januar 2014 January 2014
ISSN 1581 - 5293
Changing human habits.
Table of Contents Editorial Good news Developement Cooperative eTRI creates new green jobs Sponsor’s role in the process of vocational rehabilitation The path to social franchise Results of the 3R Initiative Fair buy eTRI business model Social European innovation 2014
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Since 2002. Publisher: Development Cooperative eTRI Železna cesta 14 1000 Ljubljana Telephone: 00386 1 280 99 00 FB: zadruga.etri Blog: 3rzadruga.wordpress.com TRR: IBAN SI56 1910 0001 0280 502 (DBS d.d.) Subscription is postage. This paper can be reused. 2
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Editorial board: Lenka Puh, Brigita Žvikart, Anita Pene, Marija Lovrenčič, Dario Radošević Marketing: info@etri.si Design: Jure Rajh Photo: Jazon, Lumu, Flickr Print: Zavod Jazon Circulation: 1000 ISSN 1581 - 5293
Lenka Puh, President of the Development cooperative eTRI
Editorial
Special edition of the Perfect Office Magazine before you carries ecological, ergonomic and economic message. It is a call towards activation for all in creating healthy jobs and decent work. Creators of this Magazine are emphasizing that we have a future and we know how to search for answers to social problems, which we are facing at the moment. I have been an entrepreneur for 24 years and I am very happy to be able to address you only in this editorial
and therefore represent you our new team of young coworkers and other partners, supporters, cooperatives; and new ways of cooperation that we have managed to build in these years. Our message is: “To be, to make something and not be dependent on having�. We have been able to live according to this message in the last months since the release of the previous edition without any strains. We have met our big idols, talked and listen to them. And they came so PerfectOffice
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to speak on our door. These great people have been in good will and humor together with their teams for decades searching for answers and implementing them instantly in practice without any delay. Movement that we can even call “movement for a decent life” creates added value and is happening across the whole world and even here in Slovenia. In this understanding value has never been considered as money or profit as a way of impoverishment. Money is only a currency. This movement is very strong and could be named “modification” but at the moment is not felt by everyone since some individuals are still not ambitious enough. In fact we need to upgrade the knowledge, improve things and preserve everything that is important. Firstly we need to acknowledge, that we can not work alone. Everything is happening within the circle of life therefore we can certainly use term “circular economy”. This takes us back to our eternal teachers: the nature and the 4
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highest developed ecosystem – the forest. We have to be aware that humanitarian and social policy can not be the proper solutions. They can only mitigate wounds that can only be healed by sustainable relationship among everything around us. Only models created from free decisions – free of any governmental dictations – can be successful. This message was also brought to Slovenia by the great individuals that visited in the last year. Our team also used every opportunity to meet Slovenian persons and groups, socialize with them and offer cooperation and receive mentorship that helped us to stay on the right path. I would like to thank you for all accumulated energy. We promise to give it back into the space and society in 2014. Everything must circulate and be in balance. We will never forget to take responsibility for our actions.
Good news We are educating The modern trend of flipped learning that was the main topic on the last year’s conference Edid in Slovenia, promotes cooperation, active dealing with problems, exchange of experiences and a responsibility for learning. These methods will also be applied by the first Cooperative School in Slovenia being formed within the Development Cooperative eTRI. The School will focus on sustainable content being needed for development of green jobs and more successful development of cooperatives. The programs of the Cooperative School will be implemented by 3 initiatives: 3R (reduse, reuse, recycle), eTRI Health and IT initiative. The target group: companies and individuals that would like to change their habits in the area of ecology and ergonomics. Sign in now!
We are including Lumu – the light meter for the iPhone and Android is a real proof that Slovene innovative product with high added value can enter the market in a most inclusive way. The young group of developers is aware of the importance of including different vulnerable groups so therefore the Zavod Jazon was invited in the working process enabling its team the right to work.
