With just under a month left until the big date, IESE’s Doing Good Doing Well conference is fast approaching. While the DGDW team is continuously adding panels with interesting speakers, I was particularly excited to learn that Patagonia is going to join the conference. As someone who leads a fairly active lifestyle, I’ve always associated Patagonia with high-quality, technical apparel and gear that was perfect for the occasional weekend hike outside of Toronto. It wasn’t until we covered Patagonia in a case for a Competitive Strategy class at IESE that I realized that the company is also focused on minimizing the environmental impact of its business. Patagonia’s commitment is evident in every facet of its operations – from choosing to manufacture from organically produced cotton and pioneering research on environmentally friendly fabric to encouraging its customers to recycle clothing and committing a portion of their profits to environmental groups. Patagonia is a great example of a company which managed to both run a profitable business with a strong customer base and reduce its environmental footprint. I look forward to learning more about Patagonia’s strategy at the Doing Good Doing Well conference in February.
IESE is excited to be partnering with Mustard Seed to host the Mustard Seed Fast Pitching Competition on February 27, during IESE’s annual flagship conference: Doing Good Doing Well Conference
How it Works?
The pitch competition is open to entrepreneurs in start-up or early growth phase, who can clearly identify a social and/or environmental mission, their target market, and how they plan to scale their business and also a measurable impact. Interested individuals or teams should read the eligibility criteria below, prepare a two-minute pitch video, and submit their entries via the Mustard Seed website. All those who submit, whether they make it to the final stages or not are welcome to attend the final pitching event on February 27.
What is Mustard Seed?
Mustard Seed is passionate about enabling the brightest and best talent to create sustainable and impactful businesses of the future. Co-founded by Alex Pitt and Henry Wigan in 2013, Mustard Seed addresses a rising appetite for entrepreneurship and socially-minded enterprise among graduates. By investing in business with a clearly defined social or environmental mission, Mustard Seed bridges a critical funding gap to support early stage ventures.
How Mustard Seed Invests?
Mustard Seed cares about your motivations: why are you starting a company? From the final event, the Mustard Seed Investment Committee will select the Top 5 Finalists for consideration. The Audience will select one of these winners. Mustard Seed typically invests between $100,000 and $800,000 and provides significant support toward scaling through its global member network.
ARE YOU UP FOR THE CHALLENGE? COME PITCH AT DGDW FOR INVESTMENT CONSIDERATION BY MUSTARD SEED.
How to Apply?
To apply, put together a 2-minute pitch video answering the following:
- What social/environmental problem are you solving and how?
- Why are you the right team to solve this problem?
- What traction do you have (users, revenue, prototypes, etc.)?
- How does your business make money? How does it scale?
- How much money are you seeking and how will you spend it?
- How is this start-up going to make the world a better place?
Video pitches must be submitted by February 18 via www.mustardseedimpact.com/events. 15 Finalists will be announced by midnight on February 19, 2015.
What We Mean by Social and Environmental Impact?
- Team: What drives your team? Why do you care about this topic?
- Focus: Does the business provide a compelling solution in one of our target areas: employment, education, social inclusion, physical and mental health, family, community, or resource efficiency?
- Alignment: Does the solution provided address the root cause of the issue? Is social/environmental impact core to company strategy?
- Measurement: Can the outcomes be measured and monitored?
- Scale: Can the company achieve significant scale of impact? What is the scale of the problem to be addressed?
- Fit: How can the Mustard Seed network support this mission?
Pitch Day and Beyond
At the Event:
- The overall event will include keynote speakers, the pitch competition, and an Audience Choice award through participatory voting
- The 15 finalist teams will have 3 minutes to pitch, 2 minutes for Q&A
- The Audience Choice Award will be announced at end of the event
Following the Event:
- Mustard Seed proactively follows up with the top 5 finalists but is open to meeting all companies that submit a video entry
- 5 finalists will be selected by the Mustard Seed Investment Committee and announced on www.mustardseedimpact.com within one week
- Due diligence prior to investment typically takes between two months and one year; teams should expect intensive follow up with Mustard Seed; where the business model evolves and pivots, Mustard Seed may invest after more substantial periods of time
- Mustard Seed will typically invest in 1-2 companies post-event
by Karen Fitzpatrick · Chairman of DGDW 2015
One of the characteristics of IESE Business School is that it heavily uses the case method to teach students in the classroom. While I’ve greatly enjoyed this method because it allows you to simulate decision-making, learn from your classmates, and get deeper into problems, it – like any other method –only goes so far. In fact, some of the most memorable and interesting classes have been ones where we had the professionals from the cases attend in order to ask questions and really dig into the complexities of the issue at hand.
This is one of the many reasons I’m looking forward to Doing Good and Doing Well 2015. It’s one thing to read about topics such as the concept of conscious capitalism, re-thinking what stakeholder value means, and implementing transformational changes to have a big impact on society or the environment. It’s another thing to meet the individuals behind the decisions and initiatives.
DGDW was created by a group of IESE students over a decade ago in order to foster this kind of discussion on campus. Over the years, we’ve been fortunate to host hundreds of speakers from a variety of industries and functions who can speak to the impact of their businesses on society. From sustainability to micro-finance to public-private partnerships, the conferences have introduced students to numerous ways to apply business skills in order to create positive change.
This year’s theme is “what is responsible business?” In choosing it, our team wanted to invite for-profit firms to talk about how they view their roles in society – who their stakeholders are, how their roles might be changing, and what they’re doing to reinforce their visions. We will have some organizations who will contend that what they do makes them responsible – e.g., it’s inherent in their products/services/missions. We’ll have others who will assert that what makes them responsible is how they’ve been able to enhance their processes to “do good” or do less harm – e.g., sustainability, human capital practices, etc. And still other speakers and organizations will present the view that their businesses are responsible because of who they market to or whose needs they fulfill – the Bottom of the Pyramid.
One thing is for sure: we can promise you that this year’s conference will be full of thought leaders provoking interesting discussions. We hope you walk away feeling challenged, stimulated, and curious.
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
According 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
A 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
Innovate, 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!
Are you a student? Please contact the DGDW team for the student discount
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:
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!