Social Innovation Online

SOCIAL
INNOVATION
a travel guide
2
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3
Social Innovation Co-editors

a travel guide Amalie Villesen, Carl Johan-
First edition – July 2008 nes Borris, Christian Stoltze,
Fridda Flensted-Jensen, Hen-
The Kaospilots International rique Vedana, November Sky
Mejlgade 35 Freyss-Cole, Sara Wallén and
8000 Aarhus C Torben Brandt
Denmark
Graphic design and layout
www.kaospilot.dk Anders Fredsø Olsen
www.socialinnovation.biz Michelle Kertevig and
Philip Hahn-Petersen
A publication by
Amalie Villesen, Anders Fred- Photographers
sø Olsen, Anders Graae, An- Anders Fredsø Olsen, Camilla
ders Toft, Anna Edwall, Bieke R. Misser, Jacob Klintrup, No-
van Dijk, Camilla R. Misser, vember Sky Freyss-Cole, Philip
Carl Johannes Borris, Chris- Hahn-Petersen and Søren Bo
tian Stoltze, Daniel Seifter, Steendahl, Daniel Seifter
Fridda Flensted-Jensen,
Gregers Mærsk Møller, Hrafn- Illustrators
hildur Heba Júlíusdóttir, Hedvig Anders Fredsø Olsen, Nanna
Høysæter, Henrique Vedana, Wedendahl Frank, Nicklas Pe-
Jacob Klintrup, Jakob Chris- ter Høg and Philip Hahn-Pe-
tian Ipland, Karen Steinfeld, tersen
Kristian Meiniche, Mark Hes-
sellund Beanland, Mille Ob- We would like to thank
el Høier, Nana G. Dall, Nanna Birgitte Fredsø Rasmussen,
Wedendahl Frank, Nicklas Pe- Christer Lidzélius, Deborah
ter Høg, November Sky Frey- Golblatt, Frederik B. Wulff, Ka-
ss-Cole, Philip Hahn-Petersen, rin Barreth, Per Krull, Peter
Pontus O. Bergqvist, Rune Liljeros, Simon Kavanagh, Fan-
Barfred, Sara Skafsgaard Hjort, ny Posselt, Solveig Brun, Su-
Sara Wallén, Søren Bo Steen- sanne Højlund, Tania Ellis and
dahl, Thomas Gjerulff, Tone Ev- Thomas Hessellund Nielsen
jan and Torben Brandt.
The Kaospilots Team 13 A special thanks to Michelle
Kertevig for giving us her lay-
Chief editors out expertise, time, and ded-
Anna Edwall and Mark Hessel- ication.
lund Beanland
Index
Introduction 6 Movement 68
Preface 6 Shedding light on social
Starting point 8 innovation 70
Before take off 10 SI in action 72

Innovation and Social Innovation
social needs? 14 in Action 72
The story of Social Starting with me 74
Innovation 16 Mapping out me 76
On route to your destination18 Understanding the cultural
context 78
The Map of SI 20 The Need 82
Sectors 22 The need and the dream 84
Target Group 86
The Landscape 28 Team and Resources 88
Corporate Social The Project 90
Responsibility 30 The Story 94
Corporate Social Innovation 34
Public Innovation 35 Bon voyage 96
Socially Responsible
Investing 37 Glossary 98
Social Purpose Ventures 38
Is it the why or the Sources 102
what that maters 40
Non-Governmental
Organizations 42
Social Entrepreneurship 44
Social Intrapreneurship 47
Before moving on 48
Famous Travellers 50
Table of do’ers 52
Muhammad Yunus 56
Dave Eggers 58
Marie So and Carol Chyau 62
Jimmy Donal "Jimbo" Wales 64
Natalie Killassy 66
Introduction
Preface
This book was conceived on a trip made by 34 students from the Ka-
osPilots International in the spring of 2008. These 34 students, rep-
resenting seven nationalities, travelled to the other side of the world
with the purpose to explore the meaning of the term “social innova-
tion”. After three months, these same students returned home to
document their learnings in this book.
Though Shanghai was our port social innovation was what we as-
pired towards, digging it out of the concrete and steel of the hec-
tic city. Only after returning home with the creation of this book did
we find it. We found it through the sharing of knowledge that took
place while we were working on the book and through the overview
provided through the process of translating our findings into words.
This is why the book you are about to read is in the format of a trav-
el guide. It is our hope that it will make the journey into the abstract
realm of social innovation easier for the travellers that follow in our
footsteps, and that it will guide the traveller past dead ends of inac-
tion in the labyrinthine jungle of theory where so many are lost, and
into action; the place where we have come to believe social innova-
tion reveals its true value.
Our travels showed us that to embark on social innovation you
need to embrace disorientation at first. Everywhere you look you
find opposing views on what the term means and what it encom-
passes. To us this confusion sparked both a need and an ambition:
to bring social innovation out of the clouds and down to earth. It
has not been our purpose to show the frustrations we went through
on our path – though there were many – but through our findings to
make it easier for coming travellers to navigate. Most important-
ly, we felt a need to make the concept tangible to a reader in or-
der to create a foundation for action. We are giving you as a reader
the knowledge we would have liked to have had when we set off on
our journey; how to be able to take action with a social purpose and
spark innovations on your way.
We have attempted to cut the path through the jungle bed. It is
our hope that you will be inspired to walk it. Please forgive us any
bushy parts you come across. As with any jungle, the shroud and veg-
etation grows back in new ways on a daily basis and our method of
cutting the bush might leave areas unexplored.
Some of you may enjoy reading this book without wishing to em-
bark on the journey like someone who enjoys browsing the pages
of a travel catalogue. You are welcome readers. However, our intent
INTRODUCTION 7
was to write this as a guide to those of you who have a desire to go for
a swing in the vines yourselves.
Change is the only constant in the world and we hope that this
book can help to unleash your potential and to guide this change in
a positive direction.
Finally, as you start to read, please keep in mind that the 34 trav-
ellers who set off on this journey have also shared the task of writing
about their experiences. Sometimes when some saw a lion others
were sure they saw a kangaroo. Evidence of this phenomenon will
be present as you scroll through the pages of this book. Please, we
encourage you not to despair in the face of this diversity. At least,
we have come to rest in the fact that our confusion around social in-
novation seems simply to reflect that of the world.
8 INTRODUCTION
Starting Point
You are about to read about a realm that you may or may not al-
ready know about and as with any travel guide you can go through
it in the way that best fits your preferences. You can start at the end
and backtrack, look up sections that relate to your personal inter-
ests or read it cover to cover.
These compiled contents should give you somewhat of an over-
view. But within the book you will also find references to experts
working more in-depth with the term. This is a starting point to dig
further or to step directly into action. Our hope is that you do both.
INTRODUCTION 9
Before take off
Are You Curious about Social Innovation?
This section of the travel guide will get you ready to explore.
BEFORE TAKE OFF 11
12 BEFORE TAKE OFF
.
sent
e pre
? in th
t ur
e
(SI) is
fu
th
e
vation
in linno
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n
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So ’s fir
Let
What is social in
novation compo
Wh sed of?
W yc
om
ha bin
es
t is oci
al w
so ith
cia inn
ova
l in tion
?
no
va
tio
n?
Below we have outlined the components of social innovation to an-
swer these questions. This is the foundation on which the book is
built.
As illustrated on the following page there are many views on the

words within as well as the concept of social innovation. In this book
we will not highlight a specific definition as more relevant or bet-
ter than others. The bright minds that have created definitions be-
fore us have done a good job and we have found inspiration in all
of them. We encourage you to do the same. What we found lack-
ing, however, was a way to bridge them. In our perception, for it to
best serve its purpose – to improve the conditions for life – one must
seek to create it at every turn of the road. It is our goal to make you
feel that this is not such an amazing task but something we can all
contribute to, first and foremost by trying.
BEFORE TAKE OFF 13
Social is relating to human society and its

members.
(www.wordreference.com
People using new knowledge to

experiment with new possibilities in order
to implement new concepts that create
new value.
(www.businessweek.com)
Of or relating to society or its organisation.

(Oxford American dictionary)
The act of starting something for the first

time; introducing something new.
(www.thinksmart.typepad.com)
Social + Innovation
Social Innovation
New ideas that work to meet pressing

unmet needs and improve people´s lives.
(The Young Foundation)
New ideas that resolve existing

challenges for the benefit of
people and planet.
(Center for social innovation)
New strategies, concepts, ideas in
organisaions that meet social needs.
It can be used to refer to social processes
of innovation, alternatively to desribe
innovations which have a social purpose.
(wikipedia)
14 BEFORE TAKE OFF
Innovation and Social Needs?

Looking at society as a whole, solving a need sometimes involves
shifting limited resources from one area to another. This is often an
unsustainable short-term solution satisfying pressing needs but as
new needs arise old ones are likely to remain; hence, we need to
take hold of the root of the problems causing these needs.
Einstein once said, “No problem can be solved from the same
level of consciousness that created it”1. This involves embodying
the knowledge that has evolved in society and applying it in the
creation of new solutions – of social innovations. Innovations tar-
geted to meet social needs aim to “permanently alter the percep-
tions, behaviours and structures that previously gave rise to these
challenges”2. Simply put, social innovations aim to obtain the tri-
ple bottom line (measured on the satisfaction of both people, planet
and profit) and be “an idea that works for the public good”3.
The more new concepts, thoughts, and actions that take place
on a local and global level, the more innovations will occur and
spark possibilities for socially innovative solutions.

