Floortje Jacobs

As Public-Private Partnership Advisor for SNV my interest goes out to the relevance, effectiveness and additional value of PPPs in supporting development objectives while serving business interests; is it possible to combine public and private objectives through one partnership? How to align different interests to serve common objectives? Using the efficiency of the private sector, do PPPs play a unique role in scaling development impact? And are PPPs the right instrument to serve the BoP? I\'m involved as both a researcher and project manager in PPP programs, collaborating with the private sector, the (Dutch) government, knowledge institutes and NGOs.

The transition from ‘selling a solution’ to achieving real systemic change

The concept of “scaling” or “scaling up” is increasingly popular in international development efforts, as it has the connotation of providing the answer in bringing technical solutions to a large number of people. However, the popularity of the term is not necessarily matched with in-depth research or approaches. In general, there is a tendency to associate scaling with strategies for (inclusive) business growth; these strategies usually involve market-driven approaches to reach impact, with a lead firm or NGO promoting a specific solution in search of a market (share). This is what we call ‘horizontal scaling’ as such approaches are mainly focused on simply reaching large numbers of people.

In the past months, SNV as part of PPPLab has specifically looked at the role that PPPs can play in scaling processes by interviewing thought leaders as well as studying a large number of PPP cases. PPPLab’s study found that in many cases achieving significant degrees of scale also requires dealing with other system levels: not just spreading the solution or practice but also changing the ways that organisations and institutions function to enable that solution or practice. This is also labelled as ‘vertical scaling’; changing the rules of the game in a specific sector.

 

The relation of number of people reached and system levels (PPPLab 2016)

The relation of number of people reached and system levels (PPPLab 2016)

A classic example is sanitation; while an NGO can try to raise awareness and build sanitation facilities for local communities, it would greatly help if national policies also aim for large-scale sanitation adoption (for example through national awareness campaigns) or if financial institutions make the facilities affordable by offering sanitation loans.

It doesn’t need explanation that many problems addressed in development, such as water and food insecurity, are ‘wicked problems’, involving many interests and stakeholders. Naturally, scaling innovative solutions in such playing-fields is not a simple matter of ‘selling a solution’; large-scale adoption of improved practices will only take place when we also address ‘higher’ system levels, as we also need to embed those practices in policies, institutions and rules of the game. In other words, we need rich strategies that both involve horizontal as well as vertical dimensions of scaling.

Scaling access to sanitation also requires work on finance and policy, among others (Photo by: Sanergy)

Scaling access to sanitation also requires work on finance and policy, among others (Photo by: Sanergy)

From this perspective, it seems only natural that partnerships are needed for such scaling efforts. Bringing together different actors and drivers can help to address the various dimensions of scaling; with businesses, certain types of NGOs and public campaigns usually driving the business approach/horizontal dimensions of scale; while public actors, the more activist/advocacy NGOs, and some business leaders driving the vertical dimensions. Together, these different actors are better equipped to reach ‘higher levels’, which enables them to change policies and institutionalize new innovative practices. Together, they are better equipped in addressing barriers to reach large and sustainable impact. Together, actors in partnerships can make a real change.

SNV Netherlands Development Organisation, as part of PPPLab, has just released its paper on Scaling & System Change. Click here to read it. 

This blog is part of the November 2016 series on Scaling and replicating inclusive business models, in partnership with DFID and SEED. Explore with us the key ingredients of a pathway to scale, debates and new ideas on replication, and look at what small companies, large companies and ecosystem actors can do.