Live and Let Live then Read

Live Below the Line

Firstly, in case you haven’t heard about it, last week was live below the line week. What is liv­ing below the line? The extreme poverty line deter­mined by the World Bank is US$1.25 or AU$2 a day in pur­chas­ing power par­ity terms and by liv­ing below $2 a day, it exem­pli­fies what it means to be in another human being’s shoes. This is not just about feel­ing poor or real­is­ing that you sud­denly have lim­ited oppor­tu­ni­ties to the many things in life that we take for granted, it is about con­fronting the fact that you also don’t have choice in terms of the food you eat.

It is a bless­ing for many in the devel­op­ing world to have food on the table but it’s not enough, lim­ited food choices leads to mal­nu­tri­tion and in turn, leads to other health prob­lems. We need the right bal­ance of nutri­ents to work and learn. The fundrais­ing and aware­ness cam­paign has raised over $1.6 m and it’s still not too late to donate.

Some of my friends have taken the live below the line chal­lenge and I respect them for doing so since I’m unable to do it because of health rea­sons. I make monthly dona­tions as a Plan’s Aus­tralia child spon­sor so I tend to limit my casual dona­tions but I have been mak­ing small dona­tions last year and this year and I encour­age every­one to do the same. Show your sup­port and of course, let me know if you are tak­ing up the challenge!

Social Entre­pre­neur­ship

Mov­ing on, I recently bought two books about social entrepreneurship:

1. Social Entre­pre­neur­ship: What Every­one Needs to Know — David Born­stein and Susan Davis. 

2. How to be a Social Entre­pre­neur: Make Money and Change the World — Robert Ash­ton

I did a bit of research on Ama­zon and they appear to be the best books on social entre­pre­neur­ship. A few peo­ple mes­saged me about the books so I decide to write a lit­tle review.

Both books are great resources for any­one who is inter­ested in social entre­pre­neur­ship or want­ing to become a social entre­pre­neur. They are also appro­pri­ately titled since the first book is about social entre­pre­neur­ship (ie. the indus­try) while the sec­ond one is all about the social entre­pre­neur. Both are com­ple­men­tary to each other so if you are con­sid­er­ing of buy­ing one, I rec­om­mend to buy the other since they are quite cheap on Book Depos­i­tory.

Social Entre­pre­neur­ship: What Every­one Needs to Knowsource: http://davidbornstein.files.wordpress.com/2009/09/se-wentk.jpg

Born­stein and Davis’ book focuses on the field of social entre­pre­neur­ship with clear expla­na­tions about why social entre­pre­neur­ship is dif­fer­ent to (busi­ness) entre­pre­neur­ship, gov­ern­ment and activism. The book pro­vides a reflec­tion of how social entre­pre­neur­ship emerges as a global phe­nom­e­non with men­tion­ing of insti­tu­tions such as Ashoka and the Skoll Foun­da­tion. It then focuses on the chal­lenges and also oppor­tu­ni­ties in social entre­pre­neur­ship and also the way for­ward. It is clear from read­ing the book that Born­stein and Davis put a lot of effort into research­ing the field since their exam­ples make the book live­lier and well-informed.

At the end of the book is a “Thoughts for Change­mak­ers” list with 25 points, the first ten are:

1. Begin with an end in mind.

2. Do what you do best.

3. Have peo­ple ask you ques­tions about your idea.

4. Prac­tice pitch­ing your idea.

5. Study the his­tory of the prob­lem you are attacking.

6. Develop a the­ory of change.

7. Keep think­ing about how you can mea­sure or eval­u­ate success.

8. Cel­e­brate every vic­tory, no mat­ter how small.

9. Ini­ti­ate new relationships.

10. Appren­tice your­self with mas­ters (work with­out pay if necessary).

How to be a Social Entre­pre­neur: Make Money and Change the World

Ashton’s book is a social entrepreneur’s bible. It focuses on the social entre­pre­neur and the organ­i­sa­tion. There is no his­tory or dis­sec­tion of the chal­lenges and oppor­tu­ni­ties in social entre­pre­neur­ship, this book is all about the social entre­pre­neur. There are many rel­e­vant exam­ples such as Jamie Oliver’s fif­teen to Bob Geldof’s Live Aid and also help­ful tips in the book that makes it prac­ti­cal. The book is almost a ‘how-to’ guide since it also has exer­cises that you can do as read through them. You don’t have to be a social entre­pre­neur to read this book since it has expla­na­tions about com­pany struc­ture, prepar­ing busi­ness cases, man­ag­ing money, build­ing teams and so on but of course, it is writ­ten with the social entre­pre­neur in mind.

