JUNE 2017

GOOD PRACTICE GUIDES FOR FUNDERS

Scaling Innovation

The
International
Development
Innovation
Alliance (IDIA)
 JUNE 2017

GOOD PRACTICE GUIDES FOR FUNDERS

Scaling Innovation
International Development Innovation Alliance (IDIA)

ASSOCIATED PRODUCTS
Insights on
SCALING INNOVATION
This ‘parent’ paper to Scaling Innovation – Good Prac-
tice Guides for Funders has also been created by the
IDIA Working Group on Scaling Innovation. It presents
a high-level architecture comprising six scaling stages,
eight good practices and a matrix of influencing factors
to help guide funders through the long and complex
process of scaling innovation.

Insights on
MEASURING THE IMPACT
OF INNOVATION
The companion to the Insights on Scaling Innovation
looks at the key challenges for funders around
measuring the impact of innovation, and presents an
approach highlighting key impact domains and indica-
tors to help focus funder approaches. It also includes a
case study on projecting the future impact of innovation
created by Grand Challenges Canada and Results for
Development.

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 2

 About the International Development
Innovation Alliance (IDIA)

The International Development Alliance (IDIA) is an informal platform for knowledge exchange and
collaboration around development innovation. Established in 2015 with a shared mission of “actively
promoting and advancing innovation as a means to help achieve sustainable development”, including
through the UN’s 2030 Sustainable Development Agenda, it currently comprises the following entities
investing resources in the development innovation space:

A key contribution IDIA seeks to make is to enhance the global evidence base and build understanding
of the role of innovation within international development. To do this, IDIA establishes Working Groups
that bring together experts from within and beyond IDIA member agencies to collaboratively develop
common platforms for supporting innovation from idea to scale, shared learning and improved impact
measurement. The good practices on scaling innovation captured in this paper represent the culmina-
tion of a year-long review and synthesis of learning by the IDIA Working Group on Scaling Innovation,
and this is one of the global public goods produced through the IDIA platform that is intended to further
build the learning and experience of development agencies both within and beyond IDIA.

.
This document presents the insights and lessons learned that have been collected through a
multi-disciplinary and collaborative process led by the IDIA Working Group on Scaling Innova-
tion. It does not represent the official policies, approaches or opinions of any single contributing
agency or IDIA member, nor reflect their institutional endorsement or implementation of the
approaches contained herein.

Cover image credit: © USAID Africa

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 3

About this document
This paper in the IDIA Insights series focuses on eight The members of IDIA are committed to supporting the
good practices for funders seeking to take promising co-creation of tools and knowledge products such as
development innovations to scale. It is designed to these Insights papers to inform and enhance their own
accompany the Insights on Scaling Innovation paper innovation-related work and that of others in the global
that draws on the experience and learning of a wide innovation community. The exchange of knowledge,
range of bilateral, multilateral, philanthropic and civil learning and expertise that has characterized the de-
society actors who came together in a Working Group velopment of this paper is an essential part of ensuring
on Scaling Innovation facilitated by the International innovations intended to help accelerate achievement
Development Innovation Alliance (IDIA). While these of the 2030 Sustainable Development Goals can be
good practices do not represent the formal strategy pursued and supported.
or approach of any one single agency in the Working
Group or IDIA itself, they do reflect areas of overlapping
learning and experience that can be used as a point of
reference for interested stakeholders in reflecting on,
and enhancing, their own approaches and guidance
Acknowledgments
on scaling innovations. The good practices outlined in this paper have been
contributed through a collaborative process from
Scaling innovation is a long, complex and dynamic pro- countless individuals too many to name here. Special
cess. The good practices contained herein will there- thanks go to all of the members of the IDIA Working
fore benefit from regular review and iteration to accu- Group on Scaling Innovation for their insights and
rately capture continuing advances in knowledge and expertise; to the IDIA Principal Representatives for their
learning. The insights collected in this paper are also guidance; and to Thomas Feeny and Johannes Linn
likely to be valuable in helping innovators and partner at Results for Development for their facilitation of the
organizations develop their own scaling approaches, process and the creation of this report.
thereby acting as a potential catalyst for deeper and
more efficient partnerships.

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 4

 CONTENTS

Introduction 6

Good Practice Guide 1 8

Understanding the Problem and Options for Impact

Good Practice Guide 2 11

Defining a Vision of Scale

Good Practice Guide 3 13

Choosing a Scaling Pathway

Good Practice Guide 4 17

Assessing Scalability and Sustainability

Good Practice Guide 5 20

Identifying Appropriate Funder Instruments and Roles

Good Practice Guide 6 24

Exploring Partnerships for Scale

Good Practice Guide 7 27

Sequencing Different Kinds of Support for Scaling

Good Practice Guide 8 30

Measuring the Impact and Progress of Scaling

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 5

 INTRODUCTION

These Good Practice Guides are designed to be read in conjunction with the Insights on
Scaling Innovation paper developed with the support of the International Development
Innovation Alliance (IDIA). The eight good practices that are at the heart of the scaling
architecture presented in that report (see over) are here unpacked in more detail, and
provide a curated selection of tips, tricks, tools and resources that can help enhance the
practice and impact of those exploring innovation in international development.

Each Good Practice Guide adopts the same structure, comprised of the following sections:

Relevant Glossary Why is This What Data /

Scaling Stage(s) of Terms A Good Practice? Information
Do I Need?

It is important to note that scaling innovation is far

from an exact science, and that there is no ‘silver
bullet’ model guaranteed of delivering impact. Sim-
ilarly, good practice is dynamic and subjective, and
will lead to varying levels of success when applied
What Tools & Empirical insights
to different contexts and innovations. However, by
Resources Can For Funders
combining insights from the latest research with the
Help Me?
learning and practical experience of both funders
and innovators immersed in scaling development
innovations, these Good Practice Guides represent
a valuable tool for audiences of all backgrounds who
are seeking to improve or extend their support in this
challenging area.

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 6

A High-Level Architecture for Scaling Innovation
Scaling
Stages

1
Ideation
Defining and analyzing
the development problem
and generating potential
solutions through horizon
scanning of existing and
2 Research
and
Development
Further developing specific
innovations that have potential
3 Proof of
Concept
When the intellectual concept
behind an innovation is field-tested
to gain an early, ‘real-world’
assessment of its potential
4 Transition
to Scale
When innovations that have
demonstrated small-scale success
develop their model and attract
partners to help fill gaps in
5 Scaling
The process of
replicating and/or adapting
an innovation across large
geographies and populations
for transformational impact
6 Sustainable
Scale
The wide-scale adoption or
operation of an innovation at the
desired level of scale / exponential
growth, sustained by an
to address the problem
new ideas their capacity to scale ecosystem of actors

Good Practices

✓ Explore which internal and

external PARTNERS to work with ✓ Co-create a ‘VISION OF SCALE’
for the development problem with ✓ Support the innovator in assessing
appropriate PATHWAYS for scaling ✓ Consider which funder INSTRUMENTS
and potential ROLES may be appropriate at
at different stages the innovator and sustaining the innovation different stages

✓ Understand the development

problem and ALTERNATIVE ✓ Assess the SCALABILITY and SUSTAINABILITY
✓ Plan for the most impactful SEQUENCING ✓ MEASURE the progress and
impact of the scaling process,
OPTIONS for delivering impact of an innovation both before support and then of support along the scaling pathway and apply the LEARNING
throughout the scaling journey by examining the likely
INFLUENCING FACTORS that will enable or
constrain the scaling process

