The Ecosystem of Scaling Social Impact: A New Theoretical Framework and Two Case Studies

Abstract

This article reviews existing literature on scaling social impact and proposes a new theoretical framework to understand the ecosystem of scaling social impact beyond organizational growth. By searching scale-related keywords extensively, we have identified 107 pieces of literature from 1992 to 2018. We analyze the literature and categorize multiple theoretical frameworks of scaling into five groups (supply-demand model, three-strategy model, spiral model, multi-factor model, and pathway model). We find that each model has overlooked one or several enabling factors of scaling. By synthesizing these factors, we propose a new theoretical framework, namely ‘the ecosystem model of scaling social impact’, which combines six key elements – financing, organizations, technology and data, strategies, institutional infrastructure, and government policy. We apply this framework to analyze two cases, the Rockefeller Foundation and B Lab, which initiated and scaled two global movements of Impact Investing and B Corps and map out key elements and players in the formation of the ecosystems of scaling impact.

Keywords:

• Scaling social impact
• ecosystem model
• Rockefeller Foundation
• B Lab

Correction Statement

This article has been republished with minor changes. These changes do not impact the academic content of the article.

Notes

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes

1 If the literature has both theoretical and empirical components, we counted it as an ‘empirical’. If the publication (e.g. book) has components (or chapters) of theoretical, qualitative and quantitative research, it is counted as ‘empirical (quantitative)’.

2 See the source: ‘Innovative Finance: Shaping the next generation of financing solutions to unlock private capital for social good.’ The Rockefeller Foundation, https://www.rockefellerfoundation.org/our-work/initiatives/innovative-finance.

3 Source: FAQ of B Corps, http://benefitcorp.net/faq.

4 B Corp is the corporation certified by the B Lab, while Benefit Corporation is a government recognized legal form of corporation. The differences between B Corp and Benefit Corporation see the article: ‘What’s the difference between a B Corp and a Benefit Corporation?’, by Jonathan Storper, on April 4, 2015, https://consciouscompanymedia.com/sustainable-business/whats-the-difference-between-a-b-corp-and-a-benefit-corporation. Thank Ms. Sheila Herrling for reminding this.

5 More details see the website: http://sibdatabase.socialfinance.org.uk. Accessed on February 8, 2018.

6 Source: http://www.socialfinance.org.uk/who-we-are/about-us.

7 Source: https://acumen.org/about.

8 Source: https://www.bcorporation.net/what-are-b-corps/the-non-profit-behind-b-corps/our-history.

9 Find the report here: https://thegiin.org/research/publication/impact-investments-an-emerging-asset-class.

10 Source: https://www.rockefellerfoundation.org/our-work/grants/global-impact-investing-network/#grant-global-impact-investing-network-2016.

11 See the source: https://iris.thegiin.org/about-iris.

12 Source: https://thegiin.org/research/publication/annualsurvey2017.

13 Source: https://thegiin.org/giin/supporters.

14 Source: https://thegiin.org/about.

15 Source: https://thegiin.org/impact-investing/need-to-know.

16 Source: http://socialstockexchange.com/about-ssx/what-we-do.

17 See the official website of the program: https://www.cdfifund.gov/programs-training/Programs/new-markets-tax-credit/Pages/default.aspx.

18 Source: https://www.gov.uk/government/publications/social-investment-tax-relief-factsheet/social-investment-tax-relief.

19 Source: https://www.biglotteryfund.org.uk/socialincubatorfund.

20 More information: https://www.bigsocietycapital.com.

21 Source: "New £30 million fund for community investment", February 7, 2018, Big Society Capital, https://www.bigsocietycapital.com/latest/type/news/new-%C2%A330-million-fund-community-investment.

22 Source: https://www.fordfoundation.org/the-latest/news/national-advisory-board-on-impact-investing-names-darren-walker-as-new-chair.

23 Source: http://skoll.org/organization/b-lab.

24 Source: http://skoll.org/about/skoll-awards.

25 Source: https://www.bcorporation.net/what-are-b-corps/the-non-profit-behind-b-corps/our-history.

26 Source: http://www.bcorporation.net.

27 Source: https://www.bcorporation.net/what-are-b-corps/the-non-profit-behind-b-corps/our-history.

28 Source: http://b-analytics.net/articles/measure-what-matters-initiative-launches.

29 Source: https://www.prnewswire.com/news-releases/launch-of-the-worlds-first-ratings-and-analytics-platform-for-impact-investing-15-pioneer-investors-with-15-billion-in-impact-assets-declare-investment-preference-for-giirs-rated-funds-and-companies-130201858.html.

30 Source: http://www.bcorporation.net/b-corp-benchmarks.

31 See the website: http://benefitcorp.net/policymakers/state-by-state-status.