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Setting up a crafts enterprise for people with disabilities

VP-GP-AUG09-0001

A crafts project producing high-quality products will provide employment to 30 disabled people in Pretoria

Employment Solutions for People with Disabilities aims to empower people with disabilities through employment with a focus on those who cannot cope on their own in an open labour market.

OVERVIEW

Employment Solutions has run employment creation projects for persons with disabilities for 10 years, rendering services to major companies including Vodacom, Bosal Africa, Powertech Transformers and Automotive Leather Company. On average the organisation provides employment to 130 people with disabilities at any given time.

The persons included in the protective workshop benefit personally by learning various new skills, socialising and gaining the confidence to be effectively integrated into society. They also received additional income to their disability grants, putting them in better financial positions.

The aim of the craft project is to create sustainable employment opportunities for 30 people with severe and/or multiple disabilities. The organisation has contracted a recognised local artist to design and oversee the production of a number of high-quality craft products. The manufacture of all of these products is overseen by the project manager. The beneficiaries of the project are given tasks to perform in the manufacture of these products according to their abilities, which is consistent with the organisations philosophy of focussing on ability rather than disability.

Employment Solutions’ sustainability strategy depends on a demand for their products and services. In the case of the crafts project, the project manager has a good understanding of the market for art and craft products in the area. She is actively involved in marketing the products to galleries, shops and craft markets and, during the pilot phase of this project, closely monitored the demand for the various products. The success of the pilot phase gives a strong indication that the market will support this new project.

WHAT WE LIKE ABOUT THIS PROJECT

  • The products are of a very high quality, and during the pilot stage of the project many of the art galleries indicated that demand was high.
  • Many of the products are created from donated surplus materials (fabric from dressmakers, leather from car manufacturers and so on) and will thus have a positive environmental impact while also keeping costs down.
  • The project manager has a good knowledge of local markets for the products and actively negotiates with art galleries and market owners to promote the products.
  • The pilot project was able to turn a profit after only 3 months, indicating that this project will provide a sustainable source of income for the beneficiaries.

EXPECTED LIFE CHANGE

SASIX is listing a R49,946 portion of a larger project with a total expenditure of R316,946. This will provide the beneficiaries with employment and allow them to earn their own money. This will help to increase their independence and self-esteem. It will allow the beneficiaries to work as part of a team and teach them new social skills. In some cases, the tasks will have physical benefits too, like improved motor skills. Direct life change is estimated at R1,664 per person.

NEED

Most of the jobs that Employment Solutions provide are through their various contracts to provide services to major companies. These tasks, however, are too demanding for some of the people that the organisation aims to assist. The organisation has therefore identified a need to establish a project that will cater towards people with multiple disabilities, who do not have the physical or intellectual capacity to work on the organisation’s current projects. To this end the organisation will establish an arts and crafts project, which will produce high quality products with the guidance of a recognised local artist.

STRATEGY

Employment Solutions’ approach is more like that of a business than that of a charity. Having developed high-quality products with an artist (who will herself oversee the production process), the organisation used a pilot phase to test the market and develop their own marketing strategy. The artist/programme manager led to development of packaging and branding for the products. She also marketed products to various outlets, and used their feedback to gauge demand for the different products. This not only informs how many of each product will be made, but which products will be sold through which outlets.

By using an effective business model, the organisation aims to create sustainable employment for its beneficiaries. This kind of employment will have a far reaching impact for both the direct beneficiaries and their families.

ACTION PLAN

Preparation

The following preparatory steps have been already been taken: Identification of suitable persons to be included in the project, through occupational therapy evaluations, done by students from the University of Pretoria

  • The project manager/artist has been contracted
  • A work area has been allocated
  • Necessary equipment and tools have been identified and priced.
  • Supervisors from within Employment Solutions have been allocated to the project
  • A ceramic oven and press have been hired to begin production, but still need to be bought.
  • An initial group of 6 persons with disabilities have been trained by the project manager.
  • Sample products have been manufactured.
  • Appropriate packaging of products has been finalised.
  • A trial inclusion of products in art galleries and shops has taken place to test demand

Implementation

Once funding has been received, the following steps will be followed

  • Purchase additional equipment.
  • Train remaining 24 persons with disabilities.
  • Step up the level of production.
  • Continue active marketing to art galleries, craft markets and shops.
  • Participate at Christmas markets.
  • Beneficiaries will receive a monthly stipend of R500.