Influencing Factors
Funders Innovator / Implementor Environment
Vision of desired development impact Vision for achieving desired impact at scale National and global development goals (SDGs, etc.)
Understanding of the development problem Direct evidence of effectiveness Supporting evidence from other related interventions

Evidence of market/community demand and the Market and/or community demand

Risk appetite and tolerance
innovator’s own incentives to scale External incentives (e.g. subsidies/taxes, competitions, etc.)
Investment timeframe Scaling timeframe Political cycles

Financial support (amount and type) Financial management & accountability mechanisms Availability of different financing instruments and sources
Non-financial support (amount and type) Team capacity, experience and expertise Existence of potential partners, competitors and intermediary organizations
Supporting champions and political environment
Leadership and influence
Policy/regulatory frameworks
Supporting infrastructure and resources (e.g. technology, land)
Internal policies, incentives, culture, systems and ways of working
Social, political and/or economic stability and security
Feedback loops & institutional learning mechanisms Monitoring & Evaluation tools and capacity Availability, diversity and accuracy of data

INS I GH TS ON SCA LIN G IN N OVAT IO N 7

 GOOD PRACTICE GUIDE 1

Understanding the
Problem & Options for Impact
Understand the development problem and alternative options
for delivering impact

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

‘Development problem’:
Ideation (Stage 1)
the challenge or situation that
Research and Development (Stage 2)
you are seeking to improve.
Proof of Concept (Stage 3)

Why Is This Good Practice?

A systematic process for defining and Such a process aims to assure that relevant and
understanding the development problem feasible ideas are considered and compared, and that
or opportunity, exploring ideas on how to effective, efficient, sustainable and scalable ideas are
address it, and then deciding on the most selected for subsequent scaling up stages. If such a
appropriate option(s) or innovation(s) to process is skipped, there is a serious risk that poten-
pursue is the necessary starting point for any effort to tially better ideas are neglected and poor, untested
achieve development impact at scale. ideas pursued

What Data / Information Do I Need?

The process of information gathering and decision making can be characterized
into four simple steps.

CONVER
T THINKING GENT
EN

2 3
THI
ERG NK
ING
DIV Generating Evaluating
Ideas Ideas
Ideas / Possible Solutions Focus / Selection

1 4
Many ideas Few suggestions
Defining the Open Feasible Deciding on
Problem / Anything can be suggested Effective Implementing
Opportunity Topic is explored Efficient Idea
Profitable

Source: S. Schöllhammer (2015)

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 8

 What Data / Information Do I Need? CONTINUED

Step 1 – Defining/understanding Step 3 – Evaluating ideas:

the problem:
Having scanned the horizon widely for useful ideas,
A key starting point for funders is a well-founded it is then necessary to narrow down the options by
understanding of the development problem that filtering out those ideas that are less likely to offer
needs a solution at scale. An analysis should provide effective, efficient, sustainable and scalable solutions
an understanding of the development problem, of to the problem to be addressed.
opportunities, symptoms and causes, of constraints
Funders can choose from a wide range of methods
and enabling factors and of the potential points of
and approaches at their disposal for scanning and
intervention and leverage. This assessment would
developing potential innovations and for selecting
draw on appropriate sector or thematic-specific tools
those innovations that they wish to support (see ‘What
of analysis.
tools and resources can help me?’ below). However,
Step 2 – Generating ideas: this is not an exact science and accurate comparison
across diverse innovations is not always possible, so
Once funders have defined the development problem
a funder’s experience and judgement will still be very
they wish to tackle, a range of possible options for
important.
addressing the problem need to be systematically
explored. This is also referred to as a phase of Step 4 – Selecting one or more ideas:
“divergent thinking” or “horizon scanning”, i.e.,
Based on the evaluation process in Step 3 the funder
casting the net widely to explore as many ideas and
needs to decide whether or not to fund implemen-
options as possible, bringing in the ideas of many
tation of the idea(s) that have been identified, or to
different stakeholders (especially of the communities
deploy another horizon scanning tool for further
most directly affected by the problem and possible
sourcing of ideas.
solutions), and considering both locally generated
solutions as well as those from other contexts or It is important at this stage to look at these ideas from
countries. an implementation perspective and think about what
additional resources might be needed to support a
Funders often use innovation competitions and
scaling up process, aside from financial support.
challenge funds to source innovative ideas, but con-
ferences, brain storming events, literature reviews, etc. In practice the evaluation and selection steps
can also be used to scan for ideas and solutions. (Steps 3 and 4 above) blend into each other.

What Tools & Resources Can Help Me?

For a general guide to innovation stakeholders and communities, as appropriate.
scanning, evaluation and selection: RedAnalysis (2012) provide a useful review of
Nesta’s Innovation Flow Chart (2013), general approaches and applications.
which summarizes potential tools relevant
Innovation Competitions: Competitions can serve the
to problem analysis and innovation selection.
triple purpose of surfacing existing ideas, stimulating
Tools to support idea generation: innovators to develop new ones, and/or providing
funding for the winner(s) to further develop, imple-
Horizon scanning: Horizon scanning involves the
ment and even scale up their innovations.
systematic and iterative review of innovations in a
collaborative and inclusive manner, involving experts, CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 9

 What Tools & Resources Can Help Me? CONTINUED
Clifford Zinnes (2010) provides an in-depth review Projecting impact: Grand Challenges Canada and
of competitions and tournaments in supporting Results for Development have developed a method-
development innovation and scaling. LEARN MORE ology for funders that can help them predict which
of the innovative options available to them is likely to
Nesta (2014) have produced a practical handbook
yield the greatest impact (and perhaps offer the best
on how to organize challenge prizes.
value for money). The methodology is discussed in
Tools to help funders evaluate and choose detail in the Case Study that forms the appendix to
between different ideas and innovations: the ‘Insights on Measuring the Impact of Innovation’
Jeffrey Baumgartner provides a useful summary of paper produced by an IDIA Working Group.
tips, tricks and pitfalls when evaluating innovations. Institutional criteria: In addition to the evidence that
LEARN MORE may arise from comparison of different innovations
Scalability assessment: The potential of an using the tools noted above, many funders have
innovation to go to scale is a critical differentiating introduced their own institutional criteria to help their
factor in deciding between innovations. For more staff select among different options. For example,
on this, see the section ‘Factors influencing scalability UNDP uses 10 criteria for assessing innovation
and sustainability’ in the accompanying paper proposals submitted by UNDP country program
“Insights on Scaling Innovation”, as well as Good offices in the Asia-Pacific region. LEARN MORE
Practice Guide 3 within this series. Harvard University also developed four criteria for
helping select ideas for the ‘Innovations in American
Government Award. LEARN MORE

Empirical Insights for Funders

Complex evaluation methods and As part of the evaluation and decision process,
selection processes take time, resources funders will want to ensure that the innovators with
and effective management. Often, simpler whom they engage (a) also have a good under-
approaches (e.g., fewer rather than more standing of the development problem and of the
selection criteria, simple weighting schemes, etc.) will opportunities, constraints and risks they face in
be more effective and transparent. pursuing an innovation-scaling pathway; and (b) are
well informed about the evaluation and decision
It is important to involve the right combination of
criteria used by the funder that led to their selec-
qualified experts in understanding the development
tion.
problem and selecting appropriate innovations.
LEARN MORE In the early stages of the process these Funders will inevitably have to take risks in selecting
may include academic / sector experts, while in the the ideas that they end up supporting. Rather than
later stages practitioners close to target markets, minimizing risks and working towards ensuring that
communities and clients to be served by the innova- each project succeeds, funders would do better to
tion will be essential. take a portfolio-based approach, in which innova-
tions of both high and low risk are supported with a
view to the portfolio delivering a good return as a
whole, with the added advantage of being able to
learn from unsuccessful innovations.

