NEWSBYKERRI FERNSWORTH FEAZELL

I just saw The Social Network and was struck by one moment in the movie that everyone in the theater loved: Mark Zuckerberg gets an idea so great that he runs outside in sandals through the snow. He hesitates for a second in the cold and then keeps going. I think it was so well received not just because it was funny but because people identified with it.

Everyone knows that moment where you say: “Oh crap, I shouldn’t have done that. Forget it, I’m doing it anyway.” Aaron Sorkin did a brilliant job of making sure every audience member identified with Zuckerberg and it happened the moment he became human; the moment they saw his passion, his risk-taking in a silly way that made them think of what would motivate them to do the same thing (unconsciously), and the story unfolded with everyone invested. Mark Zuckerberg’s level of entrepreneurial risk-taking and genius may be unattainable for most of us but we can resonate with passion so great that we do something that seems a little stupid.

I asked some of the social entrepreneurs in my social network: What makes you run through the snow in sandals? Here’s what they said:

• "The many people with autism desperately needing to be respected in society makes me run as I think I can provide hope and meaningful jobs." - Thorkil Sonne, Founder of Speciliasterne and Specialist People Foundation
  
• "The possibility of empowering and making a difference to other people." - Ashni Mohnot, Founder and CEO of Enzi

• "The prospect of a world-changing venture and everything that comes with it – the risk, the excitement, the potential… in many ways startups parallel love." - Cody Simmons, Founder and President of CO-Fund
  
• "The idea that a smart, hard-working young woman in Peru or Vietnam or somewhere else had to drop out of nursing school because she couldn't get $700.  In the grand scheme of things, it's not that much money.  It's just that, in most developing countries, no one believes students are worth a loan." - Kushal Chakrabarti. CO-Founder and CEO of Vittana
  
• "The awe of a great vision and the happiness of coming one step closer overshadow every physical restriction." - Bjorn Herrmann, Principal of Supercool School (and promoter of literally running through the snow in sandals)

• "I was ironing when I decided we were using the wrong bottle design to buy household products. Fear + excitement filled me. 4 years later, Replenish is a reality." - Jason Foster, Founder/CEO of Replenish

The journey may take years, and the idea might come to you while you're doing a mundane task but I think everyone can agree that it all starts with a step in the "right" direction, whatever that is for you. As for Zuckerberg, we may think we know what motivates him to follow his passion. But a young billionaire who drives an Acura, rents a modest house, and makes a $100M gift to a school to which he has no personal connection  is hard to predict. He is not a stereotype and neither are you.

Howard Thurman, spiritual adviser to Dr. Martin Luther King, Jr., phrases this blog’s title another way: “Don’t ask what the world needs. Ask what makes you come alive, and go do it. Because what the world needs is people who have come alive.” What makes you run through the snow in sandals? What makes you come alive? Go do it.

I try not to consume much, but when I do, I like to buy products that make me feel morally superior. Chances are, you do too. Right? My point is not that we're better than everyone else and therefore have the right to be smug (even if we do); my point is that there is an obvious niche market for consumers who pay close attention to where their goods come from and where they can go when they're done with them. But do these companies have--either an externally imposed or internally genuine--moral obligation to the greater good?

Mark Dwight, Founder and CEO of Rickshaw Bagworks says yes. He left his last company when he told the Board that they had a moral imperative to stop using PVC. They disagreed. So he started a competing company that doesn't compromise on that value and leads by example in many other ways such as manufacturing quality products in the USA. They meet their bottom line through innovation and embrace their-self imposed limitations as part of their business culture. I recently met Dwight and other environmental leaders at the Opportunity Green Conference and Dwight's comments were a springboard for others in the field.

If there is a moral obligation to innovate, is there also a moral obligation to be philanthropic? Rick Ridgeway of Patagonia used similar language as Dwight: "We have a moral obligation to do our penance as a company...business is harmful to the environment; we are morally obligated to mitigate that harm." As a member of 1% for the Planet, Patagonia has donated over $40M to environmental nonprofits and has become an icon among sustainable companies.

The next question: is it more important to be sustainably innovative or philanthropic? In 1993, New Belgium Brewing Company was giving away$1 for every barrel of beer sold. They asked themselves, as Jennifer Orgolini recalls, "Should we give that much? Should we keep more for greening our own operations?" The company decided that their dollars could be effectively used in both ways. Some environmental progress is better done by nonprofits and the world needs both innovative companies and funding for grassroots environmental efforts.

