Social innovation and business ecosystems

As the world takes leaps in modernization and technological advances, so rises the social and environmental risks plaguing today’s societies. Nations around the world are increasingly waking up to the fact that these pressing concerns need to be addressed immediately. The business world is also taking note of the risks and opportunities posed by social and environmental issues. More than just an opening for charity, social innovations are today viewed by businesses as about competition and economic value creation. 

The 2015 Harvard Business Review ranking of the top 100 performing CEOs in the world weighted social and environmental performance at 20% of the overall score, a fact that reinforces the importance of social innovations in business in the modern world. It is time to break through the traditional business mindsets, strategies and business models. Business is about reinvention, day after day, and it is imperative that they should inculcate practices that will allow it to rise above profit making and view the world from a socially responsible context. At this juncture, Corporate Social Innovation(CSI) offers new perspectives, models and tools for addressing some of the greatest challenges plaguing our time.

• CSI as a part of the core business strategy - Determine the social problems that intersect with the business and the vision of the company. CSI must be approached as an intrinsic company policy and should be seen as any other core business strategy. Businesses should have the game plan to unlock the value of their products and services to address key societal and environmental challenges. It must be noted for sustainability, CSI which is incorporated into the business must generate value for the business too. The value should be in revenue as well as a positive change for the world around.
  
• CSI as a positive influence in the market - Social innovation can be viewed as an opportunity to serve the unmet needs in various markets with new or existing products or services. The products cannot be marketed or offered as to existing customers. Barriers that a target base would face such as affordability, product education, and local customs must be considered and incorporated into the product/service. CSI often helps in access to new markets or consumers, additional revenues, strengthened supply chains, reduced costs or managed risks.
  
• CSI as a strategic collaboration - Conversation about innovations should not be limited to those inside the company but should be a product of bringing together multiple stake holders, in particular from outside the business, which can yield powerful results. The benefits include better local knowledge,
  

broader perspectives, consideration of the opportunities and risks and a better development process. Local employment and local economic development will help in creating a positive impact for the product as well as the society.
An effective government and business leadership that engages in social innovation will become the driving force towards achieving public welfare of GCC States. The need to design innovative business models and the significance of social innovation should be considered as a systematic commitment towards achieving GCC goals. Social innovation can be the spark that will find common ground for shared value creation and better the life of those in the bottom of pyramid. Without a doubt, tomorrow’s world will be very different from today’s and businesses should experiment with new models and strategies. Moral, ethical, social and environmental concerns will lead the way in the coming years in which key stakeholders, including consumers, customers, employees and investors, relate to and engage with business.

Healthcare moving from technology-enabled diagnosis and treatment to positive patient experience

The industrial economy where the focus stopped with the ‘product’ has slowly shifted to service economy, where the focus extends to the ‘customer experience’ of that product. This change has started its emergence in health sector too, where, the patient experience and satisfaction are considered central in determining the quality of the medical care imparted. The field of medical science passing through doctor centric, hospital centric and disease centric has today reached the threshold of being patient centric.

A patient centric strategy has pushed the leading health care organizations to make the shift from an episodic care to an extended and continual engagement with patients. The use of patient portals and access to electronic record leads to an increase in communication between the hospitals and patients. Health organisations are today increasingly looking at population health management, as a part of this continuous engagement. Similarly, health care delivery models need to change to reflect the patient centric care.
Most health care organizations are realizing that patient-centred care improves patient experience and creates value for services. When administrators, care providers, technology, patients and families work in sync, the quality and safety of health care rise, costs decrease and satisfaction increases. All this directly affect the boosting of patient care experience. A domino effect, it then positively affect business demographics and market share.
Key strategies from organizations working on patient-centred care include :

• Policy makers and regulators should include patient-centred care as a dimension of quality in their business strategy and policy documentations.
  
• Standardised set of items in patient survey tools will enable the comparison of patient experience data in key healthcare settings.
  
