Social Entrepreneurship & Innovation
Social Innovation
Social innovation is a very broad term used to describe ideas, processes, and solutions that create new solutions to social problems.
Social Entrepreneurship
Social entrepreneurship is the process of searching for innovative solutions to social problems. Social entrepreneurs work with ideas from both the business and nonprofit worlds to meet their goals. Different countries have different definitions of what type of activities fit under this term. The US tends to have one of the broadest definitions.
Social Enterprise
A social enterprise is an organization that uses business strategies to improve human and environmental conditions on a systemic level. A social enterprise aims to improve society in addition to increasing the organization’s wealth. It can be for-profit, non-profit, or a hybrid between the two. Some people believe social enterprises must also create solutions that are ‘game-changing,’ or make impact to the entire industry or system.
Collective Impact
Collective impact occurs when organizations from different sectors work as a team towards a common goal/agenda to solve a specific social problem, using a structured process and common measures of success.
Grassroots
The most basic level of a population group (i.e. the community), an activity or an organization that starts a project or a movement. Grassroot movements happen from the “bottom up” (i.e. a community taking action) rather than something from the “top down” (i.e. a government making laws).
Social innovation is a very broad term used to describe ideas, processes, and solutions that create new solutions to social problems.
Social Entrepreneurship
Social entrepreneurship is the process of searching for innovative solutions to social problems. Social entrepreneurs work with ideas from both the business and nonprofit worlds to meet their goals. Different countries have different definitions of what type of activities fit under this term. The US tends to have one of the broadest definitions.
Social Enterprise
A social enterprise is an organization that uses business strategies to improve human and environmental conditions on a systemic level. A social enterprise aims to improve society in addition to increasing the organization’s wealth. It can be for-profit, non-profit, or a hybrid between the two. Some people believe social enterprises must also create solutions that are ‘game-changing,’ or make impact to the entire industry or system.
Collective Impact
Collective impact occurs when organizations from different sectors work as a team towards a common goal/agenda to solve a specific social problem, using a structured process and common measures of success.
Grassroots
The most basic level of a population group (i.e. the community), an activity or an organization that starts a project or a movement. Grassroot movements happen from the “bottom up” (i.e. a community taking action) rather than something from the “top down” (i.e. a government making laws).
Design Thinking/ Human-Centered Design
Design Thinking
Design thinking is a multi-step processes used to create a product, service or solution to a problem. Design thinking, also known as Human Centered Design, creates solutions focusing on the people or “users” who are most directly involved in the problem. Design thinking often begins by observations or interviews with these “users” to understand their problem deeply, then brainstorming ideas, creating a physical prototype based on the ideas, and testing out different versions of the products.
Below are simple descriptions of the 6 steps of the design-thinking process:
The ability to understand and share the feelings of another person. This is at the center of a human-centered design process. Observing, engaging with, and sharing experiences with people for whom you are designing solutions helps you better understand their challenges, preferences and value systems, and design a more useful product for them.
Brainstorming/Ideation
Brainstorming is a process of making new ideas. Often it means talking with your group, listening, learning, and discovering new possibilities, and designing solutions together. Brainstorming can be used at each step of the design process. For maximum effectiveness, it is important to actively listen to and think about every team member’s idea even if you personally do not agree with it.
Iterative Process
A process for arriving at a decision or a desired result by repeating rounds of analysis or a cycle of operations. The objective is to bring the desired decision or result closer to discovery and an effective solution with each repetition (iteration). The iterative process is best used where the decision is not easily undoable (such as a marriage or war) or where the consequences of undoing it could be costly.
Design thinking is a multi-step processes used to create a product, service or solution to a problem. Design thinking, also known as Human Centered Design, creates solutions focusing on the people or “users” who are most directly involved in the problem. Design thinking often begins by observations or interviews with these “users” to understand their problem deeply, then brainstorming ideas, creating a physical prototype based on the ideas, and testing out different versions of the products.
Below are simple descriptions of the 6 steps of the design-thinking process:
- Empathy: You “observe, engage, watch, and listen” to understand the problem and user’s needs.