BEFORE TAKE OFF 15
Planet
Profit People
THE TRIPLE BOTTOMLINE

16 BEFORE TAKE OFF
The Story of Social Innovation

Though social innovation has occured throughout the history of
mankind, there has not been enough interest to trigger the map-
ping out of the occurrence of social innovation or how the phrase
has evolved in modern times. Our offset was that though social in-
novations are not new to the world, an increased amount of people,
institutions, and companies around the world are starting to look for
ways to become more sustainable towards the environment and/
or their stakeholders. Without knowing it, these initiatives that arise
under titles like social entrepreneurship, user-driven innovation or
corporate social responsibility are in truth aiming towards creating
social innovation.
Understanding the concept of SI and actively using the term can
give social action and contribution more power. It can help create a
larger awareness in society around imbalances and challenges that
need to be dealt with and it can work as a trigger for more people to
strive for creating positive change.
In order to further understand what SI can be see the outline of
past innovations on the next page.
They are listed according to:

*Innovation
*Time of origin
*Initial place of origin
In order for it to be socially innovative rather than merely innovative

it needs to answer a need or create new value in society so we en-
courage you to think about the need, if any, these innovations re-
spond to.
Which of these things do you take for granted in your everyday life?
BEFORE TAKE OFF 17
Past innovations
Bank, Genova, Italy 1406
Insurance, London, UK 1680
Kindergarten, Germany 1840
Subway, London, UK 1860
Welfare State, Germany 1870
National Health Service, UK 1948
The Open University, UK 1969
Grameen Bank, Bangladesh 1976
Cell Phone, USA 1983
Internet, USA 1983

18 BEFORE TAKE OFF
On Route to Your Destination

Now that you have packed your bags we would like to forward some
of our learning from the land of SI to you. They are excerpts from our
own experiences and the conclusions we drew from them.
It is important to understand the context from which the need

emerges before you address it.
Some aspects relating to this
As human beings we stand on a platform composed of opinions

and perceived truths. We bring this with us wherever we go. When
working with SI in a context outside of our own it can be fruitful to re-
flect on our own platform and what we bring into the new context –
our worldview, assumptions, prejudices, and frames of reference.
We cannot impose our worldview onto others. We can, however,
indulge in theirs. This boils down to one thing: Engage in dialogue
with the experts – the locals – and explore their perspectives. The
common mistake made when meeting another perspective than
your own is to engage in a discussion to attempt to persuade the
counterpart that your viewpoint is more valid. This approach only
leaves room for one winner. The object of a dialogue is to increase
the understanding on both sides. This way everyone can learn from
the outcome and knowledge and understanding can be co-devel-
oped and lifted to another level.
“People become aware of their culture when they stand at its

boundaries; when they encounter other cultures, or when they be-
come aware of other ways of doing things”4
Anthony P. Cohen
BEFORE TAKE OFF 19
There are different social needs in different places and there are dif-
ferent demands in different places; hence, different innovative ac-
tions.
Social innovation is context related and it is important
to understand the context from which the need
emerges before you address it.
In doing this, some of the clouds we en-
courage you to grab are...
The Map of SI
Take a close look at the map and try

to get acquainted with the different
areas. In the following chapter we
will try to give you as much gener-
al insight as possible into the differ-
ent sectors within our society as well
as the landscape of social innovation
with all its different areas, branches,
and strange hybrids.
THE MAP OF SI 21
22 THE MAP OF SI
Sectors
Three sectors dominate most societies. The public sector, the pri-
vate sector, and the civil sector. Due to changes in society and the
arrival of new social needs, a “new sector” or more accurately a
number of alternative practices has emerged as a kind of cross sec-
tor between the already existing sectors. A common term for this
phenomenon is the fourth sector.
The Public Sector

The role and responsibilities of the public sector varies greatly from
country to country based on the community it represents and the
values of the respective governmental institutions it consists of.
Its responsibilities can span areas such as the development and
maintenance of infrastructure, providing of education, healthcare
and eldercare, and the creation of laws and legislation. The income
comes from taxes paid by individuals, the private sector, and often
from publicly owned companies.
The Private Sector

The role of the private sector as a whole could be viewed as the
responsibility to ensure economic growth in society as well as to
provide jobs and the production of goods and commodities. The
private sector is based on the freedom to engage in commercial ac-
tivities and trade and it is influenced by supply and demand in so-
ciety.
The Civil Sector

Traditionally, the civil sector relies on volunteer work and on do-
nations from the private sector as well as contributions from indi-
vidual people who believe the cause to be worthwhile. These or-
ganizations are known as non-governmental organizations (NGO),
non-profit organizations (NPO) or voluntary organizations.
Initiatives in the civil sector are based on several different foun-
dations, the most usual being dissatisfaction with the actions of the
private or the public sector (Green Peace is an example of this) or
simply a shared passion for a specific activity (e.g. a sailing club).
Their overall role and responsibility can be seen as that of defend-
ing the rights of the civil society. Read more about this in the section
“Non-governmental organizations” in “the Landscape” on page 40.
THE MAP OF SI 23
The Hybrid
No sectors on their own have managed to encompass the com-
plete foundations of a society. With societies around the world un-
dergoing constant change the cross- or fourth sector can be viewed
as all the initiatives that arise outside the confounds of the tradition-
al sectors to address needs and issues that are not covered by the
three sectors or could be covered in a more effective way. The last
15 years, especially, have seen the emergence of new business ar-
eas and of organizations that work across the sectors. Such organ-
izations within the fourth sector are numerous and the sheer quanti-
ty of names given to them gives an impression of their scope. They
include; high purpose companies; double bottom line businesses;
affirmative businesses; values driven enterprises; for-benefit organ-
izations; civic entrepreneurs; social purpose ventures; socially re-
sponsible businesses; sustainable businesses, social enterprises,
and social entrepreneurialism (see more under “Social Entrepre-
neurs” in the section “the Landscape” on page 42).
Public
sector
The 4th
sector
Private Civil
sector sector
24 THE MAP OF IS
The Connection to Social Innovation

It is important to know that the defined responsibilities of the three
sectors vary from country to country. In the US, for example, the pri-
vate and the civil sectors have a large influence on social initiatives
compared to many European countries where social responsibilities
traditionally lie within the public and civil sectors. In China, social in-
itiatives are officially considered a responsibility of the government
only and many civil initiatives related to social issues are classified
as illegal.
On top of the variations in political systems and traditions for gov-
erning, the sectors are also blurred as private companies focus
more and more on social issues, NGOs start working more towards
generating their own profit, and public institutions start co-operat-
ing with volunteer work and management models inspired by pri-
vate companies.
Social innovation can happen within or across the sectors. In fact,
SI does not seem to care about sectors but about ideas, the use of
knowledge, networks, and competences.
Change?
As food for thought we note that China is experimenting with ways
of governing that all stem from a one-party system. And that with-
in this system certain provinces are encouraged to try out new ways
of governing that break with traditional thinking. In the words of the
British foreign policy thinker and author Mark Leonard, the leftist po-
litical thinkers in the Chinese communist party believe in “a philos-
ophy of perpetual innovation – developing new kinds of companies
and social institutions that marry competition and co-operation”5.
What few people outside China care to consider is that examples
like this one, of willingness to experiment along with the inherent na-
ture of social innovation, of changing the way we work and think,
may make many of our current definitions obsolete.
THE MAP OF IS 25
26 THE MAP OF IS
Travelling Together
A way to work with social challenges is to use the competencies of
all three sectors: Public (Governments), Private (Businesses) and
Civil (NGO/NPO) in order to see perspectives and business models
that can solve our current and future social challenges and unmet
needs. In Northern America and Europe there is a lot of talk about
cross sector collaboration and initiatives. However, many of the so-
cially innovative projects are not based on a strong collaboration
and we see a potential for this collaboration and shift in mindset to
grow to new heights and become more beneficiary for all parties.
NGO
NGOs have the knowledge of social needs and the voluntary la-
bour force, engaged and committed to act on it but they often lack
the money to carry out their ideas and make them sustainable.
Business
Businesses have the money and the experience within commerce
to carry out large projects and ideas but they often lack knowl-
edge, motivation, and experience within the social needs of socie-
ty to act on it.
Governments
Governments have the overview of the needs and challenges of the
entire country and they provide stability and a long-term perspec-
tive. However, they often lack efficiency, employee ownership, and
the ability to make money.
Challenges of Travelling Together

When talking about SI, companies, NGOs, and the public sec-
tors very often move within a grey area where the responsibilities of
business and civil society blur. We see new ways of thinking about
the relationships and partnerships between the sectors as impor-
tant. It is not about businesses handing a check to an NGO or the
public sector economically supporting business. It is about getting
the three parties to sit down together at the table and strategically
shape projects, specific products, or wider processes.
THE MAP OF SI 27
Dong Tan
An example of a cross-sector project is the Chinese eco-vil-
lage Dong Tan which is placed on Chong Ming Island near
Shanghai and planned to be one of the first fully sustainable
cities in the world along with two other eco-cities in China.
Dong Tan is planned by the Shanghai City Council as part of
the Carbon Neutral Urban Development Plan where Dong Tan
is meant to be a counterweight to the less sustainable Shang-
hai and at the same time reveal China as a player in the field of
sustainability.
The Chinese government decided to hire Arup, a British
company that specialises in green urban planning, to provide
the necessary knowledge for the creation of Dong Tan. Also
William McDonough and Michael Braungart, the authors of
the groundbreaking book on sustainability “Cradle to Cradle”6,
have been hired to help designing China’s coming eco-cities.
Dong Tan is an example of how the public sector in one
country uses the knowledge from a company from the
private sector in another country to create something new that
will benefit society and the environment.
The Landscape
You will come across many terms when you move around in the
land of social innovation and without proper guidance these may
be difficult to distinguish from one another. You can use the glossa-
ry in the back of this book to assist you on your way but the list be-
low further explains some of the most important of these terms and
can be used as a work of reference. All the different areas do not
have to be explored fully before you start your journey but we be-
lieve that you will find the descriptions useful as your desire to dig
deeper evolves.
THE LANDSCAPE 29
30 THE LANDSCAPE
Corporate Social Responsibility

Corporate Social Responsibility, or CSR, is “a concept whereby
companies integrate social and environmental concerns in their
business operations and in their interaction with their stakeholders
on a voluntary basis”7 – the stakeholders being those who are im-
pacted positively or negatively by their activities.
Some background information is necessary in order to understand

the term:
It is often argued that for some companies the motivation for en-
gaging in CSR stems from marketing concerns and is applied as
make-up with little genuine impact on the business. This debate
about sincerity or the lack of it comes from the definition and pur-
pose of business. While some argue that “the business of business
is business”8, i.e. maximizing profit, others have a broader under-
standing that includes a concern for the business’ environmental
and social footprint. With businesses having grown in importance
and influence over the last 200 years, now representing more than
half of the world’s biggest financial powers9, they become key driv-
ers for change - positive or negative. Regardless of the critics, “cor-
porate” refers to business where money is a key measure for recog-
nition and growth.
Any criticism can be generalized and in order to avoid that we see
a need to differentiate between three levels of CSR10.
First level: Corporate philanthropy

Companies give back to communities, charities, and non-govern-
mental organizations and develop internal projects that aim to sup-
port people in less privileged positions. Some companies involve
their employees in such projects in exchange for their motivation
and commitment (corporate volunteerism).
Second level: Risk management / reputation

As a response to pressure from stakeholders, non-governmental
campaigners or regulatory bodies companies may see their reputa-
tion being affected positively or negatively based on their actions (or
people's perceptions of said actions).
Third level: Business case / value creation