• Ensure that systems are in place for the regular collection and reporting of patient care experience data through quantitative as well as qualitative sources. Patient surveys is an important aspect to get the feel of patient experience.
  
• Health service action plans for quality improvement, along with clinical and operational data should also take into account the feedback about patient care experience.
  

• Positive patient experience revolves around the relationship between health providers and their patients. The relationship between a patient and his/her doctor greatly determines both treatment outcomes and a patient’s satisfaction.
  
• Involve patients, families and carers, in the development of quality improvement policies, patient safety initiatives and healthcare design.
  
• Implement training strategies focussed on building the capacity of all staff to support patient-centred care.
  
• Integrate accountability for the care experience of patients into staff performance review processes.
  
• Foster a culture of learning within the organisation of learning from successes and failures, including tragic events, to promote patient-centred care.
  Patient experience is woven into the healthcare scenario today, more than it ever has. In this new era of health reforms, organisations will have to consider the patient as central to their core strategy and take patient engagement to a whole new level for their successful operation. Focus on patient feedback along with giving them continual care will be essential to monitor and improve the health of the people. The shift from an era of treating diseases to engaging with patients, is essential for not just the successful operation of health care facilities but also for wellness, prevention, better clinical outcomes and helping the population maintain a healthy life.
  

Identifying a right investor for your dream project

As you start taking the first steps in the world of entrepreneurship, as your dreams take wings and ideas shift towards reality, the initial challenge of any new business is to find the right investor. For a budding entrepreneur, the first instinct is to accept the cash from wherever it is coming from. Entrepreneurs looking for investors often feel they can't be selective. 

Unfortunately, many later realise that this approach is in the wrong direction. It’s important to understand the impact that the right kind of funding can have on the trajectory of your company in the future years.
A wrong or an unsuitable investor can pull you in the wrong direction, whereas the right one will add value to your team and help you in your journey towards your goal. An investor should bring much more than cash to the table. It is important to consider what are the added benefits that you would receive from a particular investor. It may vary from expertise to access to new markets and that added value of the investor can be the difference between your business remaining a chimera and being an operational entity.
It is, hence, important to ask the following questions before you zero in on an investor for your project -
• What are your options - Different investors can execute different goals. For most businesses, however, the first conversations would be with angel investors rather than venture capital firms. Angel investors tend to be flexible on their initial requirements while VCs want concrete data before they back you.
• What can the investor bring to the table - You should be aware of the assets and advantages that different investors can provide. Investors are more than just someone providing money. They have experience as well as practical know-how about businesses and can help you manage your capital, your infrastructure and much more.
• Where do you find the right investor - Finding the right investor for your company is the first step in realizing its vision. Hence, it is crucial that you know how to connect with them. Today, there are many platforms available that will aid you to find and communicate with potential investors.

• How does your investor fit with the company - Your potential investor should be compatible with your company culture. Your visions should be in sync and you want partners who would provide direction without interfering in every decision you make.
• How involved do you want your investors to be - You should have a clear ideas on what the role of the investor should be. It should be clearly communicated and agreed upon. Knowing your investor’s level of involvement ahead of time prevents future conflicts.

Other core factors you should take cognizance of, when it comes to potential investors, include their area of focus, their reliability and their reputation. Finding the right investor is the most important step in your entrepreneurial journey. It is a relationship that you have to engage with every day, in the years to come. Choose wisely. Ask questions and do research to select the best investor your company can get. A willing patron and wise mentor who can be the backbone of your company, will go a long way in helping your business prosper.

The focus of bringing multiple companies together for a common objective

Projecting an old adage into today’s fast paced economy, it can be expressly said that no business is an island. Even the biggest business rely on an ecosystem of customers, suppliers, partners and competitors to survive. Navigating through the complex web of global economy is a task that is best attained with collaborating, partnering and creating strategic alliances with like minded companies or businesses. 

