Inclusive Innovation for Sustainable Entrepreneurship

Posted in Blog, Design Thinking, Innovation by Jo North

What is Inclusive Innovation?

Inclusive innovation means ensuring that new products, processes and services are designed at the outset with diversity, and diverse users, in mind. It means that innovations are developed with improvements in equality, diversity, and inclusion as a goal. This results in a higher chance of commercial success and positive social impact.

Inclusive innovations might be designed to support a specific demographic. Or, they might be solutions that have been developed to be specifically accessible to all (i.e. designed for a wide range of demographics).

In addition, inclusive innovation could involve scaling existing practices of your business to venture into a new audience, or develop a new product.

Implementing inclusive innovation successfully is an integral part of creating and maintaining a sustainable business model.

“Inclusive innovation is the pursuit of innovation motivated by environmental and societal aims, with problem- owners – often working with multiple stakeholders – responding to challenges experienced in their local context.”

Klingler-Vidra et al. 2022

Quick examples of Inclusive Innovation

Some examples of inclusive innovation include:

•Technologies that give people with disabilities a more independent life

•Product development based specially on user research from a broad range of demographics

•Services that promote representation and help build a more inclusive society

Purpose

In this article we’ll look at how your business can successfully use innovation to make your customer experience more inclusive.

In addition, we’ll see some examples of generating inclusive innovation by improving access to knowledge, tools, connections and funding for a greater diversity of entrepreneurs.

We’ll also explore how inclusive co-creation strengthens inclusivity in innovation.

Jump to Contents:

• Why is Inclusive Innovation Important?
• Solve Specific Problems, Don’t Unintentionally Exclude Some of Your Target Customers
• Understanding User Diversity
• Examples of Non Inclusive Innovation
• Examples of Inclusive Innovation
• Co-creation for Successful Inclusive Innovation
• Next Steps

Why is Inclusive Innovation Important?

Inclusive innovation has rapidly transitioned from being a buzzword to an essential strategy for today’s businesses. Here’s why it’s of paramount importance:

Broader Market Appeal

By designing products or services that cater to a wider audience, including those with specific needs or from varied backgrounds, businesses can tap into larger market segments and enhance profitability.

Sustainable Growth

Addressing the needs of marginalized or overlooked communities often uncovers untapped potential and opportunities for expansion. By offering solutions to their challenges, businesses can foster loyalty and secure long-term growth.

Enhanced Reputation

A commitment to inclusivity can significantly bolster a company’s reputation. Modern consumers increasingly prefer businesses that prioritize social responsibility, and inclusive innovation is a tangible manifestation of that commitment.

Improved Product Quality

Taking into account diverse perspectives and feedback leads to more comprehensive and well-rounded product development. This ensures fewer product recalls, less negative feedback, and reduced costs associated with post-launch modifications.

Fostering Creativity

Inclusive environments, where diverse inputs are valued, often lead to enhanced creativity and out-of-the-box thinking. This is crucial for businesses to remain competitive and innovative.

Legal and Regulatory Compliance

With increasing global awareness about inclusivity, many countries are introducing regulations that mandate accessibility and inclusivity. This is especially true in sectors such as technology and infrastructure. Inclusive innovation ensures compliance and reduces the risk of legal repercussions.

Social Impact

Beyond profitability, businesses have a role in shaping societal structures. By promoting inclusivity, they can drive positive societal change, paving the way for more equitable futures.

Help to Reduce Social Disparities

If inclusion isn’t prioritized from the beginning, new technologies, products, and services have the potential to exacerbate societal disparities.

In essence, inclusive innovation is not just a morally upright choice but a strategic one. It offers businesses a clear competitive edge, ensuring they remain relevant, profitable, and revered in the modern marketplace.