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 10

 GOOD PRACTICE GUIDE 2

Defining a Vision of Scale

Co-create a ‘vision of scale’ with the innovator appropriate for the
development problem and level of demand/need

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

‘Vision of Scale’: the desired potential
Research and Development (Stage 2)
long-term impact of an innovation, if
Proof of Concept (Stage 3) and when it is successfully scaled up; it
The vision should also be revisited at generally needs to include considerations
all subsequent stages of the Scaling not only of breadth of impact, but also of depth, quality,
architecture for confirmation / refinement equity and inclusiveness, as well as sustainability.

Why Is This Good Practice?

A vision of scale of impact is needed to up pathway, and helps funders track progress towards
recognize that scaling up of an innovation the top-level target they have defined within their
is necessary, desirable, and feasible, and vision of scale.
to ensure that the focus is on impact of the
A shared vision provides a basis for cooperation
innovation, not on the innovation per se.
among partners and motivates action. It also helps
A vision of desired impact focuses attention on the to mainstream an innovation from initial incubation
need to explore a scaling up pathway towards the ulti- by the funder’s innovation lab or challenge fund into
mate scale goal from the earliest stage of innovation the broader “mothership” organization. The vision is
and to look beyond a specific project or intervention. therefore a key driver of the scaling up process.
A vision of scale allows the identification of intermedi- In terms of the image of “crossing the river, by feeling
ate target impacts for specific stages of the scaling the stones”, the vision represents the bank on the
other side of the river.

What Data / Information Do I Need?

A clear identification and analysis of the innovator / implementer / funder: a social enterprise
development problem to be addressed by will appropriately aspire to a more limited vision of
the innovation (see Good Practice Guide 1); scale than a large multinational firm; similarly, a mayor
this helps define the target market or popula- of a city relative to a national government; or a national
tion that is to be reached under the vision of scale. government relative to a funder with global reach (the
World Bank, the Gates Foundation, etc.)
A clear identification of the scale of impact that the in-
novation would need to reach in terms of market size For many actors, especially those with national or
(consumers, service recipients reached), lives saved, global reach, the vision of scale could (and generally
or people taken out of poverty. should) be linked to the relevant SDGs, in terms of the
contribution that the innovation when scaled success-
The appropriate vision of scale depends on the
fully is likely to make to the achievement of the SDGs.

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 11

 What Tools & Resources Can Help Me?
The ‘Leading’ indicators section of the among the various relevant stakeholders, usually
IDIA report ‘Insights on Measuring the based on their participatory engagement.
Impact of Innovation’ provides examples LEARN MORE
of factors that will influence the vision of
“Scenario planning” involves the development of
scale at ‘Proof of Concept’ stage
alternative future states and pathways towards them,
“Visioning” is the process of establishing a vision for allowing for uncertainties in terms of future events.
an organization, community, initiative or program, LEARN MORE
where the goal is to establish a vision that is shared

Empirical Insights for Funders

In considering the long-term vision of and effective champions, as well as effective
scale for the impact of an innovation, the constituency building, outreach and communica-
question of financing should also be tion to concerned stakeholders. In a country context,
addressed. For example, does the vision the development of sector or subsector strategies
ultimately involve self-financing of the product/ can help define an appropriate vision of scale.
service or will it require sustained budgetary funding
The vision of scale may be adapted as the scaling
(subsidies) for viability?
up process runs through its various stages and
Many programs manage to clearly articulate a experience is gathered with the potential for expan-
short-term (2-3 year) vision for scale, but are less sion of relevance and scope, in terms of horizontal
clear on their long-term vision of scale, which scaling, vertical scaling or functional scaling. For
requires them to consider what is plausible over a example, a solution that initially is judged locally
given long-term horizon and the possible influence scalable with a vision of, say, universal coverage at
of external shocks, unexpected barriers, etc. Scenar- the level of a specific jurisdiction (such as the
io planning (see above) can help address these risk earthquake-proofing of schools and hospitals in a
factors. particular city) may be expanded to universal
coverage at the country level as it is successfully
Establishing a shared vision within and across
scaled locally, and may eventually be scaled across
programs, institutions and partners can represent a
countries (e.g., the application of BRAC’s approach
great challenge. It requires persistent leadership
beyond Bangladesh, including in Africa).

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 12

 GOOD PRACTICE GUIDE 3

Choosing a Scaling Pathway

Support the innovator in assessing appropriate pathways for
scaling and sustaining the innovation

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

A “scaling pathway” is the route that
This good practice is most relevant
is followed to increase the reach of an
between Proof of Concept (Stage 3)
innovation through different partnerships
and Transition to Scale (Stage 4), but
and approaches.
the scaling pathway should also be
reassessed throughout the scaling process. “Horizontal scaling” refers to an increase in the
reach of an innovation by expansion or replication,
within or across jurisdictions.
“Vertical scaling” refers to an expansion of the
Why Is This Good Practice? impact of an innovation through policy, regulatory or
institutional reform at a higher organizational level.
The scaling up process generally
involves a sequence of steps and
intermediate stages, usually extends
over a long period, and must be framed to
consider the changing impact of various conditions are created and barriers removed for
influencing factors (see Good Practice Guide 4). sustainable scaling to take place.
The sequential steps have to be systematically Learning and adapting are key aspects of the concept
developed so that each step creates the platform on of the scaling pathway which involves an iterative
which the next step can build, i.e., that the enabling process of innovation-learning-scaling.

What Data / Information Do I Need?

The funder and innovator should think first Social Innovation, where the value of the innovation ac-
about the type of innovation they are trying crues primarily to society rather than a private individual
to scale, as this will likely have the greatest (e.g. a policy that improves the status of women). These
impact on the scaling pathway that will be often require the mainstreaming of new practices and
appropriate. Today, innovation is often cate- relationships into social settings, and are therefore hard-
gorized into three different types: er to scale due to resistance from pre-existing incen-
tives, mind-sets and cultural practices or habits.
Scientific/Technological Innovation, where engineer-
ing and other applied sciences are used to solve the Business/Financial Innovation, where the aim is to
practical problems of human lives (e.g. solar power, a improve the efficiency of how products or services are
mobile phone application or a new vaccine). These offered to and utilized by the market (e.g. innovations
can usually rely on existing diffusion processes or that increase the affordability, accessibility or
institutions and tend to be easier to scale than social or
business/financial innovations. CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 13

 What Data / Information Do I Need? CONTINUED

demand for a product). The level of difficulty in scaling women). What are the best channels or institutions to work
will typically depend on the complexity and scope of through to reach these beneficiaries? With this information,
the change, and the level of demand among those it it should be possible to consider which of these scaling
targets. pathways is likely to be most efficient for reaching target
beneficiaries and scaling the innovation:
Innovative partnerships will likely be a feature of all three
categories. Public pathways (through government — often re-
quired for scaling at a population / national level)
‘Integrated innovation’ is a term coined by Grand Chal-
lenges Canada to refer to the coordinated application of Commercial pathways (through the private sector —
scientific/technological, social and business/financial often for innovations that want or need commercial
innovation to develop solutions to complex global chal- sustainability)
lenges. This concept does not discount the singular ben-
Hybrid pathways (leveraging both government and
efits of each of these types of innovation alone, but rather
market actors)
highlights the powerful synergies that can be realized by
aligning all three. Horizontal scaling (expanding impact through
replication by others)
Next, think about the sector relating to the innovation
(e.g. health, agriculture) and the target beneficiaries Vertical scaling (changing the policy / institutional
(e.g., general population vs. a specific subgroup such as environment to enable scale)

What Tools & Resources Can Help Me?

