Getting to Scale

Getting to Scale: How to Bring Development Solutions to Millions of Poor People

Copyright Date: 2013
Pages: 383
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  • Book Info
    Getting to Scale
    Book Description:

    The global development community is teeming with different ideas and interventions to improve the lives of the world's poorest people. Whether these succeed in having a transformative impact depends not just on their individual brilliance but on whether they can be brought to a scale where they reach millions of poor people.

    Getting to Scale explores what it takes to expand the reach of development solutions beyond an individual village or pilot program so they serve poor people everywhere. Each chapter documents one or more contemporary case studies, which together provide a body of evidence on how scale can be pursued. The book suggests that the challenge of scaling up can be divided into two solutions: financing interventions at scale, and managing delivery to large numbers of beneficiaries. Neither governments, donors, charities, nor corporations are usually capable of overcoming these twin challenges alone, indicating that partnerships are key to success.

    Scaling up is mission critical if extreme poverty is to be vanquished in our lifetime. Getting to Scale provides an invaluable resource for development practitioners, analysts, and students on a topic that remains largely unexplored and poorly understood. Contributors: Tessa Bold (Goethe University, Frankfurt), Wolfgang Fengler (World Bank, Nairobi), David Gartner (Arizona State University), Shunichiro Honda (JICA Research Institute), Michael Joseph (Vodafone), Hiroshi Kato (JICA), Mwangi Kimenyi (Brookings), Michael Kubzansky (Monitor Inclusive Markets), Germano Mwabu (University of Nairobi), Jane Nelson (Harvard Kennedy School), Alice Ng'ang'a (Strathmore University, Nairobi), Justin Sandefur (Center for Global Development), Pauline Vaughan (consultant), Chris West (Shell Foundation)

    eISBN: 978-0-8157-2420-9
    Subjects: Business, Sociology, Political Science

Table of Contents

  1. Front Matter
    (pp. i-iv)
  2. Table of Contents
    (pp. v-vi)
  3. Preface
    (pp. vii-viii)
  4. 1 Overview: The Challenge of Reaching Scale
    (pp. 1-32)

    The challenges of global development can be counted in millions, if not billions: 2 million preventable infant deaths a year from pneumonia and diarrhea, 61 million children out of school, 850 million malnourished people, a billion people living in city slums, 1.3 billion people without access to electricity, 1.5 billion people living in conflict-affected states, 2.5 billion people without access to formal financial services. Meeting these challenges hinges on finding sustainable solutions that can have a transformational impact on the lives of millions of the world’s poorest people.

    Developed countries have, by definition, solved these problems.¹ These countries are identifiable...

  5. 2 Why Business Models Matter
    (pp. 33-68)

    In the last decade, several events have conspired to substantially raise the level of effort and attention to private-sector-led approaches to addressing development needs. C. K. Prahalad’sFortune at the Bottom of the Pyramidprovided an important analytic underpinning, but probably more influential has been the rise of commercially viable microfinance and, more recently, mobile money solutions like M-PESA, which have demonstrated that it is feasible to serve very large numbers of very low-income households in a commercially viable manner and achieve some social impact.¹ Microfinance serves almost 100 million borrowers (table 2-1) and almost 67 million savers.

    More quietly...

  6. 3 From Scaled-Up Budgets to Scaled-Up Impact: A Decade of Rising Foreign Aid in Review
    (pp. 69-102)

    The first decade of the twenty-first century saw a rapid increase in official aid flows (figure 3-1). From 2000 to 2010 net annual official development assistance (ODA) from countries of the Development Assistance Committee of the Organization for Economic Cooperation and Development (OECD DAC) and multilateral agencies increased over 60 percent, from $78.7 billion to a new record of $128.5 billion (2010 prices). Measured as a share of member countries’ economic size, aid in 2010 reached its equal highest level since 1992, at 0.32 percent of OECD DAC gross national income. This resulted in an extra $278 billion of aid...

  7. 4 Scaling Up Impact: Vertical Funds and Innovative Governance
    (pp. 103-137)

    The challenge of scaling up for development requires innovative institutions with the capacity to leverage the contributions of diverse stakeholders, to support truly country-driven strategies, and to closely link financing to results. This chapter addresses the question of whether large-scale development impact can be achieved by channeling aid resources through vertical funds and, if so, what properties of vertical funds are critical to enabling this success. Vertical funds with more participatory governance structures and a closer link between performance and funding seem to be demonstrating more success in the areas of resource mobilization, learning, and impact. In this chapter we...

