Designing for Business Impact

On OpenIDEO, our global community tackles a variety of big challenge topics, from improving maternal health using mobile technology, to providing accessible voting for citizens with mobility or language restrictions. Each challenge topic brings with it the chance to explore, learn about and design for social and environmental impact in a new and different way.

As I gear up to attend the 2012 Net Impact conference, I can’t help but connect the dots between our current OpenIDEO challenge and the 3,000 or so passionate, driven and connected MBAs and professionals who’ll be gathering in Baltimore, MD for this year’s event.

OpenIDEO’s Business Impact Challenge focuses on designing tools, resources, incentives and other solutions to help for-profit companies innovate for world benefit. At its core, this challenge centers around a topic that was (and still remains) very near to my own heart while I was in business school: doing good and doing well.

The sponsor for our challenge, the Fowler Center for Sustainable Value at Case Western Reserve University, has set its sights on creating a Nobel-like prize to not only recognize current business innovations that have made our society and environment better, but also to spur and catalyze future innovations that drive our world forward. Their intention for this OpenIDEO challenge is to collect inspirations and ideas from around the world that they can incorporate into their own effort toward a vision they call “Business as an Agent of World Benefit.”

Our challenge has opened its Concepting phase, where everyone is invited to collaboratively design ideas to inspire, recognize and enable businesses to innovate with world benefit in mind.

For many of the folks attending Net Impact (or following along at #ni12), this concept – business innovating for world benefit – is already integral to your thinking, approach and outlook at school or at work.

So from your own experience, what do you need to help you do this work better? How could you collaborate with the OpenIDEO community to design concepts that enable your organization to develop these kinds of world changing innovations? To help guide everyone’s efforts in the Concepting, we’ve put together a few tools – Challenge Themes and a Brainstorm in a Box toolkit.

If ever there were a conversation meant specifically for Net Impacters, this is it.

At conferences, it can be so easy to keep the conversation up in the clouds, to speak in what if’s and theories, rather than in the practical and the tangible. This week, why not balance out the theories with some real-world designing? Join our Business Impact Challenge and create concepts to support each of us as we move the needle toward businesses that innovate not just for financial return, but to change the world for the better.

See you on OpenIDEO!

And PS - this Saturday I'm speaking on a panel at the Net Impact conference about breaking into the impact sector and finding a job with purpose. I hope to see you there!

On OpenIDEO, our global community tackles a variety of big challenge topics, from improving maternal health using mobile technology, to providing accessible voting for citizens with mobility or language restrictions. Each challenge topic brings with it the chance to explore, learn about and design for social and environmental impact in a new and different way.

As I gear up to attend the 2012 Net Impact conference, I can’t help but connect the dots between our current OpenIDEO challenge and the 3,000 or so passionate, driven and connected MBAs and professionals who’ll be gathering in Baltimore, MD for this year’s event.

OpenIDEO’s Business Impact Challenge focuses on designing tools, resources, incentives and other solutions to help for-profit companies innovate for world benefit. At its core, this challenge centers around a topic that was (and still remains) very near to my own heart while I was in business school: doing good and doing well.

The sponsor for our challenge, the Fowler Center for Sustainable Value at Case Western Reserve University, has set its sights on creating a Nobel-like prize to not only recognize current business innovations that have made our society and environment better, but also to spur and catalyze future innovations that drive our world forward. Their intention for this OpenIDEO challenge is to collect inspirations and ideas from around the world that they can incorporate into their own effort toward a vision they call “Business as an Agent of World Benefit.”

Our challenge has opened its Concepting phase, where everyone is invited to collaboratively design ideas to inspire, recognize and enable businesses to innovate with world benefit in mind.

For many of the folks attending Net Impact (or following along at #ni12), this concept – business innovating for world benefit – is already integral to your thinking, approach and outlook at school or at work. So from your own experience, what do you need to help you do this work better? How could you collaborate with the OpenIDEO community to design concepts that enable your organization to develop these kinds of world changing innovations?

To help guide everyone’s efforts in the Concepting, we’ve put together a few tools – challenge Themes and a Brainstorm in a Box toolkit. Check them out, and join our challenge.

If ever there were a conversation meant specifically for Net Impacters, this is it. At conferences, it can be so easy to keep the conversation up in the clouds, to speak in what if’s and theories, rather than in the practical and the tangible. This week, why not balance out the theories with some real-world designing? Join our Business Impact Challenge and create concepts to support each of us as we move the needle toward businesses that innovate not just for financial return, but to change the world for the better.

