Harvard Case - Wateroam: Social Enterprise in Singapore
"Wateroam: Social Enterprise in Singapore" Harvard business case study is written by Cheng Boon Koh, Maw Der Foo. It deals with the challenges in the field of Social Enterprise. The case study is 12 page(s) long and it was first published on : Sep 12, 2021
At Fern Fort University, we recommend Wateroam pursue a hybrid growth strategy that leverages its strong social mission and innovative business model to expand its reach and impact. This strategy will involve a combination of:
- Scaling its existing operations: Expanding the Wateroam network to new locations in Singapore and other Southeast Asian countries, focusing on underserved communities and areas with high water scarcity.
- Developing new product and service offerings: Expanding beyond water filtration to offer additional services like water conservation education, sanitation solutions, and sustainable agriculture practices.
- Exploring strategic partnerships: Collaborating with government agencies, NGOs, and private companies to leverage resources, expertise, and market access.
- Embracing social impact measurement and reporting: Developing robust metrics to track and communicate Wateroam's social and environmental impact to stakeholders.
2. Background
Wateroam is a social enterprise in Singapore that addresses the growing problem of water scarcity and access in developing countries. Founded by a group of passionate individuals, Wateroam provides affordable and accessible water filtration solutions to communities in need. The company's mission is to improve the health and well-being of people by providing safe and clean drinking water.
The case study focuses on Wateroam's early success in Singapore and its plans to expand its operations to other Southeast Asian countries. The company faces several challenges, including:
- Limited resources: Wateroam is a young company with limited financial resources and a small team.
- Competition: The water filtration market is competitive, with established players and new entrants.
- Regulatory hurdles: Navigating the regulatory landscape in different countries can be challenging.
- Scaling challenges: Expanding operations while maintaining quality and social impact can be difficult.
Main protagonists:
- Founder: The passionate individual who initiated the Wateroam project.
- Team: The dedicated individuals working to achieve Wateroam's mission.
- Community partners: NGOs and local organizations working with Wateroam to implement solutions.
- Potential investors: Individuals and organizations interested in supporting Wateroam's social impact.
3. Analysis of the Case Study
Wateroam's success is rooted in its social entrepreneurship approach, combining a strong social mission with a sustainable business model. This approach aligns with the triple bottom line framework, focusing on social, environmental, and financial performance.
Key strengths:
- Strong social mission: Wateroam addresses a pressing need in developing countries and has a clear impact on improving people's lives.
- Innovative business model: The company's affordable and accessible water filtration solutions are tailored to the needs of low-income communities.
- Community engagement: Wateroam collaborates with local communities and NGOs to ensure sustainable implementation of its solutions.
- Passionate team: The founders and team are dedicated to Wateroam's mission and driven to make a difference.
Key challenges:
- Scaling operations: Expanding to new markets requires significant investment and resources.
- Competition: Wateroam needs to differentiate itself from existing players in the water filtration market.
- Sustainability: Maintaining profitability and social impact in the long term requires careful planning and execution.
Framework for analysis:
- Porter's Five Forces: Analyzing the competitive landscape and identifying opportunities for differentiation.
- SWOT analysis: Identifying Wateroam's strengths, weaknesses, opportunities, and threats.
- Social impact assessment: Evaluating the effectiveness of Wateroam's interventions and measuring its social return on investment (SROI).
4. Recommendations
1. Expand geographically:
- Target underserved communities: Focus on areas with high water scarcity and limited access to clean water.
- Leverage existing infrastructure: Partner with local organizations and NGOs to establish distribution networks and build trust with communities.
- Tailor solutions: Adapt Wateroam's products and services to meet the specific needs of each location.
2. Diversify product and service offerings:
- Develop water conservation education programs: Empower communities to manage water resources more effectively.
- Offer sanitation solutions: Address the interconnectedness of water and sanitation by providing hygiene education and sanitation facilities.
- Explore sustainable agriculture practices: Support communities in adopting water-efficient farming methods to improve food security.
3. Build strategic partnerships:
- Collaborate with government agencies: Secure funding, access to resources, and regulatory support.
- Partner with NGOs: Leverage their expertise and reach in target communities.