People with Protected Characteristics

In the UK, the Equality Act 2010 identifies nine protected characteristics: 

• Age
• Disability
• Gender reassignment      
• Marriage and civil partnership 
• Pregnancy and maternity
• Religion or belief
• Race
• Sex
• Sexual orientation

Make Your Innovation More Widely Accessible

In addition to ensuring compliance with law wherever you are, of course, your business may also wish to make sure that your innovations are accessible more widely. For example, inclusivity for people as follows:

• Financial challenges
• Social challenges
• Educational background
• Levelling up
• Caring responsibilities
• Intersectional
• Language
• Digital
• …and many more.

Inclusive Innovation: Solve Specific Problems, Don’t Unintentionally Exclude Some of Your Target Customers

The point here is NOT about creating innovations that work for absolutely everyone. Rather, it’s about finding opportunities to help people solve their specific challenges, and achieve their aspirations. It’s also essential to make sure that the product or service that you are designing for the market does not unintentionally exclude people who are inside your target customer segment.

Understanding User Diversity

Misunderstanding consumer needs can lead to products that induce unwarranted stress and feelings of exclusion, ultimately hampering business success due to heightened product returns and increased demands on customer service.

To truly grasp the intricacies of population diversity, it’s essential to move beyond the stark dichotomy of ‘able-bodied’ versus ‘disabled’. A study spearheaded by Microsoft in 2003 on the advantages of accessible technology highlighted:

“ The concept of “disability” may have limited the understanding of the need for accessible technology … the IT industry must consider the wide range of people who could benefit. ”

Microsoft, 2003

The University of Cambridge’s Inclusive Design Toolkit shows that diversity within the population is shown using a pyramid to model the full range of ability variation within a population.

You can then segment this pyramid to identify various categories of users. The bottom segment of the pyramid represents those with no difficulties, and the severity of difficulties increases up the pyramid.

The specific interpretation of this pyramid model given in the Inclusive Design Toolkit is:

“The pyramid model presents a continuum of population diversity. The prevalence data and definitions of difficulty levels are drawn from the Microsoft (2003) survey.”

University of Cambridge, Inclusive Design Toolkit

Population diversity here is from the perspective of differences in ability. But, you can broaden this out to consider diversity associated with different contexts: lifestyle, aspirations, gender, and past experiences, to name a few. In summary, ‘it’s usual to be different.’

This means that, even within a tightly defined target customer segment, you will find that people have a diverse range of needs that you’ll need to consider for inclusive innovation.

Examples of Non Inclusive Innovation

Examples of unintentionally non inclusive innovation abound, unfortunately. A famous example is below, in this short YouTube clip. The sensor in the faucet only works for certain skin types.

The White Default

Some innovations have the ‘White Default’, per Jacquelyn Iyamah’s presentation at Harvard’s 2020 Design Impact Conference. She gives the examples shown in the image below.

Human Bias in Artificial Intelligence (AI) Algorithms

Artificial Intelligence (AI) algorithms often reflect the biases of the data on which they are trained. When the datasets used to train these algorithms have inherent biases – such as those resulting from historical inequalities or from non-representative sampling – the AI systems can inadvertently perpetuate or even amplify these biases.

For instance, if an AI system is trained predominantly on data from one demographic, it may perform poorly or make biased decisions for other demographics. This is a significant concern in fields like facial recognition, where researchers have found that certain systems have lower accuracy rates for individuals with darker skin tones compared to those with lighter skin tones.

Such biases can lead to non-inclusive innovation, reinforcing societal inequities and failing to serve diverse populations equitably. It underscores the vital importance of diverse and representative data, as well as rigorous testing and review processes, in the development of AI systems.

The Coded Bias Netflix documentary is a must-watch if you’d like to learn more about this issue.

Examples of Inclusive Innovation

Northumbrian Water’s Customer Inclusivity Strategy: Case Study

Operating in the north east to the south east of England, including parts of Greater London, Northumbrian Water serves over 4.5 million customers. Their Customer Inclusivity Strategy outlines their commitment to offering quality service to everyone, no matter their individual needs or circumstances.

Northumbrian Water aims to provide additional support, especially for those facing financial hardships. With affordability in mind, they’ve been setting their sights on eliminating water poverty in their areas by 2030, considering the high unemployment and income challenges they see.