We are winning 3R iniciative has in last year experienced a real boom and received important awards: the international Unicredit Foundation award and the 3rd place on Si.mobil elevator pitch among more than 70 competitors from Slovenia. It has also managed to get into the finals of Reinovator Challenge organized by Zavod Viva, Environmental award 2013 organized by Finance newspaper and the Social innovation 2013 within the the 4th days of social economy. Congratulations to the team. PerfectOffice
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Barbara Pavlin, Economy (Delo, Fri, 3 January 2014, 10:00)
Development cooperative eTRI creates new green jobs Developent cooperative eTRI creates new green jobs They’ve transformed the eTRI business model into a franchise and established a foundation for a Cooperative School, which will use eTRI euros as currency. Ljubljana – Development Cooperative eTRI is teeming with ideas and projects, because, according to Lenka Puh, even though they’re a social enterprise, they have to compete in the marketplace just like any other company. In the last two years they’ve created new green jobs for the vulnerable groups, never running out of fresh ideas for new projects. eTRI was founded by Jazon, a company with 24 years of experience and a Jazon, Company Employing Disabled People since 2006. »We try to fulfill our goals just like any other company: by developing new services and products for our customers. Two years ago, even before the Social Entrepreneurship Act was introduced, we announced a new business model called eTRI: ecology, ergonomics and ethic economy. These are the three areas where a business needs to adapt in order to succeed,« explains Lenka 6
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Puh, cooperative chairwoman, and adds: »We weren’t afraid to change our habits when it came to ecology – after all, our company was started by scouts and even some of the first environmentalists. Our ecological work helped educate people who later went on to shape our country’s strategy for the transition to a low carbon society, a project that wouldn’t be possible without Jernej Stritih, a well-regarded forester, environmentalist and politician. In this strategy, green jobs and social entrepreneurship are clearly written and defined, and Jazon served as an excellent example.« The eTRI model was designed with every step of the way towards an end product in mind – namely, how it affects both nature and man. Man happens to be at the center of the model’s consideration. »A carbon footprint says nothing about the
Lenka Puh (right) and her coworkers believe that you need to change your habits in order to succeed in business. Photo: Ljubo Vukelič/Delo relationship between people, so we changed that. eTRI puts man in the middle of its efforts: adapting workplaces, relationships, process ergonomics etc. You can’t deal with ecology and not think about man as a factor. Only when everyone’s included, can we start to discover new ways of improving relationships between people and their attitude towards nature.« The three Rs According to eTRI cooperative, they’ve had positive experiences in cooperating with classic
economy, since it tends to be socially responsible and simple by nature. They are well aware that employees are their biggest assets. Members of eTRI claim that social entrepreneurship is just like any other entrepreneurship. »Every cost-effective enterprise tends to be both people and nature friendly. No one’s gone out of business because of treating people and the environment nicely, while the opposite happens too often,« says Puh. In order to function properly, they needed to obtain contract givers or business partners, so they set up the 3R PerfectOffice
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cooperative initiative (reduce, reuse, recycle, rethink, refuse… ) which is comprised of companies that follow the 3R principles. »It isn’t just about reducing, reusing, recycling; you can create a different sequence of your choice. For instance, starting by repurposing and then reducing, recycling. You could even string nine Rs in a row. All a company needs to do is choose how many Rs it wants to have,« explains Puh. Within a span of a single year, eTRI cooperative attracted 120 members or companies that either utilize the 3R-stations or support the initiative in other ways. Less waste, fewer costs The purpose of the 3R initiative is to encourage member companies to redefine their definition of waste. »We provide a service that helps lower the cost a company has with waste. We prepare individual projects for rubbish sorting and educate their employees about reuse, about 3R,« explains Puh on behalf of her team. They set up waste collection areas and 3R-stationos or waste bins, which are then used by employees to dispose of objects that are appropriate for reuse or recycling, such as toys, textiles, paper for making cellulose insulation, or even food for the Anina zvezdica initiative which collects food for families in need. These stations are the property of eTRI cooperative. 8