- Form strategic alliances with private companies: Access technology, manufacturing capabilities, and distribution networks.
4. Embrace social impact measurement and reporting:
- Develop robust metrics: Track key indicators such as water access, health outcomes, and economic empowerment.
- Implement transparent reporting: Communicate Wateroam's impact to stakeholders through annual reports, case studies, and social media.
- Seek external validation: Engage independent organizations to assess Wateroam's social impact and SROI.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core competencies and consistency with mission: Expanding geographically and diversifying offerings aligns with Wateroam's mission to improve water access and health outcomes.
- External customers and internal clients: The recommendations address the needs of underserved communities, local partners, and potential investors.
- Competitors: Wateroam needs to differentiate itself by focusing on its social mission, innovative solutions, and community engagement.
- Attractiveness: Expanding operations and diversifying offerings can lead to increased revenue and social impact, making Wateroam a more attractive investment opportunity.
6. Conclusion
Wateroam has the potential to become a leading social enterprise in Southeast Asia, addressing the critical need for safe and clean drinking water in developing countries. By pursuing a hybrid growth strategy that combines scaling existing operations, developing new products and services, building strategic partnerships, and embracing social impact measurement, Wateroam can achieve its mission and create a lasting impact on communities in need.
7. Discussion
Alternative options:
- Focus solely on scaling existing operations: This approach could limit Wateroam's growth potential and impact.
- Focus solely on developing new products and services: This approach could be risky without adequate market research and validation.
- Remain a small, local organization: This approach would limit Wateroam's reach and impact.
Risks and key assumptions:
- Financial sustainability: Wateroam needs to secure sufficient funding to support its growth plans.
- Market demand: There needs to be a sufficient market for Wateroam's products and services in target locations.
- Regulatory compliance: Wateroam needs to navigate the regulatory landscape in different countries.
- Community acceptance: Wateroam needs to build trust and relationships with communities to ensure the success of its interventions.
8. Next Steps
Timeline:
- Year 1: Develop a detailed growth strategy, secure funding, and establish partnerships.
- Year 2: Expand operations to one or two new locations, launch new products and services, and implement social impact measurement.
- Year 3: Continue expanding operations, refine business model, and seek external validation of social impact.
Key milestones:
- Secure funding: Raise capital through impact investing, grants, and social finance.
- Establish partnerships: Form strategic alliances with government agencies, NGOs, and private companies.
- Launch new products and services: Develop and test new solutions to address the specific needs of target communities.
- Implement social impact measurement: Develop robust metrics and reporting mechanisms to track and communicate Wateroam's impact.
By taking these steps, Wateroam can position itself for sustainable growth and make a significant contribution to improving the lives of people in developing countries.
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Case Description
Wateroam is a social enterprise that develops water filtration systems for rural and disaster-hit areas. Since 2014, Wateroam has deployed its water filtration systems to more than 30,000 people in remote villages and disaster-stricken areas across Southeast Asia through Non-Governmental Organisations (NGOs). In 2014, three young men met at the HydroPreneur Programme, an industry-oriented entrepreneurship programme organised by the Public Utilities Board (PUB) - Singapore's national water agency - to accelerate commercialisation of technologies and foster a new generation of water entrepreneurs. This event kickstarted the journey of Wateroam, a social enterprise founded by David Pong ("David"), Wateroam's Chief Executive Officer (CEO), Lim Chong Tee ("Lim"), Wateroam's Chief Marketing Officer (CMO), and Vincent Loka ("Loka"), Wateroam's Chief Technical Officer (CTO). David graduated from the National University of Singapore (NUS) with a Business degree, while Lim and Loka graduated from NUS with degrees in Environmental Engineering. 2021 was a challenging year for Wateroam, and the seventh year of its operation. As its three co-founders perused a 2020 World Economic Forum report that identified Singapore as one of the five most promising start-up hubs to watch outside of Silicon Valley, they reflected on their journey and the road ahead. What additional tools and frameworks would they need to navigate changing social and economic conditions worldwide? How should they position Wateroam to succeed in Covid-stricken communities as well as post-pandemic markets?
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