DGDW Tweet Prize

 

Attention social media evangelists and technophiles! We will be awarding a bonsai tree to the top tweeter of Doing Good Doing Well conference. Please tweet during the event using #IESEDGDW hashtag to qualify

By Sanjali Nirwani, Sales Strategy Director DGDW

DGDW 9According to the UN, 70% of the world’s population will be living in cities by 2050. This rapid migration will expand industrial and residential infrastructures beyond their breaking points leading to high carbon emissions and lower standards of living. The question is how can cities manage this growth in a sustainable way? There are complex dynamics related to cities and innovation and the aim is to enable these cities to become livable, sustainable and efficient. The new buzzword ‘Smart Cities’ frequently used by energy utilities, technology firms and city councils may seem to offer a solution.

What is a Smart City? A city enabled with efficient intelligent infrastructure that allows interaction with citizens to improve economy, mobility, safety, environment and governance. The concept claims to make people and the environment happier. According to Schneider Electric, transitioning to a Smart City involves a 5-step process:

1) Setting the vision and roadmap
2) Bringing in best-in class technology to improve systems
3) Working on the integration for wider information efficiency
4) Adding business model innovation
5) Driving collaboration between global and local players

Success stories: Some of the world’s smartest cities are Vienna, Toronto, New York, Copenhagen and our own Barcelona! Barcelona has projects for remote street-lighting control systems, remote irrigation system for green areas, the recently launched ‘Electric Vehicle’ infrastructure and plans to deploy a transparent governance system.

Why is Collaboration critical? Despite its benefits, the adaption of Smart City Infrastructure is slow and not widespread. One key issue is Collaboration. Last week at the IESE’s Global Energy Day, one of the panels addressed this issue. It was interesting to hear insights from different players in the industry. The panel moderated by Professor Joan Enric Ricart from Center of Globalization and Strategy, featured panelists from Schneider Electric, Aqualogy, Barcelona City Hall and Cooltra (private electric scooter hire player).

Below is what one of the organizers of the Energy Day has to say-

“As a member of the IESE Energy Club, I helped the panel on the subject of Smart Cities. I found it very exiting not only to research about this topic, basically how public and private sector coordinate their efforts to make cleaner, better, safer and more sustainable Cities, but as well to be able to bring together 4 top executives in their own organizations and let them showcase Barcelona as one of the most promising Smart City. This panel was bang on, and I hope that the audience appreciated!”
- Benjamin Givelet

What’s next? Attend our Energy track Impact panels at the Doing Good and Doing Well Conference to open your eyes to some of the many new cutting-edge business models and initiatives driving forward renewable deployment and energy efficiency, and perhaps this panel will inspire you to seek your own opportunities in this exciting sector!

“The GED panel on Smart Cities provided an excellent overview of the issues confronting city governments when faced with issues of emissions and energy consumption. At the DGDW Conference, the energy panel on “Unique business models for driving a cleaner and more efficient energy future” will focus in more detail on the individual companies working to make these efforts a reality.”
- Edward Moulin (Panel Organizer)

Don’t just believe what multinational organizations have to say (in their marketing or ‘PR’ initiatives), but form your own informed opinion on topics that will change the world. The Doing Good and Doing Well Conference will help you to do exactly that! Through interactive workshops, panels, keynote speeches and networking events; the conference provides a perfect platform for collaboration – the key to most innovative models.

Interested in learning more about the future of mobile payments? Join more than 500 participants and buy your ticket today!  #IESEDGDW

Are you a student? Please contact the DGDW team for the student discount

By Desiree Montealegre, DGDW Panel Moderator

DGDW Mobile BankingA special interview with Jordi Guaus, Head of Mobile Payments at CaixaBank and Chairman of the Mobey Forum. Jordi will participate in the Mobile Banking panel during the Doing Good Doing Well conference.

Desiree Montealegre (DM): What value does CaixaBank’s new NFC mobile payments service provide to its users? Who can use the system?

Jordi Guaus (JG): One of the main values that mobile contactless payments offer for the end-users is the convenience itself – the service is easy to use, it’s quick and it’s secure, so a comprehensive package of making a payment conveniently. During recent times, the mobile has become an essential device in our lives, therefore it makes perfect sense to include or add new features, such as payments, couponing, identity, etc. as we tend to carry our mobile devices with us, everywhere we go. Also, it is likely that one forgets his/her wallet at home but not their mobile device. So, why not try to include the wallet within the mobile device as well.