This is the first and only proactive approach where business lead-
ers see value in practicing social responsibility as an investment that
brings about financial return in the long run despite the short term
costs.
THE LANDSCAPE 31
32 THE LANDSCAPE
UN Global Compact -
Ten Principles
Human Rights
Principle 1: Businesses should support and respect the pro-
tection of internationally proclaimed human rights.
Principle 2: Businesses should make sure that they are not
complicit in human rights abuses.
Labour Standards
Principle 3: Businesses should uphold the freedom of associ-
ation and the effective recognition of the right to collective bar-
gaining.
Principle 4: Businesses should uphold the elimination of all
forms of forced and compulsory labour.
Principle 5: Businesses should uphold the effective abolition
of child labour.
Principle 6: Businesses should uphold the elimination of dis-
crimination in employment and occupation.
Environment
Principle 7: Businesses should support a precautionary ap-
proach to environmental challenges.
Principle 8: Businesses should undertake initiatives to pro-
mote environmental responsibility.
Principle 9: Businesses should encourage the development
and diffusion of environmentally friendly technologies.
Anti-Corruption
Principle 10: Businesses should work against corruption in all
its forms, including extortion and bribery.
The Global Compact was initiated by the United Nations’ Sec-

retary-General Kofi Annan in the year 2000. It is a voluntary
network aiming to mainstream 10 universal principals for so-
cially responsible business. Today, it includes over 3000 com-
panies from all around the world and another 1000 civil and la-
bour organizations.
THE LANDSCAPE 33
From Financial Reporting to

Sustainability Reporting11
Financial reporting, today a standard requirement for com-
panies to operate and be trusted by governments and share-
holders, only became mandatory after the stock exchange
crisis of 1929. The internationally recognized standards on ac-
countancy were developed mainly in the 1930s. Nowadays,
the pressure from stakeholders is requesting organizations to
become more transparent in the way they manage their busi-
ness and the impact they cause on society and environment,
not only their financial statements. Since the early 90s, many
organizations have started publishing social and environmen-
tal reports, citizenship or sustainability reports, mostly on a vol-
untary basis. The Global Reporting Initiative (GRI) was creat-
ed in 1999 and today its guidelines for sustainability reporting
are being used by thousands of companies, many of the larg-
est corporations in the world and are fast becoming a “de fac-
to” standard. The Swedish government has also mandated
state-owned companies to report in accordance to the GRI’s
guidelines. The International Standards Organization (ISO) is
now developing its own standards for social accountability
and both GRI and ISO are aligning themselves with other initia-
tives such as UN Millennium Development Goals and UN Glo-
bal Compact.
34 THE LANDSCAPE
Corporate Social Innovation

Corporate social innovation, or CSI, happens when social solutions
are the core of the business. This standard covers companies that
either remade or created a company based on a social need.
These companies are the vanguard of the new business logic;
they view community needs as opportunities to develop ideas and
demonstrate business technologies, to find and serve new mar-
kets, and to solve long-standing social problems. They focus their
efforts on inventing sophisticated solutions in close collaboration
with their stakeholders.
Handling social sector problems often forces companies to
stretch their capabilities to produce innovations that have business
as well as community payoffs. When companies approach social
needs in this way they have a stake in the problems and they treat
the effort the way they would treat any other project central to the
company's operations. They use their best people and their core
skills. This is not charity; it is a strategic business investment.12
THE LANDSCAPE 35
Public Innovation
Public innovation, or public sector innovation, concerns ways of im-
proving performance and outcome through innovations within the
public sector, e.g. in healthcare, social welfare or criminal justice.
An initiative that exemplifies public innovation with a social angle

can be taken from the Belgian Federal Police who hired blind peo-
ple to get more out of their wiretap recordings in criminal investiga-
tions.
The UK business school for government National School of Gov-

ernment, together with the Young Foundation and NESTA also set
up a Public Innovation Conference. “The aim was to generate an
awareness of public service innovations and to discuss the role of
government in diffusing innovative practice.”13 The same trio has al-
so drawn up a case study report on the subject “Creating the Con-
ditions for Public Innovation” in the year 2007.
36 THE LANDSCAPE
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“What is the most important essentials / conclusions of our
conversation?
The creative process is long...innovation takes time (contrary
to the romantic vision of “the lightning bolt strikes and innova-
tion happens”). The creative process is based on the multitude
of micro-innovations that occur in everyday life. From the mi-
cro-innovations, a new culture grows.
The producers or creative catalysts are needed to collect or
catch the innovations and bring them into the world. The inno-
vative process requires time/patience, an open environment
where ideas can be safely expressed, and enough resources
to allow the innovative process to grow.
Strong leadership and recognition are basic requirements for
fertilizing the ground for innovation.
Keepin’ it real – we deal with real people acting in the real
world.”14
The text above is taken from a debate on the question “What

can we learn from hip-hop – keeping it real” among Danish offi-
cials from the Ministry of Taxation at a workshop on public sec-
tor innovation in 2007.
THE LANDSCAPE 37
Socially Responsible Investing

Some say that the history of Socially Responsible Investing, or SRI,
goes back to the Quakers (Religious Society of Friends in the US). In
1758, the Quaker Philadelphia Yearly Meeting prohibited members
from participating in the slave trade of buying or selling humans.
One of the most articulate early adopters of SRI was John Wesley
(1703-1791), one of the founders of Methodism. Wesley's sermon
"The Use of Money" outlined his basic tenets of social investing - i.e.
not to harm your neighbour through your business practices and
to avoid industries like tanning and chemical production which can
harm the health of workers.
The present view on SRI kicked off during the Vietnam War with
a picture of a girl running towards the photographer with her back
burning from the napalm that was dropped on her village. This led
to wide demonstrations against companies profiting from the Viet-
nam War, and people began to be more aware of how companies
invested and made money.
As an example, pension funds are becoming increasingly aware
of the target of their investments after the exposures of several pen-
sion funds investing in the arms trade.
Another trend is found in people who are investing their mon-
ey in win-win-win projects such as environmentally friendly bonds,
stocks in windmills, CO2 quotas or micro-financing.
Domini - Social Investments

“The way you invest matters. Be part of the solution”15
It is stated on the website of the Domini Funds that as a share-

holder, “you make a difference in the world, engaging compa-
nies on global warming, sweatshop labour, and product safety,
revitalizing distressed communities, bringing new voices to the
table and helping redefining corporate America’s bottom line”.
They outline their investment strategy as determined by
stakeholders such as communities, customers, ecosystems,
employees, investors, and suppliers.
Domini Social Investments won the “Social Capitalist” Award
from Fastcompany Magazine and Monitor Group in 2008.
38 THE LANDSCAPE
Social Purpose Ventures

If we take a deeper look into the vast ocean of social innovation we
will find one of the more rare species called Social Purpose Ven-
tures (SPVs).
"The world today is awash with spectacularly talented, hopeful, and

creative social entrepreneurs who offer important solutions to our
social and environmental challenges. But there's a shortage of cap-
ital and support to nourish entrepreneurs' visions through the ear-
ly stages. GSVC offers access to such capital, along with solid and
grounded advice and a network that reminds entrepreneurs they
are not alone in their pathological optimism."16
Global Social Venture Competition
In more tangible words:

Social refers to meeting the needs of people, profit or planet through
what you do.
Purpose is why you do it.
Venture means involving considerable risk. The risk is of course
connected to the capital involved.
In most SPVs the capital comes from philanthropists. People who
give money without any expectations of getting them back. An in-
creased number of venture capitalists (VCs) seem to find interest
within this field. VCs invest in companies in which they see a high
potential for growth. They are a group of wealthy investors, invest-
ment banks or other financial institutions that pool their funds to-
gether. In return for the investment the VCs usually demand a say in
the company decisions as well as a portion of the turnover.
To bottomline it: SPVs invest in social enterprises/entrepreneurs to

get their say as well and a part of the turnover.
THE LANDSCAPE 39
Profit
Social impact
Is it the why or the
Reflections by Daniel Seifter, The in people’s individual lives as
KaosPilots International, well as the society they oper-
Team 13 ate within and a question has
arisen as to whether they have
In the second issue of 2008 a responsibility in regard to sus-
of the newsletter CHANGE tainability and social needs be-
distributed by myC4 (a plat- cause of their strong position in
form for supporting social en- the world. Looking at the mar-
terprise in Africa), a headline ket and society as a whole, this
read: “Sometimes, it falls up- definitely seems to be the sit-
on a generation to be great”17. uation. The market is putting
Apart from the feeling of be- higher demands on products
ing overwhelmed with re- (environmentally-friendly, sus-
sponsibility, the headline in- tainable solutions, fair trade
spires to look more deeply etc.) and companies in turn are
into how social innovation required to take more respon-
can create new opportunities sibility on a social level (both in
to solve world problems. How regard to its employees, supply
do we as representatives of chain, and society overall).
this generation meet the yet Professor Bradley Googins at
unmet social needs? the Boston College, Centre of
Corporate Citizenship describes
“You never change things by what he calls: “The 5 stages of
fighting the existing reality. To Corporate Citizenship”20 as:
change something, build a new
model that makes the existing 1. Compliant (Do what is expect-
model obsolete.”18 These words ed due to laws and regulations).
by Buckminster Fuller open up 2. Engaged (Working with a CSR
to the phenomena of social in- profile to contribute).
novation by inviting new initia- 3. Innovative (Finding new so-
tives to create social change. lutions within their structure to
Fuller, who among other oc- create a greater effect on social
cupations was a visionary au- needs).
thor and inventor, was through- 4. Integrative (Integrating social
out his life concerned with the innovations in the corporate sys-
question “Does humanity have tem).
a chance to survive lasting- 5. Transformative (Changing the
ly and successfully on planet Game. Make it a natural way of
Earth, and if so, how?”19 running a business).
Companies and entrepreneurs
today have a more central role
what that matters?
By creating a CSR profile a come part of a company's com-
company displays that it takes petitive advantage. Could these
some sort of social responsibil- strategic plans be an example
ity whether connected to envi- of such innovative capitalism?
ronmental sustainability or more Is it socially innovative although
direct social needs. It brings the priority is profit and not so-
credibilit y and strengthens the cial needs?
brand in the eyes of the market Whether the initiative comes
which is beneficial to the cus- from the heart (social innovation
tomer, the company, and soci- in this text) or from the head (in-
ety. A survey made by the con- novative capitalism according
sultancy firm McKinsey in 2007 to the above) does it matter in
revealed that 95% of CEOs said the end? When a company im-
that society now has higher ex- proves its social responsibili-
pectations of business taking on ty as a part of a strategic plan
public responsibilities than it did to increase their turnover, it still
five years ago21. Therefore, it is improves society. A company
no surprise that social and envi- which produces more sustaina-
ronmental issues are becoming ble and environmentally friend-
business drivers. ly products due to market de-
mands might boost its profit
Innovative Capitalism? and be seen as a more respon-
At first glance the term inno- sible company, yet it also con-
vative capitalism seems only tributes to a healthier world.
to awake associations to new Whichever motivation the ini-
ways of making more money tiatives stem from I feel inspired
but what if the new ways of in- by the words of his holiness the
creasing profit, that stem from a Dalai Lama. “Rather give with
demand in the market, result in an un-clean heart, than not give
increased social responsibility? at all”.
The Committee Encouraging
Corporate Philanthropy (a New
York based business associ-
ation) reports that the share of
corporate “giving” with a stra-
tegic motivation jumped from
38% in 2004 to 48% in 2006.
Also, in 2006, The Harvard
Business Review published a
paper on how, if approached in
a strategic way, CSR could be-
42 THE LANDSCAPE
Non-Governmental Organizations
In a definition from 1945 Non-Governmental Organizations (or
NGOs) are defined as organizations that are not controlled by gov-
ernments; organizations that exist to defend the rights of the civil
society but are independent from the state. NGOs also differentiate
from private companies as they do not pursue a profit.
There are many forms of NGOs and many alternative terms to
cover it. Independent sector, volunteer sector, civil society, grass-
roots organizations, transnational social movement organiza-
tions, private voluntary organizations, self-help organizations, and
non-state actors. In World Bank typology NGOs are categorized
as either operational or advocacy NGOs. The primary purpose of
an operational NGO is the design and implementation of develop-
ment-related projects whereas advocacy NGOs defend or promote
a specific cause.
Many international NGOs have a consultative status with United
Nations agencies relevant to their area of work. As an example, the
Third World Network has a consultative status with the UN Confer-
ence on Trade and Development.
Large NGOs may have annual budgets in the hundreds of millions
or billions of dollars. Funding such large budgets demands signifi-
cant fundraising efforts on the part of most NGOs. Major sources
of NGO funding include membership dues, the sale of goods and
services, grants from international institutions or national govern-
ments, and private donations. Several EU-grants provide funds ac-
cessible to NGOs.
Some organizations resembling NGOs are starting to put more
emphasis on generating their own profit fuelled by a need to free
themselves from the dependency of donations. Many social enter-
prises surfacing in China are examples of this due to the tight re-
strictions towards donations that exist in China.
THE LANDSCAPE 43
Springboard Innovation22
Springboard Innovation emphasizes the aspect of profit by
calling themselves a “social profit” organization.
Springboard Innovation is passionately enabling youth and
adults to solve local challenges with sustainable, innovative
solutions. They believe that the key to increased capacity is
education and engagement with the community and their ed-
ucational material and training programs are customized to fit
any learner or context. One example is a program called Lo-
cal Agenda that helps people create positive and sustain-
able change — in their own communities. Their approach is
to share knowledge on problem identification, problem solv-
ing, leadership, and planning with community members who
are passionate about changing the future but lack the skills
Springboard can provide.
The organization looks at innovation as a process that can
be learned and put into practice to create lasting change, and
Local Agenda is just one great example of that. They have a
very humble approach towards learning and believe that with
a little education on innovation you can, as a community mem-
ber, create the sustainable change YOU want!
44 THE LANDSCAPE
Social Entrepreneurship
A social entrepreneur works to address social needs and problems
in innovative ways by viewing challenges in society as a platform
for idea generation. She differentiates herself from a conventional
entrepreneur by focusing on the financial aspects as a means to
an end rather than an end in itself. She measures the success of
her endeavour on it’s positive impact on society as a whole. It is a
Baisikeli*
Bikes for a Better Future – the Work of a Social Entrepreneur.
The idea of Baisikeli is to ship used bicycles to Africa where they

