

* Support Kiva on MySpace, Friendster, Squidoo, and FatWallet

* Fulfilling a Kiva need

* Volunteering with Kiva

* Buying and Wearing Kiva Gear

c) WHAT might they be interested in supporting?

We've talked so far about supporting a village at a time. But lets also discuss what types of services could be funded as well.

The $15,000 mentioned to date is the amount currently estimated for starting up a microlending operation in a new village. Because WomensTrust is a "bottom up" model, one which honors the importance of working at the grassroots level, each donor circle would carry with it both the freedom and the responsibility of helping to develop market-driven programs based on relationships and dialogue with the women of the "village circle". Additional needs here could be tied to loan process, equipment, business expansion, or staffing.

Other needs could be related to the women's microenterprise venture (business consulting, etc) or could be much more general and life-skills based. In Pokuase, they provided education for girls; a vital need and one easily taken for granted among those of us attending a school like BU. Other such needs that could come up for a giving circle to address would be: literacy classes for women, monthly stipends for the elderly, special resource centers for women offering access to computers, research and training. The beauty of the circle here-to-circle there relationship, is that each village partnership opportunity can be customized to needs, desires, and resource availability.

And just as with the $15,000 funding example above, each new opportunity can become an entrepreneurial challenge to tackle for an existing circle or a new one that wants to "own" the project. Just "be the circle," use your natural talents, and be creative about figuring it out!

Different customized opportunities might lend themselves to individuals contributing toward. Might break up the opportunities into smaller financial commitments. For example, instead of asking for $10,000 to fund a scholarship program, one might offer funding one girl through preliminary school or two or ten girls that might appeal to individual donors.

d) WHEN, meaning over what timeframe, might this work?

We have options to explore here. This entire premise could revolve from something as simple as one village that is supported by each group of students that takes XYZ class every fall quarter from class to class. Or, it could originate with each class (or other group) and stay with them indefinitely.

2. They need to be able to show how a program in Ghana could benefit the students and will enhance the learning experience campus-wide if possible both undergrads and graduate students.

This is an opportunity to get students or participants who use this case to sell themselves on why a global, interdisciplinary learning experience would be valuable. Adding potential benefit to University, community, faculty, and could enhance discovery learning. This is handled well with dividing the "class" into groups of 3-5 or in pairs:

1. Brainstorm how this Ghana program might benefit the students (graduate and undergraduate) or enhance the learning experience. (Give 5 minutes--then round robin report asking each group to add one that has not been covered.)

2. "Brainstorm potential benefits to students of going to a university that sponsored such a program. First group that get to 5, let me know."

3. List the potential benefits

-- to the University

-- to the students

-- to Spokane/community

Some of the pros and cons might be

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The response to this question by a class of graduating seniors in capstone course in business included the following:

1. This type of program presents a mass amount of benefits to students. In a Jesuit education, we are supposed to use outside experience to make us a more well- rounded person. This is presenting an experience that could be life-changing and enable students to bring lessons learned from Ghana and incorporate it the US culture so we are able to learn about real life situations other than reading text.

2. We can not limit our vision just locally. By doing that, we are handicapping a student's experience. Ghana does not have the resources we do. As a Jesuit university, we have a responsibility to use our knowledgeable students/faculty to create a profitable environment around the world. It opens a student's ability to broaden himself or herself as a person to a whole new level.

3. Benefits: broadening horizons--respecting humanity, not so close-minded, ignorant; opening eyes to real-life issues that may not directly affect them, but something they can do to alleviate the problem (WWJD?); this experience can help students realize how blessed/privileged they are and they are capable of helping others their efforts are worth it.

There is pressure from the AACSB accrediting body of business schools to globalize the curriculum. Nonprofit leaders as well as for profit gain from studying other cultures and countries. Other accrediting bodies increasingly stress value to students of experiential learning, service learning, and value of using world as learning laboratory.