CaixaBank mobile NFC payments service is open to all CaixaBank customers and in order to benefit from this service, one must be a customer of Movistar, Vodafone or Orange and they must also an NFC compatible mobile device. Initially, the service is only available for Android devices but we aim to extend this service to other mobile operating systems, such as Windows Mobile, etc.

DM: What other uses does the mobile NFC platform have besides commercial payments?
JG: CaixaBank believes that mobile payments are not just about payments and that the mobile payments are about a new user experience when acquiring goods and services. The new paradigm is that through one device, one can access all the services but in a variety of different ways. It’s about the pre-payment experience, the payment and the post-payment experience. It’s about searching for information, receiving promotions and discounts, comparing prices and features, paying, and receiving information about new products and services while enjoying existing ones. Having said that, we are currently at the first stage/level of mobile payments services, (i.e. developing the payment feature) and that the other services will be offered in the near future

DM: When does CaixaBank expect mass adoption of its NFC mobile payments system and how does it plan to deploy the necessary infrastructure and network changes involved?
JG: There are some key factors for mass adoption. Firstly, the capacity to reach customers. With the current agreement with the 3 main Mobile Network Operators in Spain, CaixaBank can offer the service to 80% of its customers which is more than a good market share. The issuing infrastructure for downloading the card on the mobile has been developed as well. Secondly, the availability of the acceptance network, in other words, shops where customers can pay using the NFC technology. Today, there are more than 300.000 contactless point-of-sales in Spain which are compliant with NFC mobile payments and the deployment of more point-of-sales is being carried out on a priority basis.

As for the availability of compliant equipment (i.e. NFC enabled handsets and NFC compatible SIMs), the availability of NFC handsets is currently quite good as most of the new Android based mobile devices are NFC enabled.

Based on the 3 factors outlined above, it can be stated that over the course of the next 3 years, NFC mobile payments services will be widely adopted in Spain.

DM: What security guarantees does CaixaBank provide for this service?
JG: The service is defined following the EMV (Europay, Mastercard, Visa) standard, which means that NFC mobile payments have the same security as a plastic chip card transaction. In addition, CaixaProtect, the card service that protects our customers from fraud or theft will also apply to the cards downloaded on the mobile device.

DM: How can its comprehensive network with telecommunications and other payment service providers contribute to a greater degree of financial inclusion in the region?
JG: Spain is a developed country and the penetration of financial services is considerably high here. Almost everyone has a bank account so the approach is quite different here as one would witness in emerging markets. While in emerging markets, mobile is an excellent tool to bank the unbanked, in the case of developed markets, mobile is considered to be an ideal tool to offer value added financial services. Considering this scenario, in the case of Spain, we see mobile financial services as a good tool to offer better services to our customers, while to cover the upcoming special needs of our valued customers.

At this point, I would like to highlight that CaixaBank has a huge commitment with society and a significant part of the revenue of CaixaBank is invested back within the society in welfare projects through CaixaBank Foundation. The budget of CaixaBank Foundation for 2014 is 500 million euro and a significant part of the budget is focused on promoting the social inclusion of the most disadvantaged sectors, in order to provide them with a better future. With this in mind, we believe that mobile contactless payments can provide us with an excellent opportunity to enhance the service we offer to individuals with disabilities, such as individuals with visual impairment, or with reduce mobility, etc. For those individuals, we believe, it’s much easier to pay or to carry out a cash withdraw using a mobile than using a standard plastic card. Therefore, convenience and usability are the key points which we believe can benefit all customers but especially those with physical disabilities.

This approach perfectly aligns with the vision of Corporate Responsibility at CaixaBank that consists of acting in line with the values of leadership, trust and social commitment. This translates into a system of efficient management that is sustainable in the long term, guaranteeing solvency and including the protection of the environment and the social impact of its operations.

DM: Does CaixaBank plan on developing this system in other countries? What are the challenges involved?
JG: Currently, CaixaBank only operates within Spain. In terms of international banking, CaixaBank has representative offices and international branches focused on supporting international growth of our customers. Additionally, CaixaBank has international investments in other financial groups like Bank of East Asia in China and Hong Kong, Erste Group in Eastern Europe, and Inbursa in Mexico. With these groups we develop a partnership model and we are sharing our “know-how” of mobile contactless payments with our partners. Nevertheless, the decision on developing the commercial NFC service in their countries depends on them.

