Biannual Report | Sistema B | 2016 - 2017

Page 1

Biannual Report 2016 - 2017



Hundreds of B Corps and thousands measured ........... 18 What Makes B Corps Different ................................................... In 2006, B Lab and B Corps are founded ...................................... By 2017, the B Corp movement is already global ........................... Certified B Corps by December 2017 .......................................... B Days ....................................................................................... B Corps Satisfaction Survey ........................................................ Trade Exchanges between B Corps .............................................

19 20 21 22 24 26 27

Markets+B .................................................................... 28

TABLE OF CONTENTS

Measure What Matters ................................................................ Camino+B ................................................................................... Impact Business Rounds ............................................................. Regional Partnership with Mercado Libre .....................................

Welcome letter from the co-founders of Sistema B Internacional .......... 2

Multiplicadores B .........................................................................

29 30 31 32 33 34

Sistema B Timeline ............................................................................. 6

Going Mainstream .......................................................................

Mission and vision .............................................................................. 9

Favorable Ecosystem for a New Economy .................... 37

Introduction to Sistema B ................................................................... 8 Shared Values .................................................................................... 10

Academia B Progress ..................................................................

Goals 2016 - 2017 ............................................................................. 11

B Global Legal Community ..........................................................

Strategic Pillars ..................................................................................

Cities+B ......................................................................................

12 Main Achievements ............................................................................ 14

Ethical Banking Project in Latin America ...................................... International Social Innovation Festival ......................................... Sistema B News ........................................................................ Websites ...................................................................................

38 39 40 41 42 43 44

Institutional Strengthening of Sistema B ..................... 46 B Communities ........................................................................... Assembly of Members ................................................................. Business Councils ....................................................................... Sistema B's Governance ............................................................. Encuentros+B ............................................................................. Sistema B with B Corp Standards ............................................... Strategic Partners ....................................................................... Financial Sustainability .................................................................

47 48 49 50 52 53 54 55

1.


WELCOME Co-Founders of Sistema B Internacional Dear friends, Welcome to the 2016-2017 Sistema B report. We have been in Latin America since 2012 and this last couple of years have seen major achievements in building a more diverse movement. People from different territories, roles and interests share a common purpose:

Building an economy in which success is measured by the well-being of people, societies and nature.

We are part of an ecosystem and share a common goal of providing meaning to our actions. Throughout these years, we have carried out several initiatives with the aim of sharing leadership with a large group of highly committed partners.

2.


We were able to fulfill our goal of reaching 10 countries in Latin America. Executive teams at many Sistema B national chapters have been empowered and many local communities have initiated their activities. Since 2012, more than 340 companies have been certified as B Corps and together account for a $ 5.53 billion annual revenue. Latin American companies of different sectors, sizes and backgrounds have joined this global community and want to do business in a new way. A network of more than 830 academics in business schools have also started teaching about this new type of companies and university researchers have been gathering evidence about the impact of B Corps with regards to climate change and gender equality. The Rio+B project was concluded. This project summoned companies and organizations in Rio de Janeiro to measure and deal with the impact generated by their activities. This project has inspired the creation of Santiago+B and Mendoza+B. 2403 people took part in the Multiplicadores B program, aimed at training agents of change. Also, 25 people participated in the Consultores B initiative. Benefit corporation bills have been promoted in Argentina, Uruguay, Brazil, Chile and Colombia, as well as other provincial and municipal legal dispositions to establish new economic frameworks. B Corps and other purpose-driven companies were also offered access to new markets through a regional partnership with Mercado Libre and more than 1200 international business matchmaking meetings were organized. Four large companies have measured their value chain impact through the Measure What Matters program, which has also been included as part of 5 awards granted to companies in a partnership with media outlets: Ecoera (3 editions), Istoé (2 editions), B+60, Protagonistas de una Nueva Economía (3 editions), Emprendedor Social del Año (2 editions); Four large companies and 28 SMEs have started their Camino+B. Two international Encuentros+B were been held in Medellin and São Paulo. There have been 21 editions of the International Social Innovation Festival (fiiS), which have gathered hundreds of thousands of people to discuss and learn about the next economy and companies. Beyond these achievements, some significant milestones have been reached in these last two years. Firstly, Sistema B's model has been strengthened as a platform that brings together the interest of many stakeholders and builds trust among them. By doing that, it fosters the use of market forces to solve social and environmental problems on a large scale. By articulating B entrepreneurs, big market players, investors, academics, civil

