Creative Problem-solving and the Acumen Fund as the Future of Charity

Having recently lost some weight, I went on a quest to find better-fitting pants. However, I had a dilemma--I couldn't go shopping with my mom. She always gave me her true (sometimes too true) opinion of what was appropriate and looked best. We might not have agreed--ok, never agreed--but I valued her honesty and sense of class. It might not seem like a big deal, but a mom is more worthwhile than a thousand girlfriends. So I started asking random mothers their opinions; it worked. As it turns out, almost all moms have similar opinions about how young women should dress.

But why is this important? A search for jeans isn't, really. But stepping outside my comfort zone and asking complete strangers for their opinions allowed me to observe something about a unique demographic and apply my new found knowledge to the problem at hand. When confronting a problem, whether individually or with a community, we need to keep in mind how to access opinions other than our own. Without a fresh outlook on a problem, the issue grows stagnant and no new growth can occur. Actively searching for new opinions keeps critical thinking from becoming redundant.

The Acumen fund does just that--it keeps itself from growing stagnant by using new and innovative ways to make charity a renewable resource for the giver and receiver. They search for methods that will keep both the receiver from becoming dependent on charity and the giver from thinking too narrow-mindedly.

Acumen Fund

In the acumen fund video, “Seth Godin Wants You to Decide,” there are key point that are brought up in how people should go about helping others in poor countries. The speaker Seth Godin, is talking to student leaders about becoming a future entrepreneur and what they could do with this skill. Godin then tells of the goals of the acumen fund. They are to raise money to patient capital, invest in entrepreneurs to make stuff to sell to the poor, and change the world. In expanding on these points Godin gives an example of a person that makes $2 a day and a person that is selling soap for that same price. When a transaction is made both parties win, and make a profit. The seller gets money so they could expand business while the buyer is cleaner hence healthier, so they can spend more time getting an education rather than being sick. I felt that this point was very interesting and it is a good way to think of helping people.
Godin also brings up the point that the more people selling merchandise from door to door in Tanzania, the easier it would be to build up a culture of commerce that benefits people on both sides. These points are innovative, due to the fact that it brings people to view service in another way as well as open up the door for people to build up more business and expand in their areas of expertise rather than joining in on another company. It is also mentioned that acumen needs good competition so that more people can benefit from their mission. I would not have looked at that in this way, but it makes much sense. The more people competing to become entrepreneurs, sell their merchandise, and build up commerce in poor countries, the more these countries will learn to build up for themselves changing the world for the better.

Getting Off Our Fannies - A Perusal of The Acumen Fund & Entrepreneurship

"I want to make this world good. Not better, but to make it good. Why not? It is possible. Look around in this room -- all this knowledge, energy, talent, and technology. Let's get off our fannies, roll up our sleeves and get to work, passionately, in creating an almost perfect world" - these are the words of Isabel Allende, a speaker for the TED (Technology, Entertainment, Design) Conference (http://dotsub.com/view/32444fb9-72f7-4996-b826-27d1c0a9e491/viewTranscript/eng). The TED Conference's mission is "ideas worth spreading" (http://www.ted.com/pages/view/id/5). TED is a non-profit organization that people such as Isabel Allende and Seth Godin are a part of. I was immensely impressed with Ms. Allende's quotation - for no matter where one stands on the liberal/conservative scale, regardless of one's opinion on how much people should get involved in which organization, I believe that we all agree the world is messed up and needs fixing. There is no perfect solution; nor are we even remotely close to a consensus on what needs to be changed, but people are striving, in some small way, to get involved and add their contribution to making the world a better phrase, to borrow the oft-used phrase.
This is precisely what the Acumen Fund and its promoters (Seth Godin, for one) are attempting. The concept of supporting innovative entrepreneurs to change the economic backbones of their countries is brilliant. I have had my doubts and worries about how much welfare truly helps those at home and abroad. Do the funds truly help give people the financial boost they need in hard times or does it take away their independence and the independence of subsequent generations? I don't have an answer to that question, but I feel much more enthusiastic in backing a plan which allows the creativity and hard work of ingenious minds to pave a path for the financial development of struggling countries. All in all, I am curious to read and hear more about the Acumen Fund and entrepreneurs such as Seth Godin, who have the bravery, will, and desire to try something few of us are willing to attempt.

Creative Problem Solving is Stepwise

I'm the "math" type. It isn't because I like numbers all that much, nor am I fantastically good at getting mathematical concepts. I like doing math because it is logical and somewhat finite; even if I'm not positive I know how to solve the problem, if given enough time, I could exhaust all the options to come up with the right answer. The satisfying part about it is that I can KNOW with a fair amount of certainty that I have the solution, even if I started without a clue. (Ironically, I'm a Bio major, so if I haven't memorized the answer, I am pretty much out of luck).

I think this shotgun approach of logically going through and exhausting the options is pretty effective when it comes to solving problems in the real world. Granted, most of the potential solutions must be weeded out by thinking about it rather than actually applying it to the situation. However, I think this is what Novogratz did in founding Acumen Fund. She was inspired because she was already actively thinking about making a difference. From there, she took the best logical choice, and when that didn't work out, she re-evaluated the situation to come up with new best options.

I think this is the key for motivation and inspiration, which are so elusive to college students today. These things rarely come at random; there is usually a trigger, and this trigger can be self-induced. By actively immersing oneself, by force if necessary, new ideas will become visible. As ideas turn into practical and measurable results, motivation will naturally increase. This is how I deal with my procrastination tendencies, and it is also the attitude I can adopt to be successful in the future.

