Managing Creativity and Innovation

END TERM 2021

EXECUTIVE SUMMARY

The Friends of Delhi is a non-profit social service organisation that serves the entire country

of India.

Services

The Friends is a non-profit organisation that helps homeless people find a place to live. It

provides basic housing in the form of tents, sleeping bags/apparatus, and showers, as well as

extra health and nutritional support with the help of outside partners. Based on the open

accessibility of resources, the group will gradually extend its homeless services. Ideally, as

the group grows, it will be able to assist with educational and career placement support. It

helps women, many of whom are homeless, move from insecure, often abusive situations to

secure, self-sufficient lives. This is the only women-only facility in the city, and it is also the

only one offering long-term housing. It offers clients a programme that educates them

about important life skills. 

The Market

The Friends provides shelter to the people who are homeless, require shelter, or are at danger

of losing their houses. The Friends has identified two distinct market segments of customers

based on age; those who are under 18 and those who are 18 and over. The distinction is

important because of the high percentage of clients with children, and those in the younger

market segment having far younger children. These segments can be difficult to communicate

with, yet their use of The Friends services would give them some profound benefits.

Key Success Factors

Acquisition and maintenance of essential resources, excellent volunteers, effective corporate

alliance partners, social engagement, effective image of NGO in the society and correct legal

measures.

Problem

In India, there are 1.77 million homeless individuals, or 0.15 percent of the entire population.

Homeless people frequently turn to drugs and alcohol to deal with their circumstances. They

consume these substances to find relief from the problems that they are facing in their lives.

These substance abusers require specialised assistance to stay healthy and reintegrate into

society. Many times, though, individuals do not have access to such services, and their

substance misuse escalates until there is nothing left to do. Domestic abuse, poverty, and a

lack of child support are just a few of the major factors that contribute to the steady rise of

homeless persons. As the NGO is giving shelter to the woman or man or any migrant. The

problem here arise is how to make their life better so that they can attain a positive and a

clean lifestyle.

Idea to Address the Problem

Initially, NGO will focus on fulfilling basic necessities of shelter, food, and clothing. But if

we talk about its future goals, NGO will focus on providing health facilities, educational

assistance, and job placement and through one-on-one matching with a volunteer, the NGO

will assist homeless persons in forming community connections and friendships. NGO is

somewhere more focused on women health and safety and for this the NGO will start women

only empowerment programs to make them bold and educated to avoid sexual abusing

activities. NGO will also create database of every single person that is in touch with it

through software and also help the people in opening their bank accounts. Also, NGO will
 organise programs for people who are homeless which will help the homeless peoples to find

a best suitable shelter for them.

Company Location and Name

The NGO name is THE FRIENDS, and it is situated in Kaithal, Haryana.

Business Model Canvas

Key Partners: These are the Key Activities: These are the Value Propositions Public Customer
relations which will help this business model
activities
to that NGO will do to Relationships Segments
grow. make the business model
work.

1. People who want to donate: 1. Providing basic facilities like NGO will focus on its We have built a Primarily, our
General Public who wants to donate food, clothing, shelter. workforce as it is the transparent and customers are
they can. 2. Providing Health Assistance only face to its strong relations our beneficiaries
2. Corporate Partners: NGO will do 3. Providing Educational customers. To survive with our clients. and donors who
partnership with corporate Assistance in the industry, it is We try to gain donate. It is our
companies with specific goals. 4. Financial Independence must to invest in the loyalty and duty to satisfy
3. Sponsors: Corporations support partners. Also, use establish trust with both the
NGOs to influence clients, resources effectively our audience and customer
encourage people, and build and efficiently and focus on providing groups.
reputed image of the brand. deliver the value regular feedback
4. Universities: Collab with generated through towards owners. Secondarily,
universities will provide excellent these resources. person of any
volunteers for the NGO. age will be
accommodated.

Key Resources Channels

1. Human Resource: Volunteers Channels used to

And Staff communicate with
2. Building clients are
3. Networking advertisement in
4. Intellectual Property: Patents Newspapers,
and Customer Database. Hoardings, and
5. Advertisement Pamphlets.