society and public officials, Sistema B has inspired initiatives in Córdoba, Mendoza and Rosario, as well as in the Chilean and Argentinian Patagonia, Atacama, Rio de Janeiro, Paysandú, Guayaquil, and is bound to keep growing into new territories. Secondly, B Business Councils were set up in Argentina, Chile and Ecuador to mobilize entrepreneurs set out on Caminos+B to take action collectively. Finally, the most significant accomplishment is that Sistema B went from being a Latin American organization to being global. Two international Academia B conferences were held in Toronto and São Paulo, two Encuentros+B meetings took place in São Paulo and Medellin with participants from 26 countries, and the global B Lawyers community organized their first global conference in Lima in 2017 with representatives from 20 countries. We know there is a lot to improve and a long way to go. Some actions have already been planed for the near future, such as B trade missions between countries and continents, the creation of financial and credit mechanisms to develop new sectors, positioning the B brand in the market and publicizing Sistema B in media outlets, developing global partnerships, communicating the overall impact of B Corps and of different Sistema B communities, and developing different selfsustaining models for organizations that promote Sistema B in their respective territories. We want to be part of collective efforts with a generous and humble attitude that puts the common interest before our own institutional agendas and helps everyone along the way towards new economies. We want, above all, to live by the motto that

“it's more important to unite than to agree". Let's celebrate everything we can do together! None of this would have been possible without the support of our institutional partners. We especially appreciate the institutional and financial support from multilateral organizations (IDB/MIF and CAF), national government agencies (CORFO from Chile and IDRC from Canada), foundations (BMW, Porticus, Partners for a New Economy, Arapyaú Institute), companies (Sodimac, ZOMA Capital, Promotora Social Mexico, ICE, Vistage, Parque del Recuerdo, Citibanamex, AIEP, Mall Plaza), individual philanthropists and hundreds of civil society, business and government partners.

Sincerely, María Emilia Correa Gonzalo Muñoz Pedro Tarak Juan Pablo Larenas Co-Founders of Sistema B

3.


“An economy in which success is measured by the well-being of people, societies and nature�

4.


Redefining the MEANING OF economic success

5.


SISTEMA B TIMELINE Triciclos is certified as the first B Corp in South America

September 2011

January 2012

Sistema B founded in Chile, Argentina and Colombia

April 2012

March 2012

June 2012

Jan 14-15 Partnership with B Lab to increase the Sistema B Launch number of B Corps in Conference in South America Latin America

fiiS festival

July 2014

October 2014

Sistema B founded in Uruguay

December 2012

May 2013

30 B Corps in South America

100 B Corps in South America

June 2014

50 B Corps in South America

December 2014

200 B Corps in South America

June 2015

GGC approves Mexico's incorporation to Sistema B

October 2013

December 2013

Sistema B founded in Brazil

Certification of Natura CosmĂŠticos

the largest B Corp in the world and the first public company with a B certification.

First 70 Multiplicadores B

1st edition of fiiS in Chile

January 2014

First B Global Partners Conference in BogotĂĄ, Colombia. A new B global governance entity is founded: the Global Governance Council (GGC)

Sistema B Peru founded

December 2015

October-December fiiS festival

January 2016

April 2016

The benefit corporation legislation bill is launched

Sistema B Ecuador founded

6.


ACADEMIA B GLOBAL LAUNCH

May 2016

RIO+B LAUNCH First City+B in Latin America

June 2016

Sistema B Paraguay founded

Benefit Corporation legislation bill is launched

August 2016

Sistema B Mexico founded

1st International B Lawyers Conference

Academia B launch in Taiwan

fiiS festival

October 2017

Benefit Corporation legislation bill is launched

First Impact Business December Round 2016

November 2016

700 Multiplicadores B

June 2017

Second Impact Business Round

fiiS festival

FIRST ENCUENTRO+B350 participants from the whole B ecosystem and more than 12 countries

Sistema B Central America founded

Mendoza+B launch

Santiago+B Launch

January 2017

2403 Multiplicadores B

First Global Academia B Congress

May 2017

Ethical Banking Project

fiiS festival

B Community Cรณrdoba

fiiS festival

B Community Patagonia

340 B Corps in South America

December 2017

2nd ENCUENTRO+B 600 participants from the whole B ecosystem and more than 22 countries 3rd Impact Business Round

7.


