Entrepreneurs and Wicked Problems

Paul Hudnut10.10.10 Denver

4.12.16

Q1: What Sucks?

Q2: What might I do about it?

Types of Problems

• Critical Problems– Crisis: famine, disease outbreak, natural disaster– Quick and decisive action needed– Actions required are clear cut (food, medicine, shelter)

• Tame Problems– Has been solved before (maybe in another area)– Standard operating procedures– Can be complicated, but not complex– Building a bridge

• Wicked Problems

Long Definition: Wicked Problems

1. No definitive formulation2. No “stopping rule”3. Solutions are good/bad;

not true/false (judgment based)

4. No ultimate test for a solution

5. Every attempt counts- consequences can’t be undone (unintended consequences likely)

6. There is not an exhaustive set of potential solutions.

7. Each is unique.8. Often a symptom of

another wicked problem.9. Involve many

stakeholders with different perspectives.

10. Problem solver is liable for consequences.

Rittel & Weber 1973

Wicked Problems

• Short definition? Systemic & stubborn• To violate rule 1, here are some examples: – Unsustainable harvesting of ocean fish– Over production of Greenhouse Gasses (GHG)– Addiction to drugs and alcohol

• Once you have a wicked problem, what do you do with it?

A) Go read a book about itB) Start building your appC) Talk about it with othersD) Take a napE) None of the aboveF) All of the above

Entrepreneurial Approaches to Wicked Problems

• Know the problem well, before thinking you know how to address it– Look for gaps you can bridge– Cut it down to size

• Look for bright spots (positive deviance/ deviants)– Study differences- in culture, incentives, power, behavior– Figure out what can be replicated

• Think about analogous systems and networks that are more resilient (or even anti-fragile)– What can you borrow?

• Building trust between diverse stakeholders

H.E.R.O.’ic Enterprises

• Produce cleaner air, cleaner water, health, justice

• Find value in waste

• Prevent pollution, disease

• Restore/regenerate ecosystems and communities

“Most people look at a company like Apple and think, how could I ever make such a thing?

Apple is an institution, and I'm just a person. But every institution was at one point just a

handful of people in a room deciding to start something. Institutions are made up, and made

up by people no different from you.”

Paul Graham, A Student’s Guide to Start Ups 2006

Q: Do you have an example, Paul?

Envirofit International• “Making the world

fit for humanity.”• Sophisticated

combustion technology

• Inexpensive (affordable) products

• Mfrg and logistics• Carbon and micro

finance

Yeah…but that’s just one example

1. Inviragen2. Watsi3. One Acre Fund4. Mothers2Mothers5. LivingGoods6. Digital Divide Data7. 350.org8. Last Mile Health

“There are a thousand hacking at the branches of evil to one who is striking at the root.”

Henry David Thoreau

Caution

• What types of ownership are appropriate, and how will this change over time?– What does exit mean? Built in vs bolted on …

• Motivation matters- effective altruism requires definition of effectiveness for whom… – Beware of “helping” others– Learning posture– Building relationships

• A commercial transaction has mutuality that isn’t there with a gift