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Social Innovation:
From Understanding to Positive Change
São Paulo, Brazil
Social Good Brazil
Kriss Deiglmeier, Executive Director
Text
Text
The emergence of social as a modifier
Soraya Salti
INJAZ al-Arab
Bill Drayton
Ashoka
Premal Shah/Matt Flannery
KIVA
Muhammad Yunus
Grameen Bank; Nobel Laureate
Adalberto Verissimo and Carlos Souza Jr.
Imazon
Social Entrepreneurs
Social Entrepreneurship
Social entrepreneurs play the role of change agents in the
social sector, by:
• Adopting a mission to create and sustain social value
(not just private value),
• Recognizing and relentlessly pursuing new opportunities to
serve that mission,
• Engaging in a process of continuous innovation,
adaptation, and learning,
• Acting boldly without being limited by resources currently in
hand, and
• Exhibiting heightened accountability to the
constituencies served and for the outcomes created.
Source: Greg Dees, The Meaning of “Social Entrepreneurship,” J. Gregory Dees, Duke University, May 30, 2001
Contemporary Social Innovations
Charter
Schools
Microfinance Fair Trade
Emissions
Trading
Socially
Responsible
Investing
Need to do something with
this and the next slide. I
like the stool metaphor, but
this is a poor visual, and I
have not been able to find
a decent stool photo
(surprisingly)
Social Entrepreneurs
The Great Man or
Woman Theory
Social Enterprise
Self-Sustaining
Organization Theory
Social Capital Market
Microfinance
Social Innovation Definition
A novel solution to a social problem that is more
effective, efficient, or sustainable
than existing solutions and for which the
value created accrues primarily to
society as a whole
rather than private individuals.
Criteria differentiation
Innovation Criteria
• Novelty- new to user, context or
application
• Improvement- more effective or
efficient
Social Innovation Criteria
• Sustainable
• Just
• Public Value
Social Innovation and Traditional
Innovations
Social Innovation
• Socially Responsible
Investing
• Microfinance
• Sustainable
Development
(Amazon)
Innovation
• The Internet
• Hydraulic Fracking
• Deep water Trolling
Stages of Innovation
Defining the
Problem and
Opportunity
Idea
Generation
Piloting &
Prototype
Diffusion &
Scaling
Case Study – Microfinance
Lack of access to:
• formal credit
• financial
services
• formal
financial
sector
The Problem
Idea Generation
1000’s–
1500’s
1800’s 1950’s–
1960’s
• Chit Funds (India)
• Mujins (Japan)
• Esusu (Nigeria)
• Savings Clubs
• People’s Banks
• Credit Unions
• Subsidized Rural
Credit
Piloting & Prototyping
Microfinance
1960’s–
1970’s
1980’s
• Target market poor
women
• Microbusiness
• Group Lending
• 1961- Accion
Venezuela
• 1976- Grameen
Bangladesh
• Failure of
government
initiated poverty
programs
Diffusion & Scaling 1990-present
1990’s 2000’s Present
• Microfinance
Decade
• Nonprofit +
Emergence of
For Profit
• Rise of Non-Bank
Financial
Institutions (NBFIs)
• 2005- UN declared
the year of
microcredit
• 2006- Yunus and
(Grameen)
received the Nobel
Peace Prize
State of Microfinance - Global View
• Over 12,000 MFIs
• More than 94,000,000 borrowers total
• 91 countries
• Data and Metrics
• Organizational
Efficiency/IT
Systems
• Scale and Reach
Technology’s Influence on Microfinance
The Story of M-Pesa: Problem
• Needed to
deepen
financial
penetration
into the
unbanked
community
The Story of M-Pesa: Idea Generation
• Utilized cross-sector community
collaboration to be successful
The Story of M-Pesa: Pilot
• Adapted to practice on the ground
The Story of M-Pesa: Scaling
Established a
network of
agents
Set a bold goal
The Story of M-Pesa: Tipping Point
Became viral after reaching over a
million customers and implementing
lessons learned
• Ubiquitous distribution
network
• Strong Brand
• Work all the time
• Agent Training
• Combat Fraud
The Story of M-Pesa: Kenya Today
• Moves between $500-$700million
per month (20% of Kenya’s GDP)
• 15 million active users
The Story of M-Pesa: Global Expansion
• Tanzania
• Afghanistan
• South Africa
• India
Commit to
cross-sector
collaboration
Social innovations require
everyone’s involvement.
.
Save The Amazon
Rainforest Organisation
Focus on your
strategic lever
Social innovations grow as
leverage points are identified
and utilized.
Fair Trade Mainstream Markets
Never mistake a
clear view for a
short distance
Social innovations do not
happen overnight.
Social Innovation Continuum
Source: kdeiglmeier
Stagnation
Chasm
What can
civil society do?
• Leverage trust, networks,
and deep customer
knowledge
• Ensure voice of customer is
heard
• Provide long-term thinking
What can
government do?
• Set effective policy,
regulation, and rules
• Provide access to reach
large number of customers
• Raise awareness
What can
business do?
• Leverage assets,
efficiencies, and resources
(Financial, management,
supply chain, etc.)
• Demonstrate rapid action
• Provide flexible funds
“If we want to build a stronger,
more sustainable world for
future generations, one with
more partners and fewer
enemies, we have to work
together.”