are repaired or rebuilt and sold and where the profit forms the
foundation for the creation of a sustainable bicycle industry in Af-
rica. - A commodity that has no value in one place may have
great value in another - The idea comes from a need for quality bi-
cycles in Tanzania where most bicycles are of mediocre standard
and are sold at an extremely high price. While there is a high de-
mand for used bicycles in Africa – 400,000 bikes are scraped an-
nually in Denmark. Many of these can be used in Africa.
We strive to make bicycles accessible in the poorest areas of
the world where the bicycle can be a means out of poverty. We
have designed bicycles that meet the needs of the poorest so
that we can:
Increase the income of farmers by more than 100%

Create healthcare accessibility
Increase the attendance to primary schools
All of the above are considered key factors in reducing extreme

poverty and meeting the Millennium Development Goals.
“My definition of social innovation is to activate unexploited re-

sources. To take something that has no value at one place, acti-
vate it, and thereby impart value into it.”
Henrik Smedegaard Mortensen, founder of Baisikeli
www.baisikeli.dk
*Baisikeli means Bicycle in Swahili

THE LANDSCAPE 45
common misunderstanding that profit is unimportant for a social

entrepreneur but in fact the ability to self-sustain by generating prof-
it often determines the viability of the ideas or projects of social en-
trepreneurs. By breaking with established structures, logic or con-
victions, they pave the way for new practices and social innovations
that benefit both the economy as well as people (See page 21).23
46 THE LANDSCAPE
The Specialists
In 2008, a Danish IT company called “The Specialists”26 re-
ceived the international IT award for “most unusual entrepre-
neurship” and it is a good example of an initiative with a triple
bottom line (people, planet, and profit).
The Specialists are known for primarily employing people
with autistic behaviour to work with quality checking software
thus acknowledging that they are some of the best in the field.
In a simple and beautiful way, the Specialists tell the good story
of how IT businesses can be a constructive engine to change
the world and improve people’s lives. Not only do the people
employed as a result of this initiative benefit but so does the
computer industry itself through the employees’ highly devel-
oped skills within repetitive quality control.
Usually the IT award goes to millionaires who have been in
the industry for a long time but for the first time, thanks to the
Specialists, a social company has received this award. This is
something that creates an echo among autistic people, rela-
tives, and therapists in the entire world as a new world in which
autistic people are actually the best within their field is opening
up in front of them.
Among young people with autism this initiative gives new
hope of entering the job market.
THE LANDSCAPE 47
Social Intrapreneurship
Social intrapreneurs, also known as corporate changemakers, rep-
resent many of the same values as social entrepreneurs but func-
tion within corporations and companies. Social intrapreneurship is
becoming increasingly common and has the potential of being a
driving force within corporations or companies towards more sus-
tainable business.
“The greatest agents for sustainable change are unlikely to be [so-

cial entrepreneurs], interesting though they are… They are much
more likely to be the entirely reasonable people, often working for
large companies, who see ways to create better products or reach
new markets, and have the resources to do so.”24
The social intrapreneur acts “behind the scenes” of large corpora-

tions, developing tools and methods that push businesses in a so-
cially responsible direction. Provided with economic and adminis-
trative support from the company itself, he/she is allowed to focus
on the entrepreneurial idea alone. Often the challenges of social in-
trapreneurs lie within the organizations, e.g. through internal resist-
ance to change.25
In an interview, Win Sakdinan of Proctor & Gamble compared cor-

porations to “elephants, as they take time to change directions, but
when they do, they bring lots of weight or positive leverage.”
Social intrapreneurs may represent strong drivers of positive

change. They function from within already financially strong entities
with a wide reach and can benefit from the knowledge and skills al-
ready present within the organization.
48 THE LANDSCAPE
Before Moving On
Different readers may find themselves connecting only to some of
the areas above. However, understanding the landscape will hope-
fully present a glimpse into the endless possibilities you are faced
with when looking for ways to engage in the creation of socially in-
novative solutions.
Where common sense normally refers to logical thinking you could

also see it as the sense made up of a collective mind. The gather-
ing of different competencies, mindsets, and knowledge. Important
change does not have to be difficult and it can often come simply by
creating the arena for such common sense to be played out.
A socially innovative initiative can also consist of setting up a con-

nection between two parties that can benefit from one another but
who were unaware of each other’s existence. Creating such a con-
nection can be as easy as a few conversations or phone calls and
setting up the right connection can mean a difference to a lot of
people.
For those of you who wish to make the trip, don’t hesitate to bring
people together.
THE LANDSCAPE 49
Famous Travellers
Famous Travellers
What does it take to do good while doing well?
We would like to highlight some of the successful doers that have al-
ready travelled the path to social innovation. Read about where they
came from, what they brought with them, and what they strived to-
wards in their endeavours.
Innovations like theirs have gone beyond their creators and rev-
olutionized the world we live in. They stand as a testament to the
power of open eyes, minds, and hearts, and the willingness to de-
fy the risk of failure. In all of the examples shown, the people behind
went forward because of a belief in the need for their idea. They in-
spired others to join them in their efforts (individuals, organizations,
and networks) and by combining skills they reached the peaks of
their ambition.27
Other people travelling the world of social innovation are the ex-
perts, the researchers, the students, educators, and explorers who
tell the story of this age-old phenomenon. They are change-makers
that shed light on creating social change through passion, dedica-
tion, and alternative channels in our societies.
Let yourself be inspired. What would it take for you to become a
social innovator?
If you already feel like getting started, sneak a peak at the tem-
plate “starting with me” on page 72.
Do what you love

Love what you do
FAMOUS TRAVELLERS 51
52 FAMOUS TRAVELLERS
Table of do’ers
Who, where, when? Their Innovative The Need
Solution
Robert Owen He is considered one He was upset with the

Wales, of the founding fathers living conditions in his
United Kingdom of the cooperative community, especial-
Early 1800’s movement. ly the way that the mill
workers were being
treated and he was
determined to make
a change – alleviating
www.robert-owen.mid- poverty through so-
wales.com cialism.
Florence Nightengale She was a pioneer Through a rebellion to-

Europe of modern nursing wards her family and
Mid 1800’s through compassion, status, she chose to
commitment to pa- become a nurse which
tient care, and diligent was considered a job
and thoughtful hospi- for the poor. Her work
tal administration. during the Crimean
War made her fight to
better the standards
of hygiene as many
www.florence-nightin- soldiers died from in-
gale.co.uk fections.
Saul David Alinsky He was a main fig- As a slum kid raised in

Chicago, USA ure of community or- Chicago he decided to
The 1930’s ganizing. He led new make a change in his
ways to organize the own backyard, begin-
poor and powerless ning locally. Through
and created a back- creating neighbour-
yard revolution in cities hood communities, he
across America. realized that the citi-
zens could stand up
for themselves and
http://en.wikipedia.org/ gain better living con-
wiki/Saul_Alinsky ditions.

Solution
Wangari Maathai She is an environmen- As the daughter of

Kenya tal and political ac- farmers in the high-
Since 1970’s tivist. She founded lands of Mount Kenya
the Green Belt Move- she became inspired
ment which has now by her surroundings to
planted over 40 million use her passion for the
trees across Kenya to environment and fe-
prevent soil erosion, male empowerment.
especially focusing on
www.greenbeltmove- mobilizing women in
ment.org poverty.
Ray Anderson He is the founder and When he read a book

Texas, USA chairman of Interface by Paul Hawken en-
Since 1994 Inc. (floor manufactur- titled The Ecology of
er). He is committed Commerce which ar-
to reducing and later gues that the industri-
eliminating petroleum al system is destroy-
from the company’s ing the planet, he was
manufacturing proc- immediately moved to
esses. The compa- make a drastic change
ny uses waste prod- in the way his compa-
ucts to produce floor ny impacted the envi-
tiles. Furthermore, ronment.
they strive for 0-nega-
tive environmental im-
www.interfaceflor.com pact in 2020.

