What is a System? [The Climate Leader]
Summary
TLDRThis video script delves into the concept of 'system' in systems thinking, emphasizing how the interconnections within a system dictate its behavior. It illustrates the idea that well-intentioned individuals can make detrimental decisions when systems are flawed. The speaker advocates for systemic improvements as a means to enhance the world, using the example of an energy company CEO's decision-making process. The script encourages viewers to focus on altering systems rather than blaming individuals, highlighting the need for collective effort to change incentives and pressures that influence decisions, such as energy policies and business models.
Takeaways
- 🌟 Systems thinking involves understanding how the interconnections between elements in a system determine its behavior.
- 🔍 A system is defined as a set of elements whose interconnections are crucial for the behavior of the whole.
- 🌿 The example of a flower illustrates how elements within a system are interconnected and influence the system's behavior.
- 💡 Good people can make harmful decisions if the systems they operate within are poorly designed.
- 🛠 Improving systems is one of the best ways to improve the world, as it can lead to better decision-making.
- 🏭 The script uses the example of an energy company CEO to discuss how systemic pressures can influence decisions.
- 💼 Shareholders' desire for profitability and the expected profitability of projects are key systemic pressures on decision-makers.
- 🌱 The cost and policies related to energy sources, such as carbon pricing and air quality standards, affect systemic incentives.
- 🤔 The script encourages questioning whether a new decision-maker would make different choices if placed in the same system.
- 🌍 It suggests that changing systemic factors like taxes, regulations, and incentives can lead to different outcomes.
- 🔄 Systems do not change by themselves; they require the collective effort of individuals to advocate for and implement changes.
- 🛑 The importance of perseverance in changing systems is highlighted, as it is unlikely to be easy but can lead to significant improvements.
Q & A
What are the two main things the speaker offers in the video?
-The speaker offers an explanation of what is meant by 'system' in the context of systems thinking and a practical idea from systems thinking that can be applied to improve the world by focusing on system design rather than individual decision-makers.
What is the specific definition of a 'system' according to the speaker?
-A system is defined as a set of elements whose interconnections determine their behavior.
Why is the collection of circles not considered a system in the video?
-The collection of circles is not considered a system because, although it has elements, they are not particularly interconnected.
What example is given to illustrate the concept of a system?
-The example of a flower is given to illustrate a system, where the parts or elements interact in a way that determines the behavior of the whole system, such as roots supplying water and nutrients to the leaves and petals attracting pollinators.
What is the role of the CEO in the decision-making example provided in the script?
-The CEO of an energy company is faced with the decision of whether or not to construct a new coal-fired power plant, influenced by various elements including personal beliefs, shareholder demands, profitability, and external factors like carbon pricing and energy costs.
How does the speaker suggest the decision of a CEO might be influenced by the system they are in?
-The speaker suggests that even if a CEO is personally concerned about climate change, the incentives and pressures of the system, such as shareholder demands for profitability and the cost of renewable energy, may lead them to make decisions that are not environmentally friendly.
What is the key question the speaker encourages viewers to apply to their own work?
-The key question is whether a new decision-maker placed in the same system would make a different decision, prompting viewers to consider how they can change the system rather than blaming the individual decision-makers.
What strategies are mentioned in the script for changing the system to influence decision-making?
-The strategies mentioned include changing taxes, regulations, incentives, policies, implementing carbon pricing, reducing the cost of renewable energy through research and development or subsidies, and developing new business models that consider goals beyond profit.
Why is it important to focus on the system rather than the players according to the video?
-Focusing on the system rather than the players is important because systems rarely change by themselves; they change when people work together to strategize, collaborate, and push for new behaviors and outcomes.
What does the speaker suggest as a possible outcome of changing the system's incentives and pressures?
-The speaker suggests that changing the system's incentives and pressures could lead to different outcomes in decision-making, potentially resulting in more environmentally friendly and sustainable choices.
How does the speaker describe the process of changing systems?
-The speaker describes the process of changing systems as unlikely to be easy, requiring perseverance, asking questions about the pressures and incentives within the system, and exploring new strategies and possibilities for change.
Outlines
🌟 Systems Thinking and Decision-Making
The video introduces the concept of 'system' in the context of systems thinking, emphasizing that a system is defined by the interconnections between its elements, which determine its behavior. It uses the example of a flower to illustrate a system and contrasts it with a collection of unrelated circles. The speaker then discusses the impact of a system's design on decision-making, suggesting that even well-intentioned individuals can make harmful decisions if the system they operate within is flawed. The example of an energy company CEO deciding on a new coal-fired power plant is used to highlight how various systemic factors, such as shareholder expectations and market conditions, can influence decisions. The importance of improving systems to effect positive change is underscored.
🛠️ Changing Systems for Positive Impact
This paragraph delves into the idea that changing systems can lead to more effective and sustainable outcomes than simply replacing individuals within those systems. It suggests that while individuals may have personal beliefs, it is the systemic pressures and incentives that often dictate decisions. The speaker encourages viewers to consider how systems can be altered to promote better decision-making, rather than focusing solely on the individuals making those decisions. The paragraph also touches on various strategies for changing systems, such as implementing new policies, advocating for carbon pricing, and supporting research into renewable energy. It acknowledges the difficulty of changing systems but encourages persistence and strategic thinking to find new ways to influence systemic behavior.
Mindmap
Keywords
💡System
💡Systems Thinking
💡Interconnections
💡Behavior
💡Decision-Making
💡Incentives
💡Profitability
💡Climate Change
💡Renewable Energy
💡Change
💡Strategies
Highlights
Definition of a system: A set of elements whose interconnections determine their behavior.
