1. The document discusses different types of problems including critical problems, tame problems, and wicked problems. Wicked problems are systemic and stubborn issues with no clear solutions like unsustainable fishing or climate change. 2. When facing wicked problems, entrepreneurs are advised to understand the problem well, look for opportunities to bridge gaps or cut the problem down to size, and study what works in analogous systems. Building trust between stakeholders is also important. 3. The document provides examples of "H.E.R.O.'ic enterprises" that tackle wicked problems like pollution and disease through innovative solutions. Successful entrepreneurs are told that any institution was once just a handful of people deciding to start something.

1. Entrepreneurs and Wicked
Problems
Paul Hudnut
10.10.10 Denver
4.12.16

2. Q1: What Sucks?
Q2: What might I do about it?

3. Types of Problems
• Critical Problems
– Crisis: famine, disease outbreak, natural disaster
– Quick and decisive action needed
– Actions required are clear cut (food, medicine,
shelter)
• Tame Problems
– Has been solved before (maybe in another area)
– Standard operating procedures
– Can be complicated, but not complex
– Building a bridge
• Wicked Problems

4. Long Definition: Wicked Problems
1. No definitive formulation
2. No “stopping rule”
3. Solutions are good/bad;
not true/false (judgment
based)
4. No ultimate test for a
solution
5. Every attempt counts-
consequences can’t be
undone (unintended
consequences likely)
6. There is not an
exhaustive set of
potential solutions.
7. Each is unique.
8. Often a symptom of
another wicked problem.
9. Involve many
stakeholders with
different perspectives.
10.Problem solver is liable
for consequences.
Rittel & Weber 1973

5. Wicked Problems
• Short definition? Systemic & stubborn
• To violate rule 1, here are some examples:
– Unsustainable harvesting of ocean fish
– Over production of Greenhouse Gasses (GHG)
– Addiction to drugs and alcohol
• Once you have a wicked problem, what do you
do with it?

6. A) Go read a book about it
B) Start building your app
C) Talk about it with others
D) Take a nap
E) None of the above
F) All of the above

7. Entrepreneurial Approaches to Wicked
Problems
• Know the problem well, before thinking you know how
to address it
– Look for gaps you can bridge
– Cut it down to size
• Look for bright spots (positive deviance/ deviants)
– Study differences- in culture, incentives, power, behavior
– Figure out what can be replicated
• Think about analogous systems and networks that are
more resilient (or even anti-fragile)
– What can you borrow?
• Building trust between diverse stakeholders

8. H.E.R.O.’ic Enterprises
• Produce cleaner air, cleaner water, health, justice
• Find value in waste
• Prevent pollution, disease
• Restore/regenerate ecosystems and communities

9. “Most people look at a company like Apple and
think, how could I ever make such a thing?
Apple is an institution, and I'm just a person.
But every institution was at one point just a
handful of people in a room deciding to start
something. Institutions are made up, and made
up by people no different from you.”
Paul Graham, A Student’s Guide to Start Ups 2006

10. Q: Do you have an example, Paul?

11. Envirofit International
• “Making the world
fit for humanity.”
• Sophisticated
combustion
technology
• Inexpensive
(affordable)
products
• Mfrg and logistics
• Carbon and micro
finance

12. Yeah…but that’s just one example
1. Inviragen
2. Watsi
3. One Acre Fund
4. Mothers2Mothers
5. LivingGoods
6. Digital Divide Data
7. 350.org
8. Last Mile Health

13. “There are a thousand hacking at the
branches of evil to one who is striking
at the root.”
Henry David Thoreau

14. Caution
• What types of ownership are appropriate, and
how will this change over time?
– What does exit mean? Built in vs bolted on …
• Motivation matters- effective altruism requires
definition of effectiveness for whom…
– Beware of “helping” others
– Learning posture
– Building relationships
• A commercial transaction has mutuality that isn’t
there with a gift