The Rise of PhilanthroSourcing (Part 1 of 3)
For the next three days, PhilanthroMedia is proud to present an article (in three parts) that seeks to define a new trend that we see growing in the culture of web communication. Today, an introduction to the term PhilanthroSourcing.
Part One
Corporations that find themselves in need of fresh ideas, products and content need no longer depend on what can be developed in-house. Fueled by Web 2.0, the world and seemingly all of its inhabitants have become pearl-producing oysters from which they can spin profit.
Jeff Howe was among the first to identify this phenomenon and coin the term now used to describe it in his Wired Magazine article, The Rise of Crowdsourcing in June, 2006. (His new book, Crowdsourcing: Why the Power of the Crowd Is Driving the Future of Business, has just been released.)
According to Howe, “Hobbyists, part-timers and dabblers suddenly have a market for their efforts,” says Howe, “as smart companies in industries as disparate as pharmaceuticals and television discover ways to tap the latent talent of the crowd. The labor isn’t always free, but it costs a lot less than paying traditional employees. It’s not outsourcing; it’s crowdsourcing.”
From the very beginning, philanthropic entities such as the Rockefeller Foundation, the Case Foundation and Ashoka, began exploring ways crowdsourcing could be used to harness breakthrough ideas for social change.
For the past year, PhilanthroMedia has been tracking this trend we call: philanthrosourcing. It includes efforts to identify high-impact solutions to well-defined social challenges. By definition, these are challenges that resisted resolution through more traditional philanthropic strategy, or for which civic engagement is seen as an essential component of the solution. This trend’s most disruptive aspect is likely to the belief that winning solutions should garner philanthropic dollars for their execution regardless of whether they come from individuals, nonprofits or for-profits.
Like crowdsourcing, it’s on the rise, with immense potential for the future of philanthropy.

Posted at 10:19 AM, Aug 27, 2008 in Philanthropic Strategy | Permalink | Comment