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Home > Brief News > 2015

2015

Opportunities and Challenges

Cooperation between Social Organizations and Enterprises-3
 
IV. Rules to Follow for Cooperation between Social organizations and Enterprises
Professor James E. Austin from Harvard Business School has proposed “Seven-C-Principle” in his famous book Collaboration Challenge: How Nonprofits and Businesses Succeed through Strategic Alliances. Is “Seven-C-principle” suitable for China? Personally, the research and cooperation is beneficial to both parties and good to win-win situation.
  1. Basis of the cooperation goal and the partnership organization. Any cooperation is bilateral cooperation and the goal and the partnership is the basis of work. The partnership is closely related to the cooperation target. There won’t be a long-term cooperation if the goal is inconsistent, even if the partnership is good. Only when the partnership is consistent with the target, the basic situation of cooperation can be formed.
  2. Cooperation target clarification. There are many differences between enterprises and social organizations and therefore cooperation understanding is not entirely consistent sometimes. The cooperation target should be clarified through deep communications and discussions between representatives from both sides. That will be a good foundation of long-term cooperation in the future.
  3. Harmony and consistent purpose, strategies and values. In the process of cooperation with enterprises, the society organizations should try to find the purpose, strategy and value which is similar with the enterprises. For example, the environmental social organizations need to understand whether the partner has the sense of environmental protection, reducing the environmental damage and making benefit for next generations. They should jointly develop the cooperative strategies and action plans in actual operation.
  4. To create cooperation values jointly. The highest level of social organization and enterprise cooperation is to create new values together. For example, to help dropouts in rural areas return to school. On the one hand it is to help the children, on the other hand is to help the enterprises themselves. Now they are children, but in the future they may become employees of the enterprises. To improve the level of national education is to help improve the human resources competitiveness in the enterprises.
  5. Communications with partners. Trust is the basis of cooperation. The frequent communication is the way of understanding each other. Meeting is the room is not the only way of communication, visit and forum to the partner side is more important. Various activities for promoting friendship like walking together is also recommended.
  6. Continuous learning from each other. Social organizations can learn the strict management methods and ideas as well as the enterprising spirit of staff from the process of cooperation with enterprises. The enterprises can also learn the volunteer and the spirit of dedication from social organizations. Cooperation will be enlarges in the process of learning from each other.
  7. Commitment to partnership. Commitment to partner should be fulfilled no matter it is enterprise or social organization. If there is something need to be cleared before signature, don't make a promise easily. Cooperation is equal and the cooperation agreement is protected by the law. Therefore, the commitment to the partnership not only in words, but also in implementation. Be punctual and fulfill the agreement is more important.
V.  Opportunities, Obstacles and Countermeasures of Social Organization and Enterprise Cooperation
  1. The opportunities of social organization and enterprise cooperation. First, situation of streamlining administration, delegating power to the lower levels and separating the government and social organizations is an important opportunity for social organization to cooperate with the enterprise. Second, the gradual improvement of legal mechanism. For example, to revise regulations for non-profit enterprises, associations and foundations; to prepare and approve Philanthropy Law, Foreign NGO Administration Law, and so on. Third, social awareness has improved significantly. Information society has provided a golden opportunity to social cognition. The key of improving social awareness is to make good use of information technology. Fourth, the competition mechanism of social organizations-enterprises cooperation has occurred. Fifth, the fast development of social supervision network. Supervision power from internet users has become an important part of Chinese social supervision. The effective supervision of Internet users can contribute to transparent cooperation between social organization and of enterprises and create new social value together.
  2. The obstacles of social organization and enterprise cooperation. First, the impact from external environment can’t be ignored including the deep impact of traditional concepts and the over-reliance on enterprise development mood. Second, there is still shortcomings of social impact and social responsibility of entrepreneurs. Third, the government is lack of capacity of supervising enterprises and social organizations. The two parts sometimes make use of each other. Fourth, social supervision power is still weak. How supervision from the new we-media guide the cooperation between enterprises and social organizations? How they advocate the social transparency, openness and accountability mechanisms. Fifth, the social organization is lack of management ability which is also an obstacle to cooperate with enterprise. The factors as below will affect the survival and development of social organization and enterprises cooperation: lack of long-term targets, professional talents, management, lack of strong network supports and organizational sense.
  3. The main measures for cooperation of social organizations and enterprises. a). To improve the related law and legislation and implementation details. b) To enforce the equal dialogue, professional interaction, in-depth communication, and long-term cooperation between social organizations and enterprises. c). To learn and draw lessons from experiences of social organizations and enterprises from international society; d). To improve the credibility and accountability of social organizations; e). Social organizations need to work towards standard management of organizations, professionalism of employees, and specialty of services.  
In general, the cooperation between social organizations and business is at the initial stage which closely relates to the economic and social reforming process. However, the author believes that, if both sides will take mutual benefits, value, and concept into consideration, and make every little bit of efforts down to earth, the partnership will achieve sustainable development to realize the civilization of human society.
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