In Latin America, and the world, thousands of people see themselves as part of a movement driven by a common goal: a new economic "genetics" that gives rise to collective solutions based on ethical values and principles, while addressing particular needs. The economy is in many aspects a key driver in our lives, however, we are often limited by the idea that companies and economic agents are solely interested in generating endless profit for their shareholders. Nevertheless, it is possible to redefine the market as a social space where values are expressed and collectivity is nurtured while caring for those excluded from the economic system, those who have not yet been born, and the Earth, seen as the everlasting home of living beings.

What is the point of financial growth if it is to increase inequality, deplete water resources and other natural riches, deepen individualism and exclude thousands of people?

Sistema B is aimed at offering comprehensive value to the world by promoting an economy organized and measured by the overall well-being of people, societies and nature and concerned with short and long-term outcomes. Sistema B was founded in April 2012 and currently has national chapters in 10 Latin American countries and local representations in 6 Latin American cities. the B Corp community currently has more than 340 companies in the region with a total annual revenue of more than $ 5.5 billion, a living proof that shareholder support is possible for a new business vision. Moreover, B Corps also push for new benefit corporation legislation, promote innovative forms of economic organizations in business schools curricula in order to replicate this new economic vision among future business professionals, and foster dialogue on these issues with thousands of people in public parks and music festivals.

8.


In 2016 and 2017, Sistema B grew both as an organization and as a movement. Its value proposal made it possible for several economic stakeholders to participate in this transition to an era of sustainability by facilitating their learning process and their communication, both locally and globally. Therefore, many communities of interconnected actors were formed, whose achievements and innovative actions gave rise to regional and global networks.

MISSION Build ecosystems favorable to B Corps and other economic stakeholders that use market forces to solve social and environmental problems.

VISION Work for an economy in which success is measured by the wellbeing of people, societies and nature. “Redefining the meaning of economic success�

9.


SHARED VALUES

COLLECTIVE

PASSION

DIVERSITY

INTERDEPENDENCE

CARE

INNOVATION

10.


GOALS 2016 - 2017

11.


STRATEGIC PILLARS - pillars Sistema B has defined four strategic pillars for 2016-2017 that include various activities and programs to promote a new definition of economic and business success. These programs are carried out with several communities of economic agents: academics, B Corps, investors, politicians and public officials, major market players and opinion leaders, as well as the executive teams of Sistema B in all participant countries.

12.


13.


MAIN ACHIEVEMENTS 2016 · 2017 14.


BY THE YEAR 2017,

IN JUST 5 years...

15.


HIGHLIGHTS of the Sistema B strategic partners survey results*

What are the MAIN SISTEMA B FEATURES in your opinion?

What are the MAIN ACHIEVEMENTS of Sistema B in 2017?

Systemic vision to build a new economy. Innovation, collaboration, Latin American integration, regional movement. Flexible organization. Purpose, commitment, passionate B stakeholders. Well positioned in the social entrepreneurship ecosystem. Responsibility, transparency, awareness. Community, creation of networks.

Large number and variety of certified companies. Regional expansion and positioning. Coordination between private and public organizations. Cities+B. Creation of B communities. Strategic partnerships with different stakeholders. Academia B fiiS

*Survey carried out in October 2017.

16.


What would you like to see ACCOMPLISHED IN SISTEMA B in the next 10 years? B identity recognized and widely used around the world. Presence of B Corps in the stock market. Benefit Corporation Legislation approved in all countries where Sistema B operates. Sistema B's financial sustainability. Data about the real impact of B Corps in the world. More impact investors.

What are the main aspects that Sistema B OUGHT TO IMPROVE? Coordination with global partners:

partnerships with companies, civil society and government organizations, among others.

Better positioning. Clarify strategy and show impact results of Sistema B and B Corps. Promotion of certification. More benefits for B Corps. Training of local Sistema B teams. Self-sustaining income model.

17.


STRATEGIC PILLARS - pillars

B Markets: where success is measured by the well-being of people and nature

Favorable ecosystem for a new economy

Institutional strengthening of Sistema B

18.


