There various types of entrepreneurs in the business environment. Most entrepreneurs in the environment consist of profit maximizing businesses which mainly exist in stable economies. Social entrepreneurs mostly exist in unstable economies. Social entrepreneurs believe that all members of the society equally benefit from the business’ success. Social entrepreneurs don’t expect immediate returns from the business with their main aim being to have an impact in the social value and solve social issues. Unlike other profit making businesses social enterprises don’t expect immediate financial returns for their investments (Elkington & Hartigan, 2008).
Social entrepreneurs are characterized by the following qualities;
Futurists -They operate expecting long term results. They look beyond immediate results.
Optimists- They believe in taking challenges and converting them to opportunities that change the people and the communities for the better.
They have confidence in themselves- social entrepreneurs believe that their ideas can be shaped to services that benefit the people and the communities.
Social enterprises are according classified types of financial investments namely;
Model 1 enterprise-these are nonprofit organizations that operate using funds fromdonors. The use of the fund is monitored by the donors to ensure accountability.
Model 2 enterprises- These are nonprofitorganizations that realize their funding from the surrounding environment and the business community. They operate to ensure a sustainable social value at the same time minimizing costs.
Model 3 enterprises- these are social organizations that depend entirely on private business funds. They operate as a business with their returns going to the investors (Dees, Emerson & Economy, 2002).
Discuss the linkages between the value equation, the strategic service vision and the operating services strategy.
Value evaluation – these are the assessment activities carried out the business enterprises to come up with facts that help in decision making in the organization or assist the evaluators in generating periodic reports. Value evaluation involves assessment of issues such as the number of clients served over a certain period, the impact of the organization to the society and the environment and the level of customer satisfaction.
Strategic service vision- These are the goals and targets set by the organization’s management to be achieved after a set duration of time e.g. by the end of the financial period. Strategic service vision helps the management come up with the organizations objectives, missions and vision
Operating services strategy- these are the strategic plans and procedures laid by an organization on their daily operations. Different organizations have different service strategies depending on the products or services they provide.
perating service strategies are important in helping the organization realize its goals, missions and objectives. Examples of operating service strategies may include maintaining their customers by getting their contacts and following up on their progress or ensuring a clean, tidy environment and maintaining proper hygienic standards to portray a good image of the organization.
The activities of value evaluation provide the facts and information required in decision making by the management. The information obtained from service evaluation is later used in setting the Strategic service vision of the organization. The operating services strategy provides the rules, guidelines and procedures to be followed towards achieving the strategic service vision.
Define the major elements of process quality (service quality) and provide a real-world example (other than one given in the text) that illustrates the importance of process quality.
Service quality is defined as the assessment of how well a service is delivered to match the customers’ expectations. It’s the duty of the business management to ensure that the client’s expectations are met. In business, the management should often assess the quality of the services they offer to their customers.
There are various elements that determine the quality of the services offered by the business. These elements include;
Reliability- Reliability is the ability of the business to provide what they promise to their clients dependably and efficiently
Assurance -assurance is the knowledge and the courtesy of the employee’s. This helps the business to build on their trust in their customers.
Tangible resources- tangible resources are the physical facilities provided by the business to ensure proper customer services these also include the physical appearance of the employees working in the organization, building and the condition of the organizations environment
Action strategy – These are the set procedures and guidelines for offering customer services. The business should ensure they identify the needs of their customers and promise the customer what they exactly deliver to them. The business should later follow up to ensure that the product of service was effectively delivered as promised.
Communication- another action strategymethod is by taking their time to personally serve their customers one at a time. Serving their customers one at a time ensure the proper communication skills between the personnel and their customers. Proper communication is essential in helping the personnel describe their products and services to the client.
The business should ensure they maintain a clean, neat and presentable image of the enterprise through regular cleaning and arrangement of the premises equipment in an orderly manner. The business personnel should also dress professionally and maintain proper grooming and hygiene standards.
Empathy- The business staff should ensure customer satisfaction by offering individual attention and caring for their wellbeing and responding to their issues compassionately through addressing their needs and concerns
Responsiveness- the personnel in the enterprises should offer their services willingly and should be ready to provide prompt services e.g. responding to emergencies
Positivity – The personnel of the business should project a positive can do attitude and take immediate steps to satisfy the needs of their customers
Businesses that offer quality services to their customers are highly competitive as compared to others since customers from past experiences spread the word of mouth to other customers which is a form of business advertisements. Offering quality services to the clients offers a sense of self satisfactions to the enterprise the personnel at the enterprises (Yunus, 2007).
Dees, J. G., Emerson, J, & Economy, P. (2002). Strategic tools for social entrepreneurs: Enhancing the performance of your enterprising nonprofit. New York: John Wiley & Sons, Inc.
Elkington, J. & Hartigan, P. (2008) The power of unreasonable people: How social entrepreneurs create markets that change the world. Boston: Harvard Business School Press.
Yunus, M. (2007) Creating a world without poverty: Social business and the future of capitalism. New York: Public Affairs (Perseus Books Group).