Tisser – A Social Entrepreneur’s Journey
On a December 2017 evening, at Phansalkar’s residence, the haystack salad at the dinner table was cold but the air around was hot, an unfamiliar ambience for the Phansalkars. Dr. Megha Phansalkar (Megha), founder of the social enterprise Tisser Rural Handicrafts Pvt. Ltd., (Tisser), was unusually silent and her son Ameya Phansalkar (Ameya), Chief Operating Officer (COO) of Tisser, was also holding back words to avoid any further debate after their prior arguments. Just before dinner, Ameya had approached Megha with a strategic plan for Stock Keeping Units (SKUs) at Tisser that promoted sourcing the goods that were more in demand in order to build Tisser’s financial sustainability. However, Megha had started the enterprise to provide livelihood to the poor artisans and any distinction based on the salability of their goods was against her principals. The argument on financial sustainability with her son left Megha in deep thoughts. Could the organization sustain its growth with the existing business model? Would it not be an injustice to the artisans if Tisser focused more on profitability?
Indian Handicrafts and Handloom Market
India had been incredibly known for its cultural diversity and heritage. It had a large community base of rural artisans, weavers and craftsmen. However, over the past three decades, the number of artisans in India decreased by 30% indicating the need to reinvest in crafts to revive artisanal interest and in turn uphold history, culture and livelihoods..........
Early Life and Support System for Megha and Her Social Venture
Megha’s childhood and early youth were spent in Mhow, a city in Madhya Pradesh. Daughter of parents who serviced in unique professions – father, a Professor of ‘agriculture’ and mother, a veterinarian – Megha had inherited the qualities of pursuing a distinct profession. She had been a grade topper all through her academic life and later was provided state scholarship to pursue university studies. She completed her Masters and PhD in the area of urban and regional planning..........
Tisser Rural Handicrafts Pvt. Ltd. – The Initial Days
Tisser was established in early 2014 as a Limited Liability Partnership with the objective of safeguarding the interests of poor rural craftsmen and artisans by providing them direct access to the market and the infrastructural support for business sustainability. Megha had lovingly adopted the French word Tisser – meaning ‘to weave’ – for her social enterprise. At inception, Tisser had a deferred funding by bootstrapping of INR20,00,000/- along with..........
Initial Challenges
As the product comprised of artifacts which were labor intensive, Tisser products did not have a pre-determined Maximum Retail Price (MRP). Product pricing varied and posed a challenge for Tisser as it operated on seasonal demand, catered to pan-India as well as international markets, having make-to-order product demand. The product pricing changed dynamically based on demand and clientele...............
Spreading Its Wings: The Growth Phase
The organization supported weavers and craftsmen who made products using traditional techniques, skills and hand processes. It promoted ‘Make in India’ and ‘Start up India’ initiatives of Government of India (GoI). Megha leveraged her experience and contacts at the World Bank and built a strong network of like-minded people. In 2015, she was nominated for the Praise Program............
Business Model and Network
Tisser operated at pan-India level with its head-office in Mumbai and carried out its operations with the help of five core employees who were on pay rolls to look after operations, back office, sales and design.........
Business in 2017
2017 onwards, Tisser started catering to its global clientele by creating products that fitted the modern palette and offered block prints in accessories category. Its latest segment addition was home decor which included items such as wall paintings, bed-sheets, cushion covers, table coasters, etc. Since its inception, Tisser took the homegrown crafts to national and international markets and by the end of 2017, it had a product assortment of more than 300 products in its online portfolio............
Future Strategy and Expansion Plans
With a vision to scale up the operations at Tisser, Megha envisioned having 3 people at each of the 6 regional hubs – one as a regional coordinator overlooking a team of two people, one taking care of the logistics, supply chain and coordination with the artisans and the third person for marketing and design. She had a good presence on the online platforms such as Craftsville and Indiamart and she also intended to build a network of franchisees to capture offline sales from corporate gifting, in-store sales, exhibitions, increased exports, etc., with the help..........
Assignment Questions
I. What is a social enterprise? Does Tisser qualify as a social enterprise? Where does Tisser stand in ‘The Social Enterprise Spectrum’?
II. What are the commonalities and differences in the traits of a social entrepreneur and a commercial entrepreneur?
III. Profile Tisser’s current status using ‘The Business Model Canvas’. Also, do the SWOT analysis for the company.
IV. .............
Exhibits
Exhibit I: Exports of Handicrafts from India
Exhibit II: Distribution of Handloom Industry in India (2009-10)
Exhibit III: Product Categories
Exhibit IV: Tisser Website
Exhibit V: Awards and Accolades
Exhibit VI: Tisser’s Social Enterprise Mentoring System
Exhibit VII: Tisser Mobile App for Artisans
Exhibit VIII: Tisser’ Supply Chain
Exhibit IX: Tisser’s Modus Operandi
Exhibit X: Sources of Funding for Social Entrepreneurs
Exhibit XI: Tisser’s Future Strategy