Solution
Cecilia Zanotti Co-founded an Projecto Bagagem

Brazil NGO called Projeto gives tourists an in-
Since 2003 Bagagem which is sight into local Brazil-
a community based ian communities and
eco-friendly tourism their traditions. The
network. communities gain
funds to maintain their
www.projetobagagem. culture and raise their
org living standards.
Peggy Liu She founded JUCC- “The world is at war

China CE (Joint US-China with energy and China
Since 2007 Cooperation on Clean is our common battle-
Energy). A Non-profit field”. China is becom-
organization aimed at ing the world’s larg-
helping China acceler- est consumer of fossil
ate 30 years of world fuels. The impact on
experience and devel- the environment will
opment into 10 years. be dramatic if China
evolves as the west-
ern countries have.
www.juccce.com
Muhammad Yunus
Founder of Grameen Bank and author of “Banker to the Poor: Mi-
cro-lending and the Battle Against World Poverty"
This is the story of Bangladesh's Muhammad Yunus, Nobel Peace

Prize winner and the founder of Grameen Bank. Yunus created a
new category of banking by granting millions of small loans to poor
people with no collateral thus helping to establish the microcredit
movement across the developing world.
After studying economics in the United States, Muhammad Yu-
nus went home to Bangladesh to help the rehabilitation after the lib-
eration of the country.
A shift occurred at a point when he did not feel that the under-
standing and knowledge of economics from the university course
he was teaching was applicable to Bangladesh, which at the time
was rated as the poorest country in the world. Yunus did not feel he
was making a difference.
"The least I as a human being can do is to help just one single per-
son, every single day"28
Outside the university campus in Jobra, Muhammad Yunus discov-

ered that very small loans could make a disproportionate difference
to a poor person. Jobra women who made bamboo furniture had to
take out unmanageable loans for buying bamboo to pay their prof-
its to the moneylenders. The first loan Yunus gave out (USD 27.00
from his own pocket) was given to 42 women in the village. The
women in turn made a net profit of USD 0.02 each on the loan.
While traditional banks were not interested in making tiny loans at
reasonable interest rates to the poor due to high repayment risks,
Yunus believed that given the chance the poor would repay the bor-
rowed money and hence microcredit could be a viable business
model. This idea proved to be a good one. Grameen Bank was born
and has since its start in 1976 provided 4.7 billion USD to 4.4 million
families in Bangladesh. (Equivalent to each family getting $1000.
Paying back $10 at an interest rate at 1%)
Muhammad Yunus' actions and successes with Grameen Bank
have since inspired others to do the same and the economic tool of
micro financing has proven to be one of the strongest in the battle
against poverty around the World.

"Credit should be accepted as a human right”29
According to Muhammad Yunus the reason why microfinance is

so powerful is the ownership and empowerment created when you
see possibilities and show trust to even the poorest of the world. He
believes that everyone rich and poor has the same capabilities and
should have the same possibilities for creating a living on their own.
Muhammad Yunus is a great example of a man that made it far by
believing and by following up on his ideas and dreams. He is a do'er
and he dares to do.
Dave Eggers
Founder of 826 Valencia
"Many writers, having written a first best-seller, might see it as a nice

way to start a career.
He started a movement instead."30
826
TIME Magazine
VA L E N C I A
As a founder of the San Francisco-based tutoring centre 826 Va-
lencia, Dave Eggers has brought together community members to
help young people excel in their writing and believe in themselves in
a way they never had before.
Dave is a writer, editor, publisher and an inspiring social innovator
of our time. Here is someone who dropped a pebble in the ocean
and created a tidal wave.
Dave is a spring chicken (born in 1970) but already has a wealth
of experience under his belt. He has written a memoir, multiple nov-
els and pieces of non-fiction as well as founded an independent
publishing company and given birth to a brilliant tutoring centre
concept (which he describes as a "weird happy accident"…we will
explain that later). In 2005 he was named one of Time Magazine's
"World's 100 Most Influential People". He has been given $250,000
by the Heinz Foundations and most recently he was the recipient of
TEDPrize 2008.
But the reason we highlight Dave Eggers in this guide is not be-
cause of his long list of titles, awards, and accomplishments. We
share his story with you because it is about taking action on a street
level and making a beautiful difference in the world by embodying
your true passion in life.
Back in 2000, Dave was living in New York. He was writing his first
book "A Heartbreaking Work of Staggering Genius"31. It was at this
time that a social need became very apparent to him. It was not until
he moved back to San Francisco and gathered together old friends
and new friends that his idea on how to face this need took flight.
The Challenge
Many students at city schools are not able to keep up with their
classes.
The Influences
English is not spoken as a first language in many households, some
children have learning disabilities, the schools are understaffed and
under-funded, the teachers are overworked and have little time on
their hands and no opportunity to spend one-on-one time with their
students.
Dave's Inspiration
His mom was a teacher, his sister became a teacher, and he had
many friends who were teachers. He heard a lot about the strug-
gles they were dealing with and knew first hand that they were hard-
working and inspiring people.
The Thought Paving the Way to the Solution

Teachers can't give the students the attention they need. But writ-
ers (like Dave and his friends) work flexible hours and often have lit-
tle to do during the day. They have the time that the teachers lack.
The Innovative Solution

826 Valencia- A tutoring lab, a pirate supply store (yes, pirate, no
spelling errors here, ed.) and a publishing company, all in one - A
place where writers, publishers and students can work together un-
der the same roof.
Then and Now

At first 826 Valencia had 12 volunteers. Today the organization calls
upon more than 1400 volunteers to tutor at the centre and in class-
rooms of local schools.
In the beginning, the pirate supply store in the front of the building
was created simply because the location was zoned for retail, so by
law they had to sell something. However, it turned out that the eye
patches, peg legs etc. have been selling and the profits now pay the
rent for 826 Valencia location.
Some of the students involved with what has now become Na-
tional 826 have had their work published. In addition to the original
San Francisco centre, the organization now has chapters in Brook-
lyn, Ann Arbor, Los Angeles, Seattle, Boston and Chicago.
Dave is a man of words but he is also a man of action. It is because

of this combination that his initiative has been so widely successful.
The tutoring project has shed light on many lives but because the
story is being told, many other similar projects are springing up as a
result of it. With community support a website has now been creat-
ed for this purpose of sharing stories and inspiring others. Check it
out and join the vision!32

"The schools need you. The teachers need you. The students and
parents need you. They need your actual person, your physical per-
sonhood and your open minds and open ears and boundless com-
passion sitting next to them, listening and nodding and asking ques-
tions for hours at a time. Some of these kids just don't plain know
how good they are, how smart and how much they have to say. You
can tell them. You can shine that light on them one human interac-
tion at a time. So we hope you'll join us."33
Dave Eggers
Marie So and Carol Chyau34

Founders of Shokay
Marie So and Carol Chyau are two examples of social innovators,who

started a company called Shokay, in China. Marie was born in Hong
Kong and Carol in Taiwan. They both hold a number of degrees and
have worked in both the private and public sectors (UN).
The company was born while they attended Harvard Universi-
ty. In the process of studying International Development, Marie and
Carol brainstormed on ways to utilize their education and talents to
build businesses that could impact poor regions. Both of them hav-
ing spent most of their lives in Asia the natural choice was China, a
country with increasingly severe income disparity where many in-
land regions suffer from poverty and lack of access to markets.
During their winter break, Carol and Marie travelled to Western re-
gions of China to investigate the needs and resources of the people
living there and look for ways to help.
They found an abundant resource of yaks and a NGO partner
China Exploration and Research Society.
This is what they did:

Shokay is a social enterprise started with one cause; "To identify the
right opportunities that could impact impoverished regions in Chi-
na…" The opportunity presented itself in a thick coat of hair, the fur
of the massive Tibetan Yak, which is an outstanding resource for
fabrics and yarn that equals the quality of cashmere and mohair.
Now, Shokay, the Tibetan word for Yak, sells luxury fibre collected in
the inlands by local nomadic herders and processed by a number of
hand knitters near Shanghai.
The philosophy of Shokay is to acknowledge the producing com-
munities by reinvesting parts of the profit in the local community. As
the company grows, the funds that they reinvest grow equally. The
funds ensure the development of the communities. By reinvesting
in the communities Shokay not only ensures a sustainable living for
the herders but also creates a platform that enables the communi-
ties to break free from poverty.
The second step in the supply chain of Shokay is the knitting of
the products which is based on an island close to Shanghai. The fe-
male knitters are all local and work in near proximity of their homes.
To increase the empowerment of the people in the remote re-
gions of West China, Shokay works to promote wool from the Yak
as a luxury fabric on the international scene to quality stamp and

brand the material, thereby increasing market value and securing
the herders an even better price.
The more Shokay grows the more the conditions of the financially
disadvantaged communities improve.
Jimmy Donal "Jimbo" Wales

Founder of Wikipedia
We have decided to highlight Jimmy Wales as one of the biggest

socially innovative Internet entrepreneurs who has made a huge im-
pact in the field of knowledge sharing.
Jimmy Wales is the co-founder and brain behind Wikipedia. Wiki-
pedia was created in 2001 and is a free, open-content encyclope-
dia. It is now the largest encyclopedia in the world.
His influence has helped popularize a trend in web development,
also called Web 2.0. His aim is to facilitate creativity, collaboration,
and sharing among users. Time Magazine named him one of the
world's most influential people in 2006 because of his massive glo-
bal impact.
Jimmy Wales was born August 7, 1966 in America. He grew up in
Huntsville, Alabama, and he received his early education from a small pri-
vate school run by his mother and grandmother. Education was one of the
key values in his upbringing because of the teacher aspect within the fami-
ly. In an interview he has formulated it this way:
"Education was always a passion in my household…you know, the

traditional approach to knowledge and learning and establishing
that as a base for a good life"35.
Jimmy has always had a great interest in finance and he has a