It can be surmised that perfecting collaboration with partners is a key factor in successful business of the present. It is, hence, essential that organisations focus on working with one another for mutual benefit, determine what value they will derive from it and how that value can be increased.
One of the most important reasons of coming together of companies is to gain access to knowledge and/or resources. Each partner helps in addressing the gaps in vital resources and uses the partnership to extend its skill set into new areas. Companies can also decide to join hands to develop new products or to enter a market that they could not enter alone. It creates a tremendous impact in industry when it is possible for related products from different manufacturers to work together. This can unlock customer value and boost the revenue potential of both or more of the products. For eg., consider a microprocessor company coupling its product with a smartphone producer or a screen manufacturer. It can lead to an increase in profits for companies and value for the customers.
Another crucial facet of coming together of businesses is the economic advantage. You can reduce costs and risks by distributing them across the members of the alliance. Sharing R&D costs and facilities is economically conducive, while sharing expertise can be invaluable in speeding up the processes. It stands to reason that this will help the production volume to increases, causing the cost per unit to decline and helping to increase profits. Strategic global business alliances are effective ways of entering new foreign markets. Partners can provide established marketing and distribution channels, as well as knowledge of the local markets making it easier to break into unfamiliar territories.
Another category includes utilizing strategic advantages. Co-operation instead of competition with your rivals, tapping each other’s potential will help you keep the system function productively. You can also cofunction to create vertical integration where your partners are part of your supply chain. Strategic alliances, in many cases, may be useful to create a competitive edge by the pooling of resources and skills. The association can also lead to future business

opportunities and the development of new products and technologies. These kind of partnerships may also be used to gain access to new technologies or to work on joint R&D.
An alliance between companies should create an improved and profitable situation for all the stakeholders or it will not last. Partners should commit to developing and building a positive alliance. The best way to reach out to potential strategic partners is to start networking. If you are a small business owner, you can research other business in the nearby market area and try to find products or services that compliment your brand and share your vision. Companies need to have a certain harmony with each other for the partnership to work. Trust is perhaps the foundation of any strategic alliance or collaboration between companies. It also requires commitment from all partners to give it the needed longevity.
An alliance between two or more businesses enables each to achieve certain objectives neither would be able to achieve on their own. Today and in future, as the world starts getting more and more tightly linked, the boundaries of the companies are getting quickly blurred and businesses are forced to cut across organisational frontiers. It is essential that you strategize to engage in this trend and join your hands with others in your entrepreneurial journey. Business of today does not stop at the company borders, but rather start to take wings from there to newer avenues as it pushes to improve cross organisational processes.

Business is about team building with the right people.

"Alone we can do so little, together we can do so much." --Helen Keller 

It is that togetherness that drive a good business to its pinnacle of glory. The distinction between triumph and failure in an enterprise is the team that forms the heart of its dynamics. A group of strangers, with diverse backgrounds, different personalities, disparate perspectives come together with the common goal of working towards the success of a business. Channeling the best in each of those individuals and to form a cohesive group that will help the business reach its true potential is the pivot of every business ecosystem.
Building a team demands matching jobs to people's strengths. You have to give people responsibilities according to their skill level. Hiring employees is not all plain sailing. It takes practice, patience and understanding to build the right team. At times you promptly get the suitable candidate. At times it just doesn’t work out. Yet another time, the best candidate isn’t the one actively looking for a job. There will be hits and there will be misses. But along the way you will develop the acumen of what to look for in people which will foretell that they’ll be the committed employee that you need. Some of the key elements while building the right team for your business -

• The first step is identifying what are the gaps in the current talent that need to be filled. Look at your employees. What is that you are missing and what are the inadequacies that have to be addressed? Also, make sure to consider your hiring options and available resources before the process.
  
• Develop relationships with recruitment agencies to leverage their resources. Scout the talent pools using social media job sites such as LinkedIn. A hiring strategy should be an integral part of the business plan. Create a standard procedure and checklist for hiring to review candidates objectively.
  
