Social Innovation is the Catalyst to Bridging the Technology Gap in India

  May 10, 2024  |     Nidhi Bhasin

With a booming economy and significant tech innovations under its belt, India is well on the path to take center stage on the global platform. In India, we’ve carved out a new personal sector that includes individual entrepreneurship, micro enterprises, and micro financing. This sector capitalizes on the capabilities of digital and mobile technologies. The Sustainable Development Goals (SDGs) reflect much of India’s development agenda. However, in an era where technology is rapidly transforming every aspect of our lives, it’s crucial to recognize that a significant portion of the country’s population still remains untouched by these advancements. 

Working towards global sustainable development is a key goal of the 21st century, and social innovation is vital in reaching this target. The SDGs call for worldwide efforts to end poverty, eliminate all forms of inequality, halt climate change and environmental damage, and guarantee peace, justice and prosperity for everyone. Following the SDGs and other global plans not only gives us a clear path for making social changes, but also helps us keep track of how far we’ve come.

In this landscape, social innovators and organizations emerge as pivotal players. They have the potential to act as equalizers, bridging the gap between high-tech solutions and the underserved rural communities. By taking tech innovations to the ‘last mile’, they help ensure that even the most remote areas benefit from the digital revolution. By actively participating in social innovation movements, we can have a significant influence on shaping policies and practices. However, for it to be truly effective, it must be implemented at scale. So, let’s look at how social innovation can help us solve a critical problem: India’s tech divide.

Understanding Social Innovation

Social Innovation is essentially about pioneering activities and services that are primarily spread through social organizations with the aim to meet a societal need. The core of any social innovation is an unmet need. The first phase of social innovation involves identifying these needs, locating potential solutions, and subsequently formulating innovative concepts to address them.

In India, social innovators utilize a wide range of strategies and multidisciplinary teams to tackle significant challenges. They frequently adopt open innovation frameworks, which enable their solutions to be duplicated and broaden their influence. The realm of social innovation in India has experienced substantial growth in recent years. 

In rural India, social innovation is making significant strides by fortifying farmers, advocating sustainable agricultural practices, amplifying livelihood opportunities and thereby, reaching the last mile. Organizations such as Digital Green and the Self-Employed Women’s Association (SEWA) are employing technology, imparting education, and fostering collective actions to augment agricultural output, forge market connections, and empower rural women.

Although innovation is commonly associated with the business sector, it extends beyond this domain. Innovators apply their specialized expertise across various fields, often questioning traditional norms to address societal issues.

Despite the growth in social innovation, there remains a significant gap between the number of innovators and the resources they need. A major challenge is the lack of digital literacy and the resources needed to foster this skill. As India strides towards digitization, it’s concerning that only 38% of households are digitally literate. Rural areas, in particular, grapple with inadequate connectivity and infrastructure. While the rest of the world discusses advancements in AI and 5G, over 60% of rural India doesn’t even have access to the internet.

The Journey to the Last Mile

Social innovation is a central element of the digital transition currently underway to improve the welfare and wellbeing of individuals and communities. This transition requires profound changes in the way social innovation is supported, with private entities playing a key role. 

Access to finance is key

The main gaps are the supply of equity funding, in particular for early stage and accelerating socially innovative projects. Our existing corporate social responsibility (CSR) structure poses challenges for capacity building and investment in long-term innovation programs. Generally, investors and donors seek quick, substantial growth, which is a guarantee not all social innovators can provide. There needs to be more investment opportunities in social innovation and greater collaborative networks to mainstream their ideas and business models. Support from the private sector, encompassing capital, technology, mentorship, incubation, and partnerships, can play a significant role in crafting solutions that can be adopted and scaled through mainstream funding. Businesses, already cognizant of societal challenges, should leverage their capabilities and resources to foster comprehensive, inclusive societal development and economic growth. Blended finance is emerging as a crucial strategy in achieving India’s SDGs by 2030 which can address the funding gap faced by social enterprises, which often struggle to secure commercial capital. 

Technology paves the way for social innovation

Technology has played a crucial role in driving social innovation by making information and education more accessible to people across the country. With the advent of the internet and digital devices, individuals from marginalized communities now have the opportunity to learn and acquire knowledge that was previously out of reach. For instance, initiatives like the Digital India campaign and the BharatNet project have significantly increased internet accessibility in rural areas. This enhanced connectivity has empowered residents to access online educational resources, breaking down traditional barriers to learning. Students in remote villages can now participate in online courses, gain exposure to diverse subjects, and pursue educational opportunities that were previously geographically constrained.

Finally, collaboration takes the centrestage to drive social innovation through CSR. Companies should establish partnerships with non-profit organizations, research institutions, and social enterprises to capitalize on their collective expertise and resources. These collaborative approaches lead to innovative cross-sector solutions and greater scalability of initiatives, ultimately magnifying the overall impact achieved.

While India is on a promising trajectory towards becoming a global tech powerhouse, it’s essential to ensure that the fruits of this digital revolution reach every corner of the country. Social innovators and organizations have a critical role in bridging this tech gap, especially in rural areas where digital literacy is low. However, they cannot do this alone. As we continue to explore and embrace technological advancements, let us also commit to supporting initiatives that aim to democratize access to these technologies.

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