Abstract

The purpose of this paper is to determine what kind of governance structures would enable Social Entrepreneurial Organizations (SEOs) in South Africa to operate sustainably. The focus is on the multi-dimensionality of governance, with the dimensions of policy, operations, and legal structures being deliberated according to priorities, opportunities, and challenges. Qualitative research was used as methodology to answer the research question. A multiple method approach included four embedded units of analysis as part of a descriptive survey, completed by 39 respondents from four SEOs based in three South African provinces as well as nine in-depth, semi-structured interviews, in a single case study. Findings showed that although the dimensions of policy, operations and governance structures are severely fragmented, the kind of governance structures that SEOs need to operate sustainably, are new and revised policies, operations that are well managed according to an integrated value chain, and flexible legal structures that allow for the generation of revenue to create patternbreaking and sustainable solutions. The synergistical overlap of governing through trust, the capacity of the state, and the two-sided business model, forms an enabling of governance structures, thereby compensating for the fragmented dimensions, and enabling SEOs to govern sustainably.

Keywords: Governance, Policy, Operations, Legal structures, Enabling, Social entrepreneurial organizations