Chapter 9 Social Entrepreneurship & Innovation. Social Innovation- Different Views Social innovation is the process of inventing, securing support for,

Chapter 9Social Entrepreneurship & Innovation

Social Innovation- Different Views

• Social innovation is the process of inventing, securing support for, and implementing novel solutions to social needs and problems which are more effective, efficient, sustainable, or just than existing solutions and for which the value created accrues primarily to society as a whole rather than to private individuals (Deiglmeier et al, 2008) .• Social innovation can be a product, a production process, an idea, a

piece of legislation, a social movement, an intervention, or some combination.• Social innovation is central to ‘what social enterprises do’, it is central

to the creation of social value. (Marquardt, 2013)

Social Entrepreneurship Chapter 9:Social Entrepreneurship & Innovation

Social enterprises’ comparative advantage• The argument that social enterprises or social entrepreneurs are

‘simply more innovative’ is an unsatisfactory response to a set of complex questions like• What is the comparative advantage of social enterprises relative to other

(institutional) agents including markets, commercial businesses, governments and charities? • To what extent can social enterprises create more social value relative to

inputs?

• Social enterprises may “overcome information asymmetry via proximity” and may in the process generate “more responsive and flexible solutions” to social problems.


Social Enterprise & Innovation

• The distinctiveness of social enterprises’ value creation process links to the nature of the innovation they undertake. Are social enterprises contributing to a shift in the meaning of innovation?• The larger question which these examples raise is one of product,

process, and paradigm and system innovation.• A question of innovation occurring on different levels: innovation in

the delivery of products, a changing of markets and institutional structures and the shaping of the way a society conceives of a particular issue.


Excessive Innovation

• It makes no sense to keep reinventing the wheel.• We need to give greater priority to replicating successful models,

rather than constantly encouraging new solutions to the same problems • The novelty which is needed may be less about novelty per se than

about understanding what others have done, about studying why others have failed and in adapting and improving models.• A critical assessment may conclude that the result of these pressures

is an indiscriminate search for innovation which is less effective.


Commercial versus social innovation

• The unique circumstances in which social enterprises operate and the demands they are seeking to fulfil may require a more cautious approach to novel innovation than would be appropriate in the commercial sector.• Finally given the high context-specificity of social innovation competition

is likely to reduce the potential for incremental innovation.• This however is unlikely due to the market’s competitive nature (and may

be undesirable as the service landscape would become too fragmented). • This suggests that it is critical for social enterprises to communicate and

share ideas, allowing existing enterprises to adopt suggestions for incremental innovation.


Social Innovation- Stagnation

• There have only been a few truly fundamental innovations. While there will be more innovation, it will not change the world like the phone. • Social innovation is merely harnessing existing technologies and

therefore bound to run into diminishing returns.• In times of economic hardship people have to do more with less, and

community needs are exacerbated.• There might be fewer resources to innovate in the private sector and

fewer resources to fund innovation and service provision within the public sector.


Jugaad

• Jugaad is a Hindi word referring to frugal and simple innovations.• It’s similar to “hack” in English – a work-around that happens outside

the official system. • India is known for its ability to maximize resources and produce high-

quality products and services. That’s jugaad• This concept can lure those who look to the east for new,

undiscovered approaches to business that could quickly and easily improve the bottom line.


Draw backs of Jugaad

• Amateur. • It is often a short-term fix that lacks scalability.• Lack of sustainability• Safety concern


Jugaad vs. InnovationJugaad Innovation

Frugal Resources Big Budget

Limited Scope Scalable

Amateur Professional

Temporary Lasting

Tactical Strategic


The Six Principles of Jugaad

1. Seek Opportunity in Adversity2. Do more with Less3. Think and Act Flexibly4. Keep it Simple5. Include the Margin6. Follow your Heart


Stages in Social Innovation

1. Burning2. Sensing3. Questioning4. Idea Networking 5. Associating6. Experimenting7. Impacting


Platform for Social Entrepreneurship in India• National Social Entrepreneurship Forum • UnLtd India• Schwab Foundation• DASRA


National Social Entrepreneurship Forum

• NSEF is India's premier student platform on social innovations with pan-India chapters facilitating the growth of leaders of change.• Founded in 2009, with an aim to bridge the talent inequity in the social

sector and foster ecosystems where social change catalysts are created and supported.• NSEF's aim is to empower the students through exposing to the field of

social entrepreneurship through various activities.• National Social Entrepreneurship Forum is a non-profit organization

influencing the youth culture in India both in practice and academia by inspiring, training and supporting students for social innovation & entrepreneurship and in the process.


UnLtd India

• UnLtd India is an incubator for social entrepreneurs. • UnLtd India works with early-stage social entrepreneurs to help them:

• Develop as leaders• Accelerate their impact• Prepare their organisations for scaling and further investment

• There are four key programmes:1. Incubation support - seed funding and support2. Bootcamp - an intensive accelerator3. Social Mashup - a national conference for early-stage social entrepreneurs4. A complete ecosystem of seed funding, incubation support and co-working

space with which to launch their ventures.Social Entrepreneurship Chapter 9:Social Entrepreneurship & Innovation

Schwab Foundation

• The Schwab Foundation is a sister concern organization of the World Economic Forum. • The Foundation provides unique regional and global platforms to

promote social entrepreneurship .• Addresses social problems innovatively and effectively in developing

societies.


DASRA

• Dasra-Social Impact (DSI) is India's leading executive training program for entrepreneurs and leaders in the social sector and starting this year we're conducting two new types of programs.• Capacity Building Workshop: For non-profits and social businesses from

various sectors and stages of growth, a 7-day residential workshop for senior management of organizations. • DSI Scale: A longer duration (18-24 month) program with quarterly

workshops for non-profits and social businesses working in the areas of empowering adolescent girls through education, health, agency/life-skills and livelihoods), and Reproductive, Maternal and Newborn Child Health (RMNCH+A)


Summary

• Social innovation is “the process of inventing, securing support for, and implementing novel solutions to social needs and problems• A clear understanding of different organisations’ strengths is

important if social value creation is to be maximized. • The social enterprise sector is subject to numerous pressures in the

direction of novel rather than incremental innovation.• Jugaad is a Hindi word referring to frugal and simple innovations. • There are good numbers of supporting platform/network for social

entrepreneurs in India namely NEN, NSEF ,and DASRA etc.


Documents

Chapter 9 Social Entrepreneurship & Innovation. Social Innovation- Different Views Social innovation is the process of inventing, securing support for,