Bachelor's Degree in finance from Auburn University. Furthermore,
he has a PhD in a finance program at Alabama University.
You may ask yourself, Why is he a social innovator? One of his fa-
mous punch lines is:
"Imagine a world in which every single person on the planet is given

free access to the sum of all human knowledge. That's what we're
doing!"
The perspective - to share and educate everyone for free - is in-

novative in itself. The free licensing of Wikipedia content means that
it is free to copy, free to modify, free to redistribute, and free to redis-
tribute in modified forms, with attribution links. People from all over
the world are using this source because Wikipedia is a platform for
information and collaboration between people. It is flexible, adopta-
ble and easy to access - it is technology based social innovation.
The name “Wikipedia” is a combination of “wiki” and “encyclo-

pedia”. Wiki is a term that describes an online tool for collabo-
rative authoring. Software programmer Ward Cunningham was
the first to use this term which he got from Hawaiian wiki-wiki,
which means ‘quick-quick’.
“Encyclopedia” derives from the Latin word “enkuklopaideia”
and it means “all-around education”.
When Wikipedia was created in 2001 all of its technology and

software elements had been around since 1995. Its innovation was
entirely social - free licensing of content, neutral point of view, and
total openness to participants, especially new ones. As a result the
core engine of Wikipedia is "a community of thoughtful users, a few
hundred volunteers who know each other and work to guarantee
the quality and integrity of the work."
Wikipedia is a growing organism and will continue to accelerate
its growth. It is one of the top 20 websites with 5 billion page views
monthly. And through this Jimmy Wales has made himself a legend
of our time.
Natalie Killassy
Founder of Stitch Wise
"Our business is our vision at work!"36
Real change occurs when the mechanisms in society are shifted

to support a need that is yet unmet. Natalie Killassy of South Africa
used the channel of business to make a difference in her local com-
munity. Natalie grew up in a mining town. In this African nation, the
mining industry has been the main driving force behind the develop-
ment of the economy. Due to poor working conditions many injuries
and deaths occur each year.
Inspired by her environment, the reality she witnessed every
day, Natalie decided to do some research in the mines in order to
learn first hand about the safety conditions of the miners. What she
discovered led her to start up the social enterprise Stitch Wise in
1997.
This innovative business employs paraplegics injured in the
mines to make products that make working in the mines much saf-
er. In making this connection, Stitch Wise is having a win-win-win
impact.
"What most businesses don't realize is that you just need to make
a few changes to be able to employ disabled people, and through
that process you can harness a huge pool of skills and opportuni-
ties for your business."37
Although her products are innovative, it is Natalie's holistic ap-

proach to entrepreneurship that is the real gem of her story. Of her
128 employees, 50% are "differently abled". Stitch Wise holds train-
ing and empowerment programs (in the areas of personal develop-
ment, adult education, health education, and computer skills devel-
opment) and contributes greatly to the advancement of its nation's
economy.
Surely, Natalie came across challenges along the way but her
process was somewhat simple: She saw a need. She felt her role.
She acted.
My integrity is nonnegotiable,
My pride and enthusiasm unsurpassed…
Our differences are celebrated,
I work at Stich Wise.”
Movement
Movement
The stories we have highlighted are people we have met on our
path or been inspired by in our own work. They show how individ-
uals can influence their surroundings by seeing their role in solv-
ing the social needs affecting their communities. What is perhaps
even more interesting is to see these cases in a broader context.
All over the world people are working to combat issues such as cli-
mate change, population growth, lack of resources, and violations
of human rights.
Due to an increase in transnational companies and internet com-
munication our world seems so much smaller these days. For some
this is a negative phenomenon, however, there are many possibili-
ties that come as a result of this trend.
What is happening is that more and more people are waking up
to the fact that as humans on this planet our lives are not isolat-
ed. Our actions and inactions affect one another. Whether it is our
trade policies or our innovative projects everything is connected.
For some it takes a shorter time to come to this understanding than
for others.
What is exciting is to see when people come together to create
something greater than themselves in order to have a positive im-
pact in the world. This is largely happening with the support of valu-
able connections created in networks and communities of practice.
The Berkana Institute38, founded by the author and consultant
Margaret Wheatley, is an organization working with fostering these
relationships around the world.
“They learn how local social innovation can be taken to scale and
provide solutions to many of the world’s most intractable issues—
such as community health, ecological sustainability and econom-
ic self-reliance. The Exchange connects leadership learning centres
around the globe in such places as Brazil, Canada, India, Mexico,
Pakistan, South Africa, the United States and Zimbabwe”39
Global learning networks like Berkana and Pioneers of Change40

are supporting entrepreneurs around the world, however, there are
other channels at work fostering social innovation. Using education
as a tool for creating the world we want to live in we can have an in-
credible impact.
MOVEMENT 69
The way in which educational programs are structured greatly in-

fluences which mindsets are present in a society. Recent decades
have seen a rise in social entrepreneurial programs, highlighting the
need for people to go into the world of business with not only the
goal of making a profit but with larger visions including people and
the planet.
An example of these educational programs is the KaosPilots.
This is a school focusing on enabling the students to act in an ever
changing world through utilizing learning in real world projects and
personal leadership etc.
Other programs include the Stanford Graduate School of Busi-
ness’ Center for Social Innovation41 where they aim to strengthen
the capacity of individuals and organizations to develop innovative
solutions to social problems, as well as the Youth Social Enterprise
Initiative (YSEI)42; a social venture program based in Thailand for
emerging young social entrepreneurs in developing countries.
As time passes and the world evolves many new efforts and in-
itiatives confirm the thought that as individuals we can impact the
world but we can create so much more when we work together with
a common vision.
68 MOVEMENT
Shedding light on social innovation
SIX: Social Innovation Exchange

www.socialinnovationexchange.org
Young Foundation
Center for Social Innovation
London, United Kingdom
www.youngfoundation.org.uk
United Nations
Global Compact
www.unglobalcompact.org
Tania Ellis
De Nye Pionerer
www.taniaellis.dk
Denmark
World Business Council

for Sustainable Development
www.wbcsd.org
Center for Social Innovation

Toronto, Canada
www.socialinnovation.ca
ESADE
Ramon Llull University Institute for Social Innovation
Barcelona, Spain
www.esade.edu/research/socialinnovation/about
MOVEMENT 71
The Skoll Foundation

www.skollfoundation.org
Stanford Center for Social Innovation at

Stanford University Graduate School of Business
www.gsb.stanford.edu/csi
The Schwab Foundation for

www.schwabfoundation.org
NESTA
National Endowment for Science
Technology and the Arts
www.nesta.org.uk
global:ideas:bank
www.globalideasbank.org
Bigger Thinking
www.biggerthinking.com
The KaosPilots International

www.kaospilots.dk
CSR Wire
The Corporate Social Responsibility Newswire
www.csrwire.com
If you want to take action, check out the SociaI Innovation in

Action chapter on page 70.
SI in action
Social Innovation in Action
You are approaching your destination. Your bags are packed and
you have prepared yourself for an adventurous journey into the field
of social innovation.
In reading this first part of the travel guide, you have experienced
many perspectives that have probably inspired you to think about
what kind of actions you could take to create social innovation in
your community. We will now present some tools to be utilized to
gain clarity, provide inspiration, and raise questions that will help
you in your pursuit of this goal. This will be done in a playful manner.
Although the great social innovators have surely overcome incred-
ible challenges, they have also been passionate about their work
and have experienced great joy along the way. Pioneering in the
field of social innovation is meaningful and therefore quite exciting.
SI IN ACTION 73
The structure of this chapter will be formed around a few suggest-

ed areas to explore when kicking off a socially innovative project. It
is important to emphasize that the tools provided are not to be used
in any particular order. It is up to you to follow your motivation and
need and work with what you feel for at the given moment. Remem-
ber, use them while taking action and not as an excuse to post-
pone it!
In each section, a template will be provided to visualize a certain
aspect of your project. Each template will be accompanied with in-
structions on how it can be used as well as tips to support you in
your work. As a general rule these tools and tips are meant as sug-
gestions and can be altered or built upon as needed.
The visual tools are printed in a small format in this book.
You can scale them up by drawing them yourself on a piece
of paper or you can download larger versions for printing
from our website:
www.socialinnovation.biz
“Creativity is allowing yourself to make mistakes – Art is knowing

which ones to keep”43
Scott Adams
74 SI IN ACTION
Starting With Me
Look at what you do and in which areas you have experience and
talent and ask: How can society benefit from my skills? You do not
have to reinvent the wheel to create social innovation and apply-
ing your skills and knowledge in new ways can be the decisive first
step.
Use the templates in the order that comes naturally to you. Start
with what you have and build on it from there. Don’t force it. Find out
what you are passionate about and let it flow naturally. Passion is
the strongest driver for action.
Popular TV-chef Jamie Oliver is a good example of this; he went
from cooking delicious food in restaurants to bringing his business
into the school kitchens of Britain, revolutionizing the traditional
meal plans and giving children healthier eating habits.
Change starts with oneself. It is not the challenges that are too
few but the practice of seeing possibilities for oneself. The first tem-
plate is one for mapping out where you come from and how you can
contribute in a new way.
"Nothing splendid has ever been achieved except by those who

dared believe that something inside them was superior to circum-
stances."44
Bruce Barton
SI IN ACTION 75
76 SI IN ACTION
Mapping Out Me
Your experiences: Describe some of the things you have done in the
past. Focus on some of the accomplishments that you are proud of
and write it in the suitcase on the chart.
Passion: What do you love doing? Write down what you feel pas-
sionate about in the balloon.
Skills: What are your competencies? Describe what you are good
at in the body.
Values: What are your personal values? Values can be non-negotia-

ble ideals you seek out or believe in. Write down your values as the
ground you stand on.
Direction: Where do you want to go from here? Having reflected on

your experiences, passion, skills, and values, write down in what
ways you see yourself impacting society inside the compass in the
upper right corner.
SI IN ACTION 77
78 SI IN ACTION
Understanding the Cultural Context

To make a sustainable project that covers the intended need it is im-
portant to understand the cultural context in which you are shaping
it. You have to go beyond assumptions and look for patterns, hab-
its, customs, and norms to see how people act and then attempt
to decipher what this means. Whether it is the culture of a foreign
country or a familiar neighbourhood it is important to look at it with
a curious mind.
To understand a culture different to your own you must be aware
of which filters you possess. This means that you have to find out
which culture you yourself come from and be aware of your own
frames of reference. This also means stepping back to see which
segment or group in society you belong to in order to both under-
stand your own perspectives as well as to avoid taking for grant-
ed things based on your own experiences that do not apply to per-
sons from another background. The better you understand your
own cultural background the better you will understand the context
in which you want to operate which in turn will make it easier to find
viable solutions and cover actual needs.
As part of a culture we often take for granted the customs, habits,
and rules that are unspoken and this can make them almost invis-
ible to us. It can even be surprising to hear our own culture voiced.
When observing a culture different to our own, however, things that
are unusual to us stand out clearly. Because of this it may prove
easier to understand and question a culture when observing it from
a distance. Whether in our own or a foreign culture, however, these
unspoken customs, habits or rules often prove to be some of the
strongest guides to a deeper understanding. Make this your start-
ing point and work on finding out why you find certain things or be-
haviours noteworthy.
SI IN ACTION 79
80 SI IN ACTION

We recommend that you fill in two templates45. One for your own
cultural background and one for the target culture. This is to gain
a deeper understanding of how they influence one another. When
you do this you may find links between the “mapping out me” tem-
plate and the mapping out of your own culture as well as links be-
tween “the target group” template and the mapping out of your tar-
get culture.
Target culture: Write a headline that sums up the culture you are ob-
serving in the sign.
Distinguishing features: What stands out and why? Note things that
have triggered you in a good or a bad way. These are often things
that are different from what you know. Ask yourself; “what has made
me intrigued, annoyed, surprised or frustrated?”. Write it in the sun
and the cloud. Remember to find out why you had these reactions.
Taken for granted: What is taken for granted and why? Some peo-
ple expect there to be food on the table every day while others do
not. Try to find out what is taken for granted and why by asking or
observing and write it in the airwaves.
Community: What creates a sense of community? What links peo-

ple together? What makes them belong to their culture and how is
this acted out? What would people in a certain culture collectively
defend if they were put under pressure? Write your findings in the
body of the group of people.
New insights: In the globe where the group is standing, list your key
learning and new insights based on all the observations you have
just listed.
“Make the Known Unknown and the Unknown Known”