WHAT MAKES B CORPS Different

Committed to creating positive impact for society and the environment: PURPOSE.

Expands the fiduciary duty of shareholders and managers to include non-financial interests: CHANGE OF STATUTES.

Committed to operating with high standards of management and transparency: CERTIFICATION.

They are part of a community: DECLARATION OF INTERDEPENDENCE.

19.


2006 In 2006, B Lab was founded in the United States and Canada, with the mission of redefining business success as the ability to solve social and environmental problems based on the products and services traded. To do this, the B Corp certification was created for companies committed to continuously improve and generate positive social and environmental impacts.

20.


2017 +2350 B CORPS By 2017, the B Corp Movement was already global, with representations in Latin America, Continental Europe, the United Kingdom, Portuguese-speaking Africa, Australia as well as the United States and Canada. There are more than 2350 B Corps in 130 different industries in 50 countries and all of them have a common goal: redefining the meaning of economic and business success.

21.


TOTAL OF CERTIFIED B CORPS, by December 2017

18,700

328

Workers approximately.

Certified B Corps in Latin America.

5.3 billion

2120 Companies use the B Impact Assessment to measure its social and environmental impacts.

dollars of total annual revenue .

98

86

54

39

19

10

9

6

6

4

3

3

2

1

CHILE

BRAZIL

ARGENTINA

COLOMBIA

MEXICO

PERU

URUGUAY

PARAGUAY

COSTA RICA

ECUADOR

GUATEMALA

NICARAGUA

PANAMA

BOLIVIA

22.


More than 2210 companies use the B Impact Assessment to measure their social and environmental impacts.

+ 2100 companies have

completed more than 80% of the B Impact Assessment.

37 have financial problems when closing or selling the company.

413 companies have

25 see no value in the B

been certified since 2010 approximately.

86

Inactive Companies

325 active B Corps.

minimum score in the B Impact Assessment, therefore could not be certified.

Companies that have completed +80% of the BIA per year

B IMPACT ASSESSMENT: Online tool that allows companies to measure their social and environmental impacts. It is used for the B certification.

433

Certified B Corps

406 Re-Certified B Corps

386

Pending B Corps

283

146

2010

41 3 2011

0 2012

52

70 16

0 2013

6 2014

CERTIFIED B CORP: New type of company that measures its social and environmental impact and is individually, institutionally and legally committed to making decisions that take into account the social and environmental consequences of its long-term actions.

RE-CERTIFIED B CORPS:

210

10

19 are late in their recertification process. 5 did not reach an 80-point

86 inactive B Corps.

36

Corp certification.

65 17 7

2015

92 39 19 2016

86 66 30 2017

All B Corps go through a certification process that must be repeated every two years in order to continue being part of the best companies FOR the world.

PENDING B CORP: A logo given to those companies operating for less than a year, but that have a purpose-driven model at the core of their business.

23.


B CORPS SATISFACTION SURVEY In 2016, we conducted a satisfaction survey with B Corps in Argentina, Brazil, Chile and Colombia regarding their perception of the B movement and their current business partnerships.

In 2017, we also included B Corps from Central America, Ecuador, Mexico, Paraguay, Peru and Uruguay. The total satisfaction average in 2016 was 2.95 points on a scale of 1 to 4, and in 2017, it was 2.84.

2.84 pts total average in 2017 vs. 2.95 in 2016

Maximum Score: 4 Minimum Score: 1

24.


How satisfied are you with the B Corp community?

91%

was satisfied with the B Corp community.

Would you like to actively support the B community?

83%

How would you like to support the B community?

would like to actively support the B Corps community.

25.


TRADE EXCHANGES BETWEEN B CORPS

In 2017, 52% of B Corps in the region had business partnerships with other B Corps; while in 2016, 53% did.

Of all companies that declared having trade exchanges with other B Corps, 70% started such partnerships after certification in 2017 versus 75% in 2016.

26.


B DAY · ARGENTINA, 2017

1500

B DAY B Day is an annual meeting of the local B Community that seeks to strengthen ties among all stakeholders in the ecosystem, generate high-quality debate, inspire and build the way forward together. It has different formats and versions.