For general planning and “Ready, Set, Launch” (a country-level guide to scal-
management of scaling pathways: ing) and “Idea to Impact” (focusing on the introduc-
tion of new products)
The S-curve of technology diffusion and
adoption introduced by Everett Rogers ExpandNet (2009) also provide guidance on scaling
(2003) is helpful in understanding how an innovation product and process innovations through the public
typically scales across a population, and can help sector. LEARN MORE
in recognizing the different pathways that may be Pathways for scaling innovations in education:
necessary to reach different segments of the
population. LEARN MORE Brookings (2016) provide an analysis of scaling up
pathways focusing on the interaction between public
Management Sciences International (2016) have and private initiatives. LEARN MORE
produced a three-step/ten-task general planning and
UNICEF/R4D (2016) also document successful path-
management approach for practitioners to identify
ways to scale for education innovations. LEARN MORE
appropriate scaling up pathways, and look at the
pros and cons of expansion, replication and collabo- Pathways for scaling innovations in agriculture
ration pathways. LEARN MORE and rural development:
Pathways for scaling innovations in health: IFAD (2015/16) has produced 11 thematic scaling
notes documenting the scaling of product, pro-
USAID’s Center for Acclerating Innovation and Impact
cess and organizational innovations in support of
has produced a range of useful tools for scaling up
small-holder development in the public and private
health innovations, including “Pathways to Scale”
sectors. LEARN MORE
(focusing on business models and partnerships); CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 14

 What Tools & Resources Can Help Me? CONTINUED

The World Bank (2012) has produced guidance on Pathways for scaling social enterprise
engaging public and private actors to support scaling innovation and inclusive business:
of agriculture and rural development initiatives.
The World Bank (2016) has documented
LEARN MORE
approaches and lessons around public-private
The Canadian International Food Security Research interaction in scaling up pathways for social
Fund (CIFSRF) tests and scales up practical solutions enterprise innovation. LEARN MORE
to increase food production, raise income for farming
Nesta (2014) has developed a conceptual model
families, and improve nutrition throughout the Global
comparing different scaling up pathways.
South. LEARN MORE
LEARN MORE
Pathways for scaling up innovations in
GIZ (2016) has a toolkit on helping inclusive
fragile and conflict affected states:
businesses achieve scale. LEARN MORE
Brookings (2011) explores some of the key lessons
and good practices. LEARN MORE

Empirical Insights for Funders

In planning and implementing scaling up Most types of scaling up pathways will benefit from
pathways innovators and their funders the presence of an intermediary institution, i.e., an
need to realize that there are no blueprints institution that helps bridge the common gap
and that pathways continually have to be between the innovator and the government or
evaluated and adjusted as the scaling up process market institutions that ultimately implement the
proceeds. innovative model at scale. Funders or universities are
well-positioned for this role.
Scaling pathways usually extend over a long time
horizon (10-15 years), well beyond funders typical Appropriate financing instruments will vary across
project or program duration. the different stages of the financing pathways and
across different types of pathways. Grants will more
Many scaling pathways will require horizontal and
likely be appropriate at the first two stages of the
vertical scaling in a parallel and iterative process,
pathway, while non-grant finance (loans, equity,
as they are always subject to policy and regulatory
guarantees, etc.) will often be more appropriate at
forces that should be considered and where possible
later stages of the process. Generally, grants will
changed to support the scaling pathway.
also be more appropriate in supporting pathways
Most scaling pathways involve both private sector that primarily involve the public sector, but care has
and government actors, since innovations scaling in to be taken to increase the role of domestic public
the commercial sphere will be influenced by policy financing, as a scaling up process matures and the
and regulatory conditions, and innovations scaling in external funder is preparing to exit. (See also Good
the public sector will generally involve private actors, Practice Guide 5)
as recipients/beneficiaries, contractors and/or
competitors. CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 15

 Empirical Insights for Funders
The analysis and management of risk is a signifi- remains relevant, whether the necessary enablers
cant factor throughout the scaling up pathway. are in place and possible barriers are being re-
The nature of risk will vary with the type of scaling up moved, whether instruments of support are the right
pathway. Predominantly private pathways face ones, whether partnerships are working, and
market risk, but also risks of policy and political whether key elements of the implementation process
interference; predominantly public pathways face are properly sequenced.
risks of political discontinuities, of weak and corrupt
Implementation of a complete scaling pathway will
implementation, and of unpredictability of budget
usually require that funders (and potentially
support.
innovators) hand off to other partners along the
Effective M&E is a key determinant of a successful way. This will often be externally, i.e. from a funder to
scaling up pathway. Funders will want to focus a private impact investor or public sector partner, but
careful attention on the design and implementation it also includes internal transitions from a funder’s
of M&E in the pathways they support, considering innovation lab or challenge fund into their broader
not only impact metrics, but also whether the vision organization.

G O O D P R AC T I C E G U I D E 3

Choosing a Scaling Pathway

Support the innovator in assessing
appropriate pathways for scaling
and sustaining the innovation

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 16

 GOOD PRACTICE GUIDE 4

Assessing Scalability and Sustainability

Assess the scalability and sustainability of an innovation before and
throughout the scaling journey by analyzing the likely influencing factors
that will enable or constrain the scaling process.

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

‘Scalability’: the potential for an
Principally at Proof of Concept (Stage
innovation to scale up in support of
3) and Transition to Scale (Stage 4), but
the vision of scale
also at subsequent stages to check that
scalability remains assured along the ‘Sustainability’: the ability of an innova-
scaling pathway and to monitor and shape influencing tion to continue operating and generating impact over
factors that will affect progress. the long term
‘Influencing factors’: the internal or external
circumstances that may enable or constrain movement

Why Is This Good Practice?

Not every innovation can be scaled up, tures of the innovation may have to be adapted, and
or is worth scaling up if it is not sustainable. the potential influencing factors that may therefore
Asessing the scalability and sustainability of enable or constrain its progress.
an innovation is therefore a matter of due
Initial assessment and then continuous monitoring
diligence carried out by the funder and the
of all potential influencing factors (not only the most
innovator.
obvious ones) will significantly improve the likelihood
Assessing scalability also helps in the design of the of scale, and help funders test the assumptions on
scaling up pathway, as it helps to identify how fea- which the impact of an innovation depends.

What Data / Information Do I Need?