• The person with the best qualifications isn’t always your right choice. You should look for team members who adhere to and build the values and culture of the company. You should hire someone who will merge seamlessly along with other members as well as the working environment of the enterprise.
  
• Once you have hiring process is done, the real work begins. The role of each team member must be defined. Mentoring helps give guidance to the new recruits. Partner your new employees with someone senior on the team. Get
  

them engaged right from the start. It is imperative to clearly specify the team goals. If team goals are not specified and agreed upon by all team members, you run the risk of the team wandering without direction.

• Successful teams are made up of members who trust and respect each other. Building and fostering a team culture is vital to the positive work environment. Make sure all the employees get along and work together. Team building activities, weekly team meetings, team outings etc help improve the cohesiveness of the team structure.
  
• Most employees crave feedback for the work that they do. Acknowledge their effort. Sincere praise for a job well done can go a long way toward building a relationship of trust between the employer and employee. It is also important to challenge them and keep them excited about the work they are doing.
  
• It is not the people with the same set of ideas that will make your business go miles. You need people from diverse backgrounds, with varied perspectives, and with various skills. They should bring to the table an asso-rted mix of competence and expertise. They should debate, discuss, deliberate and yet at the end concur with each other to take the organization forward.
  
• If good teams boost businesses, under-performing employees can break the morale of an enterprise. If there’s anyone on the team who is hampering the growth of the business, you should not hesitate to let them go.
  There is no place for ‘I’ in successful business. Your team is your most important asset, the cog of your business structure. Make them a part of the company, of your struggles and your successes. Include them in your vision for the future. Inculcate in them a sense of belonging. It is on the wings of your employees that your company is going to soar to the skies of accomplishments. It is your job to make them fly unitedly and effortlessly.
  

Healthcare market growth in this decade

Among the many conquests of society during the past century, the dramatic increase in average life expectancy of humans remain its greatest. As the life span of humans took huge leaps so escalated the ageing population. The baby bloomers became the generation of ‘silver tsunami’. Earnings increased, lifestyles got modernized and technology became integrated into the daily routines. 

The thrust of healthcare market over the past decade has been driven by these factors like an ageing populace, urbanization, increase in disposable incomes, higher demands for quality care, increased incidence of chronic diseases and lifestyle-related diseases.

As the population and their needs increased, so increased the demand for quality healthcare. Some stats about the growing healthcare industry in GCC countries, according to Alpen Capital are-

• The GCC healthcare market is projected to grow at a 12.1 percent compound annual growth rate from an estimated $40.3 billion in 2015 to $71.3 billion in 2020.
  
• From $24 billion in 2015, the outpatient market is forecast to reach $42.4 billion in 2020 while the inpatient market is foreseen to grow from $16.4 billion to $28.9 billion.
  
• 101,797 in 2015 to 113,925 in 2020 is the growth estimated for the demand for number of hospital beds in the GCC region.
  
• Among the GCC countries, Saudi Arabia is the largest health care market and will continue to be so, followed by UAE.
  
• Qatar and the UAE are expected to have the fastest growth during the next few years in the field.
  
  These rising needs compel the governments of GCC to explore newer and improved options. The existing infrastructure needs to be expanded. Onus should be on initiating new strategies to enhance current health care systems through the use of new technologies, modern medical care systems and collaboration of public private partnerships. Foraying into the modern world of healthcare technologies like remote visits, robotic surgeries, telemedicine, digitization of healthcare records and patient management systems will help the countries keep up with the demands with quicker services. Shifting focus from treatment to prevention by using accountable care models will ensure high-
  

quality care and wise spending of health care dollars. Along with big hospitals, focus should also be on improving smaller clinics and ambulatory centers that serve the needs of the patients in residential areas. These centers, besides its low investment, generate quick returns. 