Participants

12 B Days in 2016 and 2017

B NIGHT · MEXICO,

B WEEK · CHILE, 2017

B DAY · ECUADOR, 2017

B DAY + FIIS · URUGUAY, 2017 27.


STRATEGIC PILLARS - pillars

28.


MEASURE WHAT MATTERS Measure What Matters is the program that helps impact investors and companies of any sector or size take into account the social and environmental impact of their value chain (including strategic providers and clients), through the use of the B Impact Assessment. As of December 2017, 7 Measure What Matters programs were carried out in 4 large companies. Moreover, the program was included as part of 5 awards granted in partnerships with large media outlets. Some of the companies and awards were:

29.


CAMINO+B Camino+B is a program that promotes measurement, results analysis and paths of improvement for large and small companies willing to take the B path. In total, 4 Camino+B programs were carried out with large companies and 28 with SMEs.

BRAZIL:

PARAGUAY:

Bresco Do bem Globo Iguá

Jobs-Nuts&Fit Kim's Towel Grupo Sueñolar Aki CBI Aravore OKARA Once Copipunto ICON Miut O'Hara Kilometros El Bagre Producciones

ASEGURADORA YASYRETA S.A Books Oniria PTF S.A ARCA DPF SA Mboja'o IMPERIUM S.A GAW HELIOTEC Ñande Bar Presumo Pivot

30.


IMPACT BUSINESS ROUNDS The four Purpose-Driven Business Rounds carried out in 2016 and 2017 promoted partnerships and trade exchange between large and small B Corps and non-B Corps and large buyers in order to increase positive economic, social and environmental impacts. More than 1200 business meetings were held during the Encuentros+B conferences in Medellin and SĂŁo Paulo, as well as in Santiago. Companies and organizations focused their business talks on the meaning of purpose and on how to collectively solve social and environmental problems in the region.

421

Companies

GENERATED

1200 business meetings carried out

31.


REGIONAL PARTNERSHIP WITH MERCADO LIBRE The demand for more sustainable products and services is on the rise and consumers are increasingly concerned about the impact of their decisions. Therefore, in March 2017, Sistema B signed a regional partnership with Mercado Libre, the largest e-commerce platform in Latin America. This has helped position the B Corp brand and given a series of benefits for B Corps in Argentina, Brazil, Chile, Colombia, Mexico and Uruguay. This agreement meant a great opportunity because it helped to highlight, promote and foster companies committed to improving their social and environmental impact.

32.


MULTIPLICADORES B To change the economy, more companies need to measure and manage their impacts, however, individuals also must play their part as agents of change acting from their own areas of expertise. Aimed at academics, consultants, intrapreneurs, business chambers and associations, incubators and accelerators, the Multiplicadores B program provides face-to-face or long-distance basic tools and information about Sistema B and B Corps to be applied in the professional and personal lives of anyone interested changing the economy.

2403 People

+15 Countries

Participants per country

Participants per year

33.


GOING MAINSTREAM “B Corps will be the most reliable institutions by 2027", according to a study carried out in October 2017 with more than 200 business leaders, mainly Chilean managers and board members. The survey entitled Chile 2027: A Country Overview, carried out by Virtud Partners and Diario Pulso, outlined the short-term needs and exposed entrepreneurs' opinion on how Chile would be like 10 years from now. The results point out the opinion that B Corps would be by far the most reliable institutions (55%), followed by NGOs (37%) and Carabineros (national police) (31%). On the contrary, public agencies and government institutions would be the least reliable (around 5%).

34.


GOING MAINSTREAM NEXOS +1 Establishing dialogue with large mainstream companies was one of Sistema B's priorities in the last two years. For example in Peru, Nexos+1, the most important sustainability event in the country, took place with more than 200 entrepreneurs in the region who got together to discuss new ways of doing business.

IMPACT INVESTMENT FUNDS Various impact investment funds such as Promotora Social Mexico, CO_Capital and New Ventures Group are committed to the B movement. For instance, in Mexico, they promote investments that have positive results not only economically, but also socially and environmentally.

IBGC CONGRESS In Brazil, Sistema B attended the 18th IBGC Congress to spread the word and talk with important business leaders about the policies and practices of B Corps and triple impact companies especially with regard to corporate governance and transparency.

35.