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»We set them up, collect the contents on a regular basis, and in return, the company pays a certain fee to cover the cost of maintaining the stations. Our main goal is to decrease the amount of waste materials that a company has to dispose of. We also try to convince trade unions to buy used toys that we’ve prepared for further use. All proceeds go to charity, Slovenian association of friends of youth,« says Puh. Newspaper that’s collected from 3R-stations doesn’t end up in a dump – instead, it gets converted into high-quality cellulose insulation. Without a single drop of water, too, so there’s no harm done to the environment during the recycling process. In order to accomplish this, they’ve teamed up with Zimic, a Komenda-based company. »We supply all the materials. Our product was among the few candidates to win the National Environmental Award,« says the chairwoman. An award-winning company Their ideas, projects and services are clearly acknowledged by others as well. The 3R-initiative was financially supported by Unicredit Foundation, and according to Lenka Puh, that enabled them to develop the 3R-stations project and set up a used newspaper sorting facility. »This award is a symbol for something else: it took a foreign company to recognize
Jazon as a social enterprise, even though it isn’t registered as such in Slovenia, since that’s impossible. Only the cooperative is registered as a Type-B social enterprise,« emphasizes Puh. They placed third in Simobil’s elevator pitch, were among the finalists of Reinnovator Challenge, organized by Zavod Viva, as well as the competition Social Innovation 2013 that took place as part of the 4. Dnevi socialne ekonomije 2013 conference. The eTRI business model has also been transformed into a franchise. »You need to attract businesses. For instance, a social entrepreneur from a town in another part of the country is welcome to join our community, as long as he operates according to our standards, with the town’s mayor being the purchaser of the franchise. The local community has to be interested in attracting economically sustainable and reliable ideas. Were they to undertake such a project on their own, it would take too long to obtain the same result. Local communities need to decide whether to have their public services managed by social enterprises or their own enterprises. Austria and Munich are good examples of that. You simply can’t expect everything to be
regulated by the market,« remarks our interviewee. Plans for a Cooperative School They’re planning to start a Cooperative School, which won’t be a typical business school, but rather a place for socializing and exchanging ideas, a coworking space, a reading room, a breakfast room, a shop for innovative products etc. They’re full of ideas. The school will be based on the so called flipped learning approach that promotes cooperation at work, facing challenges in an active way, exchanging experiences and emphasizing every individual’s responsibility to study and improve. They’ll provide courses in sustainability which are needed to develop green jobs and cooperatives. Programs are to be carried out by three initiatives: 3R, eTRI-health (workplace safety measures) and the IT-initiative, their purpose is to engage enterprises and individuals, who want to change their habits regarding ecology and ergonomics. »Cooperative School isn’t an incubator, therefore, no conditions apply. We’ll be using a currency called eTRI-euro. If someone can’t afford to pay but wants to attend, they won’t be rejected. Instead, their effort and work will be converted into eTRI-euros, into our cooperative. Lecturers PerfectOffice
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will receive payment in eTRI-euros as well, which means that they’ll have to spend their earnings in our community,« says Puh regarding the working principles of the Cooperative School. Cooperating with European Kickstarter projects Recently, Jazon’s employees took part in assembling Lumu, a light meter for the iPhone and Android. »Our goal is to assemble all European Kickstarter projects here and to become some sort of a dispatch center for them. We could bring much business to Slovenia, since the cost of labor is cheaper here.« They’ve also been busy preparing new projects in association with Ekologi brez meja, a Ljubljanabased ecology society, striving to reduce waste and packaging (the »conscious« shopping bag, created by talented people at Smetumet). They’ll try to convince Slovenians to not use polypropylene bags when buying fruit and vegetables in a store. Locally produced food »We’ve learnt how to work together with the non-governmental sector in order to push things forward in a more significant way,« says Puh. They take part in producing organic vegetables locally. An investor has already started construction of an aquaponics greenhouse near 10
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Brezovica, which will provide work for their employees. »This area still has a lot of untapped potential,« says Puh and mentions food delivery to workplaces, among other things. They’ve applied for a call for tenders which aims to strengthen research departments in businesses, so they could have their very own research and development (R&D). »We have young, educated people, who want to get doctoral degrees. Social enterprises need R&D just like commercial businesses in order to offer a competitive service on the market. It’s time for those in charge to make sure that at least one social enterprise got its own R&D department. That’s essential for our team’s success!«