Indeed, globalization is here and a real part of our lives. Today's technology connects us in new and evolving ways; opening up our access to news, learning and opportunities. Students are going to expect and question our teaching relative to its global impacts. Coverage of microenterprise as an economic development model, here versus abroad in developing countries, just makes good sense. Additionally, such an offering could be used for generating business plans capable of competing in the social enterprise track of business plan competitions.

Globalizing a particular program also opens up the playing field for play from different degree levels, as well as other academia disciplines. It allows for meaningful cross-play and additional angles perspective within degree tracts, following on and adding onto each year, and/or across degree tracts. In either case, knowledge is shared among various levels of expertise. Education is worth more when it expands our horizons beyond the pure or standard academia. This would no doubt be a popular additive to our programs.

Lastly, as trends in philanthropy tell us that donors of all types are more and more interested in giving internationally, we know this topic is definitely in vogue.

3. And, would it be possible to show how this could help with communicating with and getting alumni involved with the University? Alumni of all majors?

The concern had been to not cannibalize the regular capital funds campaign. This discussion question lends itself well to understanding different needs of different stakeholders. As noted in Question 5's response looking at motivation for getting involved in project, even within a group there are differences thus there are probably alumni who are not involved with the university now who this would appeal to. This will probably get some good PR, which will reach the alumni and help make them even prouder to be alumni.

When the undergraduate senior capstone course respondents looked at this, a couple typical responses were as follows:

Would undergrads/grads in a class be interested in following it as alumni?

1. I definitely think that undergrads/grads would be interested in following this project as alumni because the poorest of the poor is a huge issue right now, as well as poverty, hunger, and AIDS. By implementing a program, such as this, I would want to know the steps/actions later. This would be something that I would take pride in the fact that my university not only stood for social justice principles, but also put them into practice. Additionally, by following such an undertaking, I could perhaps involve my employer and encourage them to donate to this worthy cause. I do see this project as innovative student involvement, which will help our university continue to prepare leaders and attract new students.

2. I think students who used this as undergrads or grads would definitely be interested in following and supporting it as alumni. I think most students would understand that this is a process that would take a couple years and wouldn't happen over night. Many students would like to see if these loans/class, etc. actually helped jump-start these people's lives and if they were able to pay back the loans and such. No one likes to put time and effort into something without seeing the results, which in this case wouldn't be seen until later down the road.

Harkening back to our philanthropic giving trends, we know that donors are interested in: giving internationally, being a part of self-formed learning and giving communities that foster connectivity and exploration, using internet giving portals, and seeing themselves (i.e., people of their kind) in the leadership of the institutions to whom they give their money, time or allegiance.

Therefore, it stands to reason that some Brandon University alumni could be quite attracted to the dynamic, learning, and community-oriented aspects of our donor circle concept. Depending on each alumnus's personal degree and interests, they would have the ability to influence a particular circle's emphasis (or angle) as well as test approach. And the dynamic learning aspect of it all seems particularly appropriate for an ongoing connection and with a university; their university!

Additionally, other alumni could be drawn to the speed and individuality of the Kiva.org aspect of an offering. Would be great to see how much customization would be possible to give it a Brandon U flavor and way to see what all our giving individually could amount to as a group!

BU is positioned to offer powerfully attractive "what and how" alumni opportunities for a global giving connection. Ample evidence exists to indicate that giving and involvement enhance the positive feelings about one's self and about the organization that makes such an opportunity available. And by broadening the reach (cross-sell) of our relationships with them, as well as making the giving more intimate and on-going in nature (upsell), this program addition could only serve to benefit the overall time, talent, and treasure donations of our alumni.

4. B.B. needs to be able to show why globalizing microenterprise/microfinance should be a module in the senior capstone course where the Triple Bottom Line and Sustainability are rallying themes. Is that adequately covered in their proposed prospectus? How can a project that starts off with a 14,000 mile CO2 polluting flight be rationalized as environmentally friendly?

The prospectus shows how the triple bottom line and sustainability would be addressed--those are almost core values. These might look like below using the prospectus designed by D.M. in the case.

