DAI Global

Shaping a more Livable World

Author

Lois Gomez

Lois Gomez

School

Seattle Pacific University

Seattle Pacific University

Professor

Randal Franz

Randal Franz

Global Goals

6. Clean Water and Sanitation 7. Affordable and Clean Energy 8. Decent Work and Economic Growth 11. Sustainable Cities and Communities 17. Partnerships for the Goals Flourish Prize Finalist - For Business as an Agent of World Benefit - Weatherhead School of Management

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Summary

The bulk of DAI's work is in conflict mitigation, economic development, and sustainable solutions. The many challenges that certain developing nations have are a strategy-producing environment that DAI uses to work with those nations, governments, and businesses. They have a good strategy for maintaining that work, complimenting it with this push, and mobilizing commercial finance for broader development. DAI has provided resources and integrated solutions regarding climate, DAI capital, digital acceleration, economic growth, education, the environment, fragile states, global health, governance, and sustainable businesses.

It isn't easy to group DAI under a specific UN SDG as they target a wide range, but their main SDG strong points are creating sustainable cities and communities (#11), and using decent work and economic growth goals (#8). Through many of the programs and projects they have completed over the past 50 years, a general focus is sustainable cities and communities. Knowing that the work they do is long-lasting is the very reason every employee does what they do.




Innovation

DIA Global was founded in 1970 by three people who met at the Harvard School of Government. Their vision was to create a company that would be able to do international development to raise the standard of living in developing countries, and the standard of health, governments, and public services. DAI stands for Development Alternatives Inc., short for incorporated. The alternative standing in DAI was an innovative way of doing things in tune with the communities and local people. The broad mission of the company is “shaping a more livable world,” said Steven O'Conner, vice president of global and internal communications. The phrase is carried among all their platforms and people within the DAI community.

DAI has grown exponentially since 1970. The innovation of DAI is a combination of new products, business models, services, and technology. All those things combine in various degrees, and DAI's most current innovation is a new kind of DAI: DAI capital. For example, DAI is taking USA donor money to invest and apply it to Kenya's government and water utilities to improve their conditions. DAI capital is trying to work with a larger pool of resources like private commercial financing where developing businesses would buy their services to get loan money to help them expand. O'Conner stated that there is a funding gap in order to obtain all these UN sustainability goals and that DAI capital is being developed in order to help tackle more of the UN goals. DAI capital is designed to connect companies in emerging markets with sources of capital to help expand in ESG (Environmental, Social and Corporate Governance)-friendly ways. The key is to drive economic development through these companies and their expansion.

DAI focuses on that domino effect when it comes to business development and the increase of jobs, production, and taxation. Government is another line of work done by DAI to support public financial management, good revenue-enhancing procedures, and efficient taxing. In regards to the Kenya Integrated Water, Sanitation, and Hygiene (KIWASH) program, they managed to work with government officials to pay the workers their wages on time. This then influenced more people to work and contribute to that water production. Socially beneficial services are a virtuous cycle they want to play into by connecting these businesses with capital growth opportunities. DAI capital is the innovation focus and where the company wants to focus its development for the future.



Shaping a more Livable World

Inspiration

O'Conner said "people join DAI because they are motivated by the development mission." He was inspired by the innovation DAI carries that has a lasting impact on the world in which he interacts. He added that “we attract people from all over the world,” since it currently has a dozen corporate locations and more than 100 project locations outside the United States. The inspiration is to use the expertise every employee has to assist developing nations and their emerging markets, so each individual can build their own abilities to sustain prosperity and environmentally safe practices in their own countries. The goal is for people to work together to build connections.

Overall impact

DAI projects are implemented all over the world. A long-term engagement that had lasting effects was a bank in Mongolia that was crucial to the social stability of the community. In essence, DAI took this bank that was failing in the 1990s and provided technical assistance and managerial oversight combined with a little bit of funding from international funders. By working with its management, they were able to keep its branches open, providing sustainable financial support for the community. It is a thriving institution that works with big and small borrowers, small businesses, and is highly regarded as a shining light in Mongolia. O'Conner added that he is “very proud of that particular work” as it was a project in which he was involved.

Another project created was in 2019, working with the UK government and Mexico to create clean energy and job opportunities for women, by using the already established relationships. They then worked with Mexico's plant officials to create programs to introduce women to solar panel information as well as English classes to provide them with economic opportunities. The transition to cleaner energy using solar power reduces the carbon footprint as well as providing jobs for men and women equally.

The donors tend to lay out the projects for DAI. They give a blueprint and they fund that work. DAI then implements that work, with partners and team members. Projects usually take 3-5 years and the DAI team moves on as these projects are all sustainable and long-lasting. DAI set up systems and support for organizations to be sustainable in their own right in their sectors. Profit is then received by being paid a portion of money from the donors for the services and a certain return from the systems they help create. It is like an investment.


Business benefit

The innovation DAI carries is key to driving economic development through these companies in developing nations and their expansion. DAI focuses on that domino effect when it comes to business development, and the increase of jobs, production, and taxation. Government is another line of work done by DAI to support public financial management, good revenue-enhancing procedures, and efficient taxing. Socially beneficial services are a virtuous cycle they want to play into by connecting these businesses with capital growth opportunities. DAI capital is the innovation focus and where the company wants to develop for the future.

Social and environmental benefit

DAI innovation focuses on finding environmentally-friendly solutions for nations and SDG-related solutions that are sustainable in the long run for economic prosperity and living conditions. Their webpage lists their involvement with "Mexico's Clean Energy Program" which ensured that women are part of the transition. This not only tackles the UN goal of gender and social equality but affordable and clean energy. It is a gender and social inclusion to increase the jobs for women and provide a smooth transition to clean energy. The Mexico Clean Energy Program was a partnership between the U.K. government and the Mexican energy sector to create a network for women and equip them with opportunities deemed critical by the industry. Every project DAI has done involves a UN SDG goal. DAI is true to its mission as it focuses on the forces that govern the systems, the forces for or against sustainability when bringing solutions to the table. The private sector approaches the problem to deliver a lasting solution when it comes to their DAI capital. DAI is not about imposing its mission on developing countries. What makes DAI what it is, is the desire to work with organizations and governments.


Interview

Steven O'Conner, Vice President

Business information

DAI Global

DAI Global

Washington, US
Business Website: https://www.dai.com/
Year Founded: 1970
Number of Employees: 201 to 500

DAI Global is a for-profit, employee-owned organization that works on the front lines of global development. DAI works with a wide range of clients, including national and local governments, to create sustainable economic or social systems to help improve government, markets, and instability in nations. Since 1970, they have helped in the development of more than 150 countries. In these countries, DAI has provided resources and integrated solutions regarding climate, DAI capital, digital acceleration, economic growth, education, the environment, fragile states, global health, governance, and sustainable businesses.