Nataša Ropret
Sponsor’s role in the process of vocational rehabilitation Until recently I could describe myself as a person full of fresh momentum and working energy. Overnight I was hit with the diagnose – chronic autoimmune disease. Shock. The ‘modus operandi’ that had been followed for several years, the tempo and working rhythm suddenly became unacceptable for my recovery. Not only being compelled to force with the cruel diagnose as a young woman; I was also categorized as a working disabled person with specific limitations. I became a »burden« due to drastic declination of my working efficiency. My head wanted to take different way that my body had chosen. Despite of all the difficulties I was able to maintain the internalized awareness that my personality remained the same and has not been influenced by the diagnose. I knew that all the knowledge and skills I have had gained through many years could be passed on. The key role of the sponsor is to see a personality instead of a disabled person! So I found myself placed in a completely new and different role – being a sponsor and a working disabled person at the same time. v
A sponsor is a person that gathers the knowledge and information from his own experience. And the most crucial in this process is recognizing the sense of becoming a working disabled person and facing with the specific working limitations. Build up with his own experience, a sponsor is most capable to offer a compassion and tolerance. Specially when it is not at all the way he wanted. A sponsor has two key roles – being a co-worker and a person who monitors the development and progress of the sponsee. Also must be willing to colaborate and to share the working process. It is very important to aknowledge all the progress and the efforts of a disabled person in accustomization process in new working environment. eTRI vocational rehabilitation model ensures innovative and inclusive approach at implementing working rehabilitation services. Since different experts are involved in the legal process of vocational rehabilitation, eTRI vocational model becomes more than helpful for finding a suitable work or employment. Providing the modification of the existing working skills enables the creation of »new« professions that abolish the labor division in the branches . PerfectOffice
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Dario Radošević, MBA
The path to social franchise
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There are plenty of start-ups and proven local models of social entrepreneurship, and very small number of big well-known, global ones. There are several possible explanations for this status like: lack of appropriate available finance, lack of skills and readiness of the enterprises and entrepreneurs; still more that traditional growth models don’t work in this space.
to financial performance; the purely altruistic route doesn’t reward the social enterprise for this intellectual property or support its financial sustainability. We found only few examples/exceptions where the compromise was reached. Because of that reason it was necessary to pioneer completely new financial or business models to reach that synergy.
Traditional commercial route can lead to ethics, values, principles and social impact becoming secondary
Could be franchising the key to scaling social enterprise? Social franchising could be one of the keys
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to unlock the scaling challenge that the sector’s been wrestling with for years. To accomplish that challenge it is important to give answer to several tough questions: t )PX UP TDBMF JNQBDU XJUIPVU scaling the organization in a traditional, hierarchical way? t )PX UP BWPJE SFJOWFOUJOH UIF wheel by replicating proven models? With that it is possible to reduce assets cost and risk. t )PX UP NBLF PVS CVTJOFTT NPEFMT open-source, which could be easily adapted to local environment? t )PX UP TIBSF TVDDFTTGVM NPEFMT in a way that will maximize social impact and financial sustainability for all stakeholders? t )PX UP HSPX JO BDDPSEBODF XJUI your values and principles, and those of the people you want to work with? Social franchising is not necessarily the quickest, easiest way to scale, but it does represent an approach that can provide answers to these questions. Social franchising has partnerships and collaboration in its core, takes account of the need for national reach (big answers to significant problems) but also of local circumstances, creates revenue and currency flows and, crucially, doesn’t conflate scale of impact with scale of organization or, worse, scale of turnover. In short, social franchising could be the sweet spot
