Companies face growing expectations to address needs that governments alone cannot meet; public-private partnerships for social good can help, and 88% of top Asian business leaders believe they will become more common in the next five years.
HONG KONG (June 28, 2024)—The Centre for Asian Philanthropy and Society (CAPS) today released its latest report, Public-Private Partnerships for Social Good. The study spotlights a growing trend of governments and the private sector coming together to address complex societal needs in Asia. It showcases why this trend is taking root, what these partnerships look like, and what makes them successful.
“PPPs are on the rise across Asia because they align incentives between companies, the social sector and government. We did this study to find out why best-in-class PPPs for social good succeed,” said Ronnie Chan, CAPS Co-Founder and Chair.
The role of companies is changing
As Asia faces a formidable decade ahead due to the fallout of Covid-19 and climate change, governments are recognizing they cannot meet social needs alone. Governments and communities are calling on companies to do more. Companies are embracing this new reality through engaging in public-private partnerships for social good. These partnerships leverage the Asian tendency for companies to work in tandem with government, while bringing private capital, business expertise and innovation to social service delivery. When executed well, PPPs for social good can be win-win-win scenarios for governments, companies and communities.
“At a time of particular importance, PPPs are a mechanism that allow companies to utilize their strengths, enhance their relationships with government and respond to community needs at the same time,” said Dr. Ruth Shapiro, CAPS Co-Founder and CEO. However, she adds, “There is a science to the ability of a PPP for social good in Asia to deliver long-term sustainable impact.”
Strategies for greater impact
Through an in-depth analysis of 20 notable PPPs for social good spanning nine sectors in 11 Asian economies, this study distills six strategies for achieving impact at greater speed and scale:
- Building trust, which reduces uncertainty and creates space for an efficient and effective partnership. Investing in relationships is fundamental in Asia, and key to building this trust.
- Aligning incentives. Ensuring each partner is clear on the reasons for and benefits of their participation cements commitment and helps sustain the project.
- Having a clear, simple vision. A clear vision, expressed simply, is essential in guiding the project and sharpening the focus on areas of greatest potential for impact.
- Establishing transparency and accountability ensures a PPP for social good is serving its public interest objectives and retaining the trust of its stakeholders.
- Having champions—passionate and committed individuals—can catalyze a PPP, opening doors and propelling the project forward.
- Being nimble and incorporating continuous learning into processes and strategies helps PPPs for social good respond to change and be more effective.
“As the report shows, PPPs for social good play to the strengths of Asia. Companies have the desire to work alongside government and leverage a network of relationships built on trust. It is not surprising that we found that 88% of ultra-high-net-worth business leaders from 10 Asian economies believe PPPs for social good will become more common in the next five years,” said Mehvesh Mumtaz Ahmed, CAPS Director of Research.
Public-Private Partnerships for Social Good analyzes 20 examples of PPPs for social good across nine sectors in 11 Asian economies: Bangladesh, Cambodia, China, India, Indonesia, Japan, Malaysia, Pakistan, Philippines, Taiwan and Thailand. The sectors covered include education, water and sanitation, health, cybersecurity and transparency, environmental conservation, disaster resilience and recovery, labor rights, rural and economic development, and waste management. Insights are based on original data gathered from 50 in-depth interviews with individuals engaged in public-private partnerships for social good—including business and nonprofit leaders, partnership managers and policymakers – as well as a survey of 40 ultra-high-net-worth business leaders from 10 Asian economies.
The full report is now available for download on the CAPS website.
About The Centre for Asian Philanthropy & Society (CAPS)
Established in 2013 and working across more than 17 economies in Asia, the Centre for Asian Philanthropy and Society (CAPS) is a nonprofit organization committed to improving the quantity and quality of philanthropic and private giving throughout Asia. Our mission is to maximize private capital for public good, conducting research, advisory, convening and capacity building to engage philanthropists, foundations, family offices, corporates, government bodies, social sector organizations and experts on best practices, models, policies and strategies to facilitate private giving and social investment in the region.