NATURA COSMÉTICOS The first public B Corp has reinforced its commitment to social and environmental impact by getting re-certified as a B Corp in 2017. "By joining the B Corps initiative, Natura seeks to strengthen the global movement of companies that do business for a better world and who are truly willing to grow and increase profits but, at the same time, generate wealth for society as a whole through positive financial, social and environmental impacts", said Natura's CEO João Paulo Ferreira. To celebrate this milestone, Natura organized a special event in São Paulo to talk about the new economies in which businesses can and must provide solutions for sustainable development and face the challenge of generating positive impact for society and the environment. Among the guests were Guilherme Leal, one of Natura's founding partners and Richard Branson, founder of the Virgin Group and co-founder of the B Team. Also, Natura announced the purchase of cosmetics company The Body Shop, a pioneer in manufacturing eco-friendly products. This partnership brings together two companies that share a common purpose and who are working beyond usual business practices.

3XI In Chile, Sistema B has co-sponsored a public-private initiative called 3XI (Inspire, Include, Innovate) together with the Production and Trade Confederation, the Solidarity Organizations Community, the Chilean Entrepreneurs Association (ASECH) and the Innovation Center of the Catholic University. Based on the motto "Towards a culture of encounter", this initiative wants to decrease polarization and build bridges for the common good. 3XI is composed of more than 100 people among business owners, entrepreneurs, civil society and Sistema B representatives, directors of associations, business executives and innovation leaders, all united and committed to work for the future of Chile.

36.


STRATEGIC PILLARS - pillars

37.


ACADEMIA B PROGRESS Calls to action

Design of training programs for law and business schools.

22

Received proposals

69

Participants

Teams composed of students, teachers and B entrepreneurs.

Characterization of female leadership in B Corps.

16 45

Received proposals

Participants

Proposals from Chile, Uruguay, Argentina, Colombia Peru.

Characterization and measurement of B Corps' impact on the inclusion of young people and women.

11

Received proposals

69

Participants

Proposals from Brazil, Chile, Uruguay, Argentina, Colombia and Peru.

38.


B GLOBAL LEGAL COMMUNITY Based on the B Global Legal Community, Sistema B advocated for 5 bills of law in Argentina, Brazil, Colombia, Chile and Uruguay with the intention of creating a special legal disposition applicable to all forms of business corporation: Benefit Corporation Legislation. Although the bills do not offer tax benefits for this type of corporation, they will make possible to identify, recognize and promote companies and enterprises with social and environmental impact in the region. The legislative house of the Córdoba province, as well as the city council of Villa la Angostura and Bariloche's city goverment, all in Argentina, have declared benefit corporations, as well as B Corps and B ecosystems, as legally and municipally beneficial and have expressed public interest in supporting them.

1ST INTERNATIONAL B LAWYERS CONFERENCE In order to discuss legal issues raised by the Benefit Corporations, and to review the role of legislation as an agent of social change towards a new economy, the First International B Lawyers Conference was organized in June 2016 in Lima with the participation of renowned law professionals from Argentina, Brazil, Chile, Colombia, Costa Rica, Ecuador, United States, Italy, Mexico, Peru, United Kingdom, Switzerland and Uruguay.

+80 B Lawyers

5 Legislation bills

Special emphasis is given to the following agreements : • The signing of an international partnership for the promotion benefit corporation legislation; • The development of legal interpretation rules for B Corps • Effective inclusion of human rights observance in the operation of B Corps. • Analysis and search for alternatives to achieve deductibility of expenses incurred in generating triple impact.

39.


CITIES+B Cities+B is a collaborative platform between Sistema B and various international organizations directed to the sustainable economic development of cities. It encourages cities in Latin America, companies and business networks to assess and raise awareness about their social and environmental impact and implement an improvement program for the city through their businesses and using the B Impact Assessment online tool. Companies that join this initiative must answer a brief questionnaire divided in five areas: governance, workers, community, environment and business model. After that, some companies receive support in developing an action plan to increase their positive impact in the city. In Rio de Janeiro, a pilot project was carried out with 43 companies who participated in follow-up workshops. Santiago and Mendoza (Argentina) have also joined this initiative during in 2017.

3 Cities+B

40.