I want to conclude by saying that I am very happy to know that there is a philanthropic organization such as the Acumen Fund. I think often times people are reluctant to donate to charity (unless it's for show) because they don't know if their contribution will even be that effective. Solving world poverty clearly needs philanthropic motives; there is no capitalistic incentive in investing in certain impoverished areas. That is why I am impressed with the thoughtful and intelligent means through which Acumen Fund guarantees the most impact per dollar.

Seth Godin on the Acumen Fund

I liked the way Seth Godin talked about the Acumen Fund. He broke it down in a way that explained how education and factories have played a part in income throughout history and Acumen has incorporated this into its mission. I also felt he was being very real with us. He talked about all the benfits Acumen creates without writing a blank check. He showed us why Acumen is the best way to break the cycle of poverty, as opposed to government help: Help from the government is equivalent to a blank check. Those in poverty don't need this. Instead, they need people to meet them where they're at so that they can independently improve their lives.

We don't have enough money to be doing it the government way; there's only so many blank checks a nation can write. This type of help isn't a transaction in which both sides are profitting, which is why it sounds so unappealing to large corporations. The needy are recieving while wealthy are losing. But Acumen, on the other hand, creates a profit while helping the needy create a better lifestyle for themselves. In this way, the people receiving the help are less dependant and have an improved sense of life. In this way, the cycle of poverty can be broken as people are helped out of their seemingly hopeless situations and into a profitable, cleaner, healthier and educated lives.

Acumen Fund

Why do so many people tell us not to be doctors? We need doctors! The world needs doctors. That always bothers me.

On to the actual topic at hand...

Seth Godin's video points out that Acumen helps create societies of commerce throughout the world. I suppose this can be good, especially if they encourage local economies. True, you can't just give people things all the time, there needs to be a way for them to produce or procure it in a fair trade. I suppose I was just caught a little off guard by the commerce goal, though, considering all the things we've been learning in class. Maybe I don't understand exactly what the authors of the books we've been reading have meant, but it seemed to me that after a very small increase in economy, more growth would cause more harm than good. I always like to cite the world's overpopulation problem as a reason not to help people, but that is a very bad reason to do a bad thing (or not do a good one, as the case may be). I think small businesses can be great, especially when they provide a necessary service. I suppose that it is the duty of the Acumen Fund employees to help decide if various entrepreneurs have good and useful ideas or if they are just in it to make a buck or two.

Acumen is trying to encourage young professionals and other young people to get involved and do what they can to help. For those people blessed with a talent for understanding and prospering in business, sure, they can help raise money for the fund. However, this type of assistance is not for everyone. Not everyone is good at raising money. Not everyone is business-savvy. I feel like there is no place for me to help out. Acumen encourages everyone to be creative and entrepreneurial so that everyone can solve problems all by themselves. This is not a well-rounded approach. It may not be as glamorous to be the behind the scenes person who supports good work by copying papers or filing reports, but those jobs are nevertheless necessary. Even the children that came in on children's day were expected to come up with creative solutions to big problems and form businesses. Surely there were some children that didn't really make it on the video who just sat there and lettered posters because they didn't have any creative ideas.

Overall I think that Acumen probably does very good work. I'm sure they help out many people in a way that allows the people to begin helping themselves, which is very important. I don't really feel like I could help them out at all at this point in my life, or even for a while yet. Then again, I'm not trying to address the problems of the world. I just want to help the people I can, which are usually those around me. Maybe I'm just not seeing the big picture. However, I feel that if you always focus on the biggest picture possible and always look as distantly as you can you miss a lot of things going on right under your nose. Maybe not everyone can create a profitable business that can invest in and support Acumen. But maybe they can give some food to their neighbor who had an unexpected expense and can't afford groceries this week. Maybe they can fix something in the home of someone who can no longer do that sort of thing for themselves. Acumen isn't for everyone, but the concept of helping others is. People shouldn't be discouraged because large entities like Acumen encourage them to do things they aren't suited for.

Seth Godin, No; Acumen, Yes

Seth Godin worried me. I wanted to be sure it was him and not some random mood swing so I watched the video twice at separate times. However, each time I saw it, I couldn't help but feel. . . unsettled. Unfortunately, I can't identify exactly what part of his speech had this effect on me and why.

Perhaps I feel he is being inconsistent. He extols spreading the capitalist model as a method to help the poor after criticizing it's implementation here in America. Yes, he envisions a new application with a focus on those in poverty, but I'm a little skeptical that the same model that caused the widening division between rich and poor can so easily be modified to close the gap.

Then there is his attitude toward school. I sense Mr. Godin would make a differentiation between school and education (which I wouldn't deny him). Yet, his assertion that school is designed to perpetuate the status quo seems unwarranted. Perhaps I'm idealistic but I don't see institutionalized education as an attempt to brainwash the populous. Yes, school is supposed to prepare us for our lives in society, yet a key part of that preparation is learning how to think for oneself. If schools really have become a 12 - 18 year propaganda campaign, then why am I writing this? Your education is whatever you make it to be, no matter what school you attend.

Despite my personal feelings about Mr. Godin, I feel the Acumen Fund is accomplishing much good in the world. Their working model makes sense and is getting results. I especially like their attitude. As Mr. Godin said, they seek to change the world, not come in first place. To me, that desire for change, instead of being the best, is the organization's strongest tool for fulfilling their goal.