how to create a thriving economy
TRANSCRIPT
TRUE WEALTH CREATION IN THE 21ST CENTURY
A STORYBOARDBY MUSHIN J. SCHILLING, 2010 ,
BERLIN, BASEL, SAN FRANCISCO
How To Create A Thriving Economy
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Message from the bridge of Spaceship Earth
A Message from the Bridge of Spaceship Earth
Crash of Planet Earth Operating System
imminent.
Upgrade Human Operating System
to Economy 3.0
A collaborative species
There‘s nothing new about cooperation, collaboration and community.
A collaborative species
For hundreds of thousand years we have been living in collaborative groups of, probably, up to 140-160 humans.
A collaborative species
This started to change when, around 10.000 years ago, we built large villages and cities.
This was the beginning of cooperation.
A collaborative species
Civilisation – wherever it succeeded – reflects succesful cooperation and collaboration.
There is a world of difference between cooperation and collaboration: If you do what I tell you to, you cooperate If we both agree on a course of action, we collaborate
In prehistoric and historic times collaboration and cooperation usually happened between groups, clans & large families. Not individuals.
Economy 0.1
From the beginning of what would later become humanity until the dawn of settling in villages, towns and cities there was hardly any trade or activity we, today, would recognize as being economic – therefor I call this..
Economy 0.1 or Proto-Economy
Economy 1.0
Then, with the the dawn of living in settlements “economy” was invented – the word can be traced back to Greek οἴκος “house”, and originally οἰκονομία meant “household management.” I call the period from the first settlements until the Age of Enlightenment in the 17th Century Economy 1.0
I regard Economy as an upgradable part of the Human Operating System – the way we do things.
Economy 1.0
In Economy 1.0 most of this Human Operating Systems basic elements were developed, for instance:
• Accounting – Mathematics• Value representing tokens – Money• Customs & taxes
In the Middle Ages important elements were added, for instance:
• Venture Capital • Banks • Stock Exchanges
Greece, ca. 400 BC
Economy 1.0
During all this time economic activity was mostly in-group or between groups, almost none of it between individuals – the individual wasn‘t really „invented“ yet, at least outside of high nobility; and even then it families and dynasties rather than individuals counted…
All of this started to seriously change around some 400 year ago with the…
Age of Enlightenment
In the Age of Enlightenment (17th Century) the three main pillars that determine the modern world were developed. Now collaboration and cooperation could finally become a much more individual happening.
And, in consequence, the basic ecology for Real Collaboration could come into being.
The Pillars of the Modern World
These are the advances of the Age of Enlightenment that allow Real Collaboration between equals:
1. Political equality: Democracy2. Equality before the law: Justice3. Equal economic opportunity: Free enterprise
These advances lead to the first serious upgrade of the Human Operating System to Economy 2.0
Economy 2.0
The Human Operating System, upgraded to democracy, allows people to participate in decision making, and – protected by law – huge numbers of people can follow their own wit, cease opportunity and govern their own enterprises.
All of which went pretty well until the dawn of what we now call the Industrial Revolution…
Economy 2.0 – Industrial Revolution I
The Industrial Revolution began in the 18th century with major changes in agriculture, manifacturing, mining and transport. It started in England and rapidly spread across Europe, North America and the whole world. And it soon turned into unbridled capitalism – leading to mass exploitation, poverty, urbanization etc.
There is a specter haunting Europe, the specter of communism. ~ Karl Marx
Economy 2.0 – Industrial Revolution II
Then, in the first half of the 20th Century, after the devastations of the Great Depression, WW1 and WW2 and due to the challenge of the Socialist states in most Western nations the former unbridled capitalism was reigned in and Greed was institutionalized
State-Bureaucracy controlled Civilized by Trade and Workers Unions “Keynesianised” by John Maynard Keynes (1883–1946)
Economy 2.0 – At Core
Private ownership Institutionalized greedSelf-Interest
Me, my company, my group, my shareholders etc. first
This means, of course, that an economic subject who tries to run her or his business on altruism or other‘s (the commons, even) interest, will not be on the market for very long – unless run by the state or a subsidiary and fed by public funds.
Economy 2.0 – Self-Interest
Economy 2.0, the system that runs on institutionalized greed and state-protected self-interest has governed our societies for around 400 years now. This system has created unprecendented wealth for large portions of the population and has spawned an enlightend variant…
But it has obviously also gotten us into…
Win
Win
Economy 2.0 – Big Trouble
Win
Win
L O O
S E
Upgrading from Economy 2.0 to Economy 3.0
We want to migrate from Economy 2.0, where in the best possible scenario 2 parties win to Economy 3.0 where everybody wins.