Funders and innovators can assess an 3. By relying on the broader judgement and experience
innovation’s scalability in several ways, of their team members in assessing innovations on a
depending on the level of rigor they want: case-by-case basis.
1. By applying a set of generic ‘scalability Regardless of which approach they choose, two things are
criteria’ across all innovation type and sectors; essential:
2. By applying criteria or questions that are specific to a That scalability is assessed both before implementa-
particular sector or innovation type; tion and then on a continuous basis throughout the
scaling process
CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 17

 What Data / Information Do I Need? CONTINUED

That scalability is assessed with reference to the in the main IDIA scaling architecture for more details)
range of influencing factors that may enable or
Funders should ensure that either they or the innovator
constrain the scalability of an innovation over the
have adequate capacity and processes in place to enable
course of its implementation (see the matrix of these
these.

What Tools & Resources Can Help Me?

For a general introduction into the o ThoughtWorks scaling assessment map: a de-
concepts of enablers and barriers to tailed scalability assessment tool that is especially
scaling, see Brookings (2008) “Scaling Up: relevant for commercially oriented innovations.
A Framework and Lessons for Develop- LEARN MORE
ment Effectiveness from Literature and Practice.”
Tools to assess influencing factors
LEARN MORE
(enablers and constraints) include:
Approaches for scalability assessment:
Social enterprises
Funders and innovators can use the matrix of influ-
For an analysis of scaling barriers for social
encing factors included in the introduction to these
enterprises, see Deloitte Touche (2014) “Beyond
Good Practice Guides to assess which of the listed
the Pioneer: Getting Inclusive Industries to Scale”.
factors may apply to the specific context and scaling
LEARN MORE
pathway of the innovation; the degree to which it
may enable or constrain that scaling pathway; and Health Product Innovations
how the influence it exerts may change over time. USAID’s “Idea to Impact” (2015) approach has devel-
Other, more criteria-based approaches for scalability oped a tool kit that includes a bottleneck analysis
assessment include: framework for assessing country specific health
product uptake challenges, and an ‘Intervention
o The “CORRECT” approach of ExpandNet, which
Demand Forecasting’ tool. LEARN MORE
asks seven questions to assess scalability of an in-
novation: is/does the innovation credible, observ- Institutional factors influencing scaling
able, relevant, have a relative advantage, is easy MSI (2016) explores how intermediary institutions
to transfer and adopt, compatible, and able to be can support scaling by bridging the gap between
tested and tried? LEARN MORE innovators and adopters. LEARN MORE
o MSI scalability checklist: Building on the COR- Brief #12 of a series of case studies produced by
RECT approach, this is a more detailed scalability IFPRI (2012) considers the challenges that may occur
assessment tool, rating scalability of innovations when scaling up agriculture and rural development
against 32 criteria, grouped under seven catego- innovations through multiple institutions.
ries; suitable for all types of scaling pathways. LEARN MORE
LEARN MORE

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 18

 Empirical Insights for Funders

There is no ‘correct’ set of scalability Cultural barriers can affect many innovations, but are
criteria that when applied will produce a especially relevant for smallholder agriculture, social
clear answer for funders as to whether an service provision at the base of the pyramid, and
innovation will successfully scale or not. An water/sanitation innovations.
innovation that may score highly on innovator
The risks associated with scalability relate to uncer-
capacity may fail to scale due to a lack of community
tainties about how an innovation that has been
demand, while another that ticks all of the boxes at
tested in a specific set of institutional and external
the ‘Proof of Concept’ stage may ultimately fail to
ecosystems conditions will play out in different
scale because of a natural disaster that destroys
settings. The Transition to Scale phase (Stage 4)
essential infrastructure or supply chains. However,
therefore may have to include repeat or concurrent
experience suggests that a systematic approach to
pilots in different circumstances.
identifying and monitoring the actual and potential
influencing factors that impact the scaling process Many commercial innovations may be challenged
over time is at the core of designing and implement- based on pre-existing patents or intellectual property
ing successful scaling up pathways. rights, and funders will need to assess as part of due
diligence whether such challenges might occur. A
Some of the empirical insights below have near univer-
related concern is whether an innovation should, or
sal relevance, while others apply only in selected
should not be protected by patents. Patents may
contexts or for certain types of innovations:
impede scaling on the one hand, yet protecting
A clear vision, strong leadership/champions and intellectual property rights may also encourages
effective incentives/accountability mechanisms are innovation.
always important among enablers, as are costs, fiscal
Specific examples of how the enablers and constraints
and financial resources, institutional capacities and
influence scaling pathways include:
policies. Fiscal and financial constraints tend to be
most often the binding and neglected constraint to The analysis of the Mexican conditional cash transfer
scaling up. program (“Progresa-Oportunidades”) in Brookings
“Progress against Poverty” (2006) documents an
Inadequate consideration of financing constraints is
excellent example of successful scaling up with
a very common shortcoming in donor-financed
systematic consideration of all relevant enablers and
programs, especially in terms of sustainability and
barriers. LEARN MORE
scalability beyond the end of the funder-supported
program cycle. Financial viability on funder exit The scaling up review of IFAD’s programs by
needs to be assessed and planned for at the outset, Brookings (2010) provides country specific analyses
and then monitored throughout implementation in of enablers and barriers to scaling in IFAD supported
line with changing factors such as consumers’ or agriculture and rural development programs in
beneficiaries’ ability and willingness to pay, a govern- selected countries. LEARN MORE
ment’s ability and readiness to provide budgetary
IFPRI (2012) summarizes the implications of 14 cases
support, etc.).
studies of scaling up in agriculture and rural develop-
Political constraints, while not universally binding, are ment, with reference to the scaling up enablers and
often neglected in the design and implementations barriers. LEARN MORE
of scaling up pathways.
Natural resource constraints are most relevant for
agricultural, water/sanitation and climate change-
related interventions.

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 19

 GOOD PRACTICE GUIDE 5

Identifying Appropriate
Funder Instruments and Roles
Consider which funder instruments and roles may be most appropriate
at different stages

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

‘Instruments and roles’ refer to the
Relevant at all scaling stages where a
different kinds of support that funders
funder is involved, but typically Stages can provide in helping an innovation
1-5 of the IDIA scaling architecture. scale, including financial and non-financial
contributions.

Why Is This Good Practice?

How best to support scaling up of innovations is a central concern to funders, and it is important to
explore which of the contributions they can make at different stages of the scaling pathway will have
the greatest impact.

What Data / Information Do I Need?

First, it is important to know what instruments might be available to you as a funder, including those
that are not yet in your toolkit but that could be added in the future. The most common ‘financial’ and
‘non-financial’ instruments are listed in the table below.

Financial instruments Non-financial instruments

Grants Technical assistance (TA)

Conditionally Repayable Contributions (CRCs) Board membership
Loans Direct implementation
Equity (e.g. through country level teams)
Guarantees Project supervision
Results-based finance (RBF) Convening, match-making, networking, curating
Social/development impact bonds (SIBs/DIBs) Non-financial competitive awards

CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 20

 What Data / Information Do I Need?

Second, you should find out what degree of authority financing (e.g. commercial revenue)?
and mandate from your funder governing body there
For loans/equity/guarantee: What is the ability of the
is to deploy these instruments, as permissions will vary
recipient to negotiate and manage these complex
significantly according to the type of funder and the capital
financial instruments? What is the credit worthiness
they deploy. For example, many bilateral agencies are not
of borrower in terms of their ability and willingness to
permitted to often loans, others are restricted from using
repay/live by the contractual obligations?
equity investments.
For SIBs/DIBs/RBF: what is the capacity of recipient
Third, consider which instruments may be most appro-
and counterparties to handle and honor these instru-
priate for your intended recipient or partner in the scaling
ments, and how substantial are the transactions costs?
process. For example, non-grant financing with some
form of cost-reimbursement will often be appropriate for For all financial instruments: how can the funder
commercial (for-profit) recipients, while grants will be more extend their financing over longer time periods more
suited to not-for-profit recipients. When supporting govern- aligned with the length of the scaling pathway (as per
ments, all financial options can be utilized (except equity), the example of the Swiss Government, which has
but with grants the more likely option for low-income and introduced a multi-year funding modality that extends
non-credit-worthy countries. its support for up to 12 years)?

