Knight Foundation BriefingTransnational Immigrant

Innovation Network

Alvaro Lima & Peter Plastrik

Innovation Network for Communities

(April 2008)

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What if… (scenario 1)

Diaspora Capital

financial entity-driven investment in immigrant communities

community financial fitness centers

remittance-based philanthropy for immigrant communities

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Savings & Loans

Deposit Accounts

Mainstream Financial Institutions

Small Savings

Borrowing ( short term loans, e.g. payday loans)

Sending Money to Families

Paying Bills

Cashing Checks

Financial Needs of Low-income Immigrant

Bills Payment

Check Cashing

Money Transfer

Non- Financial Institutions

Low-income Immigrant Needs Versus Financial Offerings

Source: Alvaro Lima and Peter Plastrik, 2005.

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BUILD AND

GROW

Insurance and Investments

ATTRACT AND

ACQUIRE

Transactions & Payments

INCOME

WEALTH!!

CONVERT

Savings & Other Asset-building Products

RETAIN

Credit and Loans

• Check cashing• Bills payment• Money transfer (remittances)• Value cards• Low/No minimum balance deposit accounts

• Traditional savings accounts with some non-traditional features• IDA-like accounts with more flexibility• Children’s savings accounts• Credit history building

• Deposit secured emergency loans• Education Loans• Flexible small business and home financing • Enhancing credit history

• Health, life, auto, and home insurance• Savings bonds, pensions, other investment options• Pension plans• Equity investments & Asset management• Philanthropic investments

SAVINGS

CREDIT

Fin

an

cia

l E

du

ca

tio

n o

ffe

red

th

rou

gh

ou

t th

e L

ife

Cy

cle

Full-service Portfolio Structured to Serve the Life-cycle Needs of Immigrants

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What if… (scenario 2)

Digaai.com

2 million Brazilians around the world:

communicate home with each other (social networking)

register their experience/build unique archives through video, photos, etc.

search newspapers, magazines, websites, etc. contribute to Brazilian diaspora wiki store personal information using private web space

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What if… (scenario 3)

Transnational Index

What: Data and survey-based ranking of communities by their

degree of transnationalism Published annually in partnership with national media

Why: create awareness among policy makers of transnational

phenomena identify social and commercial innovation opportunities for

transnational immigrant communities build consciousness among transnational immigrants of

unique potential

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Designing the Index

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Why We Are Here

We are creating the Transnational Immigrant Innovation Network (TIIN)

We are designing a prototyping 1st generation TIIN products

We are seeking partners and investors for TIIN (tap into Knight’s knowledge, connections, and investment)

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Our Track Record Pete

Founder and President of Innovation Network for Communities (INC) Founder of University Preparatory Academy, Detroit, 1200 students Consultant to Community, Family and Private Foundations Grantee of Ford, Kellogg, Barr and Joyce Foundations Journalist, Booth Newspapers, Michigan State of Michigan, Chief Deputy Director, Department of Commerce Co-author of two books on Reinventing Government

Alvaro Managing Director, Initiative for a Competitive Inner City (ICIC) Economic Development Director, Urban Edge CDC, Roxbury, MA Board member & Partner, INC Research Director for City of Boston & Advisor to Mayor Menino Board Member, Brazilian Immigrant Center, Boston, MA Advisor to Senator Jose Sarney, Former President, Brazil Board Member, VERITAS Latino Bank, Lawrence, MA Advisor for Heron’s Community Investment Index Member of the Governor Commission on Immigrants and Refugees Director for Economic Development, Ministry of Industry, Mozambique

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The Transnational LensTraditional Lenses:

immigration conceptualized as a bipolar relation between sending and receiving countries (moving from there to here)

emigration is the result of individual search for economic opportunity, political freedom, etc.

migrants are assumed to be the poorest of the poor

immigrants occupy low-skilled jobs in agriculture, construction, and manufacturing

Immigrants steadily shift their contextual focus, economic and social activities to receiving country

immigration should not bring about significant change in the receiving society

Transnational Lenses:

immigration conceptualized as flows of cross-border economic, political and social-cultural activities (being here and there)

emigration is the result of geopolitical interests, global linkages, and economic globalization

migrants are not the poorest of the poor nor do they come from the poorest nations

growth in the service and technology-based jobs create opportunities for low as well as high skilled migrants