The Third Win
So who or what will profit from the third win in Economy 3.0? The commons – the resources that are collectively
owned or shared between or among populations The community of stakeholders – everybody that
is affected by an economic transaction The culture – the whole body of practices and
convictions, the arts and sociality in which economy happens
The ecology – the complex natural dynamics that is both the beginning (as resource) and the endpoint of organized matter (waste)
The Third Win
In Economy 2.0 the third win is known but treated ‚abstractly‘. It‘s the business of the government, NGOs, unions, concerned citizens etc. trying to lend their voice to it, to take care that commons, community, culture and ecology profit from economic activity.
This is also the main reason it doesn‘t work. It‘s really not very concrete and to the point…
Upgrading to Economy 2.0
Economy 2.0 is very concrete and to the point… Two parties buy and sell a particular product,
service or process to each other and, in the best possible case, create greater wealth for each
The self-interest, that co-creates the win-win, is clearly related to this particular transaction, possibly guided by potential future interactions that make win-win a must.
This is an utterly practical and clear happening.
WinWin
The Third Win in Economy 2.0
When parties in Economy 2.0 try to take care of the third win…
They cater to an ‚ecological ethics‘ or try to maintain some adopted standards that make sense to them
They play it according to the tune of ‚conscious capitalism‘
They do in philantropy or act altruistically – which is an enlightened form of self-interest
… and more
… these are truly wonderful changes but ist still Economy 2.0. Why?
Upgrading to Economy 3.0
“You can never solve a problem on the level on which it was created”.
Albert Einstein
Economy 3.0
To co-create the third win in Economy 3.0 means that for every single transaction there needs to be someone considering and taking care of how also… the commons the community the culture the ecology
… can profit from that particular transaction, and how it contributes to the other two wins that evolved in the best of Economy 2.0
Helping to Upgrade to Economy 3.0
The person that takes care of the third win we call Collaboration Facilitator
And if he‘s active in a pure commercial environment we call this person Business Intelligence Facilitator
We believe the bridge to Economy 3.0, to our future, will be built brick by brick, transaction by transaction – and we have already begun.
The Bridge to Economy 3.0
We believe the bridge to Economy 3.0, to our future, will be built brick by brick, transaction by transaction – and we have already begun.
We have started a business near Basel, Switzerland, where our Business Intelligence Facilitators are using these concepts in day to day practise – after a year it looks like our business plan works well; the business is growing and we plan for a Europe-wide launch in the next 2 years.
Transaction by transaction we learn what is required to create win-win-win situations, measurements, procedures and best practices.
Economy 3.0
Headquarters near Basel
Economy 3.0
We are also anticipating a move to the US. To that end we are collaborating presently with Thrivable.net and Thecore.com and others to… train people in the practise of our curriculum for
Collaboration Facilitators and Business Intelligence Facilitators
adapt our know-how and know-what to the different cultures we collaborate in
co-create the appropriate business-structures, communication and funding
The Economy 3.0 Curriculum
What is possible cannot be determined by opinions, but only by attempt. And we were determined to make the attempt. – Dee Hock (co-founder of VISA)
Finding out what the third win actually is in every transaction requires that Collaboration and Business Intelligence Facilitators put into daily practice the following curriculum…
The Economy 3.0 Curriculum I
Everybody is a leader Leading by being
Collaboration Facilitators are the change they wish to see.
Collective IntelligenceThe intelligence and intuition of the whole by far exceeds any partial intelligence by individuals and manifests in different and sometimes unprecedented ways.
Permission GrantedAccountability and authority are regarded as a natural part of everybody’s character.
The Economy 3.0 Curriculum II
Connectivity is King Connectivity & collaboration
Provide tools and occasions for maximum connectivity between everyone involved directly or indirectly.
SynergyTreat members of aligned external companies, groups and communities with maximum respect and find occasions for synergies or co-create them.
ClusterNurture internal and external networks and connections and bring together what aligns well.
The Economy 3.0 Curriculum III
Support mutual apprenticeship Purpose, principles & people
People with a purpose adhering to robust principles co-create strongly aligned behavior that gets things done in fast and often unprecedented ways.
Transparency & Fair ShareTransparency about personal agendas and fairly sharing material and immaterial outcomes fosters the trust needed in real collaboration.
Fluid DynamicsLearn through experimentation, differentiation, mutation, mutual apprenticeship, trustful relationships, collaboration and appreciative inquiry and review.
The Economy 3.0 Curriculum IV
Learning never ends – look at nature Autopoiesis
The vital organizations of Economy 3.0 are in a state of continual self-transformation because they continually learn from their members, partners and others.
AlignmentLearning organizational networks easily align with other networks, communities and individuals that advance their purpose(s).
Emergence and InnovationAll ecologies, natural or cultural, cycle through growth and emergence. Innovation is a natural by-product of facilitated and continually optimized collaboration.
Building Economy 3.0 With Us
Open your arms to change, but don't let go of your values. Take into account that great love and great achievements involve great risk. – The Dalai Lama
If you are interested in helping build a company on these principles or if you want to learn more please contact: [email protected]
You are very welcome to redistribute this information in any context you want, as long as it is passed along unchanged and in whole, with credit to its author.