Finally, consider exploring some of the following questions For all non-financial instruments: do any of these
that arise when thinking about which instruments to use: create a conflict of interest for the funder, or undermine
the recipient? What capacity does the funder have to
For grants: How might the use of these dis-incentivize
deliver?
the recipient from seeking a more sustainable form of

What Tools & Resources Can Help Me? CONTINUED

At present, no systematic assessment established financial instruments to education, for

of funder instruments (especially non- example education bonds and loan buy-downs; to
financial tools) appears to be available. relatively new financial instruments ready for expan-
However, Nesta (2015) have provided a sion such as social impact investment and student
landscape of financing tools that provides a helpful financing; as well as new financial instruments such
summary. The examples below therefore highlight a as debt conversion development bonds. LEARN MORE
limited number of studies that include an analysis of
Chapter 5 of the Brookings book “Getting to Scale:
instruments as part of a broader discussion.
How to Bring Development Solutions to Millions of
In the 2016 publication “Innovative Financing Poor People” includes a review of various funder
Recommendations: Background Paper for the instruments and their incentive effects for scaling up,
Education Commission”, Results for Development including incentive grants, service delivery contracts,
look at range of innovative financing mechanisms competitions and tournaments, subsidies and RBF.
within the education sector, from those that tailor LEARN MORE

CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 21

 What Tools & Resources Can Help Me? CONTINUED

Section A of the 2016 Adam Smith International re- Process and Effects of a New Lending Instrument”)
view “Getting to Scale: Lessons in reaching scale in does not specifically assess this instrument from a
Private Sector Development programmes” includes scaling dimension, but provides some useful learning
a section on ‘Strategies and Tactics’ for scale that around areas for improvements. LEARN MORE
funders can use with private sector partners. The World Bank also supports a website on the
LEARN MORE application and learning around RBF in the health
sector. LEARN MORE
The Brookings study (2010) “Scaling Up the Fight
against Rural Poverty: An Institutional Review of A 2015 Brookings review of experience with SIBs/
IFAD’s approach” includes a comprehensive review DIBs (“The potential and limitations of impact bonds:
of IFAD’s instruments and how they support a scaling Lessons from the first five years of experience
agenda. LEARN MORE worldwide”) shows they are potentially effective for
supporting innovation, but less so for scaling up.
A 2016 World Bank evaluation of RBF (“Program-
LEARN MORE
for-Results: An Early-Stage Assessment of the

Empirical Insights for Funders

When considering what instruments to perspective if they are targeted to reduce poverty.
deploy, larger funding institutions should However, they also may undermine sustainability and
consider the respective capacities of their scalability, discourage own-resource mobilization,
innovation-focused teams/units and their encourage waste and grant-chasing behavior, and
broader organizational ‘mothership’. Innovation labs reduce ownership. To mitigate these risks, grants can
and platforms generally have the ability to deploy be targeted for specific purposes, including in
financial and non-financial instruments appropriate for support of M&E and learning, or to encourage
early stages (1-3) of the scaling up process, while the activities that might otherwise be underinvested in by
mainstream operational departments of aid agencies the innovator, e.g., outreach and communications.
tend to have a broader range of financial and non-finan- However, unless indefinite financing is appropriate
cial instruments at their disposal to support the later and can be guaranteed (which is usually not the
stages of the scaling process (4-6). case), careful planning of the phase-out of grants is
essential.
However, different instruments incur different risks and
require different due diligence criteria. This means that Loan and equity finance can be important signals
careful consideration of instruments is of critical impor- for the markets that enterprises/governments are
tance. Financing instruments also have important creditworthy – hence, they can be effective instru-
incentive effects which need to be explicitly considered: ments for sustainability and scaling up. An example
of this is the Rockefeller Foundation’s rural renew-
Grants are in effect subsidies; from an efficiency
able energy power program in India, where private
perspective they are justified to correct for market
ESCOs (energy service companies) asked for loans
failures, especially in the early stages of innovation
and scaling, and they are justified from an equity
CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 22

 Empirical Insights for Funders CONTINUED

and equity participation to help them demonstrate of the pathway, while loans and equity are often
capital market access credibility. LEARN MORE most effective for the last two stages (‘Scaling’ and
‘Sustainable Scale’).
RBF tools reward delivery of results, rather than
delivery of inputs, which tends to encourage local Non-financial instruments can be very helpful in
ownership, innovation and adaptation, and hence supporting innovators/implementers during the
sustainability and scalability of impact. However, scaling process. Funders can serve as important
these instruments can have high transactions cost champions, sources of technical input and expertise,
and require substantial institutional capacity, and and as commitment and accountability mechanisms
hence may better suited for the innovation than the — sometimes as intermediary institutions to bridge
scaling stage, and perhaps more effective in middle the originators and adopters of innovation (see
and higher income country contexts. Good Practice Guide 4). Funder-provided technical
assistance is often evaluated as an important
SIBs/DIBs and guarantees often have high transac-
success factor, particularly in the eyes of the
tions costs and require significant capacity among
innovator.
participants for effective deployment. Like grants,
they are typically more appropriate at early stages

G O O D P R AC T I C E G U I D E 5

Identifying Appropriate
Funder Instruments and Roles
Consider which funder instruments and
roles may be most appropriate
at different stages

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 23

 GOOD PRACTICE GUIDE 6

Exploring Partnerships for Scale

Explore which internal and external partners to work
with at different stages

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

“External partners” are organizations
Proof of Concept (Stage 3)
(including funders) or individuals whose
Transition to Scale (Stage 4)
collaboration may be helpful to an innova-
Scaling (Stage 5)
tor in supporting the scaling up process.
Sustainable Scale (Stage 6)
It includes other organizations with whom a funder
may collaborate in providing support.
“Internal partners” are individuals or units within a
Why Is This Good Practice? funding organization which may support or collaborate
with an innovator in different ways. A good example of
Experience shows that internal partnership is between a funder’s unit that is
partnerships are essential specifically focused on supporting innovations (e.g. an
along the scaling pathway. innovation lab) and the teams that carry out the main-
stream operational activities (the “mothership”).
For Innovators:
Partners can complement each other with resources
(financial, organizational, human, information, polit-
ical, etc.) at any given stage, which will significantly
Innovation funders interested in supporting scaling
improve the strength of a scaling pathway. However,
up will generally need to develop both external
managing partnerships can be a costly exercise, so
partnerships with other funders and with
knowing how to identify, design and sustain the right stakeholders on the ground.
partnerships is an important skill for innovators to
possess. Teams working as part of dedicated innovation labs
or platforms within a larger funding organization will
Assessing the potential for effective partnership is also also need to develop effective internal partnerships
a critical element in any scalability assessment that with the ‘mothership’, especially for effective scaling
innovators will undertake (see Good Practice Guide 4). in the later stages of the scaling pathway when the
For Funders: support for innovations needs to be mainstreamed
into the ‘mothership’.
As part of their due diligence, funders should
assess whether the innovators have (or are seeking)
effective partnerships to strengthen scalability and
sustainability.

