CBC Radio One had some very interesting programs this week, all of which can be tied back to Generating Social Capital, effective community development and the interconnectedness of our social and economic systems.

Spark, a program about technology hosted by Nora Young, was discussing the use of open source software, APIs and Wikis.  It is quite serendipitous that this show aired now, I am just in the middle of Dan Tapscott's book, Wikinomics.  The interview and the book have got me thinking about what a new organizational system in the non-profit sector would look like.

In the Karma & Cents winter newsletter this year I talked about collaboration.  This article was followed by a piece in the spring newsletter about Community Economic Development models and how the most effective ones have mulitple partners. 

With ideas provided through the Wiki and Open Source communities the way we collaborate and how we define collaboration has changed.  The traditional collaborative model was typically a connection between a few people or organizations around a topic/issue.  In the new collaborative model we have thousands of people sharing their expertise and holding each other accountable for effective delivery of the program, project, or solution to the issue.  In addition, new economic models are evolving out of this collaborative space thereby identifying new resources (human and financial).

So what would this new model look like if we expaned it to the organizational structures of today's society, specifically around the Non-Profit and Charitable sector?

I would argue that by breaking dow the silows around issues, tearing up the turf around donors, and engaging multiple agencies in program development and delivery, we would have a more efficient, effective and impactful non-profit sector.

How would this work?

1. Donors will be able to direct their resournces to a couse as opposed to an organization. The cause being managed by multiple agencies from different angles will ensure that the donor's dollars are being directed at the most effective approach at that time.  This in turn will limit duplication and force organizations to address the issue and not just the program.
2. Cultural Barriers between users and supporters, rich and poor, ethnic groups, geography will be torn down (over time).  This tear down will result in communities building each other up, instead of individuals directing resources down.
3. Resource Attraction to organizations will be easier because people will self-select by their attraction to solving the problem.  People who have the solutions or parts of the solutions to the issue will be the ones who focus their energies in that direction.  The growth the charitable sector will be by qualified, innovative people, thereby shoring up the leadership gap that is currently facing the sector as baby-boomers retire.  From this we will see the creation of a new economy within the non-profit sector, not one driven by donor dollars, but one that is driven by social enterprise AND community investments (individuals and companies).

What does this new society look like?

Currently our society is built in silos.  There are three of them, Non-Profit, Government and Private.  Information is being passed on an inconsistent and limited basis down each of these silos and across on an even more limited basis.  What this new system could look like would be a pool of individuals from a cross-section of industries, geographies, backgrounds, etc. From this pool are different tributaries pulling people by interest, knowledge, expertise down around an issue and then spitting them back out again into a different pool with a different collection of individuals looking at a different problem.  Each pool generates new ideas, solutions, micro-economies, governance systems and ultimately connections.

This idea brings me to the next CBC interview from this week on Q hosted by Jian Ghomeshi.  Jian interviewed Zambian author, Dambisa Moyo on her new book Dead Aid.  This book reveals the negative effects that foreign aid from individuals and governments is having on African societies.

The idea that our aid is having a negative impact is not new to readers of this blog. I have written in the past how donations to some organizations overseas have unintended consequences.

Moyo highlighted effective CED funding models like Kiva, and how building businesses and capital systems ins better than aid.  She also stated that she likes what China is doing on the continent, by bringing business investments, employing people and driving the economy.  I think that using China as an investing company is not a good example.

China might be bringing in new businesses and thereby driving up other businesses supplying to the workers and their families, but China has some well-known distasteful approaches to business. Specifically around the blatant disregard for human life standards.  It is the Chinese business in Sudan that is propping up a corrupt government, that has led to mass murder of those living in Darfur, and created an even wider socio-economic gap.  Another example is one that is not so widely known about - China built much of the road infrastructure in Ethiopia.  This was originally seen as a good thing because it enabled the food producers in the north to transport goods to the desert communities in the south.  What these roads also provided was for flower growers from places like India to move into the country and start drawing up precious water resources for flowers to be exported out of Ethiopia.  In essence, these roadways are contributing to another drought.  What is even more ironic is that Ethiopia was the only African country not colonized, and today, it has more countries exploiting its resources than ever before (one might argue the exploitation is going unchecked).

I believe that if this was an effective model, this type of capitalism would be driving down corruption, not strengthening it.

There has been some good come out of China's investment and the work that NGO's are doing on the African continent. I have written about where your jeans go when you send them overseas - how used clothing is sold in the market and has provided a cottage industry for tailors. Another revenue stream provided by NGO's is the volunteer corps that arrive in the countries and stay in the guest houses (not major hotel chains... but there is an economic trickle from that too) run by families.  We might not agree about how volunteers and donors should travel and work in developing countries, but let's face it, these people require services and supports that can be provided by the local citizenry.

In tying these two interviews together this is what I see:

Effective CED should be conducted in an open source, wiki manner.  By doing so, a new economic system will be created: new avenues for donors (community investors) to participate, new governance and accountability systems will provide ease of growth and partnerships.  This structure will integrate the private public and non-profit sectors as one system - the Human system.