Government "Hopeless at Innovation"? We think not.
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Matthew Bishop has written an interesting comment on the Huffington Post about his time at Davos and his call for the chief executives of the world's 500 biggest firms to commit $2 million or more to a fund to support social entrepreneurs.
He says that six famous global leaders spoke about philanthrocapitialism can lead the world in this time of crisis, making three main points:
1. First, leaders need to demonstrate their personal commitment to give back.
2. Second, philanthrocapitalism is about innovation and risk taking in the name of social progress.
3. Third, philanthrocapitalism is about doing well by doing good.
As Bishop discusses innovation, he argues that:
"Both Clinton and Blair pointed out that government tends to be hopeless at innovation, unlike the private sector, both for-profit and non-profit. If there is to be change we can believe in, government must embrace these changemakers in new partnerships, especially social entrepreneurs. Yunus is the poster-child of social entrepreneurship, having won the Nobel peace prize for his role in developing microfinance (financial services for the poor)."
While we agree with much of what Bishop has to say, we firmly disagree that government is "hopeless at innovation". It’s harder in government, no doubt, and there are certain structural barriers to the public sector that discourage innovation and entrepreneurialism. Yet we have seen plenty of examples of innovations within government – from our own state and city partners, from Harvard’s Ash Institute Innovations in Government award winners, and others.
But it clearly does take a convergence of a certain number of elements to spur an innovative approach by government. Can we start a list of what some of those factors might be? What would you add to it?
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Comments
Dan - thanks for your insightful comment.
This reminds me of an article I read recently in Time Magazine about debate in the stimulus bill over, for example, repairing roads vs. building new roads. The ribbon-cutting ceremony that goes with a new bridge or new highway has a lot more excitement to it and provides a lot more political capital to an elected official than a pothole-filling project.
The point - we're always drawn to things that are new and they will always hold appeal. So when elected officials think about policy, they know they're more likely to be remembered as the person who started a new program or built a new structure - rather than the person who made the current infrastructure run on time and work more effectively.
And this instinct can, of course, run counter to actually solving the problems. I'm trying to think back on examples where government has stayed committed to something over the long haul - can you think of any? For me, the space program comes to mind but I have to admit that I don't know that much about it.
And would a stronger system of measuring results help to counter this instinct to continuously start over? If we can show proof that something is working better than all the alternatives, would an elected official be more likely to throw his or her sustained support behind it?
Hi Brandon!
Thanks for your comments. It's always interesting to hear the hands-on stories of what people are hearing from legislators during the crisis.
We've been constantly asking ourselves a question during the last months and keep wondering which way the scales will tip:
Given the downturn and the way that the economic crisis and discussions of government stimulus have been sucking the oxygen out of nearly every other issue, is the issue of supporting social innovation and social entrepreneurship destined to be successful only in more prosperous times? Or - are times of crisis like these exactly the opportunity to demonstrate how important it is to focus on the impact of the dollars we spend, to be sure that every dollar goes as far as possible?
We, of course, hope it will be the latter...but only time will tell. Did anything in your conversations give you any indication that the second option above was resonating?
Great to have you back with PI, Brandon!
Best,
Colleen
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