Română Dorotea Daniele: How Diesis Network is supporting social enterprises in Europe and globally
Dorotea Daniele, Head of EU Partnerships at Diesis Network spoke at Enterprising for Tomorrow 2024 conference about the organization’s mission, strategic goals, and activities to support and promote social economy enterprises in Europe and globally.
Key discussion insights
Role and Mission of Diesis
Diesis has been dedicated to the development of the social economy since its foundation in 1997, now encompassing over 60 organizations across more than 30 countries, including Europe, Africa, Canada, and India.
Strategic Goals and Activities
Diesis emphasizes participation, knowledge, and visibility as core components of its strategy to amplify the impact of the social economy.
They support events both at national and European levels, organize communication campaigns, and raise awareness on social economy topics, such as socially responsible public procurement.
Knowledge and Visibility
The organization focuses on increasing the visibility of the social economy and sharing best practices and research. It collaborates on projects related to digital and green transitions, emphasizing the importance of staying competitive and addressing economic, societal, and environmental challenges.
Support for Social Enterprises
Diesis works on facilitating access for social enterprises to markets and public procurement opportunities.
The organization also emphasizes capacity building, improving management and technical skills, particularly in new sectors like digital and green economies.
Recommendations for Romania
The speaker highlighted the need for an enabling ecosystem with supportive legislation and policies, coordination between different ministries, financial tools beyond grants, and increased visibility for social enterprises.
Emphasis was also placed on sharing good practices, participating in socially responsible public procurement, and building the capacity of social enterprises.
“Knowledge is important for the social economy because it’s really crucial for social enterprises to remain competitive and to address economic, societal, and environmental challenges.”
Dorotea Daniele, Head of EU Partnerships at Diesis Network
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Juan Antonio Pedreño, President of Social Economy Europe: Social economy in Europe
Juan Antonio Pedreño, President of Social Economy Europe, spoke at the Enterprising for Tomorrow 2024 conference about the the social economy in Europe, highlighting its importance and the efforts being made to strengthen it.
“The European institutions have given utmost importance to the social economy and placed it at the center of their work agendas. Its relevance is not only due to being an unquestionable economic reality of the first order with more than 3 million companies with more than 14 million people throughout Europe.”
“From the moment vice president of the European Commission Valdis Dombrovskis and Commissioners Schmit and Breton a presented the European Action plan for the Social Economy in December 2021, social economy started working hand in hand with the European institutions.”
Juan Antonio Pedreño, President of Social Economy Europe
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Nicolas Schmit, European Commissioner for Jobs and Social Right: Empowering Europe’s Social Economy
Nicolas Schmit, European Commissioner for Jobs and Social Rights, spoke at Enterprising for Tomorrow 2024 conference about the European Social Economy Action Plan and its impact on social economy enterprises.
“The momentum we have started with our Social Economy Action Plan in December 2021 continues to this day. The Action Plan consists of an ambitious set of 60 concrete initiatives covering all aspects of the ecosystem.”
“Member states must now create strategies with a political commitment and resources needed for the social economy to thrive. I look forward to seeing the Romanian government strategy which I know is under preparation.”“I encourage you to make the most of this event to expand your networks and to shape the future of the social economy in Romania.”
Nicolas Schmit, European Commissioner for Jobs and Social Rights
Initiatives and Resources mentioned by Nicolas Schmit
- The launch of the Social Economy Gateway provides a single entry point for stakeholders seeking information on EU funding, policies, and initiatives.
- The Youth Entrepreneurship Policy Academy, launched in collaboration with the OECD, offers mentoring and idea exchange for upcoming entrepreneurs.
- EU funds are supporting social economy entities through startup grants and training programs.
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Timothy Ghilain, Chief of Staff at EASPD: how the B-WISE project is shaping the WISE sector across EU
Timothy Ghilain, Chief of Staff at EASPD, spoke at Enterprising for Tomorrow 2024 conference about the B-WISE project – Blueprint for Sectoral Cooperation on Skills in Work Integration Social Enterprises, an Erasmus + project coordinated by EASPD with the support of ENSIE.
“Digitalization cannot be done on its own. We need to have a coherent approach to train, retrain, and reskill in all skills and targeted skills depending on the needs of the individual.”