Monitoring and Evaluation

Monthly reports will be compiled, and will include the following information:

  • Number of persons with disabilities actively involved in the project.
  • Number of individuals trained.
  • Statistics on the number and variety of products produced.
  • Number of galleries and shops with products on their shelves.
  • Financial position of the project.

ORGANISATION ASSESSMENT

The goals of Employment Solutions are well understood throughout the organisation. The organisation itself employs a number of disabled individuals at various levels (from grounds staff to secretarial staff to management), reflecting the vision of empowerment and integration that it has for all of its beneficiaries.

The organisation has two broad strategies to achieve its social mission. The first is its business strategy, through which it strives to create new employment opportunities for its beneficiaries. This involves starting various pilot projects and exploring the potential to grow. The organisation strives to be demand-driven, and always explores potential markets before setting up new projects. The second strategy is to empower beneficiaries. This includes a range of skills training and motivational initiatives which aim to progress each beneficiary from their arrival and first introduction to the workplace to, wherever possible, exiting the protective workshop and competing in the open labour market.

RISK PROFILE

Key Strengths

  • Concept: The craft project addresses a particular need for employment solutions for people with limited physical and/or intellectual capacity.
  • Design: A recognised artist as project manager ensures that the quality of the products will be excellent, while at the same time being able to break down their manufacture to a series of simple tasks that can be carried out by people with disabilities.
  • Capability: The project manager is passionate and enthusiastic, and the pilot project demonstrated that the organisation is capable of marketing their products effectively.
  • Control: Supervisors and social workers are always on hand to oversee beneficiaries.
  • Sustainability: With the pilot project turning a profit after only three months, there is a strong indication that this project will be self-sustaining after an initial investment.

Key Risks - Low

  • Concept: Working with people with disabilities is inherently challenging, and this project is no different. The organisation’s long track record of working with people with disabilities does lessen this risk to some extent.
  • Capability: The project is very heavily reliant on the skills and passion of one key individual, without whom the project would be unlikely to continue.
  • Sustainability: The financial crisis had a serious impact on Employment Solutions’ operations, with demand for their services dwindling in 2008. This has begun to improve, but the craft project is to some extent betting on increased demand over the Christmas period and in the build-up to the 2010 Soccer World Cup.
  • External: The craft market is quite saturated in South Africa. This risk is mitigated by the demonstrated ability of the organisation to get its products into the marketplace.

Project Profile VP-GP-AUG09-0001

Organisation: Employment Solutions for People with Disabilities

Sector: Vulnerable People

Project Duration: 12 months

Project Budget: ZAR 56 150

Shares Issued: 1123

Shares Available: 916

Risk Assessment (0 to 5)

Concept: 2

Design: 1

Capability: 1

Control: 1

Sustainability: 2

External: 2

Organisation Rating (0 to 5)

Purpose: 4

Planning: 3

Performance: 0

Resources: 3

Governance: 4

Sustainability: 3

Project Budget

ItemAmount
Staff
Project Manager60 000
Facilitator/ Supervisor36 000
Persons with disabilities (30)180 000
Sub-total276 000
Project Materials and Supplies
Glaze sieve150
Brush sets430
Pottery tool kits (X3)320
Rubber kidneys (x2)60
Dipping tongs146
Buckets for glazes250
Sub-total1 356
Equipment / Capital Goods
Kiln (second hand)3 000
Display units (6x)1 800
Drying rack11 000
Slab roller5 500
Kiln racks800
Gypsum bat500
Sub-total22 600
Consumables
Clay4 400
Under glaze assorted1 800
Transparent glaze1 060
Calcium chloride11
Ink1 650
Lino1 500
Paper5 600
Mounting4 125
Fabric7 200
Sub-total27 346
Travel
Road Travel/Rent-a-car to galleries and shops10 000
Sub-total10 000
Monitoring and Evaluation Costs
Quality control & Financial12 000
Sub-total12 000
Administration Expenses Related to this Project
Rent (including Municipal Services)
Water/Electricity10 200
Insurance500
Repairs & Maintenance2 500
Audit and Legal Fees500
Bank Costs1 000
Stationery1 000
Telecommunication Costs (Telephone/Fax/Internet)1 000
Printing / Photocopying/Postage890
Sub-total17 590
Grand TOTAL Budgeted Expenditure366 892
Grand Total Income316 946
Amount requested from SASIX49 946
SASIX Service charge6 243
TOTAL56 189

Project Sector

Vulnerable People

South African society includes a disproportionately large number of orphans and vulnerable children (OVCs). This demands unprecedented efforts from government, civil society and the business sector to strengthen and support communities so that they are able to meet the physical, emotional and psychosocial needs of all our children. Importantly, these efforts to mitigate this social crisis need to be sustainable into next decades, enabling the children to grow into productive adults.

