In recent years, the social dimension of impact strategies has gained significant traction in development theories and policies worldwide. Social impact initially began as a philanthropic effort to assist those in need. However, in the 1970s, pioneers like Bill Drayton introduced the concept of social entrepreneurship, aiming to transform society and empower individuals to become catalysts for positive change.
Bill Drayton, the founder of Ashoka, an international organization that supports and empowers social innovators, recognized social entrepreneurs as essential agents of change capable of devising impactful solutions to pressing social challenges. In an interview with El País Semanal, he emphasised that "having ethical empathy is absolutely essential."
Empathy, as Drayton highlighted, plays a crucial role in understanding the needs and challenges of different communities. It enables us to grasp the root causes of social problems and devise effective solutions. Without empathy, even the best-intentioned efforts may fail to produce tangible results.
A notable example from the wine industry is the Fairvalley Farm Workers Association in South Africa. Africa has the world's highest income disparity, leading to significant socio-economic challenges. To address this, the association initiated a workers’ empowerment program, offering land ownership to its members and their families.
Through grants from the Department of Land Affairs and the Fairview Trust, the association purchased and developed a 40-acre farm to create a new wine brand, Fairvalley. Proceeds from the sale of their Chenin Blanc were reinvested into housing for founding members. Today, over 60 families benefit from land ownership, employment opportunities, and housing, showcasing how empathy-driven initiatives can address economic instability and foster professional advancement.
Equity vs. Equality
Generating positive social impact also involves understanding the distinction between equity and equality.
While equality means providing everyone with the same opportunities and resources, equity recognises that individuals have different needs and provides resources accordingly.
In the wine industry, addressing the scarcity of specialised vineyard workers is crucial. Felco, a manufacturer of pruning equipment, addresses this by organizing an annual pruning contest in South Africa, providing agricultural workers with the necessary training and recognition.
Equity in the Wine Industry
In the wine industry, a specialised workforce is growing increasingly scarce. This is particularly evident in terms of vineyard work. The onset of rural flight several years ago, combined with a lack of highly skilled workers, further exacerbates the problem in many parts of the world.
To help address this situation, Felco, a manufacturer of commercial trimming and pruning equipment, began organizing an annual pruning contest through its Africa office in 2009.
The top three pruners from South Africa’s various wine regions go on to compete for the spot as the best pruner in the country.
The competition makes it possible to provide agricultural workers with the theoretical knowledge and hands-on training best suited to their social and economic situation.
The venture has grown into an event that generates a lot of excitement, bringing visibility to and highlighting the importance of agricultural work by showcasing the contestants and providing them with a platform to shine.
The competition creates an opportunity for participants to be treated equitably in addition to improving the sector’s professionalism.
Business Models at the Service of the Greater Good
Social impact has always been part of human history, but today's entrepreneurial and competitive world demands more attention to the social impact generated by organizstions. While measuring social impact remains challenging, especially in the wine industry, continuous efforts to improve these actions and strategies are essential. The pursuit of effective solutions to social problems is a collective responsibility that transcends sectors and affects all of humanity.
Marta Juega, PhD.
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