I Am a Social Intrapreneur

When you’re looking for CSR work, there’s a very clear mantra that everyone repeats, day in and day out. It goes something like this:

“Real CSR jobs are few and far between. If you want to do CSR, go get a functional job within a big company and innovate from the inside out.”

In social change circles, this mantra could also be called social intrapreneurship. Unlike social entrepreneurship, where you're starting something completely new and distinct, social intrapreneurship is all about finding ways to innovate within the constraints of your current organization.

For instance, if you’re an operations social intrapreneur, you might be on the lookout for ways to streamline your supply chain so as to reduce environmental inefficiencies, but that doesn't mean that your job title has the word 'sustainability' in it. Similarly, if you’re a marketing social intrapreneur, you might find an opportunity to promote the green benefits of your product, even if it’s not an explicitly eco-friendly item. This, at its core, is what social intrapreneurship is all about.

I learned this “innovate from the inside out” mantra early in grad school, which means that while I was a student, social intrapreneurship was often on my mind and in my blog (check out some stories I wrote about Best Buy and eBay as well as a short video interview I gave about it!).

And because I modeled my opinion of social intrapreneurship on the stories I'd learned and written about, I also came to associate the topic with a few specific images and messages in my head: corporate boardrooms in big, boxy skyscrapers; bureaucrats in suits who prioritize profits over everything else; and yes, even pushing rocks up mountains with my bare hands! It might not sound like your idea of fun, but hey – let's just say that if you want to do CSR work, you quickly get used to the idea that your job one day might involve persuading some boulders to start rolling.

Because of these definitive ideas that I had about when and where social intrapreneurship could happen, when I started my job with OpenIDEO I essentially cast off my social intrapreneurship intentions. I mean, folks at IDEO don’t exactly wear suits, and they certainly don’t sit around in corporate boardrooms!

As I’ve settled in to my work and my team, though, what I’ve learned is that social intrapreneurship is actually an integral part of my day job. Without even realizing it, I’ve become a social intrapreneur.

Let's see if I can explain.

OpenIDEO is a social innovation startup within IDEO; that is, we're a new business incubating within the confines of an established organization (no matter how un-corporate it might be). Because of that, we face many of the same challenges our social intrapreneurship colleagues in more corporate settings deal with every day:

1. Cutting back the number of cooks in the kitchen: As a new initiative, we look for guidance from all corners of the organization, not to mention outside of IDEO too. The good news is that everyone has an opinion, and the bad news is that everyone has an opinion! How do we sift through these differing intentions and use them to make smart choices?
2. Being bold and realistic: This especially comes into play when we try to balance our potential to grow with our limited capacity and bandwidth as a small team. How do we pursue leads, push ourselves to develop, and be brave and bold – without burning out?
3. Solidifying “the OpenIDEO Way": Part of what makes OpenIDEO so fun and unique is that mostly everything we're doing is new and uncharted (after all, we’ve been live for less than year!). Eventually, though, you start realizing you’re reinventing the wheel every time you get asked to do something slightly different. Is there a way to stay flexible and open to new opportunities while also developing some standard processes that will help us scale and replicate?
4. Doing well and doing good: It’s the oldest cliché in the book, but it certainly applies to what we’re working on too. While we are out for social impact, we’re no good to anyone if we don’t make money. How might we find ways to prove our business model and impact our world at the same time?

Ultimately, as a new offering within an established company, we operate very similarly to all the other social intrapreneurs out there trying to create change within their own organizations.  Whether you’re a small CSR team, or a single person with a passion for sustainability or philanthropy, the work of a social intrepreneur isn’t easy. With that said, I can also state with 100% confidence that it’s a lot more fun than pushing rocks uphill!

How are you applying social intrapreneurship within your own organization? What tips, tricks or guidance would you want to share with me and others? I'd love to hear from you.

Corporate Giving from the Front Lines

The holiday season is officially upon us, which means it’s time for turkey and gravy, Christmas carols, Chanukah lights, and lots of family time.

For many people, the holidays also mean shopping. Lots of shopping.

This holiday season actually finds me working retail at one of my favorite stores (a national culinary specialty store that will remain nameless).

While I’m still splitting my time between job searching, contract work and volunteering, I thought getting into the spirit of holiday retail would be a great way to keep busy and make some cash (not to mention take advantage of a sweet employee discount!).

Interestingly, though, as an advocate for corporate responsibility, working retail this holiday season has also given me the chance to see what CSR on the ground floor looks like.

After all, many companies can claim to have a culture and value system that encourages giving back, but how does that belief system actually trickle down to a local level?