It is widely accepted that the world-best models of care for OVCs are to be found within their own communities. Institutionalising orphans is particularly cost-intensive, and in our current situation, the vast number of orphans has already overwhelmed the viability of institutional, residential and foster systems. It is also well-proven that it is far better for an orphan to remain in familiar surroundings, connected to their social network. The largest numbers of South African orphans are to be found in the most under-resourced communities, and so South Africa's poor are bearing the largest brunt of the orphan crisis. While many communities have responded by absorbing orphans with resilience and compassion, there is much evidence that families are increasingly struggling under the strain and failing to provide fully for the children's needs. Currently, home-based, community-supported care of OVCs is exacerbating the poverty of many households.

Although the response to the OVC crisis is growing, it lacks the necessary urgency, speed and focus. Many community-based models of OVC care have been implemented by communities themselves, non government and faith-based organisations, but the challenge remains to undertake an affordable, effective effort that matches the scale and longevity of the crisis. There is a great need for cross-sectoral partnerships employing systemic strategies to address the needs of South Africa's OVCs. The government has particularly called on the business sector to play a significant role in supporting the nation's efforts to care for OVCs.


SASIX Evaluation Metrics

The organisational rating

In partnership, Trialogue and The Funding Site developed an expert organisational capacity diagnostic test, which has been further refined by GreaterGood South Africa based on its consultations with Geneva Global and others active in this area. The result is a comprehensive evaluation and verification tool that GreaterGood South Africa uses to assess the capacity of non profit organisations according to both qualitative and quantitative metrics. The tool encompasses the purpose, strategy, performance, resources, governance and sustainability of the organisation and its activities. GreaterGood South Africa project managers are employed in the field to conduct the evaluations with the organisations implementing SASIX projects. The results of their findings are assessed through a peer review process, and then coalesced into the organisational ratings presented on the front page of each SASIX Project Profile.

The project risk assessment

In consultation with Geneva Global, GreaterGood South Africa uses a comprehensive risk assessment tool to evaluate target projects - a tool that encompasses the project's concept, design, capability, control, sustainability and external factors that will or may affect the successful implementation of the project. At the completion of the project, GreaterGood South Africa will issue a Project Performance Report that compares the actual life change with the expected life change forecasted on the front page of this profile. This report will also include the key lessons learned.

GreaterGood South Africa Services

Project identification - Through wide, expert consultation and screening processes, GreaterGood South Africa identifies top South African non profit programmes that address the greatest development needs in the country.

Site visits - In order to become a recommended SASIX project, GreaterGood South Africa's project managers must have seen the project first-hand and undertaken the necessary evaluation interviews with the project's implementer(s).

Desk research - International best practices and other references are used as benchmarks to measure the projects.

Peer review - Information gathered and project profiles are assessed through a peer review process.

Deal structure - GreaterGood South Africa's project managers work closely with the project implementers to establish the parameters with regard to the expected results, time-frames, monitoring processes, use of funds, budget and final evaluation.

When you invest in a SASIX project, GreaterGood SA will:

Document the agreement - Before funding is supplied to a project, GreaterGood South Africa concludes a Memorandum of Agreement with the organisation which covers expected results, timelines, reporting frameworks and acceptable uses of funds.

Assist with funds transfers - GreaterGood South Africa will assist with the necessary transfers of funds, according to the funder's requirements.

Obtain receipt of funds - GreaterGood South Africa confirms when the funds arrive with the project implementer.

Check progress - At around 3 months, GreaterGood South Africa confirms that the project is proceeding according to plan. The project managers are available to project implementers for advice and consultation on an ongoing basis.

Measure results - After the conclusion of the project, GreaterGood South Africa collects the necessary data and compiles a Project Performance Report which includes an analysis of the outcomes and the lessons learned. Each funder of every SASIX project receives the report.


To fund this project

Please contact: SASIX
Tel + 27 21 794 0580
Fax: 27 21 794 2239
Email: sasix@ggsa.co.za

Postal address: Postnet Suite 293, Private Bag X16, Constantia 7848, South Africa