#8: System Change - Part 2: Imagine a world beyond time value of money and other flawed concepts!
#2: Sustainable Society Defined by the Laws of Nature
Today we dive into the details of the Global System Change Framework and explain how it helps to imagine a world beyond our flawed systems. It is at the core of what makes System Change Investing truly unique.
The GSC framework has three parts. Today we will focus on part 1:
Sustainable society defined by the laws of nature
Systemic changes needed to achieve it
Actions required to bring about these changes
It is not easy to look beyond current levels of thinking and systems. There are many examples in history proving the point. To pick one, many people in the Southern US 200 years ago could not imagine an economy or society without slavery. Those who suggested ending it often were seen as irrational, impractical, head-in-the-clouds do-gooders.
The exact same thing is happening today. As discussed throughout these posts, flawed economic and political systems compel companies to harm the environment and society. These unintentionally destructive, reductionistic systems inevitably will change through voluntary or involuntary means. Given rapidly growing problems, this change could occur in as few as five to ten years. Countless scientific studies back this statement from the perspective of climate change and biodiversity loss alone.
But just as the Southern US was deeply embedded in slavery, we are deeply embedded in current systems. It can seem difficult or impossible to imagine a society without limited liability, time value of money, externalities and other system flaws that compel businesses to destroy that which enables business existence (i.e. to kill themselves).
The GSC framework provides a way out of this dilemma. It helps us to look beyond current systems. The approach involves temporarily setting aside human ideas, philosophies, systems and society, and then considering the objective reality context. When this is clear, attention is returned to humanity. This whole system perspective (i.e. the whole Earth system and its sub-element human society) makes resolving major challenges and achieving sustainable society much easier.
The Laws of Nature
The GSC framework defines sustainable society using the laws of nature. These laws are the objective reality framework for humanity. They have controlled all life on Earth for 3.8 billion years, and will continue to do so, regardless of what humans think, say or do:
Human survival and prosperity will not be determined by implementing a particular philosophy or achieving the SDGs. It will be completely determined by the extent to which we abide by the laws of nature.
Nature’s laws, systems and results are observable, logical, consistent and increasingly proven by science. Natural laws such as gravity show what absolutely will occur on Earth. This is essential. We must clearly see the whole system goal (i.e. sustainable society—humans abiding by the laws of nature and evolving within this context), and then move to it as quickly as possible. We almost certainly do not have time for incremental approaches or reductionistic philosophies. Rather, we need to rapidly reintegrate the way we run our economies and societies with how the planet actually works. We must remember that we are nature.
Natural laws and operating principles are objective requirements for living system success at all levels. Violation of these laws only can exist for relatively short periods. Nature restores balance by compelling compliance with its laws. When these qualities are absent, systems change or die.
Taken together, the laws of nature provide a whole-system vision that describes the environmental, social and governance characteristics of sustainable society. Observable laws of nature include seeking balance not growth, producing no waste, living on renewable resources, equitable resource distribution, widespread cooperation (with limited competition at the individual level), equally valuing generations and species, enabling individuals to reach their fullest potential, and decentralizing production and governance (except in limited cases where broader or global governance is most effective). Implied operating principles of nature include democracy/self-government, equality, total cost accounting, no externalities and full employment.
The laws of nature define sustainable society at a high level. They show what nature demands and what humanity must achieve to survive and prosper. While these laws are absolute, there are many ways that humanity could abide by them (e.g., rural versus urban living).
The Limits of Nature
The limits of nature (i.e. planetary boundaries) are receiving growing attention in the sustainability field. It is useful to know how much pollution nature can sustainably absorb, for example. It also is helpful to understand corporate emissions in the context of environmental limits.
However, nature’s laws should take priority over its limits. Even if limits were known, the key question would be, how do we live within them? The answer is abiding by the laws of nature. These laws illuminate how to live within the limits of nature. We almost certainly will be within the limits when we abide by the laws.
Where do we go from here
An objective reality framework is essential for moving beyond debate into action. Vested interests often block system change progress by fomenting philosophical debate (e.g. capitalism versus socialism). Many people have differing opinions about human society, systems and how to change them. Objective reality transcends these perceptions by focusing on what is objectively true and essential for human survival and prosperity.
The gap between where we are now and what nature demands is so great that the transition can seem impossible or off-putting. Yet seeing, understanding and acting from a whole system perspective is essential for voluntarily evolving human systems before nature and reality do it for us involuntarily. The GSC framework is intended to make the complex comprehensible. This clarity strongly facilitates effective system change action.
The ultimate goal of the GSC framework is to align human systems and society with the laws of nature, and thereby help humanity to reach our fullest potential and prosper over the very long-term. Achieving this alignment and transformation requires translating the framework effectively for business, being mindful of current system and market constraints. The important thing is to just get started!
Next week we will discuss the second part of the GSC framework – identifying the systemic changes needed to get from current to sustainable society.