Financial challenges are widespread in the UK, and the company understands that any customer may require extra support due to sudden life changes.

The business values personal connections and, based on customer feedback, are pushing their ‘Unrivalled Customer Experience’ to be more inclusive. Their strategy emphasizes their dedication to enhancing their service for all their customers’ well-being.

I was really proud to work with Northumbrian Water to produce their Customer Inclusivity Strategy. I facilitated sessions with very diverse customer groups, and working with the internal team got hands-on with shaping the strategy.

United States Patent and Trademark Office (USPTO)

The United States Patent and Trademark Office’s initiative to foster inclusive intellectual property developments supports individual innovators and the broader U.S. economy.

Their Council for Inclusive Innovation (CI²) aims to strategize “new ways to expand American innovation by tapping into the strength of our nation’s diversity and increasing the opportunities for all Americans to participate in innovation.”

On their website, here, they share inspirational stories of inclusive innovation for sustainable entrepreneurship. Role models from diverse sectors play a pivotal role in highlighting the value of inclusive approaches, proving that business isn’t just about revenue—it’s about impact. Urban and rural areas alike see local governments investing in these trailblazers, showcasing their achievements on various platforms, and thereby inspiring young people, too. This new generation, brimming with different ideas, stands poised to bring about positive change that will inevitably enhance the quality of life across communities.

USPTO Helping to Make Innovation More Inclusive

The USPTO is also committed to making the U.S. patent system more inclusive, so that all innovators, regardless of their background, have the opportunity to protect their ideas and bring them to market. The USPTO is doing this by:

• Simplifying the U.S. patent application process. The USPTO has made a number of changes to the patent application process to make it more accessible to small businesses and inventors from underrepresented groups. These changes include providing more resources and training materials, and offering free legal assistance to qualified applicants.
• Promoting technology commercialization. The USPTO is working to connect innovators with the resources they need to bring their ideas to market. This includes providing funding for research and development, and connecting inventors with potential investors and partners.
• Building an inclusive innovation ecosystem. The USPTO is working to create an environment where all innovators feel welcome and supported. This includes partnering with community-based organizations, equity impact enterprises, and other stakeholders to create a more diverse and inclusive innovation ecosystem.

The USPTO’s efforts to promote inclusive innovation are essential to ensuring that the U.S. remains a global leader in innovation. By making the patent system more accessible and inclusive, the USPTO is helping to level the playing field for all innovators and create a more equitable innovation ecosystem.

Additional Examples of USPTO and US Government Inclusive Innovation

Additional examples of how the USPTO is helping to make innovation more inclusive are:

• The USPTO’s Together in Innovation program provides free legal assistance to small businesses and inventors from underrepresented groups.
• The Department of Energy’s Technology Commercialization Fund provides funding for research and development projects that have the potential to create jobs and economic growth.
• The USPTO’s National Inventors Hall of Fame Diversity Initiative recognizes and celebrates the contributions of inventors from underrepresented groups.
• The USPTO’s Equity Partnerships Program works with community-based organizations and other stakeholders to promote inclusive innovation.

Education: Digital Promise – Center for Inclusive Innovation

In response to recognizing equity as the foremost challenge in the League’s school districts, the team at Digital Promise launched the Center for Inclusive Innovation in October 2020. The Center’s purpose is to provide holistic support to districts, from overarching systems to individual classrooms. It aims to develop resources that cater to the unique needs and aspirations of Black, Brown, and Indigenous students and families. In its inaugural year, the center initiated pilot projects in select districts nationwide, focusing on various aspects like enhancing secondary education for marginalized groups, fostering a diverse educator environment, and more. Projects involving local grassroots entities and community allies have been achieved, such as the literacy initiative in El Paso, Texas, and Tucson, Arizona.