Timothy Ghilain, Chief of Staff at EASPD
Discussion Highlights
The B-WISE project is an initiative by the European Commission designed to create a model for increasing the skills of workers in work integration social enterprises (WISEs). It involves 27 partners across 13 countries and aims to develop a blueprint that can be replicated throughout the EU.
Research and Needs Assessment:
The project began with extensive research to identify the skills needs of staff in WISEs across the EU. This research highlighted significant variations in needs based on geographic and socio-economic contexts.
Digitalization and Skills Training:
A major focus of the project is on digitalization. The project seeks to bridge the digital skills gap by creating a coherent approach to training and reskilling individuals. This includes addressing the specific training needs before introducing digital skills training.
Development of Training Modules:
The project has developed various training modules tailored to the needs identified during the research phase. These modules are available on the project website and are being piloted in partner countries.
Certification and Adaptation:
Efforts are underway to certify the training modules with national authorities. The goal is to provide adaptable training programs that can be customized to fit the specific context of each country.
Importance of Government Support:
Timothy Ghilain emphasized the crucial role of government and local authorities in supporting digitalization efforts through funding, reskilling programs, and providing access to necessary resources.
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Cristina Dumitrescu, European Investment Fund: EIF role in supporting the social economy
Cristina Dumitrescu, Senior Investment Manager, European Investment Fund (EIF) spoke at Enterprising for Tomorrow 2024 conference about the role and impact of the EIF in supporting the social economy, particularly through financial and guarantee products aimed at micro, small, and medium-sized enterprises, including social enterprises.
“We have mobilized over 5-6 billion euros in guarantees and financing products, supporting around 2,600 micro and social enterprises in Europe.”
Cristina Dumitrescu, Senior Investment Manager, European Investment Fund (EIF)
Discussion Highlights
- Role of the European Investment Fund (EIF):
- The EIF is a European institution that assumes the risk to facilitate access to finance for European SMEs (small and medium-sized enterprises), including micro-enterprises, social enterprises, and startups.
- Products and Services:
- The EIF operates two main lines of business: financial products (loans and guarantees) and equity products (investments in funds).
- History and Impact:
- The first financial products dedicated to financial and social inclusion were launched in 2010 under the Progress Microfinance program, targeting micro-enterprises created by vulnerable groups such as the unemployed, women, youth, and seniors.
- Subsequent programs include the Easy program and the InvestEU program, which have significantly contributed to the social economy.
- Achievements:
- Over the past 15 years, the EIF has mobilized over 5-6 billion euros in guarantees and financing products, supporting around 2,600 micro and social enterprises across Europe.
- Notably, 70-75% of these enterprises received their first credit through these products, highlighting the impact on financial inclusion.
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Cyril Gouiffès, European Investment Fund: Equity products in supporting social impact ventures
Cyril Gouiffès, Head of Social Impact Unit, European Investment Fund (EIF) spoke at Enterprising for Tomorrow 2024 conference about the role of equity products in supporting social impact ventures and how these products complement debt and guarantee products.
Discussion Highlights
- Equity Investment for Social Impact:
- The speaker emphasized that the role of EIF is to invest in funds that target startups with a social impact strategy. These are not just any venture capital funds, but those with a strict measurement of impact.
- Equity investments differ from microfinance or non-bank financial institutions as they do not have restrictions on the amount of turnover for the companies they finance.
- Growth and Market Size:
- The speaker highlighted the growth of the market over the years. For instance, in 2014, the total social impact investment was 10 million euros in one fund, whereas last year, it grew to 700 million euros across several funds.
- Challenges and Opportunities in Romania:
- Despite active investments in Europe since 2013, the speaker notes the lack of investment in Romanian social impact funds. This is not due to rejection but because they have received very few proposals from Romania over the past decade.
- Accountability and Measurement of Impact:
- The speaker stresses that social finance must not only report on social impact but also be accountable for the impact performance. This involves strict measurement and ensuring that investments truly add social value.
“Back in 2014, the total amount of social impact investment within that 1 billion euros was 10 million euros in one single fund. Last year, the total investment volume of the equity team amounted to 3 billion euros, with 700 million euros focused on social impact.”
