System Change: A Reason to Invest in Networks (2)

Second in a series on investing strategically in generative networks.

In an earlier blog we described three conditions for a funder to decide to  invest in a generative network approach:

  1. The funder’s goal is system change.
  2. The funder is simultaneously pursuing multiple challenging strategies for achieving system change.
  3. The system’s situation involves a great deal of uncertainty, and solutions are not known.

In this blog we focus on the first condition.

The funder’s goal is system change. There are many types of large-scale systems. Place-based foundations, for instance, may focus on local systems (e.g., affordable housing, education, human services) and develop strategies for improving the system’s performance, especially in how well it helps low-income members of the community. National-scale funders often focus on broad social issues, such as poverty or environmental protection, and develop strategies for affecting policies and practices at national or regional scales. Often, these issues are embedded in multiple and complex social systems. Other funders seek to change professional practice fields, such as community development, human services, or public education. Some engage with the way markets (large, complex economic systems) perform, while others invest in large organizations (nonprofits, community-based organizations, government agencies), which also are systems.

Not all funders seek system-change, but when they do, investment will most likely benefit from the adaptive and sustainable capacity of a generative network.