But before I dig into the details, let me first ask: how many of you have been out shopping recently and were asked by a sales associate at the register to donate to a cause? If your experience is anything like mine, you’ve been asked for a lot of donations from a lot of different retailers recently.

Now, in a past life I was a fundraiser, so I understand the importance of asking. Yet even I have to admit that I’ve been suffering from donor fatigue these days – not because I don’t want to support important causes, but really more because I’m just tired of being solicited all the time.

So you can imagine my delight (read: chagrin) when I first learned that, as a holiday cashier, it was my responsibility to ask people to donate to St. Jude Children’s Research Hospital.

Don’t get me wrong: it’s not that I didn’t support the cause. St. Jude is an incredible organization doing amazing work to provide treatment to children with cancer and other illnesses, regardless of their families’ ability to pay. And children’s health is personally very important to me, given my own experience losing two childhood friends to cancer.

But asking customers for money? When they’re already exhausted and overwhelmed with holiday shopping? I was skeptical.

Nonetheless, on my first day on the job, I tried to put down my own anxiety about asking customers for donations, and instead channeled my own personal connection to this very important organization.

“Would you like to add a dollar donation to St. Jude’s today?” I asked customers as a rang up the next sale.

And you know what? They did!

Sure, some people said no. Some said they already support other charities, while a handful of others just said they weren’t interested. But to my surprise and delight, a lot of people said yes.

While I’m still new to holiday retail, I can say I’ve been really impressed to see the reaction that St. Jude has gotten both from customers and the company. While I don’t know a ton of history about the company’s partnership with St. Jude, I do know that over the years it’s provided millions of dollars – through customer donations and its own corporate philanthropy – to the hospital in support of its programs.

The best part – or should I say, the most striking part – of my experience asking for customer support for St. Jude has been the push that local store management has made to set and meet goals for donations. Of course, setting goals in a retail environment, especially during the holidays, is a no-brainer. But to set and push goals around charitable donations? That was new to me.

In fact the store that I work at has a very ambitious goal to reach for customer donations to St. Jude, and managers are holding us all accountable for hitting this target.

As an example, at a recent staff meeting, the topic of conversation wasn’t just what’s on sale or what items to push; instead, much of our meeting was spent discussing St. Jude – why it’s an important organization to support, how customers and employees can get involved, and what our donation goals were for the day. And amazingly, even during our busiest times that day, the manager didn’t check in about what was selling, but what was being donated!

When I applied to this holiday job, I didn’t expect to get up close and personal with the company’s corporate giving campaign. But let me tell you – as a new employee it’s been incredibly heartening to so quickly and obviously see the company support a cause that’s meaningful to me.

More than that, it’s been inspiring to see customers embrace this campaign as readily as they have. There are so many important causes that could use our support, and with so many organizations to choose from, it’s easy to assume that customers will react negatively to yet another request for money.

Then again, when you think about it, all I’ve been doing at the register is rallying my community to support others in need.

If it really does take a village, as they say, then I’ve been very impressed by my village’s willingness to help out at the holidays.

With that in mind, I hope the next time you’re asked to give back at the register, you’ll also think about doing your part.

I wish each of you a restful and fulfilling Thanksgiving holiday, and happy shopping!

Running with the Big Dogs: CSR in Small Business

Often when we talk about corporate social responsibility, we assume people are talking about "the big dogs" – companies like Proctor and Gamble, Nestle, Coca-Cola, and of course Walmart.

And certainly these powerhouses dictate a lot of what gets discussed, watched, and measured, if only because of their sheer scale and impact on the global business community.

But what about companies that don’t fit into the same tiers as these big players? What does sustainability or CSR look like for small and medium-sized businesses?

Recently I attended a talk at Mills College featuring the EVP of Marketing at Clif Bar and Company, Michelle Ferguson.

Before the talk I didn’t necessarily think of Clif Bar as a small company, but in fact it only employs 250 people. What the company might lack in size, however, it makes up for in passion for its consumers and its products. Whether through in-person events, an accessible social media presence, or high-touch consumer service, it’s clear that Clif Bar really does value the people who buy its products (and doesn’t just think of us Luna and Clif Bar eaters as a transaction to be managed).

And, in large part thanks to its founder Gary Erickson, Clif Bar and Company also boasts a very well-rounded, active and engaged sustainability program (for example, choosing to use only all organic and natural ingredients because it’s healthier for us and healthier for the environment).