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 24

 What Data / Information Do I Need?

For the Innovator: For the Funder:

Innovators need to assess (through As part of their due diligence, the funder should assess
a ‘Partnership Scan’) a number of related whether the innovator has adequately considered the
factors: partnership components listed above, and whether
they have a strong track record of effectively pursuing
their own capacities and need for complementary
and maintaining partnerships.
resources to support scaling;
At the same time, the funder needs to carry out their
potential partners and their resources, strategic align-
own ‘Partnership Scan’ to consider:
ment and readiness to commit to a joint vision and
scaling pathway; o the funder’s own resources and capacity, including
those of any dedicated innovation labs/platforms
their capacity for different collaborative arrangements
and the mothership’s main operational units;
that may be appropriate (e.g. a formal contract or mem-
orandum of understanding); and o the resources, capacity, interests and potential com-
mitment of possible partners;
the likely benefits of the partnership versus the costs
of making the partnership work, in terms of potential o appropriate collaborative arrangements; and
compromises regarding vision and design of the path- o the benefits v. costs of engaging in more versus
way and the transaction costs involved in making the fewer partnerships.
partnership operational.

What Tools & Resources Can Help Me?

While partnerships are generally recog- explore the advantages and disadvantages of
nized to be a key factor of success in partnerships for scaling up. LEARN MORE
scaling up, there appear to be few tools or
For the Funder:
resources with comprehensive guidance
to help funders or innovators determine what kinds or Chapter 4 of the Brookings 2013 study on “Scaling
partnerships to develop, when and how. up Programs for the Rural Poor: IFAD’s experience,
lessons and prospects (Phase 2)” reviews IFAD’s
For the Innovator:
partnership arrangements for scaling up, both with
The 2015 Nesta report “Winning Together – A Guide domestic partners and with other funders.
to Successful Corporate-Startup Collaborations” LEARN MORE
looks at how partnerships between startups and
For an overview of partnership models:
large companies can, if correctly designed, create
sustainable win–win situations for both. LEARN MORE Chapter 1 of the Brookings 2013 book “Getting
to Scale: How to bring Development Solutions
The 2014 Nesta report “Making it Big: Strategies for
to Millions of Poor People” explores the growing
Social Innovations” explores different kinds of
importance of multi-stakeholder partnerships, with
“strategic partnering”, including joint ventures, merg-
new models of “hybrid” partnership between public,
ers and acquisitions. LEARN MORE
commercial and not-for-profit actors complementing
The 2009 WHO/ExpandNet report “Practical guid- traditional public and private models, as well as
ance for scaling up health service innovations” traditional public-private partnership models.
LEARN MORE

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 25

 Empirical Insights for Funders

Multi-stakeholder alliances are a critical Public agencies and private entrepreneurs (including
element of scaling up, and will typically social entrepreneurs) have different objectives,
involve a multiplicity of stakeholders at mindsets, modes of operating and constraints. So,
different levels (local, provincial, national, sustained collaboration among these different
international) and from different sectors (governmen- players is very often critical, but it raises two practical
tal, civil society, business, etc.). issues:

Funders and innovators should both explore and o Getting governmental agencies to take up
pursue potential partnerships early in the scaling innovations piloted in the private and NGO sector
process – at least from Stage 3 (‘Proof of Concept’), is a must for many social sector initiatives, but can
but ideally from the design and ideation process raise very difficult challenges. This was exempli-
itself – to ensure that partners understand and share fied by the case of a World Vision supported
the vision and a sense of ownership of the scaling education initiative which was successfully piloted
pathway. by an NGO in Kenya and taken over by the
government, but then failed because of opposi-
Partnerships typically require: an investment in
tion from teachers’ unions.
networking; a willingness to share information and,
where necessary, to compromise on objectives and o Successful collaboration is often difficult to
standards; and a culture of collaboration among sustain, especially given staff turnover and the
managers and staff. need to keep refreshing and justifying relation-
ships.
Partnerships can be expensive, and both funders and
innovators should carefully assess the cost and Internal partnerships can be just as difficult as
benefits, prioritizing partnerships according to which external partnerships, and need to carefully
will add the greatest net value. championed and nurtured by a funder’s top
management. LEARN MORE 53

G O O D P R AC T I C E G U I D E 6

Exploring Partnerships
for Scale
Explore which internal and external
partners to work with at
different stages

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 26

 GOOD PRACTICE GUIDE 7

Sequencing Different Kinds

of Support for Scaling
Plan for the most impactful sequencing of support
along the scaling pathway

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

“Sequencing of support” refers to the
All stages (1-6) of the IDIA scaling
timing and order in which actions are
architecture are relevant here.
taken by the innovator and implementer
along the pathway, and the timing and
order in which funders apply financial and non-financial
instruments in parallel.

Why Is This Good Practice?

Different instruments and forms of potential scaling pathways (see Good Practice Guide
support have different levels of impact and 3) and assessing scalability and sustainability (see
relevance at different stages of the scaling Good Practice Guide 4).
pathway. An effective sequencing of ac-
The transitions between stages and between funding
tions is therefore important to enhance the
cycles have to be carefully managed to avoid gaps
likelihood of scale and sustainability being achieved.
occuring in the management or implementation of the
Some steps related to scaling need to be enacted scaling pathway. This is also true for when a funder
early in the process (e.g. at the ‘Proof of Concept’ exits from providing support, which is a key time of vul-
stage, or even earlier), such as forming a vision of nerability for the sustainability and continued scaling
scale (see Good Practice Guide 2), considering of an innovation.

What Data / Information Do I Need?

For the Innovator: Develop, for each stage of the scaling pathway, clear
metrics of impact and progress in establishing fa-
Establish early on (when defining the
vorable influencing factors and addressing those that
development problem to be addressed)
represent barriers. These metrics will help establish
what scale of impact is feasible should the
whether the innovation is on track to achieve the de-
innovation be successful. This vision of scale can
sired impact, and provide the basis for adjusting the
then continue to be refined and adapted during the
model. It will also enable the testing of key assump-
scaling process.
tions about actions taken along the scaling pathway.
CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 27

 What Data / Information Do I Need? CONTINUED

Over the course of the scaling pathway, innovators For the Funder:
should consider when and how to:
Establish whether the innovator is approaching the
o sequence and/or combine horizontal and sequencing challenge in an effective manner (using
vertical scaling; the criteria immediately above), and assess the
changing needs of the innovator for non-financial
o move from grant financing to loan/equity funding
assistance over the scaling cycle.
sources to secure more sustainable commercial
financing; Avoid damaging gaps in financing or non-financing
between awards or projects, and consider when and
o go from organizational expansion to a
how to move from funding through a dedicated inno-
replication or collaborative pathway;
vation lab, platform or challenge fund to channeling
o bring in key public, private or not-for-profit support from the “mothership”.
partners.

What Tools & Resources Can Help Me?

