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Sustainability as a Paradigm Shift

Sustainability as a Paradigm Shift . Outline . Worldviews Matter Worldview, Institutions and Markets Historical evolution of Sustainability Challenges and opportunities in the midst of the paradigm shift. Worldviews Matter. Worldviews Matter. Worldviews Matter. Worldviews Matter.

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Sustainability as a Paradigm Shift

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  1. Sustainability as a Paradigm Shift

  2. Outline • Worldviews Matter • Worldview, Institutions and Markets • Historical evolution of Sustainability • Challenges and opportunities in the midst of the paradigm shift

  3. Worldviews Matter

  4. Worldviews Matter

  5. Worldviews Matter

  6. Worldviews Matter

  7. Worldviews Matter

  8. Worldviews Matter

  9. Worldviews Matter

  10. Worldviews Matter

  11. Why do worldviews matter?

  12. Worldviews, Institutions and Markets • Worldview (Paradigm) a set of beliefs, symbols, values and segments of objective knowledge that are widely shared in a given society over a considerable period of time (for at least the life-span of one generation). Matutinović 2007, p. 1111

  13. Worldview (Paradigm) Industrial Paradigm Sustainability Paradigm Worldviews, Institutions and Markets

  14. Worldviews, Institutions and Markets • Institutions Commonly held patterns of behavior and habits of thought, of a routinized and durable nature, that are associated with people interacting in groups or larger collectives. . . . (They) enable ordered thought and action by imposing form and consistency on the activities of human beings. Hodgson 1993, p. 253

  15. Worldviews, Institutions and Markets • Markets Markets provide allocative efficiency by establishing prices for resources based on their relative scarcity. Adapted from Daly 1996

  16. Worldviews, Institutions and Markets Why Worldviews Matter… The Influence of Worldviews, Institutions and Markets

  17. Worldviews, Institutions and Markets Why Worldviews Matter… The Influence of Worldviews, Institutions and Markets

  18. Worldviews, Institutions and Markets Why Worldviews Matter… The Influence of Worldviews, Institutions and Markets

  19. Worldviews, Institutions and Markets • Worldviews are changing…which is driving institutional change…that is impacting consumer/citizen behavior…which is influencing the operation of markets…as a result, worldviews are changing.

  20. From Industrial to Sustainability Paradigm • Modern interest began after WWII - concern for S.E. Europe and newly independent former colonies • Bretton Woods (1944) • International Bank for Reconstruction and Development (World Bank) • International Monetary Fund

  21. From Industrial to Sustainability Paradigm • Industrial Age Worldview/Paradigm • Unlimited Economic Growth (GDP, GNP, per capita income) • Mechanistic Management and Specialization (sector, product, markets) • Factors of Production (labor, capital, land) • Input-Output Production Model: externalize environmental & social costs

  22. From Industrial to Sustainability Paradigm Industrial Age Worldview/ Paradigm Early “Challenges” 1950s – 1960s • Toxic smog – London, 1950s • Silent Spring - 1962 • Cuyahoga River burns - 1969 • Santa Barbara oil spill - 1969 • Acid rain, air pollution crises

  23. From Industrial to Sustainability Paradigm • What 1968 photograph fed a “paradigm shift” in our worldview of the world?

  24. The earth is: • a small planet • with a closed ecosystem • only ‘importing’ solar energy.

  25. 1972 - United Nations Conference on Human Environment, Stockholm Conference is rooted in regional pollution and acid rain problems of northern Europe Agenda is opposed by the Group of 77 (developing countries) but it provides the first international recognition of large scale environmental issues From Industrial to Sustainability Paradigm

  26. Outcomes of Conference on the Human Environment Adoption Of The Action Plan For The Human Environment Establishment of numerous national environmental protection agencies and the United Nations Environment Programme (UNEP) Efforts to link environment and development that began at Stockholm have continued From Industrial to Sustainability Paradigm

  27. 1972 – “Limits to Growth” From Industrial to Sustainability Paradigm • Club of Rome publishes "Limits to Growth". • One of first publications based on systems thinking -- ecological, social, and economic systems are interrelated, interacting or interdependent constituents forming a complex whole.