Overall Clif Bar’s sustainability agenda rolls up into one philosophy called the 5 Aspirations, which include:

1. Sustaining Our People
2. Sustaining Our Brands
3. Sustaining Our Communities
4. Sustaining Our Planet
5. Sustaining Our Business

While each Aspiration is important, Michelle said she considers Sustaining Our Business to be the foundation for everything else because, at the end of the day, Clif Bar and Company is a business. In order to support the other four Aspirations, Clif Bar’s business needs to be profitable; and, as the business grows, so do the other Aspirations.

This may not be a surprising statement, especially given the fact that most big companies will say the same thing. Still, when you’re talking about a small or mid-sized business – when there’s generally just less money and fewer resources to go around – ensuring a solid financial foundation really must come first.

Nowhere is this idea more evident than in my mom’s business, The Bead Shop. My mom Janice has been a small business owner for over 30 years, and recently her company has gone through some growing pains as the economy weakened and her customers changed their buying habits. In fact, in 2008 she closed her brick and mortar store and chose to focus exclusively on online sales through www.beadshop.com.

With only three employees (including my mom), you might initially guess that The Bead Shop isn’t doing much in the way of CSR. However, nothing could be further from the truth.

Much like Gary at Clif Bar, my mom is a business owner who believes in giving back – and so she’s made charitable giving and environmental sustainability two very big business priorities, even with the economy the way it is.

In fact, this year she committed to giving 5% of all sales (not profits, but sales) to two very important charities doing great work in the arts and for women (the way she sees it, if Target can give 5%, why can’t she?!). She’s also starting to explore more sustainable options for packaging and mailing out customer orders, including using biodegradable popcorn packaging and stringing bead orders on string instead of tossing them into plastic bags.

That said, as her business grows and changes over time, sometimes it's a challenge for my mom to find the balance between making money and giving it away! She wants to be committed to supporting various nonprofits and investing in more sustainable packaging, for instance, but knows that those kinds of actions can't come at the expense of her business. Ultimately, The Bead Shop's financial health, its financial sustainability, must come first.

In general Clif Bar and The Bead Shop are two very different companies, with very different products and customer bases. Still, as two businesses committed to bettering their communities and the world, perhaps in some ways they’re actually quite similar.

Using their stories as a guide, I've developed the following conclusions about small and medium-sized companies and CSR programs:

1. Environmental (or social) sustainability can’t happen if financial sustainability isn’t there. As I said before, you may think this is a no brainer, but sometimes I think the CSR advocates out there (even including me at times) forget that CSR is a business strategy that requires money and other resources to thrive. And nowhere is this more true than in a small to medium-sized company where each sale can determine how much you can return to and invest in the community.
2. CEO/Founder buy-in for sustainability – plus staying private – makes a huge difference. Unlike publicly-traded companies that have shareholders to consider, private companies like Clif Bar and The Bead Shop are led by committed sustainability champions who have the freedom and authority to make ethical, values-driven behavior a priority in their businesses, no matter how tough the economy or how small the budget.
3. Often small and medium-sized businesses have no model to follow. Unlike big brands who have competitors to mimic and consultants to pay, smaller businesses have to figure out their CSR programs on their own (or in my mom’s case, with my help!). Deciding what causes align with your business model and how much to commit to which organization, not to mention learning how to evaluate your carbon footprint, can be a daunting task for a small business owner with a million things on her plate.
4. Transparency and communication with consumers is king. Sure, transparency is the buzzword of the year. But when your business is small and each sale makes a huge difference, explaining your goals and mission clearly and authentically can be a tremendous differentiator for your company and help you build long-lasting relationships with your customers. In my opinion, the smaller you are, the more your consumer relationships (and by extension, your CSR communications) matter.

The more I think about it, the more I’m convinced of the important role small and medium-sized businesses can play in shaping the CSR conversation on both a local and national level. While they might not be as flashy or loud as the campaigns being run by larger brands, these smaller businesses are making a difference and impacting local economies and communities.

I encourage you to think through what small and medium-sized businesses in your neighborhood are running their own CSR campaigns – what do you think of them? What unique challenges or opportunities are they facing compared to bigger companies? And how can you help support them?

(PS: A quick and shameless plug - if you're looking for fun, creative holiday gifts and inspiring jewelry ideas, not to mention a way to support a small business's CSR program, check out my mom's store!)

Flipping the Switch

Everyone knows the saying, Change is Hard. And anyone who’s ever tried to lead change – whether starting a new diet at home or starting a new initiative at work – knows that it can be incredibly tough to create lasting, effective change, even on the smallest of scales.

