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The Dynamics of Partnering

Sunday, March 22, 2009

Strategic and affiliate partnerships are not new in business, but there are particular ways in which the challenges and opportunities of the current time make new demands on leaders. Increased knowledge and connectivity show us more of the complexity in the problems we want to solve, the goods and services we want to create, and in the relationships between producers and consumers, social activists and beneficiaries, including the blurring of those lines. However, they also show us how concerted collective creativity and actions can prove a match for that complexity. No one person, organization, or government will solve the global economic problems, just as no one agency or type of intervention will solve a social problem such as homelessness. For leaders this provides both a requirement and an opportunity, to enter the bigger picture and embrace the generosity of cooperation.

Perceiving new value

A decrease in the kinds of resources – capital and markets – that for-profit and non-profit organizations have become used to, leads to intensified competition. Partnerships have to demonstrate some higher order value – the activation of a social movement, increased learning, better service, new potentials, the opportunity to work on larger problems than a single organization could tackle alone. A leader has to perceive and understand that value, and then persuade others, internal and external, to pursue it, even at the expense of the old norms of competition.

Innovating chains and networks

Globalization will not stop, despite recession and consequent tendencies towards protectionism. In an inter-connected world, where current trends suggest that the ethical provenance of goods and services will increase in importance, partnerships can be a way of ensuring that provenance, as well as innovating along supply and distribution chains, and throughout networks. Through partners we can have knowledge of each stage of the chain, or node in the network. That knowledge creates a collective responsibility, and also the opportunity for collective creativity.

Clarity

Partnering requires absolute clarity about an organization’s own area of work and sphere of influence. In many ways this becomes easier in times of straitened circumstances as organizations scale back to core business, and partnerships become a way of extending services. The difficulty then is to continue to innovate, in order to cultivate and develop the core business, in such a way that viable partnerships aren’t threatened. Pursuing joint ventures is one way to do this, although it adds complexity, especially in calculating the contribution of intangible assets. It also catalyzes the issues of power and control.

Power and Control

Probably the hardest part of collaboration for organizations is working out the respective areas and levels of control, and the decision-making processes to be used. As a baseline, good practices around this require that leaders of each organization come together with a genuine desire to share control and responsibility, to shift into being a part of a larger whole, rather than remaining the whole of a smaller part. It requires the ability to hold uncertainties in a spirit of curiosity and optimism, to stay loyal to earlier agreements about decision-making without being uncritical, and to act swiftly once decisions have been taken.

Managing Dilemmas

In the work of social innovation the problems tackled are complex and imbued with tensions. They are embedded in various systems, and within and between those systems, subject to competing agendas; they require innovation yet inhibit experiment; they demonstrate compelling overt symptoms and causes, and hold quieter, more covert, but equally influential ones as well. Scalable solutions require the concerted actions of policy-makers, leaders, program managers, field workers and venture funds, as well as the skills of top-sight, insight, foresight and know-how.

Join the conversation

One of the many leadership dilemmas around partnering is currently up on our Leadership Forum. If you’d like to join the conversation please click here.

To discuss partnering as it pertains to collective invention, join the discussion here.

We Are All Inventors Now: The Collective Invention Manifesto

Monday, February 9, 2009

Our future depends on reinventing and re-energizing our social institutions and bonds. Progress relies on both new technologies and new social arrangements to liberate and direct human creativity, knowledge, and energy. At times, technologies have catalyzed social progress. Fire and cooking enabled more efficient nutrition, and freed up time for exploration. Roads and viaducts sped transportation and improved public health. Drawing, writing, and later the printing press enabled the accumulation and spread of knowledge, as well as abstract thought itself. The internet hyper-accelerated our global capacity to create and share information, commerce, and understanding. But social innovation has played an even greater role in spurring progress–including breakthrough technologies. Agriculture began in small groups, but its organized spread formed the basis for markets and money, and the creation of governmental, religious, and educational institutions. The erosion of monarchies and the rise of merchant classes sped trade in goods and ideas. The American constitution encoded and accelerated self government. Public health measures radically increased the average human life span, and universal education spurred rapid social and economic development.

In the past two decades, we’ve seen seen explosive growth in bio-, info-, and nano-technologies. But in many respects our social structures–in education, health, and government itself–have not kept pace. While the potential and need for social progress is now greater than ever, its record in recent years has lagged. Institutionalized structures and practices that reward waste and pollution have caused massive environmental destruction. The concentration and deregulation of financial power has led to worldwide economic crisis. Billions of children and adults who could contribute to future progress are malnourished and poorly educated. Fortunately, we believe that a new force for social innovation is being born, one that we call “collective invention.”