PROJECT FOR ETHICAL BANKING IN LATIN AMERICA With the support of Partners for a New Economy and in partnership with various institutions, including Doble Impacto and Fundación Avina, Sistema B joined the citizen movement for ethical banking in Latin America that promotes ethical behavior in how people, companies and organizations use their money. The goal is to set up the first regionally integrated bank based on these principles to make this change possible in the world. In order to generate real change in the economy, financial institutions must also redefine their meaning of success and give emphasis to key aspects, such as: • • • •

The social profitability of their actions The promotion of ethical behavior in the use of money Real economy with effective social benefits. Transparency

41.


FIIS fiiS is the most important international social innovation festival in Latin America. More than a festival, it is a unique opportunity and space for debating and proposing new ways of building society. Sistema B worked as a coorganizer with more than 30 organizations and companies. This movement brings together agents of change, which mobilize, promote and generate a great collective transformation. By December 2017, fiiS had organized 21 festivals in 6 countries with more than 400,000 participants discussing the new economies.

21 Festivals

6 Countries

400,000 attendants

42.


SISTEMA B NEWS

1156 references to Sistema B and B Corps in various media outlets throughout the region.

WEEKLY NEWS CLIPPING Reaching 1109 people. 30% open rate.

MONTHLY VIDEO REPORTS 18

"Sistema B informa�

Average of 188 monthly views

43.


WEBSITES In 2016 and 2017 a regional social media strategy was implemented for the first time, which sought to increase the number of followers and interactions. To do this, diverse and highquality content was created to improve brand positioning in the digital world.

9.878

Brasil 8.165

Chile 6.392

Argentina Perú

2.369

Colombia

2.235 1.854

Paraguay

Total investment in sponsored campaigns: 2400 USD

57 campaigns carried out in 12 months in all countries at least once a year.

México Uruguay

1.250 994

Ecuador

486

El Salvador

431

Costa Rica Nicaragua Panamá

265 159 41

TWITTER

27% growth TOTAL: 13,559 followers Average interaction: 0.31%

INSTAGRAM

FACEBOOK 25% growth

TOTAL: 36,883 followers Average interaction: 6.11%

50.83% growth TOTAL: 5341 followers

LINKEDIN 120.65%

growth

TOTAL: 3879 followers

44.


In 2016, three websites were redesigned and launched: Sistema B, Academia B and Multiplicadores B.

sistemab.org

academiab.org

multiplicadoresb.org

Average visit time: 3:21 min.

Average visit time: 2:40 min.

Average visit time: 2:39 min.

Sessions: 112,772

Sessions: 14,645

Sessions: 3902

New sessions: 63.95%

New sessions: 63.69%

New sessions: 68.94%

45.


STRATEGIC PILLARS - pillars

46.


B COMMUNITIES Throughout these two years, the dream of expanding Sistema B to 10 countries (Argentina, Brazil, Chile, Colombia, Ecuador, Mexico, Peru, Paraguay, Uruguay and Costa Rica) became true. In addition, we have collaborated with many social leaders to create local communities willing to take on the path of building their own identity. So far, work has been developed in places such as the Chilean-Argentine Patagonia; Mendoza, CĂłrdoba, Rosario in Argentina, Rio de Janeiro in Brazil, PaysandĂş in Uruguay, Guayaquil in Ecuador and Atacama in Chile.

8 B Communities

47.


ASSEMBLY OF MEMBERS B entrepreneurs have become increasingly important. That is why, in Chile and Brazil, Sistema B board members were elected in an Assembly of Members, with a significant participation of B Corps, which ensures that B Corps are the effective leaders of economic change.

48.


BUSINESS COUNCILS Business councils are groups of 6 to 15 leading business owners in a country committed to the B movement mission and vision. They have no governance nor legal responsibility to Sistema B and act simply as an advisory body. Their main objective is to help Sistema B and B Corps become mainstream. The main issue discussed in the council is how to attract relevant companies in the national and regional economy to the B movement, and how to move from a traditional to a triple impact business model.