* To help empower women to help them help themselves secure the kind of life and livelihood they want for themselves and their families

* In support of Brandon University's mission--a huge supporter of service learning and the education of whole person, as great champions of justice especially for the poor

* In collaboration within the SBI Institute--piloting a national model for globalization

* In support of promoting a Triple-Bottom-Line and Sustainability approach to economic development making sure don't do more damage than good; buying carbon offsets units offset carbon emissions from air travel--(see Flight of 14,000 Miles below)

* In collaboration across schools--School of Business's "Entrepreneurship Center" with the College of Arts and Sciences' Center for Nonprofit and Social Enterprise Management

* In synergistic learning support of other efforts currently going on in Nicaragua, and in collaborative support with Catholic Relief Services and local Ghana

* For increased engagement among alumni

* In collaboration and/or exchange with other universities

* In collaboration with the Ghanaian Association of Greater Spokane

* In support of Microenterprise and Environment Guiding Principles* as developed by the participants at the Microenterprise and Environment Conference, Valley Forge, Pennsylvania, July 2004

** Microenterprise and Environment Guiding Principles

* The environment is a sacred trust. The earth and all its life are interconnected and sacred.

* Addressing the human spirit is essential. Environmental and human integrity are inextricably linked. Improving inner human quality results in improving the environment.

* All microenterprises impact the environment. Do no harm. Eliminate or mitigate negative impacts. Seek positive impacts.

* Protecting the environment is an opportunity. Environmental protection makes good economic sense.

* Creating financially cost-effective solutions is vital.

* Each person is responsible. Responsibility means personal ownership and action.

* Agencies should work with local, national and international governmental agencies to promote sound environmental practices and policies. Agencies should help people understand why the environment is important to their lives. Donors and agencies should model good environmental behavior.

* Benefits and costs are both short and long term. True costs include environmental costs. Agencies should identify, account for and mitigate environmental costs. Environmental benefits created should be recognized. Costs of creating environmental benefits should not be borne solely by MFIs or clients.

* Creating partnerships is crucial. Partnership with stakeholders is the key to appropriate environmental protection in development.

* Participation in project planning and decisions is for everyone. Participation must be inclusive, equal and fair.

In the capstone course, students are asked to work with owner or nonprofit executive director to clarify guiding principles and values driving the organization so the recommendations will have the right context. The Starbucks Mission Statement format is recommended to follow. It lays out the triple-bottom-line issues acknowledging importance of people, planet, and profit.

Starbucks Mission Statement

Establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while we grow.

The following six guiding principles will help us measure the appropriateness of our decisions:

-- Provide a great work environment and treat each other with respect and dignity.

-- Embrace diversity as an essential component in the way we do business.

-- Apply the highest standards of excellence to the purchasing, roasting and fresh delivery of our coffee.

-- Develop enthusiastically satisfied customers all of the time.

-- Contribute positively to our communities and our environment.

-- Recognize that profitability is essential to our future success.

Flight of 14,000 miles be rationalized as environmentally friendly?

This is a good question to assign ahead of time asking the students to be prepared to support the contention and refute the contention. Googling terms such as carbon- dioxide emission offsets; offsets finance green activism; TerraPass; climate change and offsets; Carbon Fund; Carbon Neutral, Clean Air Pass--will get them started.

Could divide class in half to develop 10-point arguments pro and con. One spokesperson per half could make the case. Give 15 minutes to prepare.

Travel companies such as British Airways and Travelocity and Expedia sell offsets to finance green activism. They pass the money onto enterprises, for profit and not, such as Native Energy, Carbon Fund or TerraPass, that invest in wind farms, solar energy, energy efficiency technology or other green projects.

This is highly controversial subject about effectiveness of the programs, some of the accountability of the enterprises taking the money. Some argue that offsetting isn't as good as stopping the source of pollution. Supporters say offsets raise awareness of global warning while helping finance green projects. Carbon Fund an offset provider in Silver Spring, MD, contributed 93% of nearly $800,000 raised in 2006 to 27 green projects.