DM: What other innovations has CaixaBank implemented in mobile technology and how does it expect to sustain its leadership in this market?
JG: We have been active within the mobile financial services arena since the year 2000. Since then, we have been focusing hard on usability and trying to make it easy for our customers to access and use our services. This is the reason why we have developed more than 70 different mobile applications (both financial and non financial ones) and to date, we are the only bank with our own App store for downloading these Apps. Needless to mention that those Apps are also available through the official App-stores (i.e. Google Play, Apple Appstore, etc.).

Apart from standard financial services related Apps, I can highlight the stock market app, the bill payment app, the tailor made card application request, the augmented reality branch and ATM searcher, etc. Thanks to this innovative strategy, we are the leader in Spain in Mobile Financial Services and we were awarded the most world’s most innovative bank at the 2013 Global Banking Innovation Awards last November in Denver, USA, organized by the Bank Administration Institute (BAI) and Finacle. Caixabank also won the same award in the year 2011.

Furthermore, innovation is one of the keys of our Corporate Responsibility strategy that implies to all areas of our institution. For instance, a recent Forrester’s report placed CaixaBank’s mobile banking service as the best of Europe and second in the world.

Finally, in order to sustain this position, we are constantly adding new features, improving usability and developing new services such as mobile contactless payments.

Interested in learning more about the future of mobile payments? Join more than 600 participants and buy your ticket today!  #IESEDGDW

Are you a student? Please contact the DGDW team for the student discount

By Antonio Argandoña, IESE Professor of Economics

CSR Corporate Social ResponsibilityInnovate, Impact, and Inspire is this year’s motto for the Doing Good & Doing Well Conference.  For those of us dedicated to promoting social responsibility, we usually go on and on  about how responsible companies are innovative.  But many readers may find it hard to believe that being responsible is anything more than financing charitable activities.

A few years ago, the European Commission defined social responsibility as, “the responsibility that companies assume for their impact on society.”  OK then.  Say you are the CEO of a company and you want to be responsible.  You should know exactly what your company’s impact is on society – on your workers, your shareholders (don’t forget them because they are also your stakeholders), on your suppliers, your clients, your neighbors, etc. – right?  To know all this, it seems that you would have to have a solid grasp of all your products, processes, your competitive advantages and weaknesses.

So, why do you need to know all of this?  To foresee negative impacts and foster positive ones.  For the love of your employees and of your clients.  And for the love of your shareholders who want to see the company leverage its strengths and manage its risks.  For the sake of self-love, because you truly desire to be a good manager, i.e., a manager who is able to achieve financial objectives.  Because, lest we forget, a company is an economic institution; what is most important, together with the market, is the ability to guarantee a socially efficient use of scarce resources.

Yet its social objectives, in a broad sense are also important.  Because you have to find a way for management and employees to be satisfied with their jobs, for  them to develop the capabilities that they need to improve since those improved capabilities will be the foundation of your company’s competitive advantage.  Of course, if they are unhappy and leave, we’ll find others.  However you will lose human capital in the process and a lot of trust.

So now we are dealing with the third objective of your work as CEO:  for the people around you to identify with the company’s goals. This has to do with much more than just salary.  It also has to do with working in a pleasant environment and the social relationships that exist within it.  And the people around you won’t identify themselves with anything worthwhile if they are not willing to make sacrifices thinking of others: a client who we want to satisfy, of colleagues, because after all, they spend eight hours a day together and they have started to develop a close-knit relationship with them, etc.

If you truly think this way, you’ll spend a great deal of time each day pondering how to better satisfy your clients, how to better integrate your employees and suppliers, and how to develop new competitive advantages.  And of course, you’ll spend the day innovating.  Welcome to Doing Good and Doing Well!

Join more than 600 participants and buy your ticket today!  #IESEDGDW

Are you a student? Please contact the DGDW team for the student discount

M-Pesa DGDW

By Josep M Saura, Sponsorship Director

Imagine life without a bank account, without a “cookie jar” where to save your money. In that life completing a simple financial transaction would require traveling a great distance, incurring expenses, and losing precious income and time.

Actually not having a bank account is not that unusual. This is the day to day life for the 2.5 billion people in the world that live outside the financial system. These people are known as the unbanked. In countries such Afghanistan this number might reach 97% of the total population, or to say it in another way, only 3% of the population have a bank account!

The unbanked depend on informal mechanisms for saving and protecting themselves against risk. They buy livestock as a form of savings, they pawn jewelry, and they turn to the moneylender for credit. These mechanisms are risky, uncertain, and often expensive.

This situation started to change in 2007, when Safaricom launched the first M-Pesa project in Kenya.