It's an important distinction that companies do need to be both leading by example and giving to organizations that can do other things better than they can. A coal mine giving away money to a land trust is different than a sustainably-minded company supporting causes that extend their values. Of course, it is in these company's best interests to support environmental nonprofits: Patagonia's customers won't have anywhere to use their gear if their favorite mountain trail becomes a housing subdivision and New Belgium acknowledges that "no fresh water means no great beer." There's nothing wrong with a symbiotic relationship.

The fact that environmentalists are using words like "penance" and "moral" is fascinating. I emerged from an evangelical Christian background. In that culture, the prevailing view--not held by everyone of course--is basically that God created the Earth and then created humans to dominate it; we're going to die and go to heaven so why should we care what happens on this planet after that? That's God's problem to save us from. I don't like that the Religious Right has commandeered certain words and concepts. I like being reminded that morals are not just about personal choices like not having sex before marriage; they are about choices to do the right thing for the greater good. (And on a sarcastic note, it gives me a broader platform from which my smugness can emanate.)

Photo Credit: Kerri Feazell

I recently spent two days at the Opportunity Green Conference in LA where I was immersed in conversations about sustainable business. One panel, Accelerating Green Product Innovation, provided interesting examples of innovation in businesses from entrepreneurs in various stages: from pre-launch (Replenish), to firmly-footed (Rickshaw Bagworks) to household name (Coca-Cola).

Innovation Principle #1: Limitation Inspires Innovation
Jason Foster, founder and CEO of Replenish had a crazy idea: "Let's build products that are designed for re-use." In a consumer society where items are purposely manufactured for a short life-span, this is an innovation. (Side note, if you haven't seen The Story of Stuff, it's well-worth 20 minutes of your time.) Foster's innovative design for cleaning products reduces plastic by 90% and costs 50% less than competitors. They knew they could reach that goal but in designing their product, they encountered some challenges to their ideals. Making their product in PET (easily recycled material), proved a challenge within the existing manufacturing infrastructure. But they stuck to their principles and in the end, Foster was grateful for the limited options that gave some direction to their design--the limitations actually inspired greater innovation.

Innovation Principle #2: Good Ideas Spread
Panelist Mark Dwight, Founder and CEO of Rickshaw Bagworks, started the company with old-fashioned values that made the now-moguls what they are decades ago: pay attention to form, function, and footprint. As a small business, Rickshaw's innovations have even attracted mega companies to adopt some of their practices. For example, Rickshaw's practice of shipping their products to customers in bags that can be re-used for returns if needed caught the attention of ebay. It's encouraging to see larger companies asking start-ups how to innovate and to see start-ups sharing those ideas for the greater good.

Innovation Principle #3: Maybe Recycling is Better than Re-Creation
When big companies do take the lead with innovation, their investment in research can have immense impact. Panelist Gopal Kishnan, Senior Director of Global Marketing Innovation and New Categories for The Coca-Cola Company talked about Coke's new PlantBottle. It's made with up to 30% plant-based material (sugar cane) and can be recycled just like any PET material.  I would like to see more research on this, but Gopal explained that they created the PlantBottle as a material that can be recycled rather than composted because the energy required to create a new bottle is less than is required to recycle the bottle in to new material. I want to see a PlantBottle that could go either way but in the meantime, this is challenging me to rethink some of my assumptions.

The idealist in me was reminded of an important underlying idea key to innovation. During the Q and A, a participant asked, “Do you wait until the design is perfect?” and Dwight answered, “Iteration is the key to innovation, and perfection is the enemy of progress. Sustainability is a journey. Don’t wait for perfection. There is no 'perfect' product.”

Photo credit: opportunitygreen

Entrepreneurs are best at finding innovative solutions to serious problems. Environmental problems are arguably the root of all social ills and it's exciting to see social entrepreneurs take on the challenge. The 2nd annual OG25 Green Business Startup Competition included 25 finalists ranging from a company redefining the off-shore energy market (wind farms!), to smart sprinkler systems, and a social network for the eco-mom.

