#10: System Change - Part 4: Actions required to bring about system change
Beyond conventional solutions
Post # 4 of this series concludes the deep dive into the Global System Change framework and focuses on required system change actions.
To recap:
The GSC framework is at the core of what makes System Change Investing unique.
It helps to guide the evolution of human systems and society into sustainable forms.
It provides the whole system thinking needed to identify major systemic flaws and helps to guide addressing and resolving them.
As previously discussed, the first part of the GSC framework describes sustainable society at a high level by using the laws of nature. The framework acknowledges that it’s the laws of nature that determine the survival and prosperity of humanity. They set the boundaries of human activity on the planet, not human worldviews or ideology.
The framework also helps to define possible pathways to evolve current systems into sustainable forms. In our discussion last week, we therefore looked at the second part of the framework, which describes the systemic changes needed. In our analysis, we identified two key overarching changes required: the need to introduce and/or restore or strengthen democracy, and the need to align human systems with how the planet actually works.
Today we focus on part 3 of the framework and provide a high-level summary of the actions needed to bring about these changes. Far more detailed information about necessary systemic changes and actions can be found in the GSC books.
System Change Barriers
Before we dive in, let’s take a look at the most important barriers currently hindering systemic change. Such barriers include:
Opposition from vested interests prioritizing profits over societal benefits.
Polarization of citizens fueled by deceptive media and manipulation.
Political fragmentation allowing vested interests to control and concentrate power.
Citizen fatigue from constant crises, dampening motivation for change.
Education systems reinforcing the status quo by neglecting critical thinking, ethics etc.
By framing the system change barriers this way, it becomes obvious that actions are required in all major areas, including government, the general public and corporate/financial.
Actions Required to Achieve System Change
Government
Government reform is an essential aspect of overall system change. Nearly all economic changes require government change. For example, only government can enforce the rule of law and hold companies fully responsible for harming the environment and society. Government also influences or controls many actions needed to abide by the laws of nature. For example, it strongly influences the degree of democracy, how societal success is measured and managed, the extent of centralization and decentralization, fair and equitable use of public wealth, and creation and management of the money supply.
Governments in the US and several other countries largely are controlled by vested interests, instead of all citizens through democratic processes. As a result, pressure to change often comes from outside government. Therefore, it’s of utmost importance that the corporate and financial sectors change course. They, along with the general public, must pressure government to make essential systemic changes, such as those summarized above.
General Public
Actions needed in the general public are the most important over the long-term. Citizens are the most powerful force in society. Collectively, we could quickly change any company or government, if we were effectively coordinating and acting upon our common interests. However, in the US and many other countries, citizens are increasingly misguided, divided and therefore disempowered.
Many actions are needed to change that. Key transformation areas include political parties, media and education.
Political Parties
Many great minds have expressed their reservations about political parties. Hannah Arendt, for example, said, “Political parties are not only the opposite of the state but the most dangerous and anti-state element within it”. The US Founders were also greatly concerned. George Washington called them the worst enemy of elected government in his Farewell Address. Complaints range far and wide. From lack of representation and favors to special interest groups, manipulation and propaganda to influence public opinion, all the way to partisan gridlock and corruption.
It is therefore essential that political parties and government structures are reformed so that they are truly democratic and well represent the different interests of society.
Examples of possible actions include increased civic education, the introduction of citizen councils to complement representative democracy, supporting the rise of independent candidates, strengthening political accountability, stronger enforcement of ethics rules and regulations, etc.
Media Reform
Media reform is essential for fostering voluntary system change. In order for democracy to thrive, it is imperative that citizens have access to accurate and honest information. Empowering citizens to effectively address challenges and safeguard their collective interests relies on ensuring that media coverage is both balanced and comprehensive. To achieve this, honest media regulations, like the US Fairness Doctrine (eliminated in 1987), and similar requirements for social media must be established.
Education
Education is also essential for uniting and empowering citizens. In the US and many other countries, young people are often forced to sit in sterile classrooms for about 35 hours per week, listening to adults talk to them. They are constantly ranked against each other and made to feel inadequate if they fail to achieve superior grades. They are forced to study subjects in which they often have no interest and quickly forget. Students are constantly monitored and controlled by authorities. They are taught to blindly believe dominant societal ideas. Young people frequently learn that fun occurs outside of school.
This coercive, compulsive education system does not promote critical thinking and teaches young people to obey authorities and endure boring jobs for the rest of their lives. It creates a compliant population that can be easily influenced by vested interests and will rarely question unjust economic and political systems. Education reflects society. When society is focused on maximizing economic growth and shareholder returns, it is no surprise that young people are trained to serve this end, even if it does not meet their needs.
True education reform is needed to empower citizens to protect their common interests. It's crucial for young people to gain a deep understanding of how our planet functions, what genuine sustainability entails, and how we can strive towards it. This involves fostering critical thinking skills that enable individuals to analyze ideas independently and make informed decisions. More generally, all humans should be empowered to follow their hearts in education, career and life.
Corporate/Financial
By far, the most important action needed in the corporate and financial sectors is to expand current responsible investing and corporate sustainability strategies to include system change. As discussed throughout these posts, current strategies do not resolve major challenges because they are focused on changing companies and addressing symptoms. But this only is about 20 percent of the sustainability and SDG solutions. SCI expands the focus of ESG and corporate sustainability to include system change and root causes.
With this we conclude our initial exploration of the GSC framework. It has become obvious that the framework departs from the conventional approach often associated with investment discussions. But that is precisely where its value lies. If we are serious about tackling our mounting challenges, it is essential to break out of habitual patterns and adopt new perspectives. The GSC framework helps to illuminate the big picture and provides the whole system thinking needed to develop and coordinate system change strategies at all levels of society.
Future posts will describe how GSC and SCI can be used to develop high-impact corporate, investment and societal system change strategies.