- Define: Pinpointing the core issue of the problem.
- Ideate: Concentrating on generating a new idea.
- Prototype: Creating models that can be used to test tentative products or solutions to the problem.
- Test: Making sure the product or solutions works and make final adjustments.
- Iterate: Repeating the whole process to create continuous improvements.
The ability to understand and share the feelings of another person. This is at the center of a human-centered design process. Observing, engaging with, and sharing experiences with people for whom you are designing solutions helps you better understand their challenges, preferences and value systems, and design a more useful product for them.
Brainstorming/Ideation
Brainstorming is a process of making new ideas. Often it means talking with your group, listening, learning, and discovering new possibilities, and designing solutions together. Brainstorming can be used at each step of the design process. For maximum effectiveness, it is important to actively listen to and think about every team member’s idea even if you personally do not agree with it.
Iterative Process
A process for arriving at a decision or a desired result by repeating rounds of analysis or a cycle of operations. The objective is to bring the desired decision or result closer to discovery and an effective solution with each repetition (iteration). The iterative process is best used where the decision is not easily undoable (such as a marriage or war) or where the consequences of undoing it could be costly.
Entrepreneurship & Business
Start-up
An early-stage company or temporary organization designed to find a new product or successful business model that can be replicated. Most start-up organizations are very small, willing to take risk and adjust quickly to changing circumstances. Silicon Valley is known for its start-up culture, which supports the growth of these young and fast-changing organizations.
Incubator
Incubators support startup businesses so that they have a higher chance of succeeding in the market over a longer period of time. Incubation programs provide services such as mentorship, networking, access to angel investors or venture capital, and management of business regulations and finances.
Business model
A model used to demonstrate how a business will be successful. This includes specific plans for making money, attracting customers, organizing the employees, choosing products to sell, and more.
Elevator Pitch/Pitching
A very short presentation of an idea, usually for a company or a project, delivered within a few seconds (or in the amount of time you might have to ride the elevator with someone you want to impress). Pitches (from 2-10 minutes) are also commonly made by start-up companies to investors in a more formal setting.
An early-stage company or temporary organization designed to find a new product or successful business model that can be replicated. Most start-up organizations are very small, willing to take risk and adjust quickly to changing circumstances. Silicon Valley is known for its start-up culture, which supports the growth of these young and fast-changing organizations.
Incubator
Incubators support startup businesses so that they have a higher chance of succeeding in the market over a longer period of time. Incubation programs provide services such as mentorship, networking, access to angel investors or venture capital, and management of business regulations and finances.
Business model
A model used to demonstrate how a business will be successful. This includes specific plans for making money, attracting customers, organizing the employees, choosing products to sell, and more.
Elevator Pitch/Pitching
A very short presentation of an idea, usually for a company or a project, delivered within a few seconds (or in the amount of time you might have to ride the elevator with someone you want to impress). Pitches (from 2-10 minutes) are also commonly made by start-up companies to investors in a more formal setting.
Fundraising & Investment
Stakeholders
Any individual, organization, or group that may affect or be affected by an organization’s actions. One should consider how stakeholders will be impacted or will respond especially when making a new organization or a major change in how the organization operates.
Venture Capital
Money given by investors to start-up firms and small businesses that are high risk, but also have potential for above-average returns and long-term growth. This is a very important source of funding for startups with limited access to capital markets.
Impact Investing
Impact Investing refers to investments made into companies, organizations, and funds with the intention of generating measurable social and environmental improvement as well as a financial profit.
Philanthropy
Donating personal wealth and time to support social welfare causes and environmental sustainability.
Crowdsourcing
Asking for money and resources by reaching out to individuals, family, and friends in your extended social network, either through social media or offline. Startup companies, non-profits, and charities often use this method when they want support outside of the traditional donors and investors who have strict requirements.
Buy-in
Having ordinary product users contribute their own time, resources, and interests to the marketing or development of a product. Platforms like Twitter or YouTube are good examples of websites that generate buy-in. People must put their own content on YouTube for it to be a useful community website!