Systems thinking and the idea that poorly designed systems can lead good people to make harmful decisions.
Improving systems is one of the best ways to improve the world.
Example of a flower as a system with interconnected parts determining its behavior.
A forest, sports team, neighborhood, company, and political movement are all examples of systems.
The importance of understanding how interconnections determine the behavior of a system.
Case study of an energy company CEO deciding whether to build a new coal-fired power plant.
Factors influencing the CEO's decision, including shareholder pressure and profitability.
The impact of carbon pricing, energy costs, and air quality standards on business decisions.
How personal beliefs may not be enough to overcome systemic incentives.
The challenge of maintaining shareholder confidence when making decisions against profitability.
Encouraging viewers to apply systems thinking to their own work and challenges.
The futility of blaming individuals within poorly functioning systems.
Strategies for changing systems, including taxes, regulations, incentives, and policies.
Examples of global efforts to change energy incentives and reduce carbon emissions.
The development of new business models that consider goals beyond profit.
The importance of collaboration, strategy, and persistence in changing systems.
Systems rarely change by themselves; they require active effort from individuals.
The potential for new strategies and possibilities when focusing on changing systems rather than blaming individuals.
Transcripts
in this video I'll offer you two things
first I'll explain what we mean by the
word system when we say systems thinking
or a systems approach and second I'll
share with you an important idea from
systems thinking one that you can apply
and test right away in your own work
this is the idea that good people can
make harmful decisions if the systems
within which they're making those
decisions are poorly designed and
therefore that one of the best ways to
try to improve the world is to improve
the systems that we all live and work
within so let's start with the
definition of a system system maybe a
word that you've heard quite a lot
lately may be used in different ways in
the climate leader we define the word
system very specifically a system is a
set of elements whose interconnections
determine their behavior
this collection of circles is not a
system it has elements but they aren't
particularly interconnected this flower
on the other hand is definitely a system
it's composed of parts or elements and
the way the elements interact determines
the behavior of the whole system the
roots supply the leaves with water and
nutrients the arrangement of the petals
and the flower attracts pollinators and
so on of course the flower is also an
element in a bigger system that contains
soil and other plants Sun and wind and
rain a forest is a system and so is a
sports team a neighborhood a company
your liver those are all systems a
parliament or political movement those
are systems to any set of elements whose
interconnections determine their
behavior is a system now what do I mean
by the interconnections determining the
behavior that should become more clear
if we talk about a concrete specific
example imagine there's a CEO of an
energy company who needs to decide
whether or not that company should
construct a new coal-fired power plant
let's think about some of the elements
that might influence that decision maker
that person's individual concern about
climate change might influence the
decision and different individuals
playing the role of CEO might have
different levels of concern but no
matter what the individuals
beliefs there are a set of pressures
that would apply to most people holding
that role there's how strongly
shareholders desire the company to be
profitable and there's the expected
profitability of a new coal-fired power
plant compared to other types of
electricity generation that
profitability in turn depends on a whole
set of factors including whether there's
a price for carbon pollution and how
high that price is what the cost of
other sources of energy are and the cost
to meet other standards like air quality
standards you might think of other
influences as well
a CEO who is personally concerned about
climate change might very well be
reluctant to invest in a coal-fired
power plant but if all of the incentives
of the system remain the same if the
shareholders are demanding a high return
on investment if carbon pollution is
free if renewable energy is much more
expensive than fossil energy then do you
think a CEO who wanted to maintain his
or her position would be able to decide
against a coal-fired power plant if it
was the most profitable alternative
maybe maybe a remarkable individual
could do just that but then what would
happen how long would that individual
keep shareholder confidence
how long until a new leader would be
recruited one who would be more focused
on profits and less focused on climate
this line of thinking leads to an
important question that you should apply
to your own work what a new
decision-maker placed in the same system
make a different decision if you find
yourself facing a system that's not
functioning in the way you'd like to see
whether that system is the UN climate
negotiations or your team of six at your
workplace we'd encourage you to take
your frustration and your desire for
change and apply it not to blaming the
decision-maker stuck within a poorly
functioning system but instead to asking
yourself how that system could be
changed if we take our example of the
energy company's CEO replacing one CEO
with another individual might not lead
to radical change but what if we could
change the taxes the regulations the
incentives the policy is influencing
those decision-makers then we might see
real differences and in fact around the
world people are organizing themselves
to change the mixture of incentives and
pressures that influence decisions about
where our energy comes from in the u.s.
the Obama administration is putting
tougher controls on the performance
standard for coal-fired power plants
around the world climate advocates are
pressuring governments to adopt carbon
prices others are working to reduce the
cost of renewable energy via research
and development or via government
subsidies for clean energy a new
business models are being developed that
allow business decision-making to take
into account goals other than profit
each of these strategies if successful
has a chance to change the balance of
pressures and incentives in ways that
could lead to different outcomes
systems rarely change by themselves they
change because people like you and me
work together strategize collaborate
push pull coax and sometimes forced
systems into new behaviors choosing to
focus more on the system and less on the
players does not mean sitting passively
back and waiting for systems to change
themselves sometimes it means being
brave say when advocating for an
unpopular policy sometimes it means
being persuasive say when coaxing
someone to try a new technology or the
subway instead of a car sometimes it
means leading by example sometimes it
means being willing to commit civil
disobedience sometimes it means showing
up with a spreadsheet full of
cost-benefit calculations changing
systems is unlikely to be easy if it was
easy to change a system for the better
it probably would have already been
changed but if you persevere if you
continue to ask yourself how do the
pressures and incentives in this system
give rise to its behavior that I think
that you'll find new strategies new
possibilities and new avenues for change
you
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