
Theme: Social Enterprise
Cross-cutting themes covered: Business incubation facilities
Name of project: La Fabbrica di Olinda (The Olinda Factory)
City: Milan
What is it? The Olinda Factory is a social co-operative set up in 1999 when a former hospital for mentally ill people, ‘Paolo Pini’, was redeveloped into a training centre to help people at risk of social exclusion to integrate into the labour market. The site now accommodates several social enterprises, which employ members of staff from the local community, many of whom suffer from learning disabilities and are at risk of social exclusion.
Who is it? The initiative is made up of a group of social entrepreneurs in partnership with the local healthcare authority.
Where is it? The Olinda Factory is located in the Affori district of Milan, a deprived area with high levels of unemployment, crime and social exclusion.
Who funds it? The co-operative has several sources of funding:
How does it work? Incubation space: The Olinda Factory has redeveloped a hospital into a venue suitable for carrying out training activities, mostly in the fields of carpentry, hospitality and catering. Moreover, the Factory has provided workspace for a restaurant/bar, a hostel, and a carpentry workshop. These social enterprises provide work placements for trainees, and employ most of their members of staff from the local community, many of whom suffer from learning disabilities and are at risk of social exclusion.
Engaging with the local community: The Olinda Factory helps people who are at risk of social exclusion to integrate into the labour market, through projects offering vocational training and work placements.
The Olinda Factory also hosts a series of annual community festivals, cultural events, parades, theatre workshops and children’s parties. These events help to improve perceptions of the Affori district, formerly viewed as a kind of ‘ghetto’. Activities are targeted both at young people and at the community as a whole, and involve a wide range of local stakeholders, such as other co-operatives, neighbourhood associations, the local hospital and the private sector (who often sponsor events). The Factory also organises social events for the mental health patients of the nearby Niguarda hospital.
What are the results? The Olinda Factory has succeeded in combining entrepreneurial activities (through the restaurant, hostel and carpentry workshop) with the promotion of labour market inclusion.
Furthermore, the co-operative has led several initiatives promoting the Affori district as a vibrant place to live and work, thus contributing to fostering social cohesion.
The social enterprise approach…The social enterprise model has been facilitated by the innovative redevelopment (in partnership with local authorities) of the former hospital for the mentally ill, the ‘Paolo Pini’. These premises have been transformed into a hub of social entrepreneurial activities, which directly employ disadvantaged people from the local community.
Is the model transferable ? The presence of abandoned sites is likely to be common to the majority of European urban areas. As such, their reuse in the way described in this case study could be transferred to other territories. With the Olinda Factory, the reuse of old buildings has been greatly facilitated by close partnership working with the local public authorities.
Building on local competitive advantages? The Olinda Factory has benefited from the recognition by Italian local authorities of the important role that the third sector plays in economic development and social cohesion. Another competitive advantage on which the Olinda Factory has built is its location in a ‘lively’ district – this has enabled the organisation to promote community cohesion through local cultural festivals and community events. What are the barriers to transferability? Encouraging partnership working between agencies, local authorities, civil society and the business sector is vital to transferability. Lack of public spaces in which to accommodate such an initiative could constitute a barrier to transferability.