Transcripts

"Commentary"-Team Work Among Agencies

SUZANNE PRATT: In tonight's commentary, why governments, businesses and non-profits need to work together. Here's James Phills, director of Stanford University's Center for Social Innovation.

JAMES PHILLS, PROFESSOR, STANFORD UNIV. GRADUATE SCHOOL OF BUSINESS: We live in a world beset by intractable social problems: poverty, genocide, environmental degradation and the specter of global pandemics. Every day, important human needs remain unmet, eroding our social fabric. But innovative solutions are emerging in unlikely places and as a result of partnerships among unlikely bedfellows.

These social innovations -- novel combinations of ideas, technologies, business models, and networks -- are dramatically more effective, efficient and sustainable. Examples include microfinance, emissions trading credits and fair-trade products. We've identified three key ingredients. One, the exchange of ideas, values, talent and capital between the private, public and nonprofit sectors. Two, shifting roles and relationships with businesses leading social change while government and nonprofit act as a partner, rather than an adversary or supplicant. Three, creative solutions blending market principles with public and philanthropic support. Consider One World Health, the first nonprofit pharmaceutical firm in the U.S. It has developed new drugs to treat infectious diseases afflicting the poor for under $30 million, in contrast to big pharma's billion dollar cost.

The organization partners with drug companies, leveraging their intellectual property and borrowing their scientists. It works with local doctors and public officials in developing countries to conduct low cost clinical trials. The result: medicines that not only saves lives, but are also affordable. The world needs more social innovation and so governments, businesses and nonprofits must shed old patterns of isolation, paternalism and antagonism to work together to solve our most challenging problems. I'm James Phills.