Case study - for the semi finale round

Janani - The Rocky Road from Charity to Social Enterprise

Summary of the case study

  • Summary of the case study

    Background and Growth

    Janani, an affiliate of DKT International, began as a social marketing program in Bihar, India, focusing on reproductive health products and services. It grew significantly under Justin Thompson's leadership, expanding from 8 to 25 states by early 2020.

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    Donor Dependency

    Initial success was heavily reliant on donor funding, but as the Indian economy improved, donors reduced support. By 2019, 40% of Janani's budget depended on donor funding, leading to a critical need for financial sustainability.

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    Innovative Initiatives

    Janani pioneered a social franchising network, establishing Surya Family Planning Clinics and engaging private and government doctors. This social franchising model proved successful, providing cost-effective healthcare services and generating revenue through franchise fees.

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    Financial Challenges

    By 2012, Janani faced financial trouble with $2 million in debt and an inefficient operational structure. Don Douglas, the new director, implemented drastic measures, including staff reductions and product portfolio adjustments, to rescue Janani from closure.

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    Product Diversification

    To address financial challenges, Janani diversified its product portfolio, introducing new brands and variants. Despite initial struggles, strategic changes, including a focus on premium brands, led to financial improvements.

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    Focus on Sustainability

    Financial sustainability became a crucial goal as donor funding declined. Under Thompson's leadership, Janani aimed for a business-like approach, cutting costs, improving accountability, and ensuring that products paid for themselves while staying true to its mission.

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    Government and Market Dynamics

    Janani operated in a competitive landscape, facing competition from commercial companies, non-profit organizations, and the Indian government. It adapted its marketing strategies, including advertising through various channels and participating in promotional events.

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    Challenges Ahead

    As of March 2020, Janani faced challenges related to donor support, with private funding set to expire. The organization aimed to attract new donors but also sought financial independence to carry out its mission effectively.

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    Strategic Vision

    Justin Thompson emphasized the need for Janani to balance business-like practices with its social mission. The organization aimed to ensure the affordability and availability of modern birth control and safe abortion methods for all Indians, working in partnership with the Government of India and donors.