 

Over the past few years inbound medical tourism is on the rise in GCC and it can be expected to maintain its increase in the coming years. The governments are realising that this is a potential resource for growth and providing initiatives to support the trend. However, there is a continued shortage of health care professionals across the GCC. Unequal access to health care facilities remains an obstacle in the area. Health care costs are on the rise with the adoption of newer technologies. All this points to the simple fact that across the Middle East, there is a need for private sector to supplement the efforts of the government to meet the demands. The governments across the GCC should put into effect public-private partnership models to help reduce financial risks, increase the quality of services and encourage innovation.

As the governments implement improved health insurance solutions, it can be predicted that the healthcare industry will continue its growth as more people are able to afford and use medical care. The coming decade is going to see the health care industry flourish into a full fledged market and an attractive sector for investments. They will have to partner, collaborate, innovate and keep pace with the needs of society. Governments should gear up for this challenge by encouraging private sector growth, optimizing the existing operations and embracing technological advances to raise the quality as well as the reach of health care services in GCC countries and beyond.

Why start-ups fail in general?

It starts with the dream, the compelling aspiration of accomplishment. The passion to do something on your own. An envision of being your own boss and large checks at the end of the day. The reality is, however, harsh. It is estimated that 9 out of 10 startups fail. A statistic that a would-be entrepreneur or investor should mark distinctly in their mind. The autopsies of the businesses that failed should be imprinted in their focus. Not to discourage their foray, but a caution to be wise, astute and shrewd as they step into an unpredictable venture.
The passion is there as well as the devotion. But it takes much more than an ardent interest in an idea to be successful. Every year, umpteen businesses are started with nothing more than the entrepreneur’s interest in a particular area. 

Converting that passion into a product or service, marketing, addressing customer concerns, sustaining the growth, revenue production are all distinct tasks which requires acute business acumen. There is a need to be consistently good in tasks across the spectrum of a business, deficit of any would adversely affect the start-up.

The postmortem of many of the floundered businesses point to the simple fact that most startups aren’t built on the foundation of viability. From the initial phase of startups which is deciding on the focus of the business, to the second stage of development there is a long and tough path to trudge. The second stage may require less of creativity and ingenuity, but it calls for meticulous execution of various activities. Lack of experience, skills, or insufficient funding are the major stumbling blocks in this stage of the start-ups.

Start up owners find it easier to raise capital than to continuously sustain the flow of cash. How much ever initial cash you raise, without revenue generation, investors will stop knocking at your door and you will eventually run out of cash. Ventures spend money on products without allocating the needed for sales and marketing which ultimately affect the returns. Many startups run out of cash because of their budgeting errors, poor product management, over-hiring, their burn rate is too high, bad accounting or some combination thereof.
The markets may fluctuate, products may fail or take off and ideas may flame or simmer, it is the fickle nature of business. But what holds the company together and take it forward day after day is the team that forms it. Selecting a group of smart people, a team of strangers who will learn to work together is a cardinal element to the longevity and productivity of the company. The performances of employees should be evaluated and competency rewarded. At the same time, you should remember that carrying dead weight with less

competent people will do serious damage to the company’s prospects. It is also important that the company has the right management team to attract, inspire and retain the employees.

Finally and most importantly, companies must develop a product that meets the market need, at the right price, at the right time. From simple execution flaw to not being to achieve product/market fit, the reasons for product failure can be many. Understanding the target market and moulding the product according to them are essential for successful businesses. Your product should attract your customers. It should surprise them , satisfy them and give them much more than they expected. Not being able to build according to the customers fancy can be a recipe for failure.

With high risks come higher rewards. Startups with all its uncertainties, reap rich benefits when succeeded. From the moment the seed of business is planted, the entrepreneurs must exactly know what they should do at each and every step going forward. In todays volatile world of entrepreneurism, an exit strategy is a must which will help you capitalise on your hard work even when the business fails. If your startup fails, a clear post mortem analysis will point you in the right direction next time. There will always be a next time. And at that point, proper planning, business acumen and dedicated hard work will carry forward your business to the high rungs of desired triumph.