After the initial movement, migrants continue to maintain ties with their country of origin

immigration creates hybrid societies with a richer cultural milieu

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A Transnational Immigrant Innovation Network

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1st Generation Innovation Portfolio

Digaai.com

 Transnational Index

Diaspora Capital Services

English for Speakers of Other Languages (ESOL)

Transnational Fellows

Research Projects (transnational immigrant organizations)

Publications

Innovation Network for Communities (Governing Ideas)

Mission:

To develop and spread scalable innovations that transform the performance of community systems.

Vision:

To establish a national network of innovation development networks with the capacity to:

Develop next-generation innovations in collaboration with “laboratory” communities; andFacilitate importing and exporting of innovations by communities 14

INC Core Hypotheses IT’S A DISCIPLINE. The process of social innovation in

communities can be systematized into a replicable practice at the community level

SYSTEMS CHANGE REQUIRES INTEGRATED SOLUTIONS. Systems change at the community level requires the ability to assemble an “ensemble” of innovations and integrate them together in a place

COMPLEX SOCIAL INNOVATIONS REQUIRE SPECIALIZED CAPACITY. Social innovation at the community level can be supported and accelerated by a network of well-capitalized social innovation hubs that specialize in the design and development of social innovations for community systems

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Our Partners…• Council for Adult and

Experiential Learning (CAEL)

• Center for Neighborhood Technology (CNT)

• I-GO Car Sharing

• Jobs for the Future (JFF)

• New Urban Learning

• Aspen Institute

• RW Ventures

• Western Union

• Continuous Quality Improvement Network

• Sustainable Systems

• Corporation for Enterprise Development

• Shorebank Corporation

• Humboldt Area Foundation

• Tillotson Trust

• New Hampshire Charitable Foundation

• Northern Forest Center

• Detroit Network for Social Innovators

• Living Cities

• YMCA-USA

• West Michigan Strategic Alliance

• Michigan Economic Development Corporation

• MI Dept of Labor & Econ Growth

• New Urban Learning

• ACT

• Ford Foundation

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The Grand DesignCommunity Innovation

Infrastructure

Urban Sustainability

Early

child

Transnational Communities

Etc., Etc., Etc.Urban

Education

Adult Workforce

Development

Civic Engagement

Double Bottom Line Investment

Early Childhood

Family Empowerment

A network of well-capitalized social innovation networks with a defined innovation agenda for community

systems

Living Cities Network

DetroitNorthern California

Etc., Etc., Etc.West MichiganBoston

Pittsburgh

Northern New Hampshire

NW LouisianaA network of communities that are intentionally building

community innovation infrastructures

Bay Area

Distribution systems that efficiently connect communities with innovation hubs.

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Detroit PortfolioProject Partners Stage

More Good Schools Incubator

New Urban Learning; Henry Ford Learning Institute

Prototype

Greater Detroit Network for Social Innovators

John Heiss, Fort St. Presbyterian Church; 10 core NGO partners

Prototype

Creative Industries Strategy

Charlene Johnson; Edgar Vann; Brian Tell Design

Center for Community Based Enterprises

Deborah Olson; 25 advisors Design

Auto Innovation Accelerator

MEDC; Original Equipment Supplier Association; Detroit Renaissance; Center for Automotive Research; Oak Ridge National Lab

Start-up

Entrepreneurship System

Keith Cooley (DLEG Director, INC Board member)

Design

Remittances Development Fund

Maha Freij, ACCESS Prototype

Double Bottom Line Fund

Sustainable Systems (Oakland, CA) Market Feasibility

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Building the Transnational Immigrant Innovation Network

Scanning

Partnering

Innovation Design and Prototyping

Capital Raising

Establish Formal Network

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Progress to Date Transnational Frame

Research, articles, presentations and conferences

Developing products Launching Digaai.com Index field research Developing partners for Diaspora Capital Design ESOL

Developing the network Advisory board Funding partners