The winner of the competition was Zimride, a "rideshare service [that] helps organizations establish easy to use, private, social networks for ridesharing." One of the company's unique angles is to use networks like college campuses and companies to arrange rideshares in "trusted communities," allowing members to search and post ride options including personal cars, shuttles, vanpool, and zipcar. It's also marketed for events (so perhaps the line to get in to Burning Man next year will be 7 hours and not 8 if enough people try it?) Already in use at UCLA, Stanford, University of Michigan, and USC, Zimride has proven to engage 10-20% of student populations and integrates with facebook and Twitter. Since I don't have a car and I'm not part of a campus or corporate network, I'm planning to test out their free public rideshare option, which is (probably) safer than hitchhiking and faster than the bus.

These finalists also caught my eye:

• Airbnb is an upgraded version of couch surfing that matches private residences with travelers. A friend of mine recently used the service to stay in a mountain-top vineyard cottage with an ocean view. I intend to advertise my less exotic, but just as friendly, couch and air mattress in my living room if you ever need a place to stay in LA.
• ecoATM is an "automated eCycling station." In my experience, most ewaste recycling centers do not currently have the capacity to provide convenient drop offs. This solves the problem: how should I dispose of my broken phone charger after 5 p.m. (that was intentionally built to last no longer than 5 years so I'll buy another one) and get money for it?
• GoodGuide, Inc. rates over 65,000 non-toxic and environmentally-friendly products and helped me determine that there is a better toothpaste than the one I'm currently using (but mine is second best). Also, the company is a B Corporation.
• Soleo Organics makes the highest rated sunscreen by the Environmental Working Group. I tried it this weekend for several hours in the intense LA sun and I was well-protected.
• ThinkEco makes a product they've coined the "modlet" for "modern electrical outlet". Plug your electronics into the modlet and "then use your web browser to wirelessly monitor and manage your power consumption." It should save you 10-20% on your electricity bill.

The conference also hosted a Green Product Design Competition. All 50 companies/products are worth a review for inspiration to all you social entrepreneurs out there. I'll say it again: You are the best at finding solutions where others see problems. You thrive on it. So go, create, and introduce yourself to me at next year's OG25.

Photo Credit: opportunitygreen

Supercool School Principal (as in a founder of the company and school administrator) Bjorn Lasse Herrmann believes: “If people learn enough they can solve any problem.” So he created a way for people to learn very easily and in a socially connected network. Supercool School makes it easy for anyone to start a school; in fact, you can “start a free school in 60 seconds.” The founders of Supercool School realized that people aren’t just looking for good content, but they want a community of people to connect with who are interested in the same topic. Bjorn says, “The social experience of Supercool School creates chemistry and leads to a lot of informal ways of learning."

The platform actually started as a facebook application and now stands on its own, retaining the social networking feel. As one of their first schools, Startup School reached more than 2100 entrepreneurs in 130 countries and attracted over 1400 people to “like” them on facebook. Joseph Nganga, a social entrepreneur from Kenya says “I have learnt a great deal from other entrepreneurs – both experienced and in the start up phase. Startup School has enabled me to network with a variety of professionals who have helped me think through my own business, plan for its needs and better pitch to investors and partners.”

LocaleMotive, another emerging informal education platform with a social component, aims to help students “Study Socially. Check-In Locally.” While it hasn’t launched yet, students can expect a free study tool that will have features of project management software and feel like social gaming. Parents, schools, and teachers can view the progress of one student or an entire classroom.

As someone who resonates with Henry David Thoreau’s statement: “I was not born to be forced; I will breathe after my own fashion,” I appreciate the innovation and informal nature of these startups. They bring more practicality to academia, which appeals to me. Some of us (all, I would argue) were not made to sit in a chair attached to a desk or the grown up version of that with our ankles shackled to cubicles. Socially networked, innovative—maybe even fun, dare I say—education makes sense.

To remain relevant, education has to embrace and integrate social networking and I think its best that those innovations come from the private sector. (As a side note, how in the world did “Government on facebook” get 19,000 people to like it?) I’m curious to see how the formal education sector and accreditation bureaucracy will challenge, embrace, and change these informal education resources. Maybe we can, like Bjorn believes, solve some bureaucratic problems with education—entrepreneur style.

Photo credit: Shaylor

I've kept a quote book for over a decade (I have several volumes now) and I love them. So, as a follow-up to my last education-funding post, I had to share some with you. Maybe you can add them to your own volumes.

