Will Social Impact Bonds (Pay for Success) Transform the Way We Do Business of Social Welfare?
January 18th, 2017
SIBs came to the U.S. in 2012 by way of U.K., attracting a lot of attention, especially its ability to attract private capital in the service of public good. Nearly 13 contracts have been written in areas such as juvenile recidivism, homelessness, primary education, and diabetes prevention. The talk will review some of the early lessons from those contracts and attempt to project the future of PFS in solving the many difficult social issues facing our country and society. The talk will position the contribution of PFS in the larger context of the nonprofit sector and also explore the range of models brought to play by the Social Sector, in addition to PFS, that might lead to a more effective coalition of public-private partnerships in addressing issues of poverty.
Kash Rangan is the Malcolm P. McNair Professor of Marketing at the Harvard Business School. His current research is focused on understanding business models that address the needs and wants of 4.2 billion people living on less than $5/day. The aim of the research is to develop models of success that bring value to the base-of-the pyramid and yet are profitable and sustainable in the long run. In addition to his interest in business marketing, Professor Rangan is actively involved in studying the role of marketing in nonprofit organizations, and specifically how it influences the adoption of social products and ideas. He served as one of the founding co-chairs of the Social Enterprise Initiative at Harvard, whose faculty study and teach the challenges of nonprofit management.