Innovations for the Poor…
Down Memory Lane
 

 

The Development Alternatives (DA) Group, since the very outset, has been the pioneer in the domain of sustainable development in India. DA aims at achieving economic growth without overstretching the resources lest the environment should unduly bear the brunt of development activities. Over the last quarter of a century, DA has pioneered several Eco-solutions to simultaneously address the issues of livelihoods, poverty and environmental degradation.

At the very core of these Eco-solutions, the DA group has a strategic focus on Responsible Innovation, ‘innovation being the successful implementation of creative ideas that promote sustainable development’. During its 25 years of existence, it has nurtured creativity; creativity is typically seen as the basis for innovation, and innovation is the successful implementation of creative ideas by the organisation.

DA has evolved its pursuit of innovation over time. Some significant variants practiced by the group can be classified as:

• Product innovation
• Green technology innovation
• Process innovation
• Network innovation

Product Innovation

In its first phase, DA focused on designing products for poor households and communities. These products helped improve the quality of life and its basic needs, consisting of clean cooking solutions (TARA cook stoves), testing water quality (Jal-TARA water testers) and safe drinking water (Jal-TARA filters). These products, based on sound scientific knowledge, are tailored to respond to the needs of local communities.

Green Technology Innovation

The DA group has provided an impetus to green technology innovations that inherently accelerate new economic opportunities and enhance the incomes of the poor. The portfolio of green technology innovations consist of building products manufacturing enterprises, including TARA Micro Concrete Roofing Technology, TARA Fly Ash Block Technology, TARA Compressed Earth Block Technology and TARA EcoKilns. The enterprises undertake local manufacturing of high quality, affordable building materials and also service local markets in the process training local manpower.

Process Innovation

In the experience of the DA Group, process innovation is crucial for scaling up of operations and accelerating their impact. The creation of micro, small and medium enterprises (MSMEs) requires effective methods for aggregation of these businesses and facilitation of finance, financial incentives and training. TARA enables its galaxy of entrepreneurs to avail of Carbon Revenues made possible by cashing the energy and carbon savings that result from operation of the TARA EcoKiln. An enterprise costing Rs 20 lakhs is currently earning a performance incentive of Rs 1 lakh per annum from Carbon Reduction in addition to the profits it generates.

DA has made a commitment towards extending the reach of capacity building services to millions of underprivileged youth and women. In 2007, the TARA Akshar fast track literacy programme was launched. On the strength of its training-of-trainers initiative, over 47,000 students - mostly rural women - have been certified literate with an ability to read and write.

Network Innovation

The diffusion of innovations - eco-solutions - is highly effective where a strong network of enablers, enterprises and users participate in the value chain of services. The DA Group initiative, TARAhaat has pioneered the concept of ‘micro franchising’ to rapidly expand its network of franchises in rural and urban India. The network of TARAKendras provides an array of education courses, governance services, commerce services and communication benefits. The business model is based on sharing of revenues across different elements in the delivery value chain and thrives on a large number of users who benefit from the affordable services provided by the TARAhaat network.

Future Outlook

Over these years, DA has proved itself to be visionary and continues to pay a proactive role in building relationships and regional partnerships with many countries. In 2004, DA won the Schwab Foundation Outstanding Social Entrepreneurship Award for market-based solutions to social problems. In 2005, DA initiated basin- South Asia to develop regional partnerships. In 2007, TARA won the LeapFrog Award of the Lemelson Foundation for know how and technology transfer to Sri Lanka. The group endeavour as to forge new links with existing national, regional networks to drive the proliferation of responsible innovations that promote sustainable development. q

 

Dr. Arun Kumar
President, DA
akumar@devalt.org

 

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