SI IN ACTION 81
82
The Need
The incentive to embark on social innovation often stems from a
motivation to answer an unmet social need. Whether the need is
the foundation for a whole project or the social aspect is an add-on
to an already existing business is up to you. Either way, putting em-
phasis on the need may help to optimize your outcome.
For inspiration as to where to make a difference you need only
look at your own neighbourhood. There is no need to travel around
the world looking for places to make social innovations happen. The
best place to start is often in your own backyard.
How to spot opportunities for

Social Innovation
To help you meet the world with an open mind for spotting po-
tential social innovations, we have designed a pair of glasses
that provide you with a filter or guidelines to challenge the way
you look at the world.
The new perspectives can enable you to see alternative and
socially responsible solutions for creating change, starting in
your own backyard.
Warning: The glasses may turn things upside down causing

new insights and wearing them for a longer period of time can
potentially result in a shift of mindset!
Guidelines for How to Use the Glasses to Gain New Insights

- Cut out the glasses from the template in this book.
- Depending on individual style and change in fashion, you can
also create your own.
- Put them on.
- Take a stroll in society, starting in your own neighbourhood
and use the filters described to the right:
83
1. Frustrations
What frustrates you in society?
Use it as a driving force as the founder of the Live Aid concerts,
Bob Geldof did as a response to his frustration with the catas-
trophe in Ethiopia in 1979.
2. Think globally - act locally

What inequalities exist in your own backyard?
You are an expert on your own society; use it to create change
most effectively.
3. Ask
Other people have different perspectives than your own. Ask
for their opinions and talk about what needs they see that
might inspire you.
4. Imagine
We often tend to focus on problem-solving. Shift your lenses
and start visualizing the world you want to live in. What does it
take to get there?
84 SI IN ACTION
The Need and the Dream

Need: What is the need you want to put emphasis on? Explain what
it is in the building.
Geographical and societal context: In which context do you find the

social need you are highlighting? Describe the geographical loca-
tion and the characteristics of the society where the need exists in
the square inside the globe.
Dream scenario: What change does the execution of your project

create? Describe the dream scenario in the rainbow.
Solutions: What are the possible solutions to resolve this need?

Write down these in the roof of the building.
SI IN ACTION 85
86 SI IN ACTION
Target Group
Consider who benefits from your initiative and actions. Society over-
all is a large target group, especially seen in a global perspective so
map out the specific beneficiaries of your project. They are the real,
immediate aim: the people who can move forward are empowered
or successful where they otherwise failed as a result of your work.
The Target Group (external stakeholders)

Target Group: Whose needs are you meeting? Who are you creat-
ing value for? The people in the wagon represent the people who
will benefit from the project. Map out the target group of your work
in the wagon.
Supporters: Who will support the project? The characters behind
the wagon represent the people who consciously or unknowingly
help and support the initiative (volunteers, consumers etc.).
Wins: Who are the winners at the end of the day? You are doing
something which has a positive impact on society. Map out all the
winners/beneficiaries in the trophies along with a description of
what they win.
SI IN ACTION 87
88 SI IN ACTION
Team and Resources

When building on an idea together with others it is important to al-
low new initiatives to emerge. Trusting and empowering people to
participate gives them ownership and allows you to access their
knowledge and creativity. Also, embracing mistakes as experiments
on the way towards good ideas will nurture a culture where innova-
tions and impact can be created. Make sure to actively involve as
many people as possible. Even though some people may only work
for one hour on your project this will still give them the opportunity to
valuably contribute.
Team and Resources Chart (internal stakeholders)

Core Team: Who are the core developers of this project? In the
characters at the centre of the template write the names of all the
people who are in your team.
Skills (of core team): What is your team good at? In the inner cir-
cle document all the skills and resources that are present in your
group.
Roles: Which responsibilities do the different team members have?

Use the hats to divide roles between you.
Inspiration: What inspires the group? Write various links, articles,

people, organizations, etc. from which you get inspired in the light
bulb.
Partners: Who are your partners? It is important to collaborate with

others in order to succeed. In the characters in the two outer rings
of the template put down the names of the people or organiza-
tions that are your potential partners and prioritize who are closer to
you. Examples of partners could be strategic advisors, investors, or
knowledge providers. Fill in with which skills or resources they con-
tribute in the rings.
SI IN ACTION 89
90 SI IN ACTION
The Project
The street artist Banksy has once said: “Don’t sit around and wait
for the perfect idea! Leave the house before you find something
worth staying in for.” For the social innovator taking his or her first
step is about getting onto the pitch to play the game and thereby
experiment with new ways of making business.
Have a talk about your idea with people from other sectors or
walks of life than the ones you represent. Get feedback, input, and
criticism and get inspired by seeing your project in a different light.
Be it from a social angle, a business perspective or something en-
tirely different. Either way, chances are that this will make your initia-
tive more sustainable!
The Project Overview

Project name: Give your project a title
Main Ingredients: What are the key elements of your project?

Note them in the water pitcher and flour package.
Boosters: What can make your project grow and become suc-
cessful? Write down the features that can support and boost your
project on the yeast package.
Spices: What can make your project more powerful? List factors
and components that can strengthen your project.
Topping: What add-ons could augment the success of your project?

Write down the potential project add-ons on the "toppings packet".
Recipe: What are the steps involved in creating your project? De-
scribe the elements of the project in the recipe drawing on the tem-
plate.
SI IN ACTION 91
92 SI IN ACTION
SI IN ACTION 93
94 SI IN ACTION
The Story
To get people involved and find financial support it is important to
be able to communicate your message. To have a good story. If
your scope is strong enough people will work for your idea or the
ideal you are championing. An option is to create a blog or a web-
site where people can discuss and share their experiences. If done
effectively the possibilities are endless. It could turn into a global
movement!
Find out what is unique about your idea and make it personal.
Do your best to make your plan easy to understand. For example

saying that you donate 1 dollar pr. meal except during the sum-
mer season and on Tuesdays where 77% go to administration is
NOT the way. You have to be able to explain your story so it is un-
derstood.
The Story Description

Origin of the idea: How did you get the idea? Tell how you got your
idea in the thought bubble.
Your passion: Why is this project important to you? Write down your
personal motivation/the group's motivation within the project in the
heart.
The story: What is the story about the project? Write the full sto-
ry from when you got the idea and how you/the team will solve the
problem. Make it easily understandable for the listener.
One-liner: What is the story of the project bottom-lined? Write a

one-sentence teaser you can use to catch people's attention be-
fore going into details.
Remember to only do the exercises that are meaningful to you and

where you see yourself in the future – otherwise it is just text on pa-
per. Use them in your elevator pitch or on your website and revisit
them at important milestones to make sure you are still aligned with
your vision and well on your way.
SI IN ACTION 95
Bon voyage
Bon voyage
“If not me, who? And if not now, when?”46
Mikhail Gorbachev
the last Head of State of the USSR
Change is happening all around us all the time. The opportunity is

there to influence these changes towards creating the world we
want to live in.
Social innovation as we know it is a starting point. It is up to you to

explore and create the new landscape of social innovation and in
doing so empower others to create their own desired future.
“Sometimes the notion of change, big or small, seems overwhelm-

ing and we retreat into inertia or paralysis. What I say to myself at
the beginning of each day, to keep things moving toward that nour-
ishment internally and externally, is just to acknowledge my inten-
tion and take one action every day. The sense of that, whether it is
accomplishment, self-satisfaction or euphoria lends meaning to my
life and each day ends with gratitude. I see simple ways like these -
daily personal intention, action and gratitude - can add to a moun-
tain of positive change in the world, quickly. This is how I would de-
fine self-responsibility. Once I start, it’s not just one thing I’m doing,
but many.”47
Deborah Goldblatt
Founder of the Youth Dialogue Programme,
San Francisco
“Citizens, consumers, employees and leaders have an opportuni-

ty to influence and contribute to the development of a better world.
And this is indeed where it starts - with ourselves. We all have an im-
portant role to play - and we can all contribute as social innovators
in each our own way. To quote the American anthropologist, Mar-
garet Mead – Never doubt that a small group of thoughtful, commit-
ted citizens can change the world. Indeed, it is the only thing that
ever has”47
Tania Ellis,
author of De Nye Pionerer on social innovation and
entrepreneurship
BON VOYAGE 97
“Changes come from actions. Positive social change can hap-

pen by chance, but looking at history and the challenges facing the
world today, it feels too haphazard to leave it up to sheer luck. Rec-
ognizing an opportunity to do something is also an opportunity to
act. An act, ever so small, is better than no act. We can do more.
Better.”47
Christer Lidzélius,
CEO and Principal of the KaosPilots International
Join the conversation! Think big by starting small and stop being
a victim of circumstance but rather the agent for change that lies
within you.
Traveller, we salute you!

June 2008
Team 13
Glossary
Glossary
To help avoid misunderstandings you are provided with a glossa-
ry to social innovation with some of the words you find in this book
as well as a few words you might encounter on your further travels.
Some have been inspired by or compiled from other sources but we
have tried to use our own words as much as possible.
Buzzword Corporate philanthropy

This covers terms and words that Corporate philanthropy is a branch
are used to an extent where a hype of CSR where organizations give
is created around them. back to society, charities, and
NGOs. It can also cover initiatives
Change agent inside an organization that support
A person who is equipped to and less privileged people in that organi-
capable of making change. zation (See CSR).
Change management Corporate Social Innovation

A structured approach to change in Corporate social innovation is when
individuals, teams, organizations, commercial companies integrate in-
and societies. novative solutions to a problem or a
need on a society level in their core
Context business, through core competenc-
The circumstances that form the es (Svendsen and Olsen, 2006)
setting for an event, statement or
idea in terms of which it can be ful- Corporate Social Responsibility
ly understood and assessed (Oxford Also known as CSR, corporate so-
American Dictionaries). cial responsibility is a concept
where organizations and compa-
Copenhagen Consensus Centre nies consider the interests of socie-
A research centre connected to Co- ty by taking responsibility for the im-
penhagen Business School found- pact of their activities some or all of
ed by Bjørn Lomborg in 2002. Co- the following: Customers, suppli-
penhagen Consensus Centre is ers, employees, communities and
conveying research to prioritize the other stakeholders or the environ-
world’s biggest challenges from an ment.
economist’s angle using cost bene-
fit analysis as one of their main tools. Cross Cultural Organization
Working inside or with an organi-
Corporate citizenship zation that reaches out and touch-
Corporate citizenship is another es upon different and possibly di-
term for Coporate Social Respon- verse cultures.
sability.
GLOSSARY 99
Cross Sectarian Project Innovative Capitalism