Any individual, organization, or group that may affect or be affected by an organization’s actions. One should consider how stakeholders will be impacted or will respond especially when making a new organization or a major change in how the organization operates.
Venture Capital
Money given by investors to start-up firms and small businesses that are high risk, but also have potential for above-average returns and long-term growth. This is a very important source of funding for startups with limited access to capital markets.
Impact Investing
Impact Investing refers to investments made into companies, organizations, and funds with the intention of generating measurable social and environmental improvement as well as a financial profit.
Philanthropy
Donating personal wealth and time to support social welfare causes and environmental sustainability.
Crowdsourcing
Asking for money and resources by reaching out to individuals, family, and friends in your extended social network, either through social media or offline. Startup companies, non-profits, and charities often use this method when they want support outside of the traditional donors and investors who have strict requirements.
Buy-in
Having ordinary product users contribute their own time, resources, and interests to the marketing or development of a product. Platforms like Twitter or YouTube are good examples of websites that generate buy-in. People must put their own content on YouTube for it to be a useful community website!
Measuring Success & Impact
Social Return on Investment (SROI)
A measure of social and environmental values created by a business together with its profits. The construction of SROI accounts requires a mix of information including qualitative, quantitative and financial.
Sustainability
Ability to maintain an activity or process over a long period of time without compromising the environment, natural resources, or future well-being of humans.
Triple Bottom-Line (TBL): People, Planet, Profit
The TBL is a performance reporting framework that incorporates three dimensions of performance in a business: social, environmental and financial. The TBL approach is also commonly referred to as the Three Ps: people, planet, and profits. Therefore, it can be presented as a Metrics for Social Impact.
A measure of social and environmental values created by a business together with its profits. The construction of SROI accounts requires a mix of information including qualitative, quantitative and financial.
Sustainability
Ability to maintain an activity or process over a long period of time without compromising the environment, natural resources, or future well-being of humans.
Triple Bottom-Line (TBL): People, Planet, Profit
The TBL is a performance reporting framework that incorporates three dimensions of performance in a business: social, environmental and financial. The TBL approach is also commonly referred to as the Three Ps: people, planet, and profits. Therefore, it can be presented as a Metrics for Social Impact.
Fun Innovation Terms
Hackathon
A common Silicon Valley event, that may last for several days, where a large number of people meet for collaborative computer programming. Many hackathons also happen outside of Silicon Valley and also focus on finding solutions to social issues. Not only programmers, but also designers, business people and others with special area knowledge (i.e. education) come to contribute ideas. This type of an idea-making event has also been adopted by many non-programming groups to find design solutions too, who have made new words like "design-a-thon".
Massive Open Online Course (MOOC)
Online courses which are available to anyone using the internet. MOOC classes use videos, readings, problem sets, and interactive forums to build relationship between teachers, students, and teaching assistants. Examples include Courser, Udacity, and edX.
EdTech
Educational Technology, often referred to as "EdTech," is the study and practice of designing effective teaching methods using technology, media, and learning theory. Educational technology includes (but is not limited to) - software, hardware, as well as internet applications, such as wikis and blogs.
A common Silicon Valley event, that may last for several days, where a large number of people meet for collaborative computer programming. Many hackathons also happen outside of Silicon Valley and also focus on finding solutions to social issues. Not only programmers, but also designers, business people and others with special area knowledge (i.e. education) come to contribute ideas. This type of an idea-making event has also been adopted by many non-programming groups to find design solutions too, who have made new words like "design-a-thon".
Massive Open Online Course (MOOC)
Online courses which are available to anyone using the internet. MOOC classes use videos, readings, problem sets, and interactive forums to build relationship between teachers, students, and teaching assistants. Examples include Courser, Udacity, and edX.
EdTech
Educational Technology, often referred to as "EdTech," is the study and practice of designing effective teaching methods using technology, media, and learning theory. Educational technology includes (but is not limited to) - software, hardware, as well as internet applications, such as wikis and blogs.