Breakthrough Practices and Systemic Challenges

Monday, February 9, 2009

In a world in which most of our systems, from food to education to health to commerce, are either under significant pressure (buy any peanut butter lately?) or have broken down altogether (how’s your mortgage application coming along?) there is a lot of emphasis on getting to the “right solution”.

But while we may not know what all the solutions are, we’d submit that we collectively do know how to build the right solutions, and that the process knowledge is at least as important as the solutions themselves, because it’s replicable.

The partners at Collective Invention have worked together a long time, though our collaborations have taken different forms over the years. Arnold and I met as co-founders of The Idea Factory, now a Singapore-based company started here in San Francisco in 1997; it was here that we hosted Clark’s UC Berkeley design students and recruited Fiona to build our ethnographic research practice. Meanwhile, other longtime professional friendships, such as those with Jamais Cascio and Adam Kahane, grew out of our all having had the good fortune to work at Global Business Network (GBN) in the mid 1990’s.

The fact that we have collaborated in widely varied settings over time has helped us collectively to reflect on our work, and as part of Collective Invention’s mission we’d like to share some of our working hypotheses about the practices and principles that support innovation in the social sectors. I invite you to add your own thinking to the mix, and meet others with similar preoccupations, by getting involved in the practices and principles group on the Innovation for the Common Good discussion forum.

First of all, we define collective invention as diverse problem-solvers engaging productively together to generate breakthrough solutions. It’s what the X-Prize seeks to incent through offering prizes: “radical breakthroughs to benefit humanity.” And it’s what we seek to do with reliable processes for collaborative innovation. That’s a powerful combination: it will take both funding and technical support to blast open the problems we face and build new solutions together.

Clark, in his earlier blog post, has begun to lay out some parameters for design thinking. Our experience tells us that there are additional principles that provide the underpinning for collective invention in the social sectors:

Innovation for the common good demands focused cooperation between policy-makers, funders, researchers, leaders, and facilitators. The sheer scale of social problems, and the potential for doing harm through ill-conceived projects, requires the influence of policy-makers, the human-centered focus of qualitative research, the energy of venture funding, the topview of enlightened leadership and the process know-how of program facilitation. None of these factors on its own will catalyze real breakthroughs in healthcare, education or sustainable development, but together we can remake the landscape.

Confident leadership creates the conditions in which risk and error actually result in better solutions. Risk, error and deviation from the norm are pre-conditions for innovation, and leadership must advocate for them. Peter Diamandis, founder of the X Prize, says “especially in the scientific community, people are stuck in how they approach problems. The day before something is a breakthrough it was a crazy idea. If it wasn’t crazy yesterday, it isn’t a breakthrough today. And breakthrough ideas can sometimes be embarrassing if they don’t immediately lead to results.” Perhaps even more around pressing social problems than in the private sector, where innovation practices have been cultivated, leadership must model tolerance for and yes, even advocate for risk, error and deviation from the norm.

Good process generates a productive rhythm between collective intelligence and individual creativity. While experience is the only path to mastery here, there are ways to know when a team needs to be hived off or opened up; when an individual problem-solver needs to work independently and when s/he is ready for new perspectives; when and how to crowdsource and when and how to make meaning from the resulting data. Maybe this is, in part, what Daniel Pink means when he talks about symphony as a skill for this conceptual age.

Innovative teams are cognitively diverse. While it is easier to point to and to accomplish other forms of diversity—geographic, religious, gender, ethnic—when we are building breakthrough solutions what we most care about is cognitive diversity: differing mental models and problem-solving habits. A hypothesis: collective invention requires the ability to identify these differences, recruit participants accordingly, and to provide teams the tools to exploit cognitive diversity.

Mindful organizations, groups and teams are sensitive to their environments. A creative group is mindful of detail and adaptive to changes in the world around them. Collective mindfulness is about the ability to scan for signs of change and monitor particular signals at the same time.

The opportunity of our age is to use both silicon-based and social technologies to illuminate new possibilities. We have the technical know-how to surface and share data from virtually any source. Combined with process knowledge born out of design and organizational development, this gives us the capacity to invent, explore and rework solutions at a scale and speed never before possible. This opens up the potential for new forms of collaboration between technologists, designers and laypeople with shared investments in social innovation.

Thoughts? Comments?