At the end of each chap­ter is also a nice sum­mary such as this:

+ You can be a social entre­pre­neur by chang­ing the organ­i­sa­tion you work for, inspir­ing oth­ers to start or by start­ing some­thing yourself.

+ How you can most make a dif­fer­ence depends on where you are right now.

+ You can inspire oth­ers sim­ply by speak­ing your mind.

+ Small actions can have large con­se­quences. Think big!

+ Don’t pre-judge your chances of suc­cess by com­par­ing your­self with oth­ers less pas­sion­ate than you. Look for dif­fer­ences as well as similarities.

I end with…

The first book is a great read if you want to know if it’s worth becom­ing a social entre­pre­neur. The sec­ond will show you how to be one. Being a change maker is not nec­es­sar­ily about low pay, less stress and auton­omy, espe­cially when one is a social entre­pre­neur but it is a reward­ing expe­ri­ence. Some­times, there are too many coin­ci­dences and you end up falling into social entre­pre­neur­ship as men­tioned any­way. For exam­ple, I learned of KOTO; a social enter­prise that teaches street kids to cook as a result of brows­ing through cook­books as I was search­ing for a gift.

I leave you with a quote from Born­stein and Davis’ book:

The first step for any­one embark­ing on  a career in the field of social entre­pre­neur­ship is to deter­mine what you have always cared about. In the archae­ol­ogy of your life — past actions, rela­tion­ships, stud­ies, and work — unearth the arti­facts of your abid­ing inter­ests or your call­ing. The more hon­est your inten­tion, the more gen­uine your attach­ment to the work, the more effec­tive you will be — and the more ful­filled. This is crit­i­cal because many social entre­pre­neurs strug­gle for years in obscu­rity before they achieve suc­cess and recog­ni­tion.
(Social Entre­pre­neur­ship: What Every­one Needs to Know — David Born­stein and Susan Davis, p. 123)

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5 Things a Young Professional Should Be Doing

The tran­si­tion from uni­ver­sity to the work­place can be quite dif­fi­cult for some peo­ple. Per­son­ally, I find it dif­fi­cult to adapt to the new rules and unwrit­ten rules in the cor­po­rate world. I’m told many times that it will come with expe­ri­ence or to be more bluntly, there is noth­ing you can do — time will tell.

Wait­ing is painful for a gen­er­a­tion that tried to grow up  too fast. Imme­di­ate access to infor­ma­tion, the priv­i­lege to attend uni­ver­sity, and the abil­ity to estab­lish a busi­ness online are clear sign­posts that expect­ing Gen­er­a­tion Y to behave like pre­vi­ous gen­er­a­tions is clearly unpro­duc­tive. We are already one decade into the 21st cen­tury yet many of us still apply 20th cen­tury solu­tions to 21st cen­tury prob­lems, which includes liv­ing a late-20th cen­tury lifestyle.

For the ambi­tious young pro­fes­sion­als, here are 10 things you should be doing to pre­pare your­self in this uncer­tain envi­ron­ment and for a bet­ter future :

1. Build gen­uine rela­tion­ships and main­tain the network

Join an asso­ci­a­tion, vol­un­teer in a non-profit organ­i­sa­tion, go to a work­shop, become a mem­ber of a soci­ety or attend func­tions. There are few things in life that are impor­tant as build­ing and main­tain­ing good rela­tion­ships. Notice how I have phrased the first point, for­get the old mean­ing of ‘net­work­ing’. Gone are the days of net­work­ing at events and col­lect­ing busi­ness cards, you won’t remem­ber those peo­ple and they wont’ remem­ber you.

Instead, build gen­uine friend­ships with peo­ple who you are curi­ous about, truly con­nect with and will main­tain friend­ships for a very long time, if not indef­i­nitely. It is not so much about the size of the net­work but the qual­ity of the net­work. Trust takes time so don’t expect peo­ple to trust you over a friendly din­ner, they don’t owe you any­thing so don’t expect to be enti­tled to any­thing. It is fun to make new friends and really get to know peo­ple as they can teach you a lot about cer­tain aspects of life — even the toi­let cleaner can teach you some­thing about life, such as humil­ity and per­sis­tence. You will never know that the next per­son you meet or talk to will become your mentor.

Ulti­mately, you want to build a pos­i­tive sup­port net­work but it takes effort to main­tain it. Since the 1990s, progress in com­mu­ni­ca­tion tech­nol­ogy has changed the way we com­mu­ni­cate with the intro­duc­tion of the mobile (cell) phone, email and social net­work such as Face­book and Twit­ter.  There is no excuse for you to only seek peo­ple out when you need them and obvi­ously, you are also not obliged to assist peo­ple who do the same to you.