Inclusive Innovation for Stronger Communities: Canada

The Government of Canada’s strategy, Inclusive innovation: New ideas and new partnerships for stronger communities commits to partnership working with local governments and the private sector, social innovation and social finance to solve some of the country’s challenges:

“Canada’s future looks bright. Our communities are great places to live, work and play. Our economy is strong and has performed well in recent years. Our people are diverse, skilled and resilient.

Yet in the midst of our prosperity, our communities face persistent social and environmental challenges — housing insecurity, the opioid crisis, climate change, to name a few — that threaten our individual and collective well-being. These issues and others like them not only hamper economic growth, they heighten inequality, increase the need for expensive public services, and result in a profound human cost, both in terms of individual lives and social cohesion.”

Government of Canada, Recommendations of the Social Innovation and Social Finance Strategy Co-Creation Steering Group

Grassroots Inclusive Innovation

Grassroots innovations refer to novel solutions and ideas that emerge at the community level, usually in response to local or societal challenges. These innovations are driven by local actors and groups rather than established institutions or research and development departments of large corporations.

Grassroots innovations often arise in environments where mainstream solutions are either unaffordable, inappropriate, or unavailable.

Key Characteristics of Grassroots Innovations

Key characteristics of grassroots innovations include:

1. Bottom-Up Approach: These innovations often arise organically from the ground up, developed by local communities or individuals to address specific problems they face.
2. Community-Centered: Grassroots innovations are usually developed with and for a community. The community often plays a central role in ideating, developing, and disseminating the innovation.
3. Resourceful: Given that they often emerge in resource-constrained settings, grassroots innovations exemplify frugality and adaptability, making the most out of limited resources.
4. Addresses Local Challenges: These innovations often solve specific local problems, which might be overlooked by larger entities or mainstream solutions.
5. Empowerment: Grassroots innovations can empower local communities, enhancing their self-reliance and reducing dependence on external, often more expensive solutions.
6. Sustainability: Many grassroots innovations emphasize sustainability, focusing on ecological and social sustainability due to the close connection to the local environment and societal needs.

Examples of Grassroots Innovations

Examples include community-led renewable energy projects, local organic farming techniques, or community-developed water purification methods.

While these innovations start at the local level, their success and adaptability can sometimes lead to wider adoption, scaling beyond their place of origin.

Inclusive Innovation in Smart Cities

Innovation and technology, when married with urban planning, bring forth the concept of “Smart Cities.” These are cities that leverage digital technology to improve public services, boost economic growth, and enhance citizens’ quality of life. But for a smart city to be genuinely effective, it must ensure its innovations are inclusive, addressing the needs of all residents, regardless of their socio-economic or physical status. This is where inclusive innovation plays a pivotal role.

Real-life Examples of Inclusive Innovation in Smart Cities

Barcelona’s Smart City for All Initiative

Barcelona has been at the forefront of smart city innovation. Recognizing the challenge of an aging population, the city initiated projects that help the elderly. Urban sensors help monitor air quality and noise levels, ensuring healthier living environments. Smart streetlights, with adaptable intensity based on pedestrian and vehicular traffic, assist with visibility and safety, particularly beneficial for the elderly and visually impaired.

Medellín’s Escalators

Once known for its high crime rates, Medellín in Colombia has transformed itself through inclusive urban innovation. Recognizing the struggles of residents in the city’s steep hillside communities, the city built a series of outdoor escalators, making it easier for residents to access the city center. This not only eases daily commutes but has also played a role in community integration and reducing crime.

Singapore’s Smart Nation Vision

Singapore’s initiative focuses on harnessing the power of networks, data, and info-comm technologies to improve living, create economic opportunity, and build a closer community. A significant aspect of this vision is inclusivity. The government, for example, introduced a Digital Readiness Blueprint ensuring every citizen has access to digital services. This includes programs like Silver Infocomm Initiative, which trains senior citizens in basic IT skills, ensuring they aren’t left behind in the digital age.

Chicago’s Array of Things (AoT)

Chicago’s AoT is a network of interactive, modular sensor boxes around the city collecting real-time data on the city’s environment, infrastructure, and activity for research and public use. Beyond providing data for city planning, AoT actively involves local communities in discussions about what kind of data should be collected and how.

