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“What does the term ‘systemic change’ mean in reference to better business and social outcomes?” a colleague asked.
‘Systemic’ has become a buzz-word for ‘big change’, but the word means more than that. A system is a combination of parts that must be aligned if they are to deliver desired outcomes.
For example, my wife and I needed to make systemic change in our parenting:
Within minutes of getting out of bed, the first mini-crisis began. My middle son, Rayden was crying, unsure if he’d fallen, was pushed by his brother, or if the Legos had jumped up and bitten him.
My youngest, Reuben, then decided it was his turn, throwing a block across the room. SLAM! I still have no idea why that missile was launched.
And a healthy breakfast was eaten, but only after, “Eggs! I hate eggs! DISGUSTING” was recanted.
We eventually did get everything prepared for the day and I dropped the kids off at school. But as I was leaving the school parking lot, I called my wife. “Things are off kilter. What do we do?”
The problem wasn’t my wife’s and my approach to discipline, per se. There were multiple, interconnected issues. Stresses about school and leaving ‘mom’ bled into challenging social interactions with friends, which caused acting out at home. To deliver a different morning routine, we needed to change the type of playdates that are set up, how we talk about school during meals, and how we discipline– and all of that needs to be customized basis each son’s personality.
In a complex system, it’s frequently not that any one piece is ‘bad’. The problem is that several pieces need to be aligned for that end goal to be achieved (loving, successful happy sons who can help my wife and me out in old age, in this case.) That’s the result of a systemic perspective.
Today’s corporate social responsibility tackles many systemic issues. For example, a mentor asked about the goals for a project I’m working on to help deliver healthier food. I said, “Gary, can you imagine walking into a cafeteria, and the people there are confident they can earn more money by serving you healthier food?”
Gary replied, “How novel!” and laughed. For a Nobel Prize winning economist like Gary, the concept of greater financial reward for healthier food makes sense. Unfortunately, Gary also had to laugh, because society is currently far from the described situation. To deliver healthier food, we need business, researchers, community organizations, and government to align on a healthier vision for food that will succeed in the American culture. But, as we trend towards such a change in which healthier food is effectively rewarded with profit, the potential business rewards are large.
Your leadership towards a tomorrow in which investors and society both benefit is noble. But remember that in the age of digital technology, our world is more interconnected than ever. Don’t focus solely on individual elements– ensure that you and collaborators understand the relationships between issues, and simultaneously make the multiple adjustments needed to deliver meaningful change.
Have you ever failed to deliver an expected improvement because ‘unintended consequences’ took over? If so, you missed the systemic relationship between your actions. Share your story!
Please share your thoughts in the comments or by sending me an email: info@RodWallacePhD.Com.
Our society cannot just survive. For the sake of our children, it must thrive.
Rod
Dr. Rod Wallace is an economist, consultant, and speaker who helps businesses make more money by solving society’s problems. A Fulbright Fellow, he has led multi-organization billion-dollar initiatives worldwide and partnered with a Silicon Valley pioneer to explore the impact of Artificial Intelligence on society.
Rod speaks about how to integrate social responsibility into business to maximize profit and purpose. He highlights digital technology’s impact on society and the strategies and tools with which business can solve our big, systemic problems.
Contact Rod at info@RodWallacePhD.com.