The suc­cess­ful net­work­ers I know, the ones receiv­ing tons of refer­rals and feel­ing truly happy about them­selves, con­tin­u­ally put the other person’s needs ahead of their own.”  – Bob Burg.

2. Learn a language

We are liv­ing in a glob­alised world. Many peo­ple are bilin­gual and in gen­eral, many Euro­peans know about three to four lan­guages (Eng­lish, French, Ger­man and Span­ish). The world has become increas­ingly com­pet­i­tive and you need to stand out. For­get about Euro­pean lan­guages unless you want to enter the fash­ion indus­try or live in Europe.

Instead, learn a lan­guage such as Man­darin Chi­nese, Por­tuguese or even Ara­bic. We often com­plain about the poor accent from peo­ple in emerg­ing coun­tries. Not only will you learn a use­ful lan­guage of a rapidly devel­op­ing econ­omy, you will also gain more cul­tural under­stand­ing and empa­thy towards your exotic coun­ter­parts. As you grow older, you won’t be able to learn a lan­guage as quickly so learn it while you’re young.

If you talk to a man in a lan­guage he under­stands, that goes to his head. If you talk to him in his lan­guage, that goes to his heart.” – Nel­son Mandela.

3. Travel

It is a uni­ver­sal truth that trav­el­ling nur­ture the soul. Don’t know what to do with your life? Travel. Know what you want to do with your life? Travel. Stressed at work? Travel. The Oxford Dic­tio­nary defines travel as “make a jour­ney, typ­i­cally of some length”. Trav­el­ling is not about that five-star hotel pack­age — the cor­rect term for that is vaca­tion.

There is noth­ing that can be more chal­leng­ing and sat­is­fy­ing than being in a dif­fer­ent envi­ron­ment, get out of your com­fort zone and being forced to think on your feet. It teaches you so many skills that you don’t realise such as nav­i­ga­tion, com­mu­ni­ca­tion, problem-solving, per­sis­tence, inde­pen­dence and many more.

Trav­el­ling teaches you about life, more than you’ll ever learn at home and makes you aware about cer­tain aspects in your life that you take for granted, such as the rule of law. In Ger­many, rules are strictly fol­lowed whilst in many Asian coun­tries, the rule of law does not exist because law are never respected and there­fore, are never enforced. You learn a bit more about your­self and what you can and can’t do. Des­per­ate times call for des­per­ate measures.

The world is a book and those who do not travel read only one page.” – St. Augustine.

4. Stop com­plain­ing and be grateful

Life is com­pli­cated and ulti­mately, you got to be in con­trol of your own life. We are lucky to be able to live in an era where world wars are behind us and we don’t have to face famine like other parts of the world. In fact, we are too lucky that some­times, it feels like we are enti­tled to every­thing but do we really deserve it? Are we too privileged?

Some­times, we feel like things are beyond our con­trol; we have no choice. You do have a choice — but of course, that choice is not always as sim­ple as it seems. It may be the fact that in order to be more hap­pier and true to your­self, you may emo­tion­ally hurt oth­ers such as your fam­ily. In that case, you have made the deci­sion to suf­fer in order to impress another human being. Vice versa, they have made the choice to rely on you for their own happiness.

It is an unhealthy cir­cum­stance but there is a choice, and there is also choice to get out of such cir­cum­stance. Things are never as bad as they seem and it’s never the end of the world but the first step is to stop com­plain­ing. Your friends, fam­ily, col­leagues, boss and the human race don’t deserve it. It’s okay to ask for help, in fact, ask, ask and ask away! Find your solu­tions and move on.

Don’t whine. Peo­ple who like to com­plain drive other peo­ple away and the peo­ple who are able to regain con­trol of the sit­u­a­tion and solve their prob­lems are the ones who get noticed. Your boss doesn’t care about your prob­lems, he or she only wants to know if you will get the job done. If you cringe about doing cer­tain work, give the job to some­body else and be unpaid and unem­ployed. I bet you don’t want that either. Take on chal­leng­ing work, take on menial work, take on any work you can with­out com­plain­ing. Peo­ple will notice you but they may not acknowl­edge you, that’s okay. You’ve sur­vived another day and become a bit bet­ter a person.

If you can make one heap of all your win­nings
And risk it on one turn of pitch-and-toss,
And lose, and start again at your begin­nings
And never breathe a word about your loss.” – Rud­yard Kipling.