Founder of Vittana Kushal Chakrabarti has some poignant appeals for investing in higher education in developing countries. "Students have done everything they’ve been told to do, got good grades, and worked hard to get into college. There are no student loans in developing countries. It doesn’t matter if you’re admitted to top schools if you don’t have the money. We’re working toward a common goal in providing 12 years of education,” Kushal says, “but we’re dropping them off at the last one mile. What if you put in a few hundred dollars and could tip that?”

Kushal sees his program and those like it as the next step in education investment. He says, “Education is not just about literacy; it is about being able to make a living. We know education is the one thing that breaks the cycle of poverty. Consider a family where your mom is stitching doctor’s pants versus a family where your mom is a nurse. You see life in a completely different way.”

Ashni Mohnot, Founder of Enzi, believes that when we invest in student's education, we are investing in the future of the world and we have the power to shape that future. She hopes that people will eventually use 401ks to invest in human talent like they would invest in stocks. "Let's allow ordinary people to shape the world they want to live in--to create more engineers or teachers," she says. "It's a completely new and almost crazy way to value human talent and invest in it, quite directly."

The idea behind both of these programs--to bring greater opportunity for students in developing countries--is summed up well by Ashni: "If you're smart, people will invest in you regardless of your background."

That's the kind of world I want to live in.

Photo Credit: Carol Mitchell

I've been working in the nonprofit sector long enough to observe a special brand of dysfunction that seems unique to the field. For awhile I just thought I worked for crazy people (which may be true), but I'm also realizing that their hands are tied when it comes to borrowing business principles that could make nonprofits more effective. Here's the top three reasons they can’t:

Number 1: The IRS
I recently co-founded the nonprofit Project LACE and on our initial application to the IRS for tax-exempt status I made a mistake; I showed a positive balance on our projected budget at the end of the year. Yes, that was a mistake. I just thought the nonprofits I previously worked for didn't know how to save money for a rainy day. I didn't realize the IRS prevents them from doing so. There is no permission for long-term financial planning (unless you are lucky enough to have an endowment). That's insane.

Number 2: Puritans
I just finished reading Dan Pallota's book Uncharitable: How Restraints on Nonprofits Undermine Their Potential. He illustrates that nonprofit ideology is based on a Puritan mindset which encouraged making lots of money in business. The catch was, you had to feel guilty, give some of your money to the poor, and then you could feel good about it. However, if you chose a life of service to the church, for example, there was no room for selfish interests and sacrifice was the only penance you could pay for being born a sinner (because people, according to the Puritans are inherently evil). Pallotta argues that someone can sell expensive sneakers to poor kids in the ghetto, for example, turn around and give some of that money away to a children's charity, and be a hero. But if you choose to dedicate your life to charity, the only way you can be a hero is by sacrificing your interests and having a "missionary spirit" which basically means that you work for close to free. That creates burnout and does not attract top talent to nonprofits.

When I talked to the founders of Vittana (Kushal Chakrabarti), Enzi (Ashni Mohnot), and CO-Fund (Cody Simmons), I started each conversation the same way: “I’m still sending a hefty check to Sallie Mae after ten years and I hate it!” But what if the only option to finance my college education was cash or a loan shark? And I lived in a developing country with a family struggling to pay for food?

A recent study published by UNESCO and the International Institute for Education Planning recommended that "Innovative financing solutions and efficiency gains are required to improve affordable access to post‐primary levels." These folks are working on testing some models for innovation.

Vittana’s model is based on peer-peer, no-interest, individual loans, that are pooled together to fund individual students. The system makes it easy for anyone (even someone like me with outstanding loans) to pitch in as little as $25 to help send a student to college in a developing country. The lending/repayment process is simple: find a student you want to support by reading through their profiles, make a loan that is combined with other individual lenders, and wait 6-12 months while the student completes their education. Within 6-18 months after graduation, the student repays Vittana and then Vittana repays the individual lenders the same amount they loaned. So far, they have a 97% repayment rate.

Enzi (a 2010 Echoing Green Fellow) operates on the same principles of funding students in developing countries but the method is different; it is “equity-based education funding.” The loan an individual investor makes has no fixed amount of return on the investment; it’s based on the graduate’s income, with a maximum cap, for a fixed period of time. This model is not a loan, but an investment in human talent. Rather than investing in one student, Angel Investors have a group of students, in a similar way you might invest in several stocks rather than putting all your money in one company to mitigate your financial risk.

