What Went Wrong With Grants Part 2

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What Went Wrong? Part 2: Inequity

There are a variety of discrimination and bias issues in the public sector’s innovation funding ecosystem. Some of these issues are the product of decades of systemic bias including racism, while others have developed over time through bureaucratic bloat and other shortcomings.

No matter the provenence, the effect is the same: innovation is stagnating as more and more grants are delivered to older, white men while diverse groups, younger scientists, and riskier, high-impact ideas are shut out from the process.

A glaring example of this issue can be found by looking at the research project grants from the National Institute of Health. The Research Project Grant (R01) provides support for health-related research and development.

It’s awarded to a specified project to be performed by the awarded investigator or researcher. In 2018, nearly 94% of R01 grants were awarded to White/Asian applicants, while 2% were awarded to Black/African American applicants and 4% to Hispanic/LatinX applicants.

Diversity has an important and often overlooked psychological role in innovation. In an article published for Scientific American, Professor Katherine Phillips described the following:

“Members of a homogeneous group rest somewhat assured that they will agree with one another; that they will understand one another's perspectives and beliefs; that they will be able to easily come to a consensus.

But when members of a group notice that they are socially different from one another, they change their expectations. They anticipate differences of opinion and perspective. They assume they will need to work harder to come to a consensus.

This logic helps to explain both the upside and the downside of social diversity: people work harder in diverse environments both cognitively and socially. They might not like it, but the hard work can lead to better outcomes.”

Currently, public innovation funding does not curate or encourage diverse teams to come to the table. If this ecosystem is going to thrive, if we are going to address the challenges that face our world, we need programs that encourage and invite diverse teams of innovators.