  8. 5 Incentives and Accountability for Scaling Up
    (pp. 138-164)

    The scaling up of successful development interventions involves an iterative cycle of innovation, knowledge management, and expansion or replication.¹ Experience shows that successful scaling up requires driving forces (drivers) that push the process forward and the creation of spaces—or the removal of obstacles—so that successful innovative initiatives can be expanded and replicated.² Among the drivers of scaling are the innovative idea or model, leaders and champions who have a clear vision of scale to be achieved, external events or influences (economic crisis, external aid), and incentives and accountability for the actors involved.

    A 2008 study considers incentives (and...

  9. 6 Angel Investment: Enterprise Solutions to Scale
    (pp. 165-188)

    When Shell Foundation (SF) was established in 2000 we had ambitious objectives to catalyze scalable and sustainable solutions to global development challenges. We set about doing this in ways that were new at the time, by pioneering an enterprise-based approach and concentrating our efforts on tackling social and environmental issues, in which the energy industry has a particular responsibility. We also sought to test whether we could harness valueadding links to our corporate parent to maximize charitable benefit.

    Since then we have learned a lot about how to target scale and sustainability. This chapter outlines some of the key lessons...

  10. 7 Scaling Up through Disruptive Business Models: The Inside Story of Mobile Money in Kenya
    (pp. 189-219)

    The M-PESA mobile money service was launched in Kenya in 2007 to provide basic financial services to a largely unbanked population. Reaching 50 percent of Kenyan adults in less than two years, M-PESA experienced an unprecedented rate of adoption, with 10,000 new customers registering for the service daily. Five years on, mobile money is ubiquitous in Kenya but is yet to scale in other countries. Similar applications were introduced earlier elsewhere; what made M-PESA special was the focus on scale. It was introduced as part of a medium-term business strategy with the aim of building brand loyalty rather than that...

  11. 8 Meeting the Demand of the Poor: Two Cases of Business-Led Scaling Up at the Base of the Pyramid
    (pp. 220-235)

    The base-of-the-pyramid (BoP) perspective has been gaining influence in business and international development circles since C. K. Prahalad and S. L. Hart and other proponents articulated it.¹ Underlying this trend is the belief that firms can identify innovative, commercially viable solutions to respond to the needs of the poor. Numerous studies and research have sought to identify effective strategies and business models with which private firms can break into these markets.² This chapter is an attempt to contribute to the existing literature by examining two cases of BoP businesses that have achieved scale.

    In this chapter,BoP businessis loosely...

  12. 9 Scaling Up South-South Cooperation through Triangular Cooperation: The Japanese Experience
    (pp. 236-261)

    In recent years, many developing countries, particularly emerging donors, have become more actively engaged in development cooperation. South-South cooperation (SSC) was recognized as an important form of development cooperation in the Busan High Level Forum on Aid Effectiveness, held in November 2011.¹ The “Busan Partnership for Effective Development Cooperation,” the document adopted by the forum, proposes several measures to strengthen SSC. Specifically, it states: “We recognise that many countries engaged in South-South cooperation both provide and receive diverse resources and expertise at the same time, and that this should enrich cooperation without affecting a country’s ability to receive assistance from...

  13. 10 Institutional Challenges to Scaling Up Learning in Kenya
    (pp. 262-276)

    Education is a fundamental component of the development process, and governments in developing countries invest heavily in education. Despite this commitment, learning outcomes remain poor in low-income countries. In Kenya, a highly publicized study by the advocacy organization Uwezo demonstrates the severity of the learning crisis, with only a third of grade three pupils able to read simple sentences and very slow improvements in reading and math skills as students progress to higher grades.¹

    To cite one example from the enormous policy literature on this learning failure, the recent Africa Learning Barometer discusses the many reasons that learning outcomes on...

  14. 11 Scaling Up in Education: School-Based Management in Niger
    (pp. 277-304)

    The implementation of a school-based management (SBM) policy in Niger offers ample lessons pertinent to the debate on scaling up development impact. The case involves the adaptation of an institutional model of primary school management to the specific and difficult environment of Niger; a goal of reaching national scale; supportive donor engagement and broad participation of national and local stakeholders; an effective learning process, in which alternative institutional models were tested and evaluated; and implementation of the preferred approach consistently over a decade and beyond.

    The government of Niger officially adopted an SBM policy in 2002 as the core of...

  15. 12 Scaling Up Impact through Public-Private Partnerships
    (pp. 305-362)

    There is growing consensus among development practitioners, policymakers, and business leaders that public-private partnerships offer untapped potential for catalyzing and scaling effective development interventions. Such partnerships are not new. They have a long-standing and in some cases contested history both within developed countries and in the field of international development. Over the past fifty years they have been used, in particular, as a mechanism to share the costs and risks of financing, building, and operating public infrastructure projects, from transportation to energy and water utilities. In the past two decades, they have become more common in other sectors such as...

  16. Contributors
    (pp. 363-364)
  17. Index
    (pp. 365-383)
  18. Back Matter
    (pp. 384-385)