While Vittana and Enzi are currently focused on funding students in or from developing countries in Masters Programs, CO-Fund’s students are undergraduate students in in the US. It’s also unique in that it’s an organization for students by students. Like Vittana and Enzi, CO-Fund seeks individuals to fund student loans but the repayment model is different. Students who receive loans commit, through a “pay-it-forward pledge” to one of four options: 1) Work for CO-Fund or one of their partners for a year; 2) Donate one fifth of their loan amount to another student in the CO-Fund program; 3) Complete 100 hours of community service; or 4) Complete a graduate program.

I’m really interested in tracking the successes and challenges Kushal, Ashni, and Cody face as they pioneer  innovative solutions to students in need. The next time I make my Sallie Mae payment, I might even adopt the CO-Fund spirit and pitch in a few extra dollars to pay it forward to a student in need. How about you? I'll even make it simple:

• Find a student and make a loan through Vittana
• Become and Angel Investor with Enzi
• Find and fund a CO-Fund Fellow

Photo Credit: m00by

When I was in college, I spent some time with Gaby Kamudu on the island of Mauritius. Gaby runs a nonprofit social enterprise called Craft Aid, which employs people with disabilities. They make clothing, cards, and beautiful pressed-flower bookmarks (I even still have one). They treat people well and give them an opportunity to make a living for themselves. In return, the company gets excellent quality products and incredible loyalty from people like Oujesh Malgum who is deaf and mute, and has been working at the company since 1988.

Craft Aid is one example of a social enterprise model that started out with the primary purpose of helping people and, 30 years later, their business model is profitable, sustainable, and still helping people. In 1980, Craft Aid’s business model was ground-breaking. Today, in many countries, thanks to people like Gaby, we’re more accustomed to working alongside the deaf, blind, and people with other physical disabilities. (Though as far as we’ve come, I was surprised to find out that the Americans with Disabilities Act wasn’t enacted until 1990.)

We seem to be getting better at employing people who have physical disabilities and realizing they can do many of the same jobs as people without their challenges. So what’s ground-breaking in this field in 2010?  How about identifying and marketing disabilities as a competitive business advantage? What if, instead of trying to help people who are different by employing them in a business specifically set up to help them, we recognize they can help our business precisely because of the different way they interpret and interact with the world?

Through the Ashoka Globalizer program, I learned about a few people who are changing the perception of disability and doing it in a big way.

I have a career fair booth at my alma mater next week and my goal is to convince students that instead of earning money this summer, they should work for me--for free! C'mon now, would you rather scoop ice cream for overweight kids or help a child who doesn't have enough to eat?

My best summers as a student were spent doing something to help other people. Still, I never quite achieved the level of save-the-world-ness that I hoped I could in one summer.

If I could go back in time I would look for an opportunity that models sustainability, preparation, partnerships, and community-driven initiatives while embracing social enterprise at every turn.

Nourish International is one great example, and I think you'll like these guys too. What I like most about Nourish is their approach to year-round engagement preparing for summer service; they are about "empowering community leaders who have sustainable, scalable solutions." They are not about making a big splash every summer with little practical preparation.

During the school year, students participating in Nourish chapters run small business ventures with the goal to raise awareness for their chapter as well as generate funds to invest in development projects abroad--the same ones they participate in during the summer. The summer projects are innovative social enterprises, driven by the interests of the community. Some of my favorite past projects include: teaching business skills to local entrepreneurs in Guatemala and developing chicken business enterprises in Tanzania. Sold? The next application deadline is April 21.

Northwest University has a pretty amazing program too: Global Engagement Summer Institute (GESI). I get all nerd giddy when I see the words "international service learning" and "sustainable asset-based development." If this is the one for you, their priority application deadline is April 15.

ThinkImpact is another one worth mentioning (even though their application deadline has passed). Since I'm an advocate for planning ahead, consider applying next January for their program that aims to connect college students with communities in rural Africa for social enterprise projects. So much better than babysitting all summer!

I have to admit, my current internship opportunities are not quite as cool as these (yet), but I will promise my interns that they won't spent their summer filing paperwork and I will actually give you something meaningful to do. We can bust our butts trying to save the world this summer, see how far we get, and save some of our umph to keep it going in the fall.

Photo credit: stevendepolo