Monday’s meeting with Unlimited India and the Acumen Fund provided some much needed perspective on our India trip thus far. It all actually began over lunch when Dean Parrish and Dr. Vyas began dissecting the ridiculous amount of information we have been consuming on this trip. Due to a quite frustrating mishap with FedEx India (to be discussed later), I was only able to hear the last bit of our lunch discussion. But what I took away was powerful: what really entails a sustainable business model and what services are you providing to a community that is really “unique?”
In India there are over 3million non-profits and over half of them will fail/ dissolve within the first 6 months. This high rate of “failure” makes my rational, business-self put a huge, blaringly red STOP sign in front of my emotional, bleeding heart-self. Why are these organizations failing? Part of the reasoning that Dean Parrish provided was through his coined term “personoracy;” that individuals are more consumed with getting their name in an organization and being the founder of a non-profit that they do not research what services are already out there for their community of interest and how they could provide their “new idea” to an already established organization.
Think about this: what happens when a non-profit fails? The services end, of course. However, what I feel I am guilty of ignoring is that the disruption of those terminated services has a real impact on the community the non-profit was serving. At the end of the day, the members of the non-profit are able to walk away from their work, shrugging their shoulders and say, “geez, what a shame that that endeavor didn’t work out. Oh well.” But what about the community that was being served? They became reliant on the services in place by the non-profit and suddenly those services are no more. What if the community members are relying on the non-profit’s medical services for important check-ups and medicine distribution? What if the non-profit’s educational services are the only ones in that community? Now what? A failed non-profit is not just some lost money and volunteer hours – it’s a devastating blow to the well-being of the community being served; not to mention it destroys any trust that the community will have towards non-profits and their efforts in the future.
Now, obviously, no one wants their non-profit to fail. A bleeding-heart, philanthropist does not work their face off for years developing a new idea and business plan with the hopes of failing. However, this is a serious reality check for all the idealists out there looking to “change the world.”
Wake up. Take a step back outside of yourself and your amazing idea. Now, what do you have left?
You have a desire to help a community. You have a new idea, new service that you feel like was not being provided beforehand. Take that idea and run with it – develop it to its fullest. However, do your research. Start exploring what organizations work with the community of interest or similar communities. Is it possible to take your brilliant new plan to an already established organization, with an already established relationship within the community and an already well-established fund-stream, and get this established organization to take on your new idea as one of their services? You, of course, come with the service; I’m not asking you to sell your dreams and passions without your intricate, vital involvement.
Now how do you feel? Yeah, it really sucks to not be able to slap “Founder” on your newly printed business cards and to have a fascinating tale of “passionate pursuits” to share at those star-studded fundraising dinners you have envisioned for your beloved organization. But when it comes down to it, the real nitty gritty of why you are doing what you’re doing, those business cards and self-glorifying cocktail chats don’t mean squat.
You are there for the community you want to serve, to make a real difference in real people’s lives. With a big-picture perspective, the “world change” you are pursuing has a different significance – it’s no longer about you. Now rinse and repeat: it’s not about you.
Now allow me to step down from my soap box and talk about the two organizations we met with today: Unlimited India and the Acumen Fund. Both of these organizations are great supporters of social entrepreneurship but contribute at different stages in the game.
Unlimited India – pretty much if you’re an Indian in Mumbai with a brilliant new idea that will change the world and have a social impact in some way, you go to Unlimited India. They love the innovators and dreamers. Through business savvy support and financial funding for the beginning stages of an idea, Unlimited India encourages individuals to take action and develop a culture that supports the “innovators,” “activists,” “social entrepreneurs,” whatever you choose to call them.
This organization is great and kind of the “oh that’s so sweet” organization for this trip. They definitely have in place a detailed business plan and structure that has been working great for the last few years. However, I just fear for the sustainability of an organization such as this one. They are investing in the dreamers and the revolutionaries, not the strong businessmen. Like I said, I think this organization is super duper – we need more people investing in the great new ideas – however, how long will outside funds support these world-changers?
The Acumen Fund – After you get your great innovative idea on the ground and have a few years of hard work under your belt (to prove your new organization or idea will actually survive), you go to the Acumen Fund. This organization was talked up a bit by some of my colleagues, and I had heard of it loosely before the meeting. I understood them as sort of the big wigs of the NGOs world that promote sustainable NGO business models. Well, that perception was altered with our meeting. It took some time to digest what information they were sharing, but once we talked about it as a class afterwards, I understood where even the “golden child” in non-profit business is faulting.
The Acumen Fund representatives were very passionate, well-spoken young professionals with a glimmer of idealism in their eyes but a firm, unwavering business demeanor. They were great but were missing something very important in their business model for their public health projects: measurable outcomes. They told us this absolutely INCREDIBLE story about low cost maternity clinics in one area of Mumbai that were serving a very poor population. The clinic was open to any family, but 95% of their population would be considered “impoverished.” The clinics provide high quality service and care at a mere 1/3rd of the cost. Obviously this is an amazing service that is making a dramatic difference. However, the Acumen Fund and their donors are not measuring the difference they are making. For a public health professional, we hear quality maternal care and immediately think, “Great! Lower maternal and infant mortality rates; lower rates of disease. This is a wonderful thing!” And yes, these “Life Spring Hospitals” are indeed a great addition to the health services for these 12 communities in Mumbai. However, the Acumen Fund, as I mentioned, are not measuring the difference they are making.
Dr. Parrish asked the Acumen Fund representatives what data they have collected and what impact they have analyzed- to find out that the representatives didn’t know how to measure health impacts. Mind you, they spouted out some very well-phrased answer, something about that it was too soon to measure the impact or that they couldn’t do it yet. But still, Dr. Parrish brought up something that I do not think I would have noticed right at that moment: that even the “golden child” of business-oriented NGOs needs some help. Once we discussed our thoughts on the Acumen Fund’s presentation, I realized the importance of us public health professionals out in the field. We’re not only there to deliver food and medicine to the hungry and sick; we’re there to also make sure that public health programs are ACTUALLY making a difference; a difference worth investing in.
Meeting with the Acumen Fund was quite the reality check. Beforehand, I just naively assumed that organizations as well-established as the Acumen Fund had all their T’s crossed and I’s dotted. I mean, they pretty much made the business model for social entrepreneurship in the developing world. Just goes to show (1) never assume anything and (2) public health professionals are needed everywhere!
This was a great experience, conversation, and opportunity to reflect upon how I can contribute to organizations already serving communities in need. Once again going back to the idea of “personocracy,” establishing my own non-profit is not nearly as important as me offering my services and skills. Also, along this idea of “personocracy,” it is VITAL that organizations have the manpower to go with the great face the organization dawns. For example, the woman who is the CEO for the Acumen Fund is spectacular and can fundraise like no one’s business. But without a full range of skilled team member to support her and the organization, any NGO would perish quickly. This was really eye-opening and provided a great, new perspective for me and the governance/ accountability end of a non-profit. Quite different the everyday muddy feet and smelly clothes perspective we’ve been exploring thus far…