The Path Ahead

While smart cities promise a future of efficiency and heightened quality of life, it is vital that the path to this future remains inclusive. Urban solutions should not exacerbate existing inequalities but should instead aim to level the playing field. By embracing inclusive innovation, cities can ensure that the promise and benefits of the “smart” future is a shared one.

Digital Product and Service Design

Inclusive product and service design, particularly in digital innovation, is crucial when catering to an ageing population. As the global demographic shifts towards an older age group, ensuring digital inclusion becomes more and more important.

Older adults often face unique challenges when navigating the digital world, from reduced tactile sensitivity making touch screens problematic to cognitive changes that can make complex interfaces overwhelming.

However, when the design of digital platforms incorporate these considerations, the platforms become more accessible and user-friendly for everyone, not just seniors.

Inclusive Innovation Brings Universal Benefits

For instance, larger font sizes, intuitive user interfaces, voice-assist features, and easy-to-understand help guides can make digital tools more approachable for the ageing population. Fostering digital inclusion for older individuals also ensures a seamless experience for users of all ages. Thoughtful design and inclusive innovation can bring more universal benefits.

Inclusive Innovation Awards

For more inclusive innovation inspiration, you might want to take a look at these winners of Inclusive Innovation Awards.

Co-creation for Successful Inclusive Innovation

What is Co-creation?

Co-creation in the realm of inclusive innovation involves businesses collaboratively designing products, services, or solutions with stakeholders, including end-users, partners, or even communities. This ensures that the innovation caters to their diverse audience.

Why is Co-creation Important?

Co-creation is important for successful inclusive innovation for a number of reasons:

1. Diverse Insights: Engaging with a variety of stakeholders provides a broader perspective, ensuring products or services truly work for everyone.
2. Improved Adoption: Products designed with users are more likely to be accepted and used by them.
3. Risk Reduction: Involving end-users in the design process can highlight potential issues or barriers early on. This leads to better final products.

How to Implement Co-Creation in Your Business

Co-creation is a much larger topic, but here are some tips to help you start your inclusive innovation journey:

1. Engage Diverse Stakeholders: Involve relevant and appropriate customers, employees, partners, and communities in brainstorming , design thinking sessions and innovation sprints.
2. Vary Your Methods: Use a range of methods to get the best results. For example: solo or group empathy interviews, expert interviews, on location – observing, talking through actions, photos and videos, immersion, analogous inspiration.
3. Feedback Loops: Establish mechanisms for continuous feedback throughout the innovation process, allowing for iterative improvements.
4. Use Digital Platforms: Utilize online platforms or tools that allow for collaborative idea-sharing and feedback from a wider audience.
5. Act on Insights: Ensure that you integrate the insights and feedback you’ve obtained during the co-creation process into the final product or solution.

“Embracing human-centered design means believing that all problems, even the seemingly intractable ones …are solvable.

Moreover, it means believing that the people who face those problems every day are the ones who hold the key to their answer.

Being a human-centered designer is about believing that as long as you stay grounded in what you’ve learned from people, your team can arrive at new solutions that the world needs.”

Ideo

Co-creation fosters a more inclusive and user-centric approach to innovation. This increases the likelihood of success and broader acceptance of new products or solutions.

Inclusive Innovation in Your Organization: Next Steps

Are you interested in learning more about how to make your innovation more inclusive?

At the Big Bang Partnership we are here to help and have a wealth of experience in working with organizations to create more inclusive innovation ecosystems.

We can help you:

• Understand the benefits of inclusive innovation for your business
• Identify the barriers to inclusive innovation in your organization
• Develop strategies to overcome these barriers
• Implement inclusive innovation initiatives

We also offer a variety of free resources that you can download now, including training, workshops, and toolkits.

Contact me today to learn more about how we can help you make your innovation more inclusive.

I look forward to hearing from you!