Developing the Vulnerability to Learn Is Empowering - Robert Steven Kaplan

Robert Steven Kaplan Demonstrates the Power of Humility in Driving Impact

Robert Steven Kaplan is the Draper Richards Kaplan Foundation (DRK) co-chair, a leading player in the accelerating venture philanthropy movement. He recently concluded his tenure as president and CEO of the Federal Reserve Bank of Dallas, giving him the bandwidth to visit with me while considering options for his next role.

Rob, who spent decades at Goldman Sachs, focuses much of his energy on income inequality.

“A number of the thorny problems that we face in the United States and around the world have to do with wealth and income inequality,” he says. “I think we’re increasingly realizing in the United States and around the world that the extent that we have more inclusive prosperity, it’s better for society, it’s better for everyone.”

The public sector can’t fix this alone. “Governments play a very critical role, but there are limits to what governments can do,” he says. “Sometimes, you need a social entrepreneur to get in and provide a disruptive solution that is going to address some of these issues.”

With his background in business, he sees opportunity in disruption. For two decades, DRK has been funding nonprofit innovators.

“At Draper Richards Kaplan, DRK, we probably see over 1000 proposals a year,” he says. “I’m always amazed by the ideas that social entrepreneurs have to provide a disruptive solution that we just wouldn’t have thought of.”

DRK backs those social entrepreneurs to help them scale their impact. The model hasn’t changed much over the years. The Foundation provides $100,000 for three years and appoints one of its managing directors to serve on the recipient’s board of directors.

“We act like an owner for the three years that we’re on the board,” Rob says. “The things we bore in on are helping the leader, the social entrepreneur or social entrepreneurs in the venture, build the team, refine the model, develop their own leadership skills.”

“The hardest thing to do is build out the board and help convince the social entrepreneur that while they’ve done this so far themselves, they need to build a team,” he says. “But part of building a team is to have a board of directors.”

Some nonprofits backed by the Foundation resist. “Some social entrepreneurs may see a board of directors as a bit of a burden,” Rob says. “‘You know, I don’t have time for this bureaucracy,’ and ‘Gee, we’ve done so well by ourselves.’ So, our job is to help them create a board that can coach them, coach their team, maybe see things they don’t see and address their blind spots.”

Boards can be helpful in another critical area. “You can leverage your board to help raise money. So you’re not doing it all by yourself,” he says.

Another area where DRK focuses attention is on ensuring that impact is measured as it scales.

“Metrics and measurement are not the be-all-end-all on the one hand. On the other hand, anecdotes are also not enough,” Rob says.

Rob applies his personal strength—I’ll call it his superpower—learning in every aspect of his work.