Paper by Christensen, Baumann, Ruggles, Sadtler

Disruptive Innovation for Social Change

PGPM 2011-13

CSR Course

Date: 19th March 2012

Presented by Group 9 Section C- focusing on Indian ContextAnkur Gupta

Aravind S

Dipesh Kaien

Amit Garg

Padmini Narayan

Ankur Joshi

Aggressive Spending

Returns

So what author suggests

InnovationSustaining• Better quality or

additional functionality for customers

• Existing customers are focus

Disruptive• Making product reach to

larger customer base

• Personal computers

Problem• Status quo

Is it enoughNONO

• Social changes are un-intended• Outcomes are by-products

HenceHence• Catalytic Innovation can come from players

outside the ranks of established players

Qualities of Catalytic Innovators• Create systemic social change through scaling and

replication• Meet the need which is over-served or not served

at all• Products are simpler and less costly• Generate resources which in ways are initially

unattractive to incumbent competitors • Encouraged by the uninterested players

Examples in various sectors(Indian Context)

Health CareSustaining• Apolo Hospitals• Medanta Medicity

Catalytic• Arvind Eye Care

Arvind eye care• The problem of avoidable blindness rapidly escalating

remained a major cause of concern in the Indian healthcare scenario

• In a developing country the government alone cannot meet the health needs of all owing to a number of challenges-– growing population– inadequate infrastructure – low per capita income

Aravind is more than an eye hospital

• It is a social organisation committed to the goal of elimination of needless blindness through comprehensive eye care services

• It is also an international training centre for ophthalmic professionals and trainees who come from within India and around the world

• It is an institute for research that contributes to the development of eye care and to train health-related and managerial personnel in the development and implementation of efficient and sustainable eye care programmes

• Aravind also is a manufacturer of world class ophthalmic products available at affordable costs through the Aurolab

• Aravind keeps its surgical equipment in operation 24 hours a day, which reduces the cost-per-surgery

• Also, doctors focus only on performing surgery, and nurses handle pre-op and post-op care, which increases doctor productivity

• These actions allow the company to give away free surgeries to the poor while still earning a profit

• The hospital performs high-volume and high-quality eye surgeries inexpensively to address the needs of the 12 million blind people in India.

Education

• Doon School• Other Private Schools

• Super 30 in Bihar• Teach for India

Sustaining Catalytic

Economic Development

• Bombay dying• HDFC Bank• DHL

• Jaipur rugs foundation • Microfinance• Mirakle courier

Sustaining Catalytic

Jaipur Rugs Foundation• Established in response to the growing needs in the

development sector to organize people at grass root level for alleviating poverty by significantly enhancing their income

• Build up the capacity of weavers /artisans so that they may have decent earnings and lead a dignified life

• It works with more than 40,000 (target of 100,000 in next five years) artisans across the carpet value chain in 10 states in India

• Milestones achieved – providing sustainable livelihoods to thousands of artisans

– improvement in payment terms

– eradication of child labour from carpet industry

– popularizing carpet in non-traditional areas

– organizing artisans in SHG and producer companies for financial security

– promotion of artisan forum etc.

Mirakle Couriers• A severe lack of government support for differently able people in India,

particularly when it comes to employment there are very less opportunities because no one has the patience or the foresight to learn deaf language and culture. This is how Mirakle Couriers was born.

• Over the next few months Dhruv (promoter) spent time exploring the deaf culture and learning Indian Sign Language. He focused on a courier business because it requires a lot of visual skills but no verbal communication. The deaf are extremely good at maps reading, remembering roads and buildings because they are so visually inclined.

• Over the last two years Mirakle Couriers has grown to operate in 2 Branches in the city, employing 70 deaf employees and delivering over 65,000 shipments per month. We have won several awards including the 2009 Hellen Keller award and the 2010 National Award for the Empowerment of People With Disabilities.

Dynamics to be watched for catalytic innovator

• Relatively new entrant providing low cost product to market over-served or not served

• Dominant provider moving away towards more profitable market

• New entrant expanding its market and other trying to enter copying its model

Business Model• Not only solution but important is its

potential to scale it up and sustain

• Avoid tax paid as a indicator for catalytic innovators

• Wait.....that is not so simple • Watch the video.....to understand the

complexity and practical implications• http://www.youtube.com/watch?v=8M5ae

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Thank You