How TSI Shaped My Understanding of the Social Impact Space
By Bailee Lawrence, Impact Innovator
The first time I came across NewImpact was while completing my Impact MBA program at Colorado State University. NewImpact was hiring for summer interns to help them conduct what they call “wiki-mapping,” finding resources through “tri-sector innovation.” I wasn’t sure what those terms meant, but a quick look at their website explained how unlocking the resources of the public, private, and nonprofit sectors can improve people's lives and help solve sticky societal problems.
As someone who was pursuing a Masters in Business Administration with a special focus on social entrepreneurship, (and working on a social venture to address the issue of affordable housing) – I was intrigued. My experience working with the team has been invaluable in helping me to frame the common issues of our day, and how we can apply a tri-sector lens to all of the work we do.
Tri-Sector Thinking is Key for Unlocking Innovation for Purpose-Driven Businesses
My Impact MBA focused on the fundamentals while also highlighting the importance of bringing a social impact lens to the work we do in the business world. One particular example of this mindset was an article in HBR by Michael Porter who argues that businesses must create solutions that offer shared value:
“The solution lies in the principle of shared value, which involves creating economic value in a way that also creates value for society by addressing its needs and challenges. Businesses must reconnect company success with social progress... In short, the principle of value creation should guide the use of resources across all areas of societal concern.”
This idea of shared value provided a great framework as I contemplated businesses' role in society; however, the tri-sector mindset expanded this idea by providing me with a set of tools that I could utilize to innovate on new business models. For example, while working on a NewImpact catalyst project aimed at increasing food access in Denver, I “mapped” resources in the NewImpact Wiki database for over one hundred private, public and social organizations in the food space -- everything from cold food storage, to free school lunches, to public cooking classes at a university campus. Uncovering these resources expanded the possibilities of collaboration and partnership for shared success. Through my work with NewImpact I came to understand that the key to “unlocking” these resources is to understand the self-interest of the organizations who are involved and develop models which leverage these self-interests.
When It Comes to Social Impact, Private Corporations Can’t Work in a Vacuum
A trisector lens helps create shared value - and that's because when it comes to social impact - private corporations can’t (and rarely do) work in a vacuum. Companies like Propel, Esusu, and Haven Connect are innovating in spaces – EBT/SNAP, financial services for the poor, and affordable housing - which were once ignored by traditional for-profit institutions. These social impact organizations exist to create shared value and are doing so by innovating in tandem with or by leveraging resources from the public, nonprofit, and private sector. As we think about the future of business and how to create solutions for some of our most pressing issues, it could be especially prudent to think about our world with a “tri-sector” mindset.