The collaborations
and proposals are
handled through
NGO’s email.
 Cost Structure Revenue Streams
So, in an NGO mainly Capital Costs, Staff Costs, Operational Costs, and 1. Cash Donations
Administrative Costs are incurred. 2. Bank Loans
1. Capital Costs include the cost of buying furniture, vehicle, building, etc. 3. Membership
and these costs covers a good portion of total budget. 4. Fundraising Campaigns
2. Staff Costs include salaries of the staff. Salary will be calculated 5. Corporate Supporters/ Sponsors
according to the time a volunteer is devoting to a particular project. How 6. Ambassador Programs
efficient he/she is working will decide his/her salary. 7. CSR Funds
3. Operational Costs includes the daily expenses that NGO has to pay like
organising a meeting, conducting training workshop, advertising, etc.
4. Administrative Costs include cost of conducting staff meetings,
stationary, and maintenance charges of the web portal, office.

SWOT Analysis

Strengths 1. Transparency and Trust

2. Quality of Management

3. Identity Verification

4. Building Trust among Masses

5. Self-Motivation

Weakness 1. Financial Instability

2. Limited Workforce

Opportunities 1. Establishing connections with the local

business community.

2. International tie ups

3. Marketing Strategization

4. Financial Stability
 5. Finding the right team and audience.

6. Challenges while scaling up

Threats 1. Poor Management

2. Lack of Mentorship

3. Competitors

4. Political Influence

Strengths: This section allows us to list all the positive aspects of our corporation.

1. Transparency and Trust: The Friends keep their financial accounts and reports up to
date, and they also keep donors informed about the use of their donations. This
ensures transparency and build good image of the NGO in society.

2. Quality of Management: The Friends conduct physical inspections of the

organizations and investigate on their management to assure that they are not set up
for personal interest.

3. Identity Verification: The Friends use biometrics and government issued identity
cards for the verification process of any individual to whom the help is rendered to
keep the records up do date.

4. Building Trust among Masses: “Good mind, good find” principle will be followed
here. Mutual relations have one common factor i.e. Trust. Thus, having good public
relations is really important for any organisation because it's all about empowering
people from lower strata suffering from miseries 
 5. Self-Motivation: Initially only self-motivated people will join hands towards the
noble cause. But definitely it will impact the perspective of other people too towards
the social cause fulfilling the attitude of “Vasudhaiva Kutumbakam”. 
Weakness
1. Financial Instability: As a student proposing the idea of a not-for-profit organisation, it is
understood that we will be having limited funds initially. But by the pace of time and
building trust among the masses, we will be able to have financial stability.
2. Limited Workforce: Initially we have a focus on like-minded people and its hard to find
people with same dedication as the promoters do have. But we will try to take up this
weakness as an opportunity to expand the organisation.

Opportunities:
1. Establishing connections with the local business community: Any not-for-profit
organisation requires support from the general public. The most financially backed
community is the business community. People from the business community cannot invest
time but money. That’s why establishing connections will help us in goodwill sharing which
will be the strength for the organisation.
2. International tie ups: People from the International Market, especially the developed
nations, are much more interested in donating handsome amounts of finance to the
developing nations. International tie-ups will help us to have recognition world-wide.
3. Marketing Strategization: To fulfil the vision of any organisation, one needs to have
viable strategies to market the organisation. Networking Marketing is the best option
available for reaching out to people on a one-on-one basis.
4. Financial Stability: We will always look upto financial stability. We will generate
revenue from CSR Funds, Cash Donations, Bank Loans, Membership, Fundraising
Campaigns, Corporate Supporters/ Sponsors, Ambassador Programs etc.

Threats:
1. Poor Management: Dedicated Leader and manager and an efficient team are required for
hard work and smart work for empowering the society. Poor Management will be a threat to
the organisation. Keeping everything up to date will definitely be the challenge. 
2. Lack of Mentorship: Every organisation needs a lead mentor for the smooth functioning
and the stability of the organisation. Right Mentor at the right time will be required.
Decisions have to be firm always.
3. Competitors: Competition always remains in the market no matter if that is a business or a
not-for-profit organisation. It’s all about maintaining goodwill in the society and helping and
empowering the lives of people. Sometimes, the rivalries in the society can defame the
organisation. This can be a threat to any organisation.
4. Political Influence: Politicians generally associate with NGOs and demand to adjust their
personal finance to get rid of tax payment, further known as black money. This is a major
threat to any not-for-profit organisation. No organisation should indulge in such activities.

