Artistic Methods and Business Disorganization

Devin, Lee; Austin, '

doi:10.4135/9781412954006.n48

21st Century Management: A Reference Handbook 2008

DOI: 10.4135/9781412954006.n48

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Artistic Methods and Business Disorganization

Lee Devin¹,

' Austin²

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“…2 When Pierre Monteux conducted the world premier of Stravinsky's Rite of Spring, the Paris audience erupted in outrage and threw vegetables at him and the orchestra. 3 In scientific fields, many overflowed bathtubs before Archimedes, many saw apples fall before Newton, and many suffered pots boiled over on hot stoves before James Watt, but those others did not make discoveries or inventions from what they observed. 4 More recently, in business, Xerox had famous difficulties in recognizing the value of what its Palo Alto Research Center staff had created in a remarkable period of just a few years in the early 1970s; firms other than Xerox captured most of the value that resulted from this research activity.…”

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Kiva as a Test of Our “Societal Creativity” Innovations Case Discussion: Kiva.org

Austin¹

2007

Innovations: Technology, Governance, Globalization

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The accomplishments of the team of founders at Kiva are impressive on many levels. Their use of technology to connect Westerners who have money with people in the developing world who need small loans to start businesses achieves both economic and social benefits. It creates a form of valuable exchange that could not easily have occurred before widespread use of the Internet. Unlike many other platforms of exchange, Kiva adds to the world's overall wellbeing in a way that conveys major benefits to a group that often misses out on the biggest advantages of economic interaction: those who (as economists might put it) lack significant initial wealth endowments. Getting this special kind of value creation going required that Matt Flannery, his wife Jessica, and other early members of the team at Kiva surmount major challenges. As impressive and interesting as their story is, though, Kiva's significance as a test of our own societal capabilities might be even more important.Kiva's founders were tested in the sense that entrepreneurs usually are. They had to get things to work that never had before, to build technology, systems, and relationships that would enable beneficial interactions. But what emerges most clearly from this story is that it also presents a test of our societal institutions, organizations, individual and group inclinations, and much more. If Kiva represents a new form of exchange that creates value, if all parties involved in it wish to participate in that exchange, if this activity harms no one in any obvious way, and yet the inertia of existing ways of doing things fails to permit that, then who has really failed a test? Framed this way, the social welfare stakes seem very high.As we move more deeply into the 21 st century, the measure of our institutions may be how effectively they can adapt to new forms of value creation, especially technology-enabled forms that produce social returns in addition to strictly financial ones. This test may prove important commercially and competitively, as developed economies come to rely more on innovation to create economic value. One

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confidence: 99%

Kiva as a Test of Our “Societal Creativity” Innovations Case Discussion: Kiva.org

Austin¹

2007

Innovations: Technology, Governance, Globalization

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Artistic Methods and Business Disorganization

Cited by 1 publication

References 0 publications

Kiva as a Test of Our “Societal Creativity” Innovations Case Discussion: Kiva.org

Kiva as a Test of Our “Societal Creativity” Innovations Case Discussion: Kiva.org

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