Thanx for a thought provoking piece!
My observations in scaling up for non profit social enterpreneurship:
1. Scaling up adds on tasks and functions which are not creative or even productive. They are supervisory and managerial - collecting information, MIS, physical and financial verifications, centrally conducted monitoring and evaluation. The sense of single brand ownership and credit seeking adds to these tasks.
2. Community wants to simplify problems and their solutions. Scaling up adds to problems which add on the complexity. Eg In India, an anganwadi (early child care centre) has to maintian 14 registers! The problem she has to solve is prevent malnutrition and child deaths. Both of these are complex problems. Her role otherwise is simple - provide supplementary food and simple medicines to sick children. But, scaling up has adds on burden and makes the problem even more complex.
3. Sharing costs while scaling up is another hazard. Supervisory, managerial and monitoring tasks adds on to cost. In order to reduce the cost, the ultimate implementer, producers, service provider donot always gain the advantage of scaling up.
4. Scaling up ceases (or even 'seizes'!) creativity, innovation and flexibility. Again, anganwadi is a classic example. It introduced standard recipe. It took away the flexibility of recipes depending on the local tastes, recipes and the providers cullinary art.
Scaling up if it has to avoid all these hazards and to remain simple requires a 'nano'solution of complex problems. This means that all the tasks have to be decentralized. Flexibility, creativity should be inbuilt in the scaling up phenomena. Multibrand approach must be allowed. (The cinema industry allows it - the producer, distributer, sound, animation, music, financer's brands are shown.) Except the censor boards, even its monitoring is left to community and the cinematographic institutes and experts.
Scaling up should be of the processes and not of products. A scaffold should be laid out. Let it be filled in by those who are producing it!