Marion Von Appen

Hernán Besomi

Alejo Cantón

Alejandro Gorodisch

Javier Casas Rua

Yolanda Kakabadse

Sandra Reed

Victor Moller

Ignacio Binimells

Pedro Arnt

Juan Collado

Héctor Guardia

José Ignacio Morejón

Juan Pablo Grijalva

Marianne Charnay

Juan Pablo Del Río

Pedro Friedrich

Adrían Saporiti

José Porta

Santiago Ribadeneira

Gonzalo García

Hans Eben

Sergio Cardone

Pablo Simón

Federico Carassale

Fernando Chuit

Juan Ribadeneira

Vinicio Leiva

Cristián Arnolds

Pilar Zabala

Fernando Rubin

Silvia Torres

Nicolás Pichón

Gustavo Vallejo

Roque Sevilla

In this sense, strategies and plans are defined for these companies so they can set out a Camino+B or a B certification process. Likewise, these councils contribute to the sustainability of Sistema B's national chapters, since each member pays on average $ 20,000-50,000 per year for a minimum of three years.

Anibal Carmona

49.


SISTEMA B'S GOVERNANCE

50.


SISTEMA B'S GOVERNANCE The Governance of each national Sistema B is organized differently, according to each country.

1

In the case of corporations and civil associations, the main governance body is the Assembly of Members, who elect a Board of Directors. In addition, corporations have an ethics or B culture committee.

2

In the case of foundations, the main governance body is the Board of Directors.

51.


ENCUENTROS + B MEDELLIN 2016 AND SÃO PAULO 2017 Two Latin American Encuentros+B FOR the world took place in 2016 in Medellin, Colombia and in 2017 in São Paulo, Brazil, with the aim of building global solutions to Latin American and world problems in a context that is constantly changing in radical ways. More than 1000 people participated among entrepreneurs, owners and executives of multinational companies and members of international organizations, lawyers, academics, impact investors, civil society leaders, public officials, strategic partners, executive teams and Sistema B board members from more than 26 countries in Latin America and the world.

2 Encuentros+B

Academia B international congresses, B business rounds, B Corps inspirational lectures and visits to local B Corps were some of the activities carried out during the conferences. Key companies such as Natura, Crepes & Waffles, Café Juan Valdez, Singularity University, LSE Marshall Institute, London School of Economics as well as B Corps representatives got together moved by the idea that creating a more humane, regenerative and inclusive economy is not only necessary, but urgent. Encuentros+B have strengthened the B movement and allowed the construction of a common road map with global goals and a collective identity.

52.


SISTEMA B WITH B CORP STANDARDS VARIATION 2016-2017

One of the internal goals for 2016 and 2017 was that Sistema B should be run according to the same standards as B Corps. To this end, a B Impact Assessment was carried out and the following results were obtained:

28.4 of 60 19.9 of 25 20.1 of 25 6.7 of 20 7.7 of 20

2017

same as

111.5 points 105.6 points

29.4 of 50 28.1 of 50 27.1 of 55 22.3 of 55

5%

1%

Workers

Governance

6%

13%

Purpose

Environment

22% Community

* The decrease in scores is explained by updated answers that did not apply to Sistema B. Even so, the Governance section stands out for its high score with respect to the expected total.

2016

53.


STRATEGIC PARTNERS The sense of URGENCY that motivates everybody involved in this global movement aimed at changing the economy to make it more humane. Sistema B works together with more than 100 organizations to build a new economy and create spaces where people can exchange ideas, coordinate actions, be creative and collaborate. These are some of them:

International Development Research Centre Centre de recherches pour le dĂŠveloppement international

54.


FINANCIAL SUSTAINABILITY IN 2017 INCOME

US DOLLARS (*)

OWN REVENUE

*Value of US dollar on 31/12/2017

EXPENSES

US DOLLARS (*) $1,158,752.94

Salaries

B Corp Certifications

$158,067.81

Marketing and Communications

Re-certifications of B Corps

$238,629.48

Events & Programs

Events: Multiplicadores B, Caminos+B, MWM

$152,752.54

Trips

Sponsor/Strategic Partners

$138,959.04

Administrative Expenses

$171,867.56

Other Revenues

$218,676.30

Other Expenses

$253,427.90

TOTAL EXPENSES

NON-REFUNDABLE FUNDS Business Councils

$508,572.43

Organizations

$392,975.00

TOTAL REVENUE

$12,604.4 $159,735.30 $88,070.16

$1,844,458.27

NET INCOME: - $ 35,825.66

$1,808,632.61

55.


Thank you very much! If you want to provide feedback on this report or request additional information, please write to: comunicaciones@sistemab.org

56.


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