What sensemaking can teach us about development funding

The traditional approach to development funding has focused on imposing solutions from the global north onto the global south. This one-size-fits-all mentality not only fails to address the needs of the local community but also perpetuates disempowerment. We believe that development should always originate from the community itself, and this can only happen when local communities are trusted, included, and empowered to take charge of their own future.

A significant flaw in the conventional donor approach lies in the imposition of predefined criteria, often detached from reality on the ground. This necessity for funded projects to navigate excessive levels of bureaucracy creates a transactional relationship between donor and grantee, which stifles genuine collaboration.

In developing the SILP Experimentation Fund, our aim was to shift this paradigm by giving agency to grantees. Instead of imposing criteria, we engage in sessions where the community defines its own success, fostering a more collaborative and less hierarchical environment. One of the ways we arrive at this point is through the process of sensemaking.  

Sensemaking is a crucial tool in addressing complex challenges. Unlike mechanistic approaches that view challenges as ‘complicated’ and as a result, seek predefined solutions – sensemaking acknowledges the constantly evolving context of ‘complex’ environments. Pivotal to this approach is the Cynefin Framework, developed by Dave Snowden.

At EIT Climate-KIC, sensemaking refers to a structured collective process of observation, reflection, analysis, synthesis, pattern finding and insight generation in order to produce intelligence that enables decision-making. 

collective = diverse perspective interpreting data/information
structured process  = we design and facilitate
intelligence = represent the outcome that has emerged

We believe that coming together collectively for sensemaking sessions allows for better collective decision-making towards common goals. It recognises that there may not be a perfect solution, but through adaptation and collaboration, progress can be made.

The success of sensemaking lies in convening people in different ways. We asked our cohort about their experiences of being part of the programme and this is what they shared:

“Today, I highlight the following elements: The humanity of the process – both from Climate-KIC and within this team, the connections between people are very human. They are peer interactions, non-hierarchical, open, and empathetic.”
– Power Compost

“Because trust is growing, this leads to the exchange of services between them, which at the start of the experiment was non-existent.”
– Development Alternatives

“By actively involving citizens, promoting sustainable development, and fostering collaborative governance, it becomes possible to create urban environments that meet the aspirations of both the state and its citizens.”
– NALED

“‘Thinking globally with local experiments’ is the best way we can describe us as a cohort, with our different experiments contributing to a similar goal of shifting systems.”
– WORIA

While our approach has shown promise, questions persist about the future of a project once funding stops. Alejandro Gil from Power Compost was candid in sharing his concerns about the project’s future in a post-funding landscape:

“I feel a mix of emotions regarding the project’s status and initiatives once it concludes. What will happen without our intervention? What about the trust built with the community’s voices? Will we be an organisation that engages the community in a specific issue and then leaves because it lacks resources?”
– Power Compost

We recognise the limitations of the cycle-to-cycle funding model and are currently exploring ways to address these challenges. One such initiative is the Systemic Climate Action Collaborative. As a founding member, EIT Climate-KIC aims to tackle fragmentation and competition in funding by convening foundations, philanthropists, corporations, public institutions, and other donors. This collaborative effort seeks to commit significant funding for climate action, harnessing the capabilities of diverse partners to achieve integrated and efficient action. The goal is to facilitate continuous learning and collaboration on a global scale. By embracing this transformative approach, we can build a more sustainable and inclusive model for development funding that truly empowers local communities to shape their own futures.

The Systems Innovation Learning Partnership (SILP) is a collaboration between EIT Climate-KIC and the Swedish International Development Cooperation Agency (Sida), which aims to bring together organisations and people to collaborate, experiment, learn and share ideas that help to support innovation and transformation across whole systems.