Cooperation between two or more In this book, this term is used to de-
sectors; the public, the civil or the scribe innovations that allow the fi-
private. nancial bottom line to stay in focus
in a world that has increased its at-
Culture tention towards social responsibility.
Generally refers to patterns of hu-
man activity and the symbolic struc- Millennium Goals, The
tures that give such activities signifi- The Millennium Goals consist of
cance and importance (wikipedia). eight goals developed by the UN
to deal with the biggest contempo-
CSI rary crises that span the globe. The
See corporate social innovation. goals are to be achieved by 2015.
CSR NGO
See corporate social responsibility. See non-governmental organiza-
Enforced Loyalty tion.
Companies making sure that they
will be the sole provider of servic- Non-Governmental Organization
es and products to a buyer through A Non-Governmental Organization
contracts. is an organization that is run with-
out the influence of governments
Fourth Sector Business in terms of organization and most
Is the definition of a merger between commonly also financially.
the public, civil, and private sector
that enables them to work as one. Non-Profit Organization
Non-profit organizations or not for
Globalization profit organizations work like NGOs
A process that breaks down barriers but define themselves by not work-
and unifies the people of the globe. ing for a profit. (See Non-govern-
mental organization).
Guanxi
The Chinese term for a loyal net- NPO
work. See non-profit organization.
Innovation People, planet, profit

The generation, acceptance, and See win-win-win.
implementation of new ideas,
processes, products or services
(Thompson, 1965).
100 GLOSSARY
Proactive Socially Responsible Investing

A state of mind where you act be- Socially responsible investing is in-
fore a given situation evolves to a vestments made to ensure both
crisis or confrontation. economic growth and improve-
ments of society.
PSI
See public innovation. SPV
See social purpose venture.
Public Innovative
Public innovation or public sector in- SRI
novation is a term for innovative initi- See socially responsible investing.
atives within the public sector.
Stakeholder
SE A person or group directly connect-
See social entrepreneurship. ed to or influenced by something.
SI Systemic thinking
See social innovation. Is viewing problems and issues as
part of one whole using this as a ba-
Social Entrepreneurship sis for action.
A social entrepreneur is an individ-
ual who strives to find solutions to Viral Marketing
the needs of society. His/her suc- A video, image or text that has been
cess is measured by his/her impact spread through word of mouth on
on that need. the web.
Social Innovation Web 2.0

New ideas that work to meet unmet New trends within the web and
needs and/or create new possibil- web-design to promote creativity,
ities that better the lives of people. information sharing, and user col-
(Also READ THIS BOOK!). laboration.
Social Intrapreneurship Win-win-win

An intrapreneur is an entrepreneur Also called people, planet, profit,
working within an existing compa- covers solutions where you, your cli-
ny to create positive change that ent, and the community all benefit.
serves the needs of society.
Social Purpose Venture

Social purpose ventures invest in so-
cial enterprises to create a turnover.
GLOSSARY 101
Sources
Research Before Takeoff

How can innovation address social needs?
1. Page 12,What does innovation really mean?, Brianna Sylver, Business-
Week, Jauary 31st, 2006
How can innovation address social needs?

2. Page 12, Center for Social Innovation
3. Page 12, Center for Social Innovation
On route to your destination

4. Page 16, Anthony P. Cohen, Eriksen, 1997, bls. 216
The Map
Change?
5. Page 22, What Does China Think by Mark Leonard, February 2008, pag-
es 34-36, 54 and 68-71,
Dongtan
6. Page 24, Cradle to Cradle: Remaking the Way We Make Things, William
McDonough and Michael Braungart, 2002
The Landscape
Corporate Social Responsibility
7. Page 28,Commission Green Paper 2001 Promoting a European Frame-
work for Corporate Social Responsibility, COM(2001)366 Final
8. Page 28, Milton Friedman, Nobel Prize winner in Economy, 1976
9. Page 28, Fortune, July 31, 2000 and World Bank, World Development
Report 2000
10. Page 28, The three levels of CSR are explained in the special report on
Corporate Social Responsibility - Just good business, the Economist,
January 17th, 2008
From Financial Reporting to Sustainability Reporting (textbox)

11. Page 30, New Wine, New Bottles: The Rise of Non-Financial Reporting,
Allen L. White, June 20th, 2005
Corporate Social Innovation

12. Pge 32, De Nye Pionerer, Tania Ellis, Denmark, 2006
Public Innovation
13. Page 33, The Centre for Public Innovation (www.publicinnovation.org.uk)
SOURCES 103
Hip Hop and the Danish Ministry of Taxation

14. Page 34, MindLab workshop on public sector innovation, June 28th to
29th, 2007. MindLab is a section of the Danish Ministry of Taxation that re-
searches within user-driven innovation. It was originally created in 2002 as an
incubator for innovation under the Finance Ministry (www.mind-lab.dk)
Domini – Social Investments (textbox)

15. Page 35, www.domini.com
Social Purpose Ventures

16. Page 36, Global Social Venture Competition (www.socialvc.net)
Is it the Why or the What that Matters? (textbox)

17. Page 38, CHANGE newsletter no. 2, produced by myC4 (www.myc4.com)
18. Page 38, Richard Buckminster “Bucky” Fuller, USA (1895-1983)
19. Page 38, Richard Buckminster “Bucky” Fuller, USA (1895-1983)
20. Page 38,From a lecture at the American Chamber of Commerce,
Shanghai, March 2008 by Bradley Googins, professor at the Center of Cor-
porate Citizenship, Boston College
21. Page 39, The survey by McKinsey as well as the report by the Commit-
tee Encouraging Corporate Philanthropy are quoted in Corporate Social Re-
sponsibility - Just good business, the Economist, January 17th, 2008
Springboard Innovation (textbox)

22. Page 41, www.learninginnovation.org
23. Page 42-43, From the article Bæredygtig Business, Tania Ellis, 2006
Social Intrapreneurship
24. Page 44, From the article Unreasonable People Power, the Economist,
January 22nd, 2008
25. Page 44, The Social Intrapreneurs: A Field Guide for Corporate Change-
makers, London, UK, April 17th, 2008. Published in partnership with The
Skoll Foundation, Allianz and IDEO
The Specialists
26. Page 45, The Specialists (Specalisterne) was founded by Thorkil Sonne
(www.specialisterne.dk)
104 SOURCES
Famous Travellers
27. Page 48, Wikipedia has been used to find background information on all
the case stories in this chapter
Muhammad Yunus
28. Page 54, Interview with Muhammad Yunus by Charlie Rose, June 5th,
2004 (www.charlierose.com)
29. Page 55, Quotes from The New Heroes, 2005, a production of Oregon
Public Broadcasting and Malone-Grove Productions Inc
Dave Eggers
30. Page 56, Dave Eggers: A Literary Rebel, With Causes by James Ponie-
wozik, Time Magazine, April 18th, 2005
31. Page 56, Dave Eggers: A Literary Rebel, With Causes by James Ponie-
wozik, Time Magazine, April 18th, 2005
32. Page 58, Dave Eggers Gets Real, Lev Grossman, Time Magazine, Oc-
tober 14th, 2002
33. Page 58, from Dave Eggers’ TEDPrize Talk, February 2008
For more reading see www.onceuponaschool.org and www.826valencia.org
Marie So and Carol Chyau

34. Page 60-61, For background information see www.venturesindev.org
and www.shokay.com
Jimmy Wales
35. Page 62, Wikipedia - personal life & education, personal philosophy &
references, Chris Anderson, April 30th, 2006
Natalie Killassy
36. Page 64, Stitch Wise official website: www.stitchwise.co.za.
37. Page 64, Endeavor, South Africa www.endeavor.winontheweb.co.za
For more reading see www.whoswhosa.co.za and www.southafrica.info
Movement
38. Page 66, The Berkana Institute (www.berkana.org)
39. Page 66, Using Emergence to Take Social Innovation to Scale, Margaret
Wheatley and Deborah Frieze, 2006
40. Page 66, Pioneers of Change (www.pioneersofchange.net)
SOURCES 105
41. Page 67, Stanford Graduate School of Business, the Center for Social
Innovation (www.gsb.stanford.edu/csi/)
42. Page 67, Youth Social Enterprize Initiative (www.ysei.org/)
Social Innovation in Action

43. Page 71, The Dilbert Principle, Scott Adams, American cartoonist (1957 – )
Starting With Me
44. Page 72, Bruce Fairchild Barton, American writer, advertising executive,
th
and politician. (August 5 1886 - July 5th 1967)

45. Page 78.79, This template has been developed in cooperation with eth-
nology student Maria Maarbjerg
Bon Voyage
46. Page 94, Mikhail Gorbachev, leader of the Soviet Union from 1985 un-
til 1991, (March 1931 – )
47. Page 94-95, Deborah Goldblatt, Christer Lidzélius and Tania Ellis all
contributed with these quotes in answer to a request made during the pro-
duction of this book.

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SOCIAL

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Social Innovation Co-editors

Before take off 10 SI in action 72

As illustrated on the following page there are many views on the

Social is relating to human society and its

People using new knowledge to

Of or relating to society or its organisation.

The act of starting something for the first

New ideas that work to meet pressing

New ideas that resolve existing

Innovation and Social Needs?

THE TRIPLE BOTTOMLINE

The Story of Social Innovation

They are listed according to:

In order for it to be socially innovative rather than merely innovative

Bank, Genova, Italy 1406

Insurance, London, UK 1680

Kindergarten, Germany 1840

Subway, London, UK 1860

Welfare State, Germany 1870

National Health Service, UK 1948

The Open University, UK 1969

Grameen Bank, Bangladesh 1976

Cell Phone, USA 1983

Internet, USA 1983

On Route to Your Destination

It is important to understand the context from which the need

Some aspects relating to this

As human beings we stand on a platform composed of opinions

“People become aware of their culture when they stand at its

Take a close look at the map and try

The Public Sector

The Private Sector

The Civil Sector

The Connection to Social Innovation

Challenges of Travelling Together

Corporate Social Responsibility

Some background information is necessary in order to understand

First level: Corporate philanthropy

Second level: Risk management / reputation

Third level: Business case / value creation

The Global Compact was initiated by the United Nations’ Sec-

From Financial Reporting to

Corporate Social Innovation

An initiative that exemplifies public innovation with a social angle

The UK business school for government National School of Gov-

The text above is taken from a debate on the question “What

Socially Responsible Investing

Domini - Social Investments

It is stated on the website of the Domini Funds that as a share-

Social Purpose Ventures

"The world today is awash with spectacularly talented, hopeful, and

In more tangible words:

To bottomline it: SPVs invest in social enterprises/entrepreneurs to

The idea of Baisikeli is to ship used bicycles to Africa where they

Increase the income of farmers by more than 100%

All of the above are considered key factors in reducing extreme