This study examines how philanthropic foundations develop innovative approaches to grant-making by collaborating with social entrepreneurs who are embedded in marginalized communities. Traditionally, foundations award grants that meet predetermined strategic objectives that support their theories of change. However, this study explores an alternative approach known as participatory grant-making, in which philanthropic foundations cede control over strategy and finance by adopting an innovative approach that is based more on trust and collaboration. By analyzing in-depth interviews from 16 executives, directors, and social entrepreneurs in the United States, we demonstrate how participatory grant-making constitutes a social innovation that inverts traditional power dynamics in the philanthropic field by enhancing legitimacy, and thereby facilitating a more interconnected, inclusive, and equitable approach to solving social problems. This article demonstrates how the implementation of participatory grant-making programs can help to counter the increasing criticisms levied at traditional approaches to grant-making.
The use of the word “social” in the context of information technology goes back to the very beginnings of cybernetics. It later pops up in the 1980s context of “groupware.” The recent materialist school of Friedrich Kittler and others dismissed the use of the word “social” as irrelevant fluff – what computers do is calculate, they do not interfere in human relations. Holistic hippies, on the other hand, have ignored this cynical machine knowledge and have advanced a positive, humanistic view that emphasizes computers as tools for personal liberation. This individualistic emphasis on interface design, usability, and so on was initially matched with an interest in the community aspect of computer networking. Before the “dot-com” venture capitalist takeover of the field in the second half of the 1990s, progressive computing was primarily seen as a tool for collaboration among people.
