The Power of Creative Tension: How Friction Feeds Innovation Ecosystem Growth


"The most interesting things happen at the boundaries between order and chaos. That's where creativity lives, where growth happens, where evolution takes place."
— Margaret Wheatley

Welcome to The Ecosystem Builder's Edge

After more than 15 years in the trenches of ecosystem building, I created The Ecosystem Builder's Edge to share what actually works. No theory and no fluff. Just field-tested strategies and actionable insights to help ecosystem builders like you drive real transformation. Each edition brings you tools from the field that you can implement today. In this edition, we're exploring how creative tension fuels innovation.

Tension Accelerates Transformation

We often treat tension like a problem to be solved. In innovation ecosystems, tension is an essential ingredient. The most transformative breakthroughs emerge precisely from the friction between competing ideas, priorities, and possibilities. But only if you are brave enough to live in the discomfort of this tension.

The Catalytic Power of Both/And

The greatest innovations happen in the gap between what is and what could be. This idea isn't completely new, you may have heard the "Middle Way", the "Third Way" or the turn of phrase "The Obstacle is The Way". This space is uncomfortable, filled with apparent contradictions that seem impossible to reconcile. The most significant innovations emerge in the gap between what is and what could be. This space crackles with energy from apparent contradictions:

  • Focus on regional strength or global connectivity?
  • Prioritize competition or collaboration?
  • Target economic growth or social impact?


Conventional wisdom says choose one. Experience knows to embrace both.

Why Tension Catalyzes Innovation

Think of tension like heat in a chemical reaction. Without it, nothing changes. With the right amount, transformation happens naturally. In ecosystem building, creative tension acts as a catalyst in several ways:

  1. It Forces Creative Solutions: When stakeholders face opposing constraints, magic happens. The pressure to satisfy multiple needs pushes them beyond conventional thinking into true innovation. It's in this uncomfortable space where breakthroughs live.
  2. It Sparks Real Collaboration: "You can't get to true collaboration without tension and conflict," notes ecosystem builder Rob Williams. When different perspectives collide, they create the energy needed for meaningful dialogue and "third way" solutions that transcend either/or thinking.
  3. It Builds Adaptive Systems: Ecosystems that harness tension don't just survive—they thrive. By learning to work with opposing forces rather than against them, they develop the adaptability needed for long-term success.

The power lies not in choosing sides, but in building bridges. As paradox researchers Smith and Lewis explored in their book Both/And Thinking: Embracing Creative Tensions to Solve Your Toughest Problems, the most innovative solutions emerge when we embrace "both/and" thinking in an "either/or" world.

Ask yourself:

  • What tensions are you avoiding that could fuel innovation?
  • Where could unlikely connections create breakthrough solutions?
  • How might your biggest constraint become your greatest catalyst?

Your next breakthrough isn't hiding from tension. It's waiting to be unleashed by it.
Don't choose sides, build bridges.

Navigating Tension in Action

Both/and thinking transforms how we build and scale ecosystems when we put in practice. Instead of getting trapped by false choices, successful ecosystem builders craft solutions that transcend traditional trade-offs. Here's how this looks in action across three critical dimensions of ecosystem building—strategy, structure, and resources:

Strategy

  • Instead of choosing between short-term wins and long-term goals, design initiatives that serve both
  • Rather than deciding between centralized or distributed leadership, create hybrid models that leverage both approaches
  • Instead of focusing on either local or global impact, build frameworks that connect regional strengths to global opportunities

Structure

  • Combine structured processes with flexible adaptation
  • Balance autonomous innovation with collaborative frameworks
  • Integrate top-down vision with bottom-up experimentation

Resources

  • Invest in both immediate needs and future capabilities
  • Support both established players and emerging innovators
  • Allocate resources to both core strengths and experimental initiatives

Highlighted Events

The Ecosystem Building Leadership Network (EBLN) curates a list of upcoming events for ecosystem builders. Add an event you are attending here.

Funding Opportunities

Here are three impactful funding opportunities to explore especially if your work relates to resilience, energy or conservation:

  • MBDA Rural Business Center (Letter of Intent Due: Feb 12, 2025)
    • Funding: $400,000
    • Focus: The Minority Business Development Agency (MBDA), a bureau of the U.S. Department of Commerce, through the Rural MBDA Business Center Program, will provide awards to support technical assistance, capacity building, and entrepreneurial development services to rural Minority Business Enterprises (RMBEs) at all stages, from ideation to maturity.
  • MBDA Women’s Entrepreneurship Program (Due: Mar 17, 2025)
    • Funding: $400,000
    • Focus: The MBDA Women’s Entrepreneurship Program (Program or WEP) is designed to improve the entrepreneurial outcomes of MBEs, including entrepreneurs at all stages of business development, from ideation to established businesses. While MBDA encourages applicants to include in their proposal services that address barriers traditionally experienced by women entrepreneurs, all MBEs are eligible to receive services under this Program. This notice requests applications from qualified organizations that have the expertise to provide a range of services including counseling, training, and technical assistance to launch, sustain, obtain capital for, and scale their ventures.
  • NBER Entrepreneurship Research Boot Camp (Due: Feb 15, 2025)

Until next time, keep building the future 🌟!


P.S. These are tools we trust that also help keep this newsletter free:

  • Airtable: The backbone of all our ecosystem mapping and business systems
  • Creator MBA: Where I learned how to build stronger communities online
  • C-Cube: Proven framework for having more meaningful ecosystem conversations

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