The practice of paying to offset carbon dioxide has been growing rapidly--for houses, for energy uses of houses. Popular rock acts Coldplay, Barenaked Ladies and Bon Jovi pay for carbon offsets to mitigate effects of their international tours.

There are many issues in emerging carbon offset industry (a) what are effective projects? (b) there is a lack of industry standards which makes outside verification for accountability unreliable; (c) the role of profits; (d) how is pricing determined with organizations charging between $5 and $30 to offset one ton of carbon; (d) methods for paying...

In this case, the team from Brandon has purchased 100,000 miles of carbon offsets to pay for their four round trips of approximately 14,000 miles each and those of the WomensTrust team that will be meeting them in Ghana at 10,000 miles for the Executive Director. They acknowledge this isn't a good answer but better than none. Their intent will be to utilize technology to the degree possible to be able to have hands on with the village from a distance. That will be one of the challenges they see. They don't want to just send money into the universe but neither do they want to pollute the universe. They will be taking with them a refurbished laptop from PC Recycle who is donating the laptop for the cause. The team is conscious of the Triple Bottom Line/ Sustainability commitment it has. However, this is a relatively new area of application especially for those involved in global microenterprise.

5. They need to have a clear understanding of who are the relevant stakeholders and their value propositions/needs in this endeavor, which may end up being a very big investment of time and money.

This question is good discussion question which can be to identify stakeholders. Could ask students to identify which will be most impacted, how and why? Could also role-play several of the constituents assigning different roles to two or three person teams. What might each want or need from this project? Have discuss and present. Useful to make the point that change usually has many more impacts and ramifications than we expect. This exercise may help to make that point.

A list of stakeholders might include:

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Not all will be equally affected or instrumental in the success of this project. However, to the degree that any category is important to your success, it is critical to understand why they would be involved--what they want or need to get out of it. For example, we asked three of the members of the Core group and each may have different motivations for being involved.

D.M., the student who has an MBA and is now working on executive masters of nonprofit leadership, has expressed:

Three years ago, I journeyed to Africa (Zambia and Kenya) with World Vision and witnessed "first hand" a taste of the plight dealt those living in extreme poverty. But in particular, I learned about my female sisters in poverty abroad; about those things I take so for granted--about the likely life of abuse they face today ...

* Abuse being born--not desired or cherished because of their sex

* Abuse growing up--no/less basic education; rather doing the hard work

* Abuse of early womanhood--forced to marry (or be owned) at a very young age, and maybe experiencing a mutilating "right of passage" in preparation

* Abuse of being married--hard labor, abuse and HIV/AID's of husband's adultery

* Abuse of being widow or divorced--loosing all property rights

However, I also learned of hope. In addition to seeing the pure joy of hope in the eyes and smiles of those who had learned of God's love, I also learned of a second and very tangible form of hope--the hope of self-sufficiency and choice making delivered through the simplicity of microloans. I was astounded to learn how little could deliver so much! And, to further learn that these women were such good return providers of the money and of its bounty--for them, for their families, and for their villages--I got really charged up. What a winning proposition; what an easy sell! As a marketer, I knew I had to move forward. I returned home pledging to do something more about this, and began work with other World Vision women studying concepts like grassroots, movements, and donor circles. I've since pledged to learn more about formal nonprofit leadership and social justice through the executive masters program at Brandon University. Now, as I embark upon this project as my program Capstone project effort, I take my next contributive step towards learning and contributing in a unique and advancing way. I am so happy to have met B.B. and to have joined heart and mind with this formational group.

Value Proposition

I find the WomensTrust model stimulating because it uses the dynamic grassroots power of "unique partnered circles"--ONE here of donors (or investors) partnered with ONE over there (microenterprisers)--sharing, learning, and growing together to alleviate the suffering of poverty and abuse. My desire centers on the following key learning:

1. The key drivers inherent in the success of these partnered circle collaboratives. For example, does success increase:

-- If the group here is also all women?

-- If the group here all rallies around a particular affinity or expertise?