“We have to date no investment in Romania… it’s still a bit of a mystery why in these 10 years we have not managed to be able to invest in a Romanian social impact fund.”
“Social finance will strive and flourish if and only if it can be very strong on its social value add. It is not enough to report on social impact; entrepreneurs, investors, intermediaries, and ourselves have to be accountable for the impact performance.”
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Geir Ebbesen, Unikum: Norway’s Support Systems for Social Enterprises
Geir Ebbesen, project manager at Unikum (Norway), spoke at Enterprising for Tomorrow 2024 conference about Norway’s approach in supporting social enterprises and shared examples of successful Social Enterprises.
Key insights
On Norway’s Experience with Social Enterprises and Public Procurement
“The Norwegian government has developed a policy framework that encourages the inclusion of social enterprises in public procurement processes. This includes incorporating social and environmental factors in these practices.”
On Support Mechanisms for Social Enterprises
“Norway has implemented reserved contracts, which aim to provide social enterprises with opportunities to participate in public processes and contribute to societal goals. They have also invested in building an ecosystem that includes training, mentorship, and financial support for social enterprises.”
On Collaborations Between For-Profit Companies and Social Enterprises
“Technology companies can partner with social enterprises to provide training and skills development programs. In return, social enterprises can refer trained individuals for job opportunities within these companies.”
“Venture capital firms may invest in social enterprises focused on social inclusion, helping these enterprises scale their impact while potentially generating returns for the investors.”
On the Impact and Evaluation of Policies
“The Norwegian government employs monitoring and evaluation mechanisms to assess the impact of policies and support provided to social enterprises, ensuring effectiveness and contribution to social and economic goals.”
Examples of Successful Social Enterprises
“One example is a company working with individuals with autism and Asperger’s syndrome in the field of computer security, which started in Norway and has expanded to Sweden, Finland, and Denmark.”
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Ateliere Fara Frontiere: Pioneering Social and Environmental Impact in Romania
Damien Thiery, CEO Ateliere Fara Frontiere, spoke at Enterprising for Tomorrow conference about the significant actions and challenges faced by the organization. His speech underscored the dual mission of Ateliere Fara Frontiere (AFF), which is to address both social exclusion and environmental degradation in Romania.
AFF is a leading work integration social enterprise from Romania, member of RISE Romania – the Romanian Network of Insertion Social Enterprises, member of ENSIE.
Ateliere Fara Frontiere exists for two primary reasons. On the social side, the organization aims to combat the exclusion of approximately 2 million Romanians from the job market. These individuals, despite being capable of working, remained jobless while Romania imports labor from abroad, particularly from Southeast Asia. Thiery emphasized the irony and inefficiency in this practice, especially when local workforce potential is untapped.
“There are 2 million Romanians today who are excluded from the job market and who are in capacity of working.”
Environmentally, Thiery highlighted the urgent threats the world faced, such as failing to meet the Paris Agreement goals and the rapid depletion of natural resources. He pointed out that by 2040, copper reserves in mines would be exhausted, emphasizing the critical need for sustainable practices. Ateliere Fara Frontiere, although modest in scale, committed to addressing these pressing issues.
Founded in 2008, Ateliere Fara Frontiere operates as part of the GroupeSOS, a French solidarity and social group with substantial reach and impact. The organization wors closely with 40 public and private entities, including social assistance departments and penitentiaries, to support individuals facing a wide range of vulnerabilities – from domestic violence and human trafficking to health problems and refugee status.
“We equipped more than 10% of all the schools in Romania with IT Laboratories.”
Thiery detailed the operational model of Ateliere Fara Frontiere, which includes four key workshops. The first is focused on collecting and reconditioning electronic waste – educlick, particularly computers, which are then donated to schools. Remarkably, the organization had equipped over 10% of Romanian schools with IT laboratories. The second workshop – remesh, transformes advertising banners into corporate gifts. Additionally, Ateliere Fara Frontiere operates an eco-certified farm – bio&co, producing organic vegetables, and a logistics workshop for sustainable products – logietic.