What is M-Pesa?

M-Pesa is a system that allows users to conduct a number of financial transactions through a mobile device. In most of the countries M-Pesa is provided by telecom operators and can be used in first generation mobile phones.

In very simple words, with M-Pesa, the SIM card that we have in our mobile phone acts as our bank account.

What can M-Pesa users do?

M-Pesa users can perform, without the need of having a bank account, basic transactions, such as:

  • Deposit and withdraw money
  • Transfer money to other users and non-users
  • Pay bills
  • Purchase airtime

M-Pesa allows us to believe that it is the transformative technology that enables us to put relevant, impactful services into the hands of underserved people.

Who is using M-Pesa?
Since 2007, the M-Pesa technology has expanded to Sudan, India, Tanzania, Philippines, China and Afghanistan. It is estimated that there are 250 million registered users worldwide.

In Kenya, for example, over 17 million Kenyans, equivalent to more than two-thirds of the adult population, now use M-Pesa, and around 25% of the country’s GDP flows through it.

Why M-Pesa is good?
M-Pesa is especially good for women, who are more geographically isolated, with less freedom of mobility than men. Also women who save are vulnerable not just to theft and loss, but to being controlled by other family members and neighbors.

M-Pesa helps to eliminate corruption. As an example: in Afghanistan, when the Police Department started to pay salaries to police officers using M-Pesa instead of cash, police officers thought that their salaries were raised by 30%. This happened because by using M-Pesa many corruption levels within the payroll process were eliminated.

M-Pesa creates financial security and promotes micro-entrepreneurship. For potential entrepreneurs, knowing that their money is safe and that they can use it whenever they need it by just accessing their mobile phone is an increase in their perception of security.

M-Pesa saves time. M-Pesa users are not required to travel from rural areas to main cities to set up a bank account or to do a simple transaction. M-Pesa allows account holders to pay bills, make deposits or conduct other transactions via text messaging.

How can you get involved?
Thanks to IESE career services I had the opportunity to work for Roshan, the leading Telecom operator in Afghanistan, in its M-Paisa project. Every summer, Roshan hires several MBA students to intern in areas such as marketing, corporate strategy, business intelligence and business development. During my time there I worked with LBS, HBS and Rotman MBA students.

Roshan was founded in 2003 by the Aga Khan Fund for Economic Development, and its one of the biggest social enterprises in the world with 1100 employees.

My role in Roshan was to promote the financial inclusion in Afghanistan by creating an ecosystem in which micro-finance banks could disburse and collect their loans using M-Pesa. I advised Micro finance banks in the country on how to use M-Pesa and on how to educate borrowers.

To learn more:
On Friday February 21st there will be a panel on Mobile Money as part as the Doing Good & Doing Well conference at IESE Business School in Barcelona. Join more than 600 participants and buy your ticket today!  #IESEDGDW

Are you a student? Please contact the DGDW team for the student discount

You can also watch some videos in you tube such as:

M-Pesa in Afghanistan, by Roshan:

http://www.youtube.com/watch?v=K0Mvwv0Bx3c

M-Pesa in Kenya: http://www.youtube.com/watch?v=zQo4VoLyHe0

If you have comments or questions I will be happy to talk with you!

The only things that Germany and Georgia share in common are the beginning two letters. So what inspired Lena Wohlers to take a break from her education and move to Georgia to work for IA, an NGO located in Tbilisi? “My decision to join IA was made rather intuitively. Firstly, the philosophy of IA appealed to me. Secondly, I decided to join IA out of my interest to work for people with disabilities and lastly, my interest in Georgia as a country”, says Lena. Since last September she has been working at IA. “Looking back, I am glad that I chose IA. The time that I have spent so far has been satisfying, thanks to the warm and inspiring people involved here and thanks to the children, whom I locked into my heart, each of them being unique and endearing in their own way”, feels Lena.

At IA, special persons from 6 to 35 years with different mental and physical conditions play, dance, sing, exercise, study, read and write and spend time together every day. Nino Chabukiani founded the organization after facing immense difficulties in finding a suitable place for her own son, and to offer an alternative for parents who cannot afford the high fees often charged in other institutions for people with special needs. Despite the financial and logistical difficulties (the organization has lost their schooling facilities several times while classes had to be conducted in the director´s private flat and retention of current facilities is also uncertain) she and the two teachers employed are very committed to supporting the children in developing their abilities. In addition to the three core members, student interns and art and music instructors support the organization.