for social enterprise between proven local shops and open-source. Who seeks will find eTRI cooperative looked to find a right way to expand its success and business model from one local community to the other. The answer was franchising, and examples from the abroad proved it was a right choice. The business model is based on 3 area: ecology, ethical economy and ergonomics. Development cooperative eTRI (eT(h)ree) took that approach as its guidance because it supported its core (strong networks, local credibility, transparency, learning, partnership) and its values (devolving power, entrepreneurial, collaborative…). In a while eTRI started to connect internationally, partnerships with SEEKEM, promotion of Integral Economy movement, working on developing first ethical bank in Slovenia in a cooperation with a team from Croatia and Mr. Goran Jeras, are just few good examples. It has not been an easy road to become valuable member of social enterprises and economy and locally proven. As eTRI continues to strengthen its relationships, build new partnerships, open new local franchises, and learn as they go, we can be sure social PerfectOffice
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entrepreneurship models have great future. They created a synergy of localism and decentralization (new political context), and people now can see success of the model. Model is a solution to the bottleneck of social enterprise, social impact is not in a conflict with the organizational structure or with the objectives to achieve revenues. Next goal is to expand the franchise through political support of local government. Cooperative promotes local political sphere to invest in the franchise and to employ local people on new green jobs. One good example is 3R initiative, where eTRI cooperative is influencing change of people habits on the field of health and ecology. With 3R stations
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they are collecting paper and with partner Zimic lte produce cellulose insulation used in construction of houses. As we can conclude, slow growth at first was a good thing in this example. This means that they made the majority of their mistakes and missteps (on the steepest part of the learning curve) already on small segment. They are ready to change the way how we perceive social economy and set new economical standards, first locally and then through local franchises globally. Reference: Nick Temple, Why franchising could be the key to scaling social enterprise
Results of the 3R Initiative Currently, the most visible service of the 3R cooperative initiative is the 3R station (reduce, reuse, recycle, rethink, refuse, …). Between October 2012 and December 2013 it has spread across Slovenia to more than 120 companies and public institutions. In cooperation with associated partners, 3R initiative managed to collect more than 60 tons of high-quality cellulose paper which was used by the partner company Zimic for creating a new product with a high added value: cellulose insulation. 3R stations have an additional humanitarian dimension. A portion of the funds collected via 3R initiative is sent to the Elementary School Dr. Ljudevita Pivka Ptuj that educates children with special needs. The project named “We are a part of you as well!” is being run by the Association of professional
firefighters of Slovenia and its aim is to contribute to improving school’s living and learning conditions. We thank all the participants in this project for their cooperation. With their help we managed to create seven new workplaces for people from vulnerable group. By the end of year 2013 the number of sustainable workplaces within the eTRI business model has reached over 50. Upgrading the 3D project in collaboration with the company Bisnode, focusing on charity, encourages companies to donate clothing, toys and food to those who need it in particular. In 2013 they have managed to collect more than 40 containers of clothing and footwear, which were handed over to the White Ring organisation and more than 30 containers of toys which were given to children in collaboration with the Association of Friends of Youth Kranj.
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Petra Props, Graduate in European Studies
Fair buy
Fair buy is a responsible purchase that creates opportunities for others. Every product purchased fair writes a new story of green employment, social entrepreneurship development, equipping classrooms, improving lives or promoting young artists – it supports and encourages those in need. Plurality of products offers us a choice, but we often do not take into considerations the choice of fair buy. Fair trade is a term and practice that is quite commonly encountered. It is a form of trading where producers have direct access to markets, because there is no intermediary. Therefore producers receive better payment and are 16
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more equally represented in the commercial chain. But rarely, if ever, people take into consideration that purchased goods could also be an opportunity for associations, organizations and individuals which require certain financial assets for fulfilling their mission by collecting funds through various channels and one of them is also fair buy. Responsible trade has an interest to have a responsible producer on one hand and responsible buyer on the other. Fair buyers are those who want to act responsibly and ethically in relation to others. This kind of responsibility is a decision based on changing habits.