Sales Strategy

Whether it is a business or an NGO both needs marketing. Marketing is necessary for an

NGO to bring in new sponsors, satisfy current sponsors by displaying success, and propagate

our message and mission statement.

Our initial sales goal is to provide shelter to at least 500 people and developed a strategy

which will provide them basic healthcare facilities, employment opportunities, and
educational assistance. Also, we decided to allocate a small portion of our budget to promote

NGOs message on social media. Regional and Cultural Festivals are celebrated together so

that they could connect with each other. We will provide medicines and clothes for free. We

will also provide sessions regarding sexual abuse and generate a sense of respect towards

LGBTQ+.

Cost of Implementing the Idea

 Start-up Expenses

Legal Charges (including professional fee) Rs. 19,000

Logo Registration Rs. 10,000

Rent Rs. 60,000

Stationary Rs. 10,000

Computer Rs. 60,000

Renovation Charges Rs. 80,000

Furniture Rs. 2,20,000

Vehicle Rs.70,000

Total Start up Expenses Rs. 5,29,000

Start-up Assets

Cash Rs. 51,000

Other Current Assets Rs. 1,00,000

Long Term Assets Rs. 2,20,000

Total Assets Rs. 3,71,000

*Note: Building bought is on leasehold land that is why rent is charged here.
 Start-up Funding

Liabilities

Outstanding Bills Rs. 58,000

Long term Liabilities Rs. 90,000

Total Liabilities Rs. 1,48,000

Capital

Owner Rs. 3,00,000

Investors, Sponsors, Corporate Funding Rs. 5,00,000

Total Capital Rs. 8,00,000

Total Start-up Funding Rs. 9,48,000

Strategy to Fund the Idea

After the ideation of any plan, the very second step is to build some fund ideas. In our model,

after analysing and exploring a lot of things we have figured out some of the plans from

where we will be getting the fund support. All our funding programmes will go

simultaneously.

First of all, we will collect a part of the savings and for the rest of the expenses, we will

explore more fundraising ideas. As we all know, today social media has a very great impact

on young minds, and we can also raise funds from social media. Social media welcomes

every fundraised for an issue with great vigour. Asking for funds from fundraising
government organizations is another great idea to raise funds for the cause. Taking grants

from other non-profit organizations. We have also thought of a solution where the ones who

will be accommodating in the apartments will be allowed to earn money and from that like

painting Diyas which will be provided by the NGO, we can fix a margin that will be earned

by them and some of the percent will be earned by us by selling those Diyas in the market.

Many expenses can be met with this type of income too.

Potential Revenue Sources

1. CSR Funds: The CSR provisions in the Section 135 of the Companies Act 2013
apply for companies with an annual turnover of 1000 crores INR or more, and with
more than 5 crores INR as net profit for a year. The act mandates spending of at least
2% of the average net profit in three consecutive years on CSR activities. Following
this criteria, they can also donate to NGOs registered under 80G.
2. Cash Donations: General Public usually donate for the noble cause to some trusted
NGOs.
3. Bank Loans: Banks provide loans to the NGOs under different government schemes
for maintaining their stability.
4. Membership: We can have provisions in the Memorandum of Association for the
annual members contributing a specific amount annually and for the lifetime members
who will contribute once while entering the organisation.
5. Fundraising Campaigns: We can have fundraising events on different occasions
resulting in social welfare and fundraising for the organisation.
6. Corporate Sponsors: We can associate with corporate companies for sponsoring the
events, special drives, education for underprivileged kids and medical
facilities/insurance of the old-aged people.
7. Ambassador Programs: We can have student ambassadors, youth ambassadors and
influencer ambassadors to become the face of the organisation. This will
automatically lead to financial backing from the above-mentioned potential revenue
sources.
Project Timeline

We will be focusing on basics of management that is Planning, organising, Staffing,

Directing and Controlling.

(Week 8-9)
(Week 3-4) Hiring Staff
(Week 1-2) (Week 5-7) (Week 9-10)
Getting and
Registration Renovation of Creating
building on Volunteers
of NGO the building Website
leashold land for
Organisation.

Note: During the registration process, we have to make an informal group which has been

working for last 6 months before the actual registration

Organisation Chart
 Patron

President Vice-President

Secretary Treasurer

Joint Secretary Additional Secretary

R&S Head Media & Public Relations

Content Head Marketing Head

Technical Head Fundraising Head