@SocInnovators
@kdeiglmeier
Kriss Deiglmeier
http://csi.gsb.stanford.edu

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Inovação Social no mundo - Kriss Deiglmeier

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  • 2. Social Innovation: From Understanding to Positive Change São Paulo, Brazil Social Good Brazil Kriss Deiglmeier, Executive Director
  • 3. Text Text The emergence of social as a modifier
  • 4. Soraya Salti INJAZ al-Arab Bill Drayton Ashoka Premal Shah/Matt Flannery KIVA Muhammad Yunus Grameen Bank; Nobel Laureate Adalberto Verissimo and Carlos Souza Jr. Imazon Social Entrepreneurs
  • 5. Social Entrepreneurship Social entrepreneurs play the role of change agents in the social sector, by: • Adopting a mission to create and sustain social value (not just private value), • Recognizing and relentlessly pursuing new opportunities to serve that mission, • Engaging in a process of continuous innovation, adaptation, and learning, • Acting boldly without being limited by resources currently in hand, and • Exhibiting heightened accountability to the constituencies served and for the outcomes created. Source: Greg Dees, The Meaning of “Social Entrepreneurship,” J. Gregory Dees, Duke University, May 30, 2001
  • 6. Contemporary Social Innovations Charter Schools Microfinance Fair Trade Emissions Trading Socially Responsible Investing
  • 7. Need to do something with this and the next slide. I like the stool metaphor, but this is a poor visual, and I have not been able to find a decent stool photo (surprisingly)
  • 8. Social Entrepreneurs The Great Man or Woman Theory Social Enterprise Self-Sustaining Organization Theory Social Capital Market Microfinance
  • 9. Social Innovation Definition A novel solution to a social problem that is more effective, efficient, or sustainable than existing solutions and for which the value created accrues primarily to society as a whole rather than private individuals.
  • 10. Criteria differentiation Innovation Criteria • Novelty- new to user, context or application • Improvement- more effective or efficient Social Innovation Criteria • Sustainable • Just • Public Value
  • 11. Social Innovation and Traditional Innovations Social Innovation • Socially Responsible Investing • Microfinance • Sustainable Development (Amazon) Innovation • The Internet • Hydraulic Fracking • Deep water Trolling
  • 12. Stages of Innovation Defining the Problem and Opportunity Idea Generation Piloting & Prototype Diffusion & Scaling
  • 13. Case Study – Microfinance
  • 14. Lack of access to: • formal credit • financial services • formal financial sector The Problem
  • 15. Idea Generation 1000’s– 1500’s 1800’s 1950’s– 1960’s • Chit Funds (India) • Mujins (Japan) • Esusu (Nigeria) • Savings Clubs • People’s Banks • Credit Unions • Subsidized Rural Credit
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  • 17. Piloting & Prototyping Microfinance 1960’s– 1970’s 1980’s • Target market poor women • Microbusiness • Group Lending • 1961- Accion Venezuela • 1976- Grameen Bangladesh • Failure of government initiated poverty programs
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  • 19. Diffusion & Scaling 1990-present 1990’s 2000’s Present • Microfinance Decade • Nonprofit + Emergence of For Profit • Rise of Non-Bank Financial Institutions (NBFIs) • 2005- UN declared the year of microcredit • 2006- Yunus and (Grameen) received the Nobel Peace Prize
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  • 21. State of Microfinance - Global View • Over 12,000 MFIs • More than 94,000,000 borrowers total • 91 countries
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  • 23. • Data and Metrics • Organizational Efficiency/IT Systems • Scale and Reach Technology’s Influence on Microfinance
  • 24. The Story of M-Pesa: Problem • Needed to deepen financial penetration into the unbanked community
  • 25. The Story of M-Pesa: Idea Generation • Utilized cross-sector community collaboration to be successful
  • 26. The Story of M-Pesa: Pilot • Adapted to practice on the ground
  • 27. The Story of M-Pesa: Scaling Established a network of agents Set a bold goal
  • 28. The Story of M-Pesa: Tipping Point Became viral after reaching over a million customers and implementing lessons learned • Ubiquitous distribution network • Strong Brand • Work all the time • Agent Training • Combat Fraud
  • 29. The Story of M-Pesa: Kenya Today • Moves between $500-$700million per month (20% of Kenya’s GDP) • 15 million active users
  • 30. The Story of M-Pesa: Global Expansion • Tanzania • Afghanistan • South Africa • India
  • 31. Commit to cross-sector collaboration Social innovations require everyone’s involvement.
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  • 34. Focus on your strategic lever Social innovations grow as leverage points are identified and utilized.
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  • 37. Never mistake a clear view for a short distance Social innovations do not happen overnight.
  • 38. Social Innovation Continuum Source: kdeiglmeier Stagnation Chasm
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  • 40. What can civil society do? • Leverage trust, networks, and deep customer knowledge • Ensure voice of customer is heard • Provide long-term thinking
  • 41. What can government do? • Set effective policy, regulation, and rules • Provide access to reach large number of customers • Raise awareness
  • 42. What can business do? • Leverage assets, efficiencies, and resources (Financial, management, supply chain, etc.) • Demonstrate rapid action • Provide flexible funds
  • 43. “If we want to build a stronger, more sustainable world for future generations, one with more partners and fewer enemies, we have to work together.”