5. Learn every­day, learn every­thing and learn it well

Firstly, there is no point learn­ing if you for­get in the next sec­ond but with access to the inter­net, you should be able to learn any­thing you wish and at a rapid rate too. 50 years ago, peo­ple didn’t expect to know how to use com­put­ers and 10 years ago, com­pa­nies didn’t expect that they will have to allo­cate a bud­get for social media either. 10–20 years later and you’ll be expected to know how to program.

Immerse your­self in knowl­edge and learn what­ever that inter­est you and learn it well. Don’t rely on becom­ing an expert in your own area and shun the rest because there will be some­one who is an expert in  your area, and know more than you in other fields too. Gain a com­par­a­tive advan­tage.  It is a com­pet­i­tive world and you’re no longer com­pet­ing nation­ally, you’re com­pet­ing glob­ally. Your job can always be out­sourced to some­one in China or the UK in the future. Watch out!

Addi­tion­ally, just because you don’t choose a cer­tain field as a pro­fes­sion doesn’t always mean that peo­ple work­ing in that pro­fes­sion know more than you either. You may be sur­prised. You don’t have to be an expert in it but you should know enough so you don’t have to out­source every lit­tle thing to an ‘expert’ that you can do your­self. It will make life a lot eas­ier. Lastly, learn­ing is not always about being alone read­ing a book. It is about immers­ing your­self. Engag­ing in dia­logues with friends is the eas­i­est start.

I think part of what made the Mac­in­tosh great was that the peo­ple work­ing on it were musi­cians and poets and artists and zool­o­gists and his­to­ri­ans who also hap­pened to be the best com­puter sci­en­tists in the world.” – Steve Jobs.

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Banking Inequality

A few days ago, the Econ­o­mist pub­lished an arti­cle titled, ‘Bank­ing in the Devel­op­ing World’ which dis­cuss about the dif­fer­ences in bank­ing between devel­oped and the devel­op­ing countries.

The arti­cle briefly sum­marises the results of pos­si­bly, the largest bank­ing sur­vey ever under­taken which includes 148 economies. The work was under­taken by the Gates Foun­da­tion, the World Bank and Gallup World Poll. While we all know that the World Bank needs seri­ous reform, I would like to add that its web­site also needs to be bet­ter main­tained (if you are a ser­ial user of the Bank’s web­site, you will know what I’m talk­ing about).

The fig­ures from the results of the sur­vey seem stag­ger­ing but not exactly sur­pris­ing either. Here is a brief sum­mary from the World Bank’s web­site:

Although half of adults around the world remain unbanked, at least 35 per­cent of them report bar­ri­ers to account use that might be addressed by pub­lic pol­icy. Among the most com­monly reported bar­ri­ers are high cost, phys­i­cal dis­tance, and lack of proper doc­u­men­ta­tion, though there are sig­nif­i­cant dif­fer­ences across regions and indi­vid­ual characteristics.

When pub­lic pol­icy fails and peo­ple can­not gain access to credit legally, there’s lit­tle doubt that there will be a strong, unreg­u­lated shadow bank­ing econ­omy, whether through friends and fam­ily or exter­nal cred­i­tors such as loan sharks. So what does this tells us? There is still a large ‘hole’ in bank­ing and there is much room for sound pub­lic pol­icy to estab­lish robust finan­cial mar­kets, as well as a role for social entre­pre­neur­ship such as microfinance.

In 1970, finan­cial wiz­ard (and almost Nobel Lau­re­ate in Eco­nom­ics) Fis­cher Black wrote a paper, ‘Bank­ing and inter­est rates in a world with­out money’ in which he shared a vision of a world where each indi­vid­ual would only require one bank account. Deposits can be con­verted into loans and vice versa, all trans­ac­tions would be cleared leav­ing “a world in which money does not exist”. At the time when I was read­ing this paper, which was a few years ago, I thought the rise of inter­net bank­ing would lead us a few steps closer towards Black’s goal. Nev­er­the­less, at this point in time, half of the world’s pop­u­la­tion is still far away from such vision.

A sta­ble finan­cial mar­ket is crit­i­cal for eco­nomic growth and as you can see from The Lit­tle Data Book on Finan­cial Inclu­sion 2012, the use of credit is also quite dif­fer­ent between poor and rich coun­tries. Home loans account for major­ity of debt in high income coun­tries while health and emer­gency debt dom­i­nate  in low income countries.

It is def­i­nitely worth­while to check the bank­ing pro­file of your coun­try and see if any­thing sur­prises you, although mine doesn’t.

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