Download - Paul Polak's Out of Poverty Talk
OUT OF POVERTY Paul Polak
Roughly 200 Roughly 200 million people in million people in
the US have the US have hemorrhoidshemorrhoids
Men talk 16% Men talk 16% more on more on
cellphones than cellphones than women dowomen do
Men talk 16% Men talk 16% more on more on
cellphones than cellphones than women dowomen do
We know just We know just about everything about everything there is to know there is to know about affluent about affluent
customers customers
But we know But we know just about just about
nothing about nothing about 90% of the 90% of the
customers in the customers in the worldworld
800 million of the world’s 800 million of the world’s
1.2 billion dollar-a-day people1.2 billion dollar-a-day people
earn their living from tiny earn their living from tiny farms!farms!
Small Farms Are Very Big!
Of the word’s 525 million farms, 85% are less than 5 acres
Average farm size in Africa is 4 acres
Small Farmer Prosperity Small Farmer Prosperity is the Key to Ending is the Key to Ending
Rural PovertyRural Poverty
With Business as Usual…With Business as Usual…
The Millennium Goals on The Millennium Goals on
hunger and poverty will hunger and poverty will
nevernever be reached! be reached!
Millennium Development Millennium Development Goal Progress in Sub Goal Progress in Sub
Saharan Africa Saharan Africa 44.60% 44.00%
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
50.00%
Percentage of people in Sub-SaharanAfrica living on $1 a day, 1990
Percentage of people in Sub-SaharanAfrica living on $1 a day, 2002
The Three Great The Three Great Poverty Poverty
Eradication MythsEradication Myths
1.1. We can donate people out of We can donate people out of povertypoverty
2. We can end poverty through 2. We can end poverty through national economic growth national economic growth
3. Multinationals as they are 3. Multinationals as they are now will end povertynow will end poverty
Treadle PumpsTreadle Pumps
Example:
Treadle Pump Private Treadle Pump Private Sector Supply Chain in Sector Supply Chain in
BangladeshBangladesh
75 private sector manufacturers75 private sector manufacturers
3,000 village dealers3,000 village dealers
3-4,000 village technicians3-4,000 village technicians
A Village Dealer in A Village Dealer in BangladeshBangladesh
Village Marketing in Village Marketing in BangladeshBangladesh
Treadle Pump ImpactsTreadle Pump Impacts
2.1 million2.1 million
poor families in Asia and Africa investedpoor families in Asia and Africa invested
$50 million+$50 million+ in treadle pumps, increasing their net in treadle pumps, increasing their net
income by income by
$210 million/yr $210 million/yr forever!forever!
IDEIDE
550 staff in nine developing 550 staff in nine developing countriescountries
17 million dollar a day people 17 million dollar a day people moved out of poverty over 25 yearsmoved out of poverty over 25 years
mission- 150 million more move out mission- 150 million more move out of poverty 2025of poverty 2025
IDE’s Impact Over IDE’s Impact Over 25 Years25 Years
$78
$139
$288
0
50
100
150
200
250
300
350
Total IDE Costs 3 yr Investment by Dollar-a-Day
farmersIncrease in Net Annual Income for
Dollar-a-Day Farmers
US
Do
llars
(m
illio
ns)
12 STEPS FOR 12 STEPS FOR PRACTICAL PROBLEM PRACTICAL PROBLEM
SOLVINGSOLVING1. Go to where the action is1. Go to where the action is2. Talk to the people who have the 2. Talk to the people who have the
problem- listen to what they problem- listen to what they have to sayhave to say
3. Learn everything there is to 3. Learn everything there is to know about the specific know about the specific contextcontext
12 Practical Steps 12 Practical Steps (Cont’d)(Cont’d)
4. Think and act big4. Think and act big
5. Think like a child5. Think like a child
6. See and do the obvious6. See and do the obvious
Practical Steps Practical Steps (Cont’d)(Cont’d)
7. If somebody already invented it you don’t have to
8. Design to critical price targets 9. Design for measurable improvement
in the lives of more than a million people
Practical Steps (Cont’d)Practical Steps (Cont’d)
10. Work to practical three year plans10. Work to practical three year plans
11. Keep learning from your 11. Keep learning from your customerscustomers
12. Stay positive: don’t be distracted 12. Stay positive: don’t be distracted by what other people thinkby what other people think
D-RevD-Rev
A non-profit fomenting A non-profit fomenting a design revolution a design revolution to reach the Other to reach the Other
90%90%
IDE | Myanmar
David Klaus, Intern
Windhorse Windhorse InternationalInternational
A for-profit company fomenting a A for-profit company fomenting a revolution in how big business revolution in how big business designs, prices and markets its designs, prices and markets its
productsproducts
By earning remarkable profits By earning remarkable profits by serving the world’s poorest by serving the world’s poorest
customerscustomers
All it TakesAll it Takes
is One Person With a is One Person With a DreamDream