Dealing with Disruptive Change: The Power of Stakeholder Connections Colin Habberton @relatomics colin@givengain.com

Session Overview

• Disruptive Change is an increasingly relevant and complex influence in the world. It directly affects civil society and fundraisers that are tasked with mobilising resources to address the impact of such change within their organisation and its mission.

• This session will investigate the causes and characteristics of disruptive change through a series of commercial and nonprofit case studies. It will include the perspective on how connecting with various stakeholders can manage risk and create innovative solutions.

Session Overview

Learning outcomes: • Attendees can expect to learn about what disruptive change is

• A set of diagnostic tools for fundraisers and executives to engage with their internal and external stakeholders

• To assist with interpreting these changes and how to build collaborative responses and solutions to these challenges.

Session Summary

Overview • What is Disruptive Change? • Commercial Case Studies • Sources of disruption • Prototypes for resilience • Nonprofit Case Study • Stakeholder Analysis Toolkit • Additional tools for action • Summary recommendations

What is Disruptive Change?

What is Disruptive Change?

Scale +

Speed +

Surprise =

Disruption

(Source: Qmee & My Clever Agency, 2013) (Source: Qmee & My Clever Agency, 2013)

(Source: ICSC, 2013: Riding the Wave)

Some Casualties

Some Casualties

(Source: Qmee & My Clever Agency, 2013) (Source: Qmee & My Clever Agency, 2013)

The Disruptors

(Source: Qmee & My Clever Agency, 2013) (Source: Qmee & My Clever Agency, 2013)

Impact & Outcomes

Change Happens

Adapt or

Suffer and possibly,

Disappear

(Source: Qmee & My Clever Agency, 2013) (Source: Qmee & My Clever Agency, 2013)

Sources of Disruption

• Planetary Disruption ² Climate Change ² Resource Shortages

•  Political Disruption ² Extremism ² Destabilisation

• Economic Disruption ² Financial Volatility ² Rampant Inequality

• Systemic Disruption ² Changing Technology ² Information Access

The Price of Inequality?

(Adapted: Piketty, 2014: Capital in the 21st Century)

The Significance of the 1%

(Adapted: Piketty, 2014: Capital in the 21st Century)

Just an Emerging Market issue?

(Adapted: Piketty, 2014: Capital in the 21st Century)

Nonprofit Disruption

• Disintermediation ² Direct beneficiary contact ² Virtual service delivery

•  Competition ² Cause relevance ² Funder focus

• Cost Efficiency ² Technology advantages ² Resource flexibility

• Effective Impact ² Measurability ² Paradigm shift

Threat  of  New  Causes  

Demands    of  Donors  

Threat  of  Subs5tute  Choices  

Pressure  of  Partners  &  Suppliers  

Intensity    of    

Cause  Rivalry  

   

Your    Cause  

(Adapted: Porter, 1979: Five Forces)

Prototypes for ‘resilience’

• Active Disruptor ² Be the change ² Shift culture ² Proactive

•  Opportunistic Navigator ² Agility and speed ² Adapt and thrive ² Responsive

• Conservative survivor ² Well established, brand ² Adapt to survive ² Reactive

Conservative Disruptor?

Source:  hAp://www.youtube.com/watch?v=eu9kMIeS0wQ  

Case Study: Habitat for Humanity SA

2010: Realisation • ‘Building Houses’ • Seasonal events • Dependent on corporates • Geographically contained • Little international funding • Houses = Funding • Not building enough houses • 300 Houses per year • Impacting 300 families per year

Case Study: Habitat for Humanity SA

2014: Response • ‘Building Communities’ • Scalability of Purpose • Community Resource • Partnering with Communities • Alignment with Government • Re-engineered the operation • Cross-functional teams • Collaborative decision-making • Impacting 3000 families per year

Toolkit: Stakeholder Analysis

(Source: Qmee & My Clever Agency, 2013) (Source: Qmee & My Clever Agency, 2013)

Team  

Organisation/Cause  

Partner/ Supplier  

Beneficiary  

Training  & Incentives  

Dia

logu

e &

 Pr

ofile  

Effective Solutions

Con

tent

&  

Insi

ght  

Efficient Im

pact  

Quality  Assurance  

Funder/Donor  

Competitor Cause  

returns/reinvestment  

marketing/mindshare  

Community  Responsibilities  

Environmental  Concerns  

Market & Industry  Conditions  

Legal & Ethical  Regulations  

 (Adapted from: Habberton, 2005)

Research for Development

• Social Networks ² Opportunity Pipelines

• Mobile Devices ² Personal Access

• Using Big Data ² Navigating the Ocean

• Harnessing the Cloud ² Breaking Barriers

• Aware of the Internet of Things ² Integrated Connection

(Adapted: Thomas: 2014, Memeburn)

Summary Recommendations

• Innovate ²  Through collaboration ²  Through partnerships

• Invest ² In your people ² In your systems ² In your community

• Implement ² Pilot studies ² Train for change

Source of Reference

(Source: ICSC, 2013: Riding the Wave)

Dealing with Disruptive Change: The Power of Stakeholder Connections Colin Habberton @relatomics colin@givengain.com