Prompted by some work for a client I dived back into the literature on institutions this week. It was a fascinating journey and I have discovered some other the things I have known before and confirmed many of my suspicions with the project at hand. Indeed, the reading confirmed my view that most market systems development projects pay too little attention to the institutions in a country, given their massive importance in shaping economic development. There is too much focus on finding solutions to fixing problems in the short term.
What I found fascinating while reading is that the insights from the theories on institutions and on complex systems actually overlap really neatly, with maybe slightly different ways of approaching change but in a coherent and complementary way.
Can we as individuals change anything about climate change, given that we are so strongly entangled in a social-economic system that it sometimes feels we don’t have any free will whatsoever? I ask myself this question very often. Can organisations change things? I recently listened to a radio programme where environmental activists demanded that car manufacturers stop building large SUV cars. But why should they if the market (read: individuals) is still demanding these cars and it is legal for the manufacturers to produce them? How is change happening on the level of whole societies? Where are sustainability transitions happening? On the level of the individual, organisations or society? When reading up on sustainability transitions, there are discussions going on on all these different levels. There is the ‘macro’ level discussion that talks about transition dynamics on a societal level – this includes for example the move to non-fossil production of electricity or electric cars. Then, there is the level of discussion about changes on community and organisational level or on the level of social movements – where groups of people come together to change things or demand things, like the Fridays for the Future movement. Thirdly, there is the level of the individual with discussions on how to live a meaningful life in an era of transition or how to become a ’systems leader’. When I read through these different bodies of literature, I feel that the discussions on these different levels are often disconnected and sometimes seem unaware of each other. Sometimes they even seem inconsistent in their arguments or suggested strategies, even though they supposedly follow the same purpose to foster a transition towards a more sustainable society. What can we do to better link the different levels and to become more coherent in our strategy to change systems?
For most of my colleagues in market systems development, the dominant questions are about how to create more new jobs for young people, lift more poor people out of poverty or empower more women to start a business or improve their economic stance. These are all important and noble goals. Yet, I think we are loosing the focus on the bigger question: how do we transform our global society so we can live on this planed in a sustainable way – i.e. without overexploiting the resources and over-polluting the environment. In an earlier blog post that I wrote for the BEAM Exchange (which has now also been published on USAID’s MarketLinks), I accused the field of too strong a focus on fixing problems in the current systems instead of reimagining how we could transition these systems to a better way of organising our economies and societies. Personally, I am keen to shift the focus of my work more towards the question of how economic development actors can contribute to large-scale transitions towards a more sustainable, regenerative economy.
Market systems resilience connects systemic change and sustainability
Resilience was one of the central themes at the 2019 Market Systems Symposiumin Cape Town, where I recently had the pleasure to interview Kristin O’Planick, for a Systemic Insight Podcast (subscribe wherever you download podcasts). Kristin spoke about a new framework for assessing market systems resilience being designed by USAID.
One thing I have to admit is that I am not much into doing sports, never have been. I know that it is part of a healthy lifestyle to keep yourself fit, but I’m struggling to put this into practice. The one sport I have tried to keep up is running, because of its simplicity – all you need is a pair of running shoes. But also with that, I have been struggling. For a while I do it fairly regularly, then I drop it again for the one or the other reason. I often struggled to convince myself to go out running during the day, particularly if running competed with reading a book or writing a blog post! So it has all been quite frustrating.
In personal development and self-improvement, using an approach that is based on habits seems more promising for most people than an approach that is based on goals. Just think about the many New Year’s resolutions that were never achieved. I tried to put this advice into practice and it seems to work. By making it a habit, rather than by setting a goal of running a half-marathon in six months time, I am now running relatively regularly, which is good for my health. But would this also help us when we approach systems change? Can we think of certain institutionalised behaviours in systems as good or bad habits? This thought I had while running this morning seems worth exploring.
In one of my recent articles I asked the question ‘Should we fix wrong behaviour?’ The article has had great resonance with the community. In particular, it sparked an inspiring exchange among colleagues at ACDI/VOCA, which they shared on their own blog. They gave me permission to repost the article here but given its length I will just link to it – do read it if you have the time. Below, I have drawn out a couple of quotes that I found particularly interesting and insightful and I am also adding some follow up thoughts from my side at the end.
Two years ago, Zenebe Uraguchi of Helvetas had a conversation with Rubaiyath Sarwar of Innovision Consulting on how fixation on chasing targets leads programmes in development cooperation to miss out on contributing to long-term and large-scale changes. In March 2019, Zenebe met Marcus Jenal in Moldova. Marcus thinks a lot about how complexity thinking can improve development.
This blog is a summary of their dialogue on three thoughts that development practitioners who apply a systemic approach need to consider when measuring success in terms of contributing to systemic change.
I have spent the last three days at the Market Systems Symposium 2019 in Cape Town. I really enjoyed the event. Besides meeting good friends, there was a great number of practitioners with astonishing accumulated experiences on how to implement Market Systems Development (MSD) projects. There was also a good number of donor staff, which provided their perspectives on the challenges of implementing adaptive and learning programmes – unfortunately the European donors were largely absent (with the exception of one participant from the Swiss Agency for Development and Cooperation), most of the donor staff were from USAID. The majority of the active participants were those that are working on further developing the approach, innovate within their project and generally try to make market development more effective – it was really exciting to hear what they figured out and what they are struggling with. There was a good energy around during the three days. But I have also picked up some concerning trends, particularly around the growing intent of MSD projects to change market actors’ behaviours.
Recently I started a series on the development of a typology of systems change (the two previous articles are here and here). In this post, I want to introduce the concepts of ‘scaling out’, ‘scaling up’ and ‘scaling deep’ developed by scholars of social innovation. I want to link these concepts to my earlier thinking around the systems change typology and update it based on the new insights from this literature. At the end I will also voice a little critique on innovation-focused approaches to systems change.
‘Scaling out’ refers to the most common way of attempting to getting to scale with an innovation: reaching greater numbers by replication and dissemination. ‘Scaling up’ refers to the attempt to change institutions at the level of policy, rules and laws. Finally, ‘scaling deep’ refers to changing relationships, cultural values and beliefs.
My company is a consulting firm and on my CV I call myself a consultant. Consultants are experts that are hired to bring solutions to a problem or improve the functioning of a mechanism, process or organisation. They are expected to have all the answers and are paid by somebody to give them the right answers to their questions or solutions for their problems.
When I work with organisations and teams on complex challenges, I often do not feel comfortable in this role as a consultant or expert. Too often, I do not know the answers or solutions. Too often, I have felt that moment of panic in the plane on the way to a client that I do not really know what to tell them, that I do not have the answers they are hoping to get from me. As I have said and written before, intervening in complex systems is not about fixing things, like fixing an engine. Complex systems are evolving interconnected systems. Understanding these interconnections and shifting the context is a more appropriate approach to change. This always needs to be based on a deep sense of understanding the local context and continuous mutual learning. Continue reading →