General Guidance on support through seven steps. The flow chart is par-
Sequencing Support ticularly helpful since it analyzes the resource needs,
actions and goals appropriate for each step,
MSI (2016) has developed a sequential
categorized in six dimensions:
3-step/10-task planning and management
approach for scaling innovations. LEARN MORE o special skills requirements
o example activities
UNDP (2013) has developed an approach to map o risk levels and handling
the sequencing of horizontal and vertical scaling in o the financing required
its “Guidance Note: Scaling Up Development o the kinds of evidence gathered
Programmes”. LEARN MORE o the goal of each step
Seelos and Mair (2016) have developed a framework Sequencing support for Health innovations
that focuses on avoiding mistakes in the scaling
pathway sequence. LEARN MORE USAID’s ‘Pathways to Scale’ (2016) guide supporting
These mistakes include: health product innovation and scaling include a
detailed path of sequenced steps, which overlap
o Never getting started
with the six Scaling Stages of the IDIA scaling
o Stopping too early
architecture. Additional dimensions (such as
o Stopping too late
problem formulation, partnership opportunities,
o Innovating again too soon
policy context and bottleneck analysis) are also
o Pursuing too many bad ideas
considered throughout. LEARN MORE
o Scaling too little
WHO/ExpandNet (2010) have developed a
Sequencing support for social enterprises
9-step approach to sequencing the scaling up
and inclusive business
of innovations in the area of maternal and
Nesta’s innovation spiral and related innovation child health. LEARN MORE
flow chart (2013) provide guidance for sequencing

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 28

 Empirical Insights for Funders

A deliberate and systematic approach to terms of assuring the appropriate financing amounts
sequencing support along the scaling and instruments are applied at the different stages,
pathway is required; this doesn’t mean that and in terms of avoiding gaps in funding that might
one should follow a fixed blue print, but undermine sustainability and scalability.
rather that in “crossing the river by feeling the
The end of donor funding cycles is always a time of
stones” it helps to have a framework to test and
high vulnerability and deserves to be considered
refine along the way.
from the very beginning of the funding process.
The sequencing of appropriate financing is especially
critical for the success of the scaling pathway, in

G O O D P R AC T I C E G U I D E 7

Sequencing Different Kinds of

Support for Scaling
Plan for the most impactful sequencing of
support along the scaling pathway

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 29

 GOOD PRACTICE GUIDE 8

Measuring the Impact and

Progress of Scaling
Measure progress and impact of the scaling process,
and apply the learning

RELEVANT SCALING STAGE(S) GLOSSARY OF TERMS

A useful Glossary of key terms relating to
All stages (1-6) of the IDIA scaling
impact measurement can be found in the
architecture are relevant here. paper ‘Insights on Measuring the Impact
of Innovation’ (IDIA, 2017).

Why Is This Good Practice?

At all stages of the scaling process A well-designed monitoring and evaluation process
both funders and innovators need to will provide valuable lessons around what works and
know whether the innovation is having doesn’t work, as well as insights on what may have
the expected development impact, and to be changed in terms of the original design of the
whether there is progress towards establishing an innovation and/or scaling process.
effective scaling pathway.
The demonstration of impact helps establish
credibility, ownership, demand, and political backing.

What Data / Information Do I Need?

For the Innovator: For the Funder:
Development impact at any given stage Funders need to assess whether the innovators/
should be measured not only in absolute implementers have in place an effective monitoring
terms (e.g. total number of lives saved), and evaluation process meeting the above criteria.
but also in terms of the percentage of the scale goal
Funders will want to receive periodic reports on
defined by the vision (i.e., 25% of the scale goal as
impact and progress based on the data that the inno-
defined in the vision).
vator is collecting. Where there are multiple funding
Progress should be measured not only in terms of partners, the reporting requirement should be har-
impact, but also with regard to whether the innovator monized to minimize the burden on the innovator.
is creating the right conditions for a continued and
Funders should consider providing grant support for
sustainable scaling up process (i.e. following the
the funding of monitoring and evaluation activities
guidance in the Good Practice Guides 1-7)

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 30

 What Data / Information Do I Need? CONTINUED

by the innovator, as the time and effort required for in terms relative to the funders’ own vision of scale).
effective data collection can be costly.
Funders may also wish to measure the progress
Funders may want to aggregate the impact results they themselves are making in terms of any internal /
for their portfolio, to determine whether they are institutional changes they have made with a view to
making progress towards their own scale goals as an improving how they support innovations to scale.
organization (again, expressed in absolute terms and

What Tools & Resources Can Help Me?

Insights on Measuring the Impact of ExpandNet’s 2009 report on “Practical Guidance

Innovation has been produced under the in Scale Up of Health Service Innovation” provides
IDIA umbrella as a companion piece to insights on appropriate monitoring and evaluation
the scaling architecture that these Good techniques when scaling up health service innova-
Practice Guides support. It contains a summary of key tions. LEARN MORE
challenges funders face in measuring the impact of
MEASURE Evaluation/USAID (2015) provide a
innovation, and provides a simple yet comprehensive
framework for designing and applying an approach
architecture of ‘leading’ and ‘outcome’ indicators for
for monitoring and evaluating the success of a
measuring impact on beneficiaries, scale and sustain-
scale-up strategy, using a health-focused case study.
ability. It also includes a case study of an Impact
LEARN MORE
Projection methodology developed by Grand
Challenges Canada and Results for Development to In “Methods for evaluating delivery systems for
help funders predict the potential impact of different scaling-up malaria control intervention” (2010), The
innovations into the longer-term future. London School of Hygiene and Tropical Medicine
reviews different evaluation methods and proposes
Other helpful resources include:
a framework that “is adaptable to natural experi-
MSI’s scaling toolkit (2012) provides guidance for ments at scale, and can be applied using data from
monitoring and evaluating the scaling process as routine surveys such as the Demographic and Health
well as impact at scale. LEARN MORE Surveys, modified by the addition of one to two
questions for each intervention.” LEARN MORE

Empirical Insights for Funders

M&E is a critical function of been achieved (to determine the overall success
innovation, and is important for both of the innovation or platform). More closely aligning
measuring the impact of individual approaches to M&E among and within agencies will
innovations as well as the platform facilitate learning across innovation platforms and
itself (by aggregating these). Impact can and enable comparisons of return on investment.
should be measured early in the scaling process
(to predict success) and after actual outcomes have
CONTINUED

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 31

 Empirical Insights for Funders CONTINUED

M&E frameworks should be as simple as data around lives saved and improved will need to
possible. Many of those currently in operation are be both measured and modeled. In addition, the
overly cluttered with indicators that in some instanc- funder will also need to be cognizant when measur-
es actually obscured the impact of innovations. ing indicators such as ‘policy / systems change’ that
However, neither quantitative or qualitative frame- these will often be the result of a multiple innova-
works alone will capture the success of innovation; tions working together, rather a single innovation
multi-method combinations of quantitative and alone.
qualitative data are needed.
In addition to impact on beneficiaries,
The core of all innovation M&E is the ultimate other core domains that need to be addressed
success of the innovations in terms of their in the M&E of innovation include scale and
impact on beneficiaries, at the heart of which is a sustainability. The latter two in particular are
measure of lives saved and improved. However, deeply intertwined and will in practice share many
because the impact of innovation is in the future, overlapping indicators.

G O O D P R AC T I C E G U I D E 8

Measuring the Impact

and Progress of Scaling
Measure progress and impact of the
scaling process, and apply the learning

SCA L I N G I N N OVAT IO N : G O O D P R AC T IC E G UIDE S FO R FUNDE RS 32

 The
International GOOD PRACTICE GUIDES FOR FUNDERS

Scaling Innovation
Development
Innovation
Alliance (IDIA)