  28. Systems Thinking Based in system dynamics, MIT, 1956, Dr. Jay Forrester Traditional worldview – break things into constituent parts Systems thinking – how something being studied interacts with other parts of the system From Industrial to Sustainability Paradigm

  29. The Wombat has another way to convey this idea… From Industrial to Sustainability Paradigm

  30. “Limits to Growth” – unpopular on many fronts “Northern” (developed) countries - technological solutions not included “Southern” (developing) countries angry – report seems to advocate abandonment of economic development The ensuing debate heightens awareness of the interconnections between global problems From Industrial to Sustainability Paradigm

  31. 1983 – 1987: World Commission on Environment and Development Chaired by Norwegian Prime Minister Gro Harlem Brundtland, the commission works for three years to weave together a report on social, economic, cultural, and environmental issues. From Industrial to Sustainability Paradigm

  32. 1987 - "Our Common Future" (Brundtland Report) published Ties problems together and, for the first time, gives some direction for comprehensive global solutions. Previously concern about development’s impact on environment – now, concerned about environmental degradation’s impact on development as well… Popularizes term "sustainable development". From Industrial to Sustainability Paradigm

  33. Brundtland Report Definition Sustainable Development means “meeting the needs of the present without compromising the ability of future generations to meet their own needs.” From Industrial to Sustainability Paradigm

  34. From Industrial to Sustainability Paradigm • Reconciliation of society’s development goals with its environmental limits over the long term • Simultaneous achievement of economic prosperity, a healthy environment, and social equity for current and future generations. Brundtland Report’s Worldview

  35. Brundtland Report’s – What’s Different? From Industrial to Sustainability Paradigm • Timeframe – inter-generational focus challenges short term planning and “discounting” future values. • Asks us to think about connection between economic, social, and environmental issues.

  36. International dialogue evolves From Industrial to Sustainability Paradigm • Stockholm Conference on Human Environment (1970) • World Conservation Strategy (1980) • World Commission on Environment and Development’s ‘Our Common Future’ (1987) • UN (Rio) Conference on Environment and Development (UNCED) (1992) • UN Session on Agenda 21 (1997) • UN Johannesburg Conference (2002) • Early focus on environmental issues; increasing focus on social and economic concerns.

  37. Three components of sustainability From Industrial to Sustainability Paradigm • Environment – maintaining the earth’s life support system (e.g., ecosystem services). • Social – maintaining community (civic) capacity that fosters effective participation and ‘equitable’ treatment of all stakeholders. • Economic – maintaining an economic system that provides a non-declining standard of living for this and future generations.

  38. Environmentalist Worldview Economist Worldview Economy Humanist Worldview Society Society Society Environment Economy Economy Environment Environment Challenges and opportunities in the midst of the paradigm shift Dichotomous Dilemmas Jobs-Environment Global Economy-Local Culture People as Means-People as Ends Nature as Means-Nature as Ends

  39. Challenges and opportunities in the midst of the paradigm shift “It is not from the benevolence of the butcher, the brewer, or the baker that we expect our dinner, but from their regard to their own interest.” “To feel much for others and little for ourselves; to restrain our selfishness and exercise our benevolent affections, constitute the perfection of human nature.” Adam Smith, in Wealth of Nations Adam Smith, in Moral Sentiments

  40. Challenges and opportunities in the midst of the paradigm shift “A business that makes nothing but money is a poor kind of business.” “There is one and only one responsibility of business - to use its resources and engage in activities designed to increase its profits so long as it stays within the rules of the game.” Henry Ford 1863 – 1947 Milton Friedman Economist

  41. Challenges and opportunities in the midst of the paradigm shift Systems thinking… • Why is this difficult??? • Think about how we are organized • Think about how we are educated!

  42. Challenges and opportunities in the midst of the paradigm shift Institutional structures • Government - Agency focus • Policies - Air, water, health, food, etc - all addressed separately • Universities, schools - Disciplinary focus • Businesses – Budgets often fragmented – capital vs. operating -> Institutional and organizational issues pose major challenges

  43. From “Our Common Future” Challenges and opportunities in the midst of the paradigm shift • “…most of the institutions facing those challenges tend to be independent, fragmented, working to relatively narrow mandates with closed decision processes. Those responsible for managing natural resources and protecting the environment are institutionally separated from those responsible for managing the economy. The real world of interlocked economic and ecological systems will not change; the policies and institutions concerned must.”

  44. Challenges and opportunities in the midst of the paradigm shift • In the midst of change there are opportunities… • Energy Efficiency and Renewable Energy • Product Redesign, Disassembly, Closed Loop Systems • “Green” Building and Community Design • Non-Financial Performance Management and Measurement • Water Efficiency, Treatment and Reuse • Process and Operational Efficiencies, Redesign • Packaging and Merchandising Innovations • Finance Innovation – microfinance, carbon finance, etc. • NGO – Corporate Partnership Management • Marketing and Consumer Behavior Change • And on and on…

  45. Introduction to the Zumer Project • Video • Process • Deliverables

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