Despite their impactful work, Ateliere Fara Frontiere face significant challenges
Thiery lamented the difficulties in accessing funds due to flawed funding allocations and the exclusion of social enterprises from substantial recovery and resilience funds. He pointed out that Romanian law does not recognize NOS (Non-profit Organizations with Economic Activities), which hinderes the organization’s growth and development.
“The funding for social enterprises is wrongly allocated. We cannot get ESF+ for existing social enterprises, and reserved contracts don’t exist.”
Operationally, the organization struggles to remain competitive in the free market due to the special assistance required by their workers and the frequent need to train new recruits.
“Today all the funds that are coming from the Recovery and Resilience Plan exclude us from this massive fund that could enable us to develop.”
Thiery stressed that Ateliere Fara Frontiere’s objective is not competitiveness but rather impactful social integration. He called for greater support from public authorities, arguing that their work converted passive beneficiaries of the state into active contributors to the fiscal system.
Thiery’s closing remarks was a powerful appeal for recognition and support
The CEO of Ateliere Fara Frontiere highlighted the mutual benefits of integrating vulnerable individuals into the workforce, urging public authorities to assist social enterprises in their mission to create a more inclusive and sustainable society.
Through Thiery’s speech, it became clear that Ateliere Fara Frontiere is not just a social enterprise but a key stakeholder for sustainable development in Romania. Their efforts in both social inclusion and environmental sustainability showcase a model that, with adequate support, could significantly contribute to addressing some of the most pressing issues faced by society today.
“Public authorities have to assist us if we want to develop. It’s a win-win situation. Our beneficiaries become active contributors to the fiscal system when they would otherwise be passive for the rest of their lives.”
Learn more about the SEEDing project, where ADV Romania and Ateliere Fara Frontiere partnered to increase the competitiveness of social enterprises in the circular economy.
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Urtzi Uribetxebarria Andres, Mondragon University: skills & trainings in the social economy sector
Urtzi Uribetxebarria Andres is Research Professor of the Dept.of Mechanics and Industrial Organization of Mondragon Unibertsitatea with Project Management Professional (PMP) ® MONDRAGON and baSE Project manager. He was one the speakers at the Enterprising for Tomorrow conference.
Ideas and Insights from Urtzi Uribetxebarria Andres speech
European Social Economy Impact: The project leader highlighted that there are approximately 3 million social economy enterprises in Europe employing around 14 million people, which represents between 8-10% of the European Union’s GDP. This emphasizes the significant impact of the social economy on the European economy.
baSE Project Objectives: The baSE project aims to reinforce the capacities of the social economy and its human capital in key areas. This involves addressing skill mismatches and providing reskilling and upskilling opportunities for social economy practitioners. The project involves 25 partners from 10 European countries, including Romania and Spain. These partners comprise country-level social economy actors, vocational educational training providers, and higher education institutions.
Innovative Curricula Development: One of the main outcomes expected from the baSE project is the creation of an innovative and modernized curriculum in the social economy ecosystem. This aims to improve the professionalism, capacity, and competitiveness of social economy workers, thereby enhancing their employability, mobility, and professional development.
Modernizing Vocational Training: The project also focuses on modernizing vocational educational training and higher education to be more responsive to industry needs. This involves directly addressing the needs of social economy workers and ensuring that the training provided aligns with these needs.
Triple Transition Framework: The speaker introduced the concept of the “triple transition,” which includes green, digital, and fair and inclusive transitions. This holistic view addresses environmental, technological, and social dimensions, reinforcing the mission of social economy organizations. The triple transition forms the core of the social competence framework, which aims to provide a comprehensive development path for individuals and organizations within the social economy ecosystem.
“The triple transition forms a holistic view that addresses environmental, technological, and social dimensions, thereby reinforcing the core mission of the social economy organizations.”
Urtzi Uribetxebarria Andres, Research Professor at Mondragon Unibertsitatea, baSE Project manager.
Yesterday we were visiting your facilities, your organizations, and it’s really amazing the job you are doing here in Romania in terms of developing the social economic ecosystem.
Urtzi Uribetxebarria Andres, during the visit at ADV Romania social enterprises
Stay at the Forefront of Social Economy Skill Development: Discover All baSE Project News, Opportunities, and Events
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