eTRI business model and its concrete results eTRI model is a new cooperative approach that requires complete transformation of how people perceive economy and market, and seeks to change humans habits. The module focuses on three main points, which are Ecology, Ergonomics and Ethical Economy. The model is not limited to only one company or one business sector, neither it is limited to only one branch or to one type of services. It derives from the vast knowledge and entrepreneurial skills and maturity, which prove that knowledge, unity and collaboration are the key to implement new ideas quickly and effectively. All projects deriving from the eTRI business model, focus on cost-cutting approach, enabling different vulnerable groups to be successfully integrated in their business life and society. Social responsibility of the eTRI business model eTRI business model was designed to use in cooperatives, and it offers a new perspective in business. It brings structural changes and establishes a new paradigm. The model itself is focused on work environment in the areas of Ecology, Ergonomics
and Ethical Economy, making the business model very versatile and wide. The successful collaboration between stakeholders is based on consensus about ethical and business standards, with focus on welfare of cooperative development, and consequently the welfare of the community where they operate. eTRI model arises from Corporate Social Responsibility and social inclusion of individuals with problems in labor market (lower level of education, long term unemployment, age, various forms of disability). Other specific dimension of eTRI business model is that profit is primarly used for R&D function and for positive social effects, leading to social inclusion for all members of society. eTRI business model can be used as example of a transdisciplinary model, which already operates in Slovenian market. Model is created as sustainable, dynamic and integrative, and includes combination of integral model of economy, developed in the Centre for integral development Trans4m in Genoa/Italy by authors Ronnie PerfectOffice
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Lessem and Alexander Schieffer. Adaptations of work position for people with special needs/people with disabilities eTRI business model covers area of social inclusion and activation of marginalized groups. It also promotes tolerance and social human rights, educates and trains, builds and develops the concept of social entrepreneurship. Model also seeks to ensure equal rights and opportunities in the labor market, by means of adapting business processes to individuals and their capacities, taking into account their limitations. It is vital that work place is ergonomically adjusted to the individual and that it allows optimal and sustainable performance of the work processes, increases productivity and customer satisfaction. The boundaries between established business and social patterns are becoming blurred, career opportunities of an individual are interdisciplinary, and work tasks are very diverse and therefore more innovative. The main operating principle of eTRI business model is based on open participation and creation of motivating environment for professional and personal development. With appropriate distribution of individual tasks and diversification in several areas 18
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of work, eTRI model establishes division of work in 3 phases: Decision making, Implementation and Cooperation. The condition for triple division is management of multiple parallel working processes in which the role of managers/ leaders and co-workers are differently divided each time. Mobile Supplier and cost reduction Cost reduction is in core of all eTRI model projects. The first major project called “Green Procurement� was conducted in 2011. Company Employing Disabled People Jazon has became partner of eTRI cooperative through this model and reduced its costs of logistics and simplified and standardized supply system in workplace. Jazon provided timely supply system in workplace by adjusting delivery to geographical features and systemizing order and delivery days. This project is still in process and on the basis of ergonomic principles defines purchase processes of supply system in work place. Mobile supplier or Green procurement in workplace focuses on consumption rationalization of partners and on the basis of past purchases information (quality and time) predicts their future needs. This integrated cooperation, which does not include only delivery of orders and marginal processes, therefore results in comprehensive
attitude. For example: Mobile supplier takes away from workplace all that can be reused and recycled and at the same time reduces costs for all involved partners and whole society. Companies that already include social responsibility in their business will continue to follow its interests by humanizing business
processes and working environment and provide healthy working conditions for its employees. Mobile supplier is as example of best practice mentioned in Strategy of transition to a low-carbon society by 2020.
The upcoming social European Innovation 2014 eTRI social and green working opportunities through social franchise in Slovenia Our innovation is focusing on regions with lower economical and social cohesion trying to increase the number of people becoming self-employed or starting their own business and at the same time increasing the self-employment of disadvantaged or marginalized groups (e.g. young people, over 50s, people with disabilities) in the area of innovative services and products in all regions of Slovenia. The main aspect of the idea will be the process of changing people’s habit in the areas of ecology, ergonomics and ethical economy. We will be engaging and connecting
local social entrepreneurs, startups, NGO’s and creative industry in process of making new, innovative products and services. Consequently, the franchise will be giving support and opportunity to disadvantaged or marginalized groups or individuals to start their own, local social franchise, which will allow them to be an active part of society and local markets across Slovenia. Focus will be on locally produced products with high added value, positive social and environmental impact. Our plan is to connect local government resources, local networks and individuals combine that mix into new green work places. With our knowledge and innovative ways of presenting business opportunities with high potential for success we will connect local PerfectOffice
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government, non-governmental sector and local individuals with primarily segment of disadvantaged or marginalized groups. We want to create synergy between social inclusion, local employment and regional cohesion. Plan is to remove barriers, those in our mind and those in our Slovenian economy. Through that network and new social responsible movement focused on people and environment it is possible to create new, green and sustainable jobs. As we are located in middle of EU,
Notes:
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we can say that we are connection between Western Europe and Balkans. Slovenia, as part of ex Yugoslavia, was change leader in this region through the history. Today, after Croatia entered the EU and 6 other countries are waiting on European border to enter we can consider to use the same model primarily in the area on these emerging markets. With franchise, eTRI business model will be constructed in a way to easily adopt to different regions or areas and needs.