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Can not-for-profit incubators change India?
The model could help the social sector make a concerted, collaborative effort towards well-researched innovation in crucial but overlooked areas
India is the land of philanthropy. Indian children grow up with stories of mythical kings who donated their kingdoms as acts of self-sacrifice. Religious and charitable institutions have been working to uplift people for centuries. We have success stories of cooperatives like Amul which have existed since the 1950s. But even with this rich history, two decades into the 21st century, we are still trying to push people out of poverty. As per a United Nations estimate, 28 percent of India’s population lives below the poverty line and it is home to a massive 40 percent of the global poor.
But finding solutions to the problems of roti, kapda, aur makaan for 1.3 billion people is an enormous task. We need to build pathways out of poverty for the people at the bottom of the pyramid. We need to provide access to education and health and empower people to create decent living conditions for themselves. However, the magnitude of the problem is such that a single theory of change cannot address it. We need a multiplicity of ideas and interventions to create lasting change and reduce disparity. And we need to nurture and incubate these ideas so that they can be developed into sustainable solutions with the impact as their primary goal.
To illustrate, as per industry estimates, there are eight million truck drivers in India. By and large, it is understood that their helpers (another 12 million) and them work in appalling conditions. Predictably, the industry faces a demand-supply gap—about 40 percent trucks remain idle at any given time.
The impact of improving truck drivers’ livelihood will be felt beyond the supply chain sector. Arguably, it could be the springboard for exponential growth across sectors and industries. It will positively impact our ability to respond to situations like the pandemic by aiding swift movement of medical supplies and apparatus. Improving the livelihood of truck drivers will resolve the bottlenecks that throttle the growth of industry.
So, why don’t we see more innovation aimed at solving the problem?
Because, there is no momentum to research and understand the problem, little incentive to innovate and solve it.
Just like a tech startup, social enterprises too need help to develop an initial idea, access finance and markets, and mentoring to point out gaps and opportunities. A not-for-profit incubator can create that ecosystem, without preconditions of any sort.
Such an incubator can venture into sectors and geographies that require interventions, and promote social innovation based on research. Social innovators can receive the support they need to create contextual solutions rather than being outcome oriented. There can be freedom to experiment and test their approach and space for structured learning for the individual and the enterprise. Such an incubator can become a platform for collaboration that will revitalise the social sector and amplify the overall impact.
The writer is a co-founder & CEO of LabourNet.