What stinks about that, though, is the fact that change – and the need for change – is everywhere.

In many ways my life, especially over the last couple of years, has been my own personal study of change. Whether it’s starting (and finishing business school), getting married, or looking for a new job, the one constant in my life has definitely been change (I mean, even my blog is about change!)

Of course, I know I’m not unique in this regard.

CSR practitioners often talk about driving change internally or influencing others to create change within their organization. In fact, as I learned last year, one of the most crucial core competencies for CSR professionals, as identified by the Boston College Center for Corporate Citizenship, is the ability to lead change.

After all, when we’re asking our coworkers, our bosses, or our peers to integrate sustainability or CSR values and behaviors into their routines, we’re asking them to change.

And of course, we end up right back where we started: Change is Hard.

All of these questions and issues have been on my mind a lot recently, as I think about both the changes I am going through in my personal life, as well as the changes I am undertaking professionally.

For that reason, I felt inspired almost the instant I started reading Switch: How to Change Things When Change is Hard, by brothers Dan and Chip Heath.

If Dan and Chip’s names sound familiar to you, it’s because they probably are – both are business school professors, and a few years ago they published their much-acclaimed book Made to Stick (another fantastic read that I recommend highly).

Over the course of 250 pages or so, the Heath brothers break down change into three buckets:

• Direct the Rider
• Motivate the Elephant
• Shape the Path

At this point you’re probably wondering what the heck I’m talking about. So, here’s the deal:

According to Dan and Chip, inside everyone is an Elephant and its Rider.

The Elephant is our emotional side, our irrational side – the part in each of us that worries, loves, fears and acts on impulse. On the other hand, each of us also has a Rider – that is, our ability to reason, to analyze, or to look at things with black and white objectivity.

The relationship between the Elephant and the Rider is based on one simple idea: The Rider believes that through reason and logic, it can control the Elephant.

If you think about this for a second, you’ll know it’s true: how many times, for instance, have you forced yourself to sign up for that project, accept that job offer, or generally do something you didn’t really want to – just because it was The Right Thing to Do?

I know I certainly have.

The problem is, however, that the Rider exerts a ton of effort and energy in trying to control the Elephant. It’s hard work to force that Elephant to take a different path, and after a while, the Rider will inevitably lose because the Elephant – the emotion – is just too strong. At some point, emotion will trump reason and the Elephant will go wherever it wants. (One of my favorite examples in the book is the dieter trying to forget about the fresh baked cookies in the kitchen. No matter what, chocolate chips will always win against willpower!)

And this, in effect, is what happens with change.

When trying to influence change – for example, getting employees to recycle at work – you can start by appealing to people's reason. Recycling, you’ll say, is the right thing to do! It saves our office money, it reduces our contributions to landfill, and it helps us meet our sustainability reporting goals.

Sure, providing the business case or the ROI for recycling may make sense initially, but to make any lasting change in office recycling, Dan and Chip would point to the Elephant. Remember: the Rider can force the Elephant to do something for a while, but he probably won’t be successful long term. For people to adopt a change initiative for good, we must create an emotional tie or personal relevance to that activity or behavior. In short, we must motivate the Elephant.

In this case, Dan and Chip might suggest collecting all of the aluminum cans thrown out in one week – and then displaying them very visibly for everyone to see in the cafeteria. Such a clear and tangible reminder of people’s waste – that my five soda cans per week, and your five soda cans per week, really do add up – might be just the hook you need to capture the Elephant’s attention. Do that, and then add your ROI calculation to the mix. Suddenly, the Elephant and the Rider are heading in the same direction!

The third part of their theory relies on something Dan and Chip called Shape the Path; that is, rather than making people do the changing, think about how you can actually tweak the change that’s needed to so it seems more manageable and less daunting.

A great example they use in the book is getting people to eat less. We all know that overeating is unhealthy and can lead to obesity, and by extension how important portion control can be. Yet how hard is it to stop eating pizza when you have that huge pie in front of you?

The Heath brothers point to a research study that showed people ate less – but felt just as satisfied – when they were automatically given smaller portions. Instead of trying to get people to change, the researchers actually changed the portion size of the foods people were given. You certainly can’t overeat when your pizza’s been shrunk!

All in all I thought this was a fantastic book with immediately applicable lessons and ideas, and I highly recommend it for anyone implementing any kind of change, either personally or professionally.

We all know that, cliché or not, change really is hard. And yet when so much of our day at work and at home is built around creating and implementing it, knowing how to tackle that change (and people’s aversion to it), is crucially important. Switch is one book that will help you get there.