-- Based on some particulars of the discovery focus groups--timing, attendees from both sides, discussion questions?

-- Other?

2. How and when we should measure success?

3. The value publishing plays on in the collaborative learning process?

C.B. has expressed:

For the past two and a half years, I have been working in the field of economic and community development. The need for small business support in the State of Washington is enormous and the work is overwhelming. It's often difficult to see a direct correlation between the services that we provide and the likelihood that a business owner will go on to greater success and a better life.

My interests are global; the master's degree I completed two years ago at Brandon University is in international business. Most of my career has been spent in service to nonprofit organizations, either as an employee or a volunteer. I look for opportunities to provide major impact, whether serving on a founding committee or making connections that result in significant funding. The Ghana Village project allows me to utilize my microcredit experience in the developing world. The community I developed while at BU is prime for a meaningful social enterprise experience. To be able to put the two together for global impact is a volunteer opportunity I simply cannot pass up.

B.B. has expressed:

I was ready for something new definitely not retirement. Attended Global Microcredit Summit in Halifax during November. Muhammad Yunus of Grameen Bank had received Nobel Peace Prize for his microcredit efforts. Heady. Thousands of people are involved in global microcredit and empowering the poorest of the poor. Met lots of people. Waiting to get van to airport outside hotel, two other women were in similar guise. We decided to share a taxi to airport. Dana Dakin is founder of WomensTrust and Susan Kraeger is Executive Director. Heard about this adopt a village model--you too can do what we are doing--anyplace you want to. See how easy it is. It was "love at first sight." Seemed like perfect way to globalize microcredit/microenterprise units in classes ... expand SBI reach globally. We have maybe four international SBI's. This model could be replicated in other universities--adopt a village, work it in to classes, training moments. The model WomensTrust had was consistent with my understanding of the way things should be done--microcredit is the beginning of a process not an end in itself. The community will decide what more needs to be done so they have buy in and will carry it out. Serendipitous, tipping point, synergistic things started happening. It is very appealing to make this my next concentrated area of research and publication. There is a great core group of people to work on the project.. .inspiring, committed, enthused, supportive, and open. What a deal to feel we can make a difference while furthering our own goals and needs. Would really like to be part of the group that helps get model replicated in those villages to those women and children who are under the radar and who are and will be left out because they aren't scaleable--too small to make it worth big players' energies if you are going after reaching 175 million people by 2010 you can't dilly dally with a village of a few hundred or thousand. We can help bridge the global gap between have and have-nots one village at a time ... scaleable when you look at entire collegiate system--that could be humanness of giving--with each circle, each spawning several giving circles.

6. They need to be able to show that they would not be adding yet another energy draining responsibility on some faculty. This idea being implemented could positively impact various stakeholders including the faculty.

When the question was asked of students in the senior capstone course, one of the responses was: This is another potentially time consuming and resource draining activity for faculty. Would the university be poorly utilizing its faculty? What is the return or value there? The university would not be poorly utilizing its faculty. The most powerful and impactful professors are there with real world experience that he/she can incorporate and integrate with the course content or use to support concepts. Moreover, faculty who worked on this project and lived this experience would have great lessons to teach, stories to tell, and bases for assignments.

A debate or some variation could be staged for the second part of the question. Debates usually liven up things and are a good inclusion.

This question could lead to further exploration of subject of burn out in your career, burnout in your job, burnout in your life, what can you do? That makes it more interesting to the group doing the analysis. The question could also read what is the role of innovation and creativity in organizations? What are the pros and cons of change in organizations?

As for the specific issue relating to more positive benefits for the faculty than balancing negatives, much has been written about faculty stress and dissatisfaction in academia. One dated but still relevant treatment of the issue was published in l987 in Jossey-Bass Inc.'s New Directions for Teaching and Learning Series, Kenneth E. Eble, Editor- in-Chief,--"Coping with Faculty Stress" Peter Seldin, Editor.

"There is evidence in the research literature that the decade of the 80's has been, and is, producing a generation of professors trying to cope with surprisingly high levels of job stress."