Every year several young students travel to different parts of the world to work for various organizations as part of a ministry-supported program called Weltwärts, managed by the German organization Freunde der Erziehungskunst Rudolf Steiners. What do these students seek to learn from this experience? “This experience is my first insight in the field of social work and it has allowed me to clarify my propensity towards social work. Apart from that, by helping the organization in day-to-day administration and in tiding over operational and logistical issues, I am learning to cope with difficulties not just professionally but also personally. I’ll be a different person after a year in Georgia”, concludes Lena.

Are you ready to meet more inspiring people who seek to have an impact on society?

Join more than 600 participants and buy your ticket today!  #IESEDGDW

Are you a student? Please contact the DGDW team for the student discount

By Matt Brendle, Conference Chairman

Matt Brendle TOMS

Over Christmas break I finally bought my first pair of TOMS.  This was not an impulse purchase.  I’d been following the success of TOMS founder Blake Mycoskie for quite some time now.  I even wrote and delivered a speech titled, “Entrepreneurship is Dying” in my Corporate Communications class last term that used TOMS as a primary example of the next generation of entrepreneurship.

Here is an excerpt from that speech:

The age of entrepreneurship as we know it… is dying.  It’s been in desperate need of reinvention for almost as long as the term itself.  How can this be… you ask?

For far too long, businesses have been created with one purpose in mind… to fill the owners’ pockets with money.  You may argue against my claim that businesses are not only created for financial gains but also to fill a need or a desire expressed by the marketplace.  I’m not going to argue against you but rest assure when tough decisions are made, the option with the better ROI usually wins.   

With that in mind, what will replace our longstanding business practice of turning startups into corporations for monetary gains?  I’m here today to announce the next generation of entrepreneurship… social entrepreneurship.  

What is social entrepreneurship?

How is it different from the traditional entrepreneurship practice noted before?

I would like to answer those questions with a story.  

Sofia is 8 years old.  She lives in poverty in a village on the outskirts of Buenos Aires.  She makes the 10-kilometer trip to school as often as she can given the amount of pain she frequently experiences.  You see Sofia, like many other children, don’t have shoes.  Even if they had access to them, they surely couldn’t afford them.  Every year children die due to infections that could have easily been prevented by wearing a decent pair of shoes.  

Imagine if you didn’t have a decent pair of shoes.  Would it change your life?  Imagine walking to IESE from your flat in Eixample, Gracia, or Raval everyday without shoes.  What would that feel like?  Better yet, what would your feet look like? 

In 2006, American traveler Blake Mycoskie befriended children in a village in Argentina and found they had no shoes to protect their feet. Wanting to help, he created TOMS, a company that would match every pair of shoes purchased with a pair of new shoes given to a child in need. One for One.  In 6 short years, TOMS has given more than 10 million pairs of shoes in 60 countries.  During that time the company has made over $1 billion dollars in revenue.  Not too bad if you ask me.  

Blake Mycoskie is the perfect example of a social entrepreneur.  He is doing everything a traditional entrepreneur does and then some.  Let me be clear.  This is not a corporate social responsibility initiative.  This is a business model built on triple bottom line results… Profits, People, Planet. 

So what can you do to be a part of the future of entrepreneurship?

Every year a number of MBA students leave IESE to start their own businesses.  This year will be no different.  I challenge you to add the social component to your entrepreneurial venture.  You can either do it like Blake Mycoskie and think of the social need first or you can reverse his approach and add the social component after your initial idea.  

To help make this transition easier you are all invited to come to the largest student run conference on sustainability right here in Barcelona on Feb 21 & 22.  As chairman of the Doing Good & Doing Well Conference, I can assure you that my team is working tirelessly to bring you the best learning experience that will guide you through this entrepreneurial transition.  

Remember, the age of entrepreneurship as we know it… will soon be dead.  

What will you do?

I had a lot of fun writing this speech and even more fun delivering it to my classmates.  I truly believe people like Blake Mycoskie are pioneers in entrepreneurship.  Which is why we’ve dedicated several workshops and panels at DGDW on social entrepreneurship and impact investing.  We even have Claro Partners, a Barcelona based Innovation & Design consulting company, coming to lead the social entrepreneurship workshop.  So come join the fun and be prepared to learn a thing or two and maybe you’ll be the next Blake Mycoskie.

Are you ready to change the face of entrepreneurship? Join more than 600 participants and buy your ticket today!  #IESEDGDW

Are you a student? Please contact Sanjali for the student discount