Recently I participated in an online chat called “Why is innovation at scale so hard?" organized by the Guardian Development Professionals Network. Throughout the dialog, I was struck by the underlying assumptions that immediately color our understanding of these concepts. Many of these beliefs are so ubiquitous that no one even stops to think about them anymore. But like much conventional wisdom, they are dangerous when taken completely at face value.
Five "facts" on scale and innovation that I’d like to challenge are:
Innovation is harder at scale. Why do we assume that the little guys have a monopoly on innovation, and established organizations can only provide the infrastructure and distribution networks for scaling up? One great thing about being big is that it's easier to justify (and fund) research and development. For example in our microfinance programme, we can simultaneously run a dozen pilots testing new products and services, because we've got over 2000 branches as our playground!! It's awesome. Much easier than going from place to place trying to sell a potential partner on an idea, just to start a pilot.
Certainly some types of innovation are harder at scale--for example, many new financial institutions built on mobile payment platforms that are popping up in East Africa have a much easier time taking advantage of the technology that those more mature providers that now have to retrofit everything if they want to make the switch. Often smaller institutions have a lot to gain (and less at stake), so are more aggressive about pursuing opportunities faster. But innovating at scale is possible and happens every day. It requires different models that are often less sexy than the start-up cults of scrums and ping pong tables.
Five "facts" on scale and innovation that I’d like to challenge are:
Innovation is harder at scale. Why do we assume that the little guys have a monopoly on innovation, and established organizations can only provide the infrastructure and distribution networks for scaling up? One great thing about being big is that it's easier to justify (and fund) research and development. For example in our microfinance programme, we can simultaneously run a dozen pilots testing new products and services, because we've got over 2000 branches as our playground!! It's awesome. Much easier than going from place to place trying to sell a potential partner on an idea, just to start a pilot.
Certainly some types of innovation are harder at scale--for example, many new financial institutions built on mobile payment platforms that are popping up in East Africa have a much easier time taking advantage of the technology that those more mature providers that now have to retrofit everything if they want to make the switch. Often smaller institutions have a lot to gain (and less at stake), so are more aggressive about pursuing opportunities faster. But innovating at scale is possible and happens every day. It requires different models that are often less sexy than the start-up cults of scrums and ping pong tables.