That statement could have just as well have read "the years 2000-2007". A study of 2,000 faculty members at 17 colleges found that 62 percent acknowledged severe or moderate job stress. Another study reported similar findings in a survey of 1,900 professors in public and private universities with 60% of the total daily stress in their lives coming from their work as faculty members. The reasons for that given are:

1. Stringent unrealizable (by many academics) requirements for promotion and tenure

2. Professors are more aware of the wide discrepancy between their hopes and expectations and the actual reward offered by their profession

3. Fewer job change opportunities are available--especially as the academy ages- -with many faculty seeing themselves as imprisoned in their jobs with little chance to ascend the academic ladder--stuck at current rank...

4. Many full-time faculty see part-time faculty who are growing in numbers as potential job threat.

5. Increased perceived threats to do away with tenure.

When research on stress among college and university professors was analyzed, the specific sources of stress were grouped into the following categories:

* Inadequate participation in Institutional Planning and Governance

* Too many tasks, too little time.

* Low pay and poor working conditions.

* Inadequate faculty recognition and reward

* Unrealized career expectations and goals

* Unsatisfactory Interactions with students, colleagues and the department chair.

"What does seem clear to us is that a college or university represents a rich collection of talent. When properly mobilized, this knowledge and assortment of skills can be shared across departmental lines and disciplines. This is when an institution becomes more than a place of work. This is when it becomes a community. This is when people not only give but also receive. This refueling of mind and spirit is what renewal is all about."

This WomensTrust model is perfect renewal undertaking ... all benefit. Indeed, when we talked with B.B. the faculty member initial mover of this project, it became evident that over the years--she was now on her fortieth year with the university--she had taken on significant (to her) new projects about every 7-10 years. She had ownership in the projects and was passionately involved in them. It was clear at her current 67 that the university would recognize the value of the project for her faculty development as well as the development and growth of the 3 other core members plus several other faculty who would respond by adding a module in their course, joining on an immersion program to Ghana which several faculty and students had already requested, etc.

In looking back through the reasons given for involvement by the four, this opportunity that they have made for themselves is highly motivating--they believe passionately in what they are doing--plus they are enjoying the trip and each other...it makes maybe some other potentially rougher edges in a potentially stressful environment get a life--get perspective. Innovation and creativity must be encouraged and supported especially when those innovations so directly support the mission of the organization. In entrepreneurship, start-ups are well known for their notorious highs for the founder and the original team and members. The same happens with nonprofits getting into revenue generating activities--"for profit" ventures. These are often developmental opportunities for the organization which may need a shot in the arm. New products or services within an organization keep the motivation running. Development and growth are powerful win-win motivators. Clearly as noted by the student's comment, this project has the potential for impacting positively many stakeholders. It is committed to a triple bottom line direction which should deliver a lot of win-wins for the people, planet, and profit/economic returns/efficient use of economic resources.

Post Script to Instructors' Notes

By December 31, 2007, B.B. and the MBA alumni have an application in for The Village Net to become a 501(c)(3). They are currently operating under WomensTrust's financial status until the 501(c)(3) is approved. The Village Net program (www.TheVillageNet.org) in Ofankor, Ghana has 60 borrowers, and there are 25 borrowers in Mwaani, Kenya and 35 in Suswa. The alumnus, C.B., is now full-time executive director. She had been one day a week for two months.

B.B. has guaranteed the executive director (C.B.) salary and health benefits for a year at which time it is planned that grants and donations will come on line. The authors are working on Case B, which will capture issues of starting a business in another country. Nairobi is an unknown quantity as the election results get played out. The villages are two hours from Nairobi. In the meantime, if you would be interested or you want social entrepreneurship projects in Ghana or Kenya for your students, please contact the authors and they will put you in touch with B.B. or C.B.

The Adopt a Village model is working well for Brandon, and they are eager to help other colleges and universities pursue such a model.

Harriet Stephenson, Seattle University

Donna L. Mace, Seattle University