Davos 2010: The World is Broken

Posted by: Don Tapscott on January 25, 2010

This is a guest post from author Don Tapscott, chairman of nGenera Insight and Adjunct Professor, Rotman School of Business. Follow him on Twitter: @dtapscott
As a Fellow of the World Economic Forum, I’ve been attending the annual meeting in Davos, Switzerland for a dozen years. But I’ve never anticipated the event more than I am this year (Jan. 27-31). The theme is to “Improve the State of the World: Rethink, Redesign and Rebuild.”

Music to my ears. Evidence is mounting that the world and many of its institutions are stalled and need reinvention -- from the financial system, the old model of government, the media, our energy and transportation systems, our cities, the university, science, and even democracy. Transforming these is a daunting challenge that will require the efforts of many parts of society.

"Global multi-stakeholder cooperation lies at the heart of the Forum’s mission to improve the state of the world,” says Professor Klaus Schwab, founder of the Forum. “We have to rethink our values – we are living together in a global society with many different cultures. We have to redesign our processes – how do we deal with the issues and challenges on the global agenda. And finally, we have to rebuild our institutions.”

Most significantly, even our systems for global problem solving are broken. “We... see that, clearly, the present system of global cooperation is not working sufficiently,” says Schwab. “So we want to look at all issues on the global agenda in a systemic, integrated and strategic way, and we want to address in particular the issue of global cooperation."

While the Davos event is often misrepresented as a meeting of the business and political elite, this year's 2,500 attendees will, as they have in years past, include a broad cross-section of society, with representatives from business, government, the media, science, religion, the arts, and civil society.

Nearly half of participants come from outside business, including more than 30 heads of state or government, at least double that number of government ministers, more than 100 heads or top officials from international organizations and NGOs, more than 200 leading academics, and more than 200 media leaders. There will more than 30 social entrepreneurs present, and there will be almost as many labor leaders participating as there will be central bankers, with more than a dozen representatives from each category.

Like me, many attendees will have participated in the Forum’s Global Redesign Initiative, which began following the 2009 Forum, with the goal of addressing many of the challenges confronting our world today. Over the last year we have been developing recommendations to help adapt and improve the structures and systems of international cooperation.

Now, I appreciate that such an initiative sounds grandiose. Is it delusionary for the Forum to try and pull off such an ambitious undertaking? My response: If not the World Economic Forum, then who?

To achieve new models for global problem solving we have to overcome a major obstacle: The world is organized around nation states based on national economies, and that is unlikely to change in the foreseeable future. After World War II there were many bold initiatives to create better systems of global cooperation, including Breton Woods, The United Nations, The General Agreement of Trades and Tariffs (GAAT), The Geneva Conventions, and the Universal Declaration of Human Rights and later the World Trade Organization and now the G8 and G20.

But, as evidenced by last month's UN Climate Change Conference fiasco in Copenhagen, the existing structures are increasingly unsuitable for fixing what ails the world. Contrast the Copenhagen failure to the growing global networks and movements of millions of people motivated to turn back warming. (I’ll be blogging about those later this week.) Evidence that the solution to global problems is not to create some global government. Rather there are new possibilities in the digital age to create networks involving business, government, and civil society. The Forum is a case in point -- a global collaboration that is actually making real progress in solving global problems on many fronts.

Some might say this is all just talk and no action. Wrong there too. At the 2009 meeting, I participated with Mark Parker, the CEO of Nike, in presenting an idea called the GreenXchange (GX) Project to some 80 CEOs of large companies. Over the last year several other companies have been working to incubate this idea and Davos it will be formally launched at Davos this year. The GreenXchange is a clearinghouse for unpatented innovations (“know-how”), patent pledges, and patent licenses related to sustainability. Companies participating in the GX will be able to make both patented and unpatented “know-how” available for research uses and commercialization on standard and transparent terms and conditions.

Nike conceived the GX because there is too much duplication of effort in sustainability, and collaboration on shared challenges is a proven way to reduce costs and increase innovation. Companies face very similar sets of sustainability challenges — how to reduce resource consumption and achieve greater efficiency — but without the ability to share learning and best practices in response to those challenges, good solutions fail to take hold or make a broader impact. The GX makes it easy to enable sharing and promotion of industry best practices leading to sustainability while making sure that credit is given where it is due. The GX will also help reduce some of the barriers separating innovators from entrepreneurs in the sustainability space.

This is the sort of creativity the Global Redesign Initiative is designed to promote. My company, nGenera, is supplying the GX’s technology platform pro bono, because we think this idea is so important.

Contributing to the brainpower of the Global Redesign Initiative is the Forum’s Network of Global Agenda Councils - 1,000-plus experts representing more than 50 thematic areas of international cooperation (e.g. Water Security, Pandemics, Migration). Approximately 3,000 participants drawn from the Forum’s industry, governmental, civil society, academic and media communities provided input.

I have spoken to many other members of the Councils over the last year. Most of us were impressed at the high-caliber and sincerity of the discussions. Our job at Davos will be to not only challenge prevailing assumptions, monitor trends, map interrelationships and address knowledge gaps, but to propose solutions, devise strategies and evaluate the effectiveness of actions.

I’ll be blogging and tweeting throughout to let you know how it’s going. Stay tuned.

Reader Comments

ted

January 25, 2010 6:08 PM

This article is meaningless plug for nGenera.

ted

January 25, 2010 6:08 PM

This article is nothing more than a shameless plug for nGenera.

Alex

January 25, 2010 11:12 PM

Not just this 2010 the world has been broken. Before today, the world already broken. But, nowadays, it become worse and worse. It is good to hear such a NGO or anybody have a passion to help to cure the illness in the world. iyiyiy, what do you think of that word?

yawn

January 25, 2010 11:43 PM

The World may be broken, but they can't fix it!

Bozo Bob

January 26, 2010 7:18 AM

A world famous management consultant guru and book author puts out this lame piece with a headline but no substance?

Glory days, they'll pass you by!

John Juras

January 26, 2010 9:19 AM

That is all very nice of you to keep us informed. BUT, where you describe the 2500 attendees makes me sick. They are the same people with all their eggs in our current basket. You need to start schooling the next 2 generations of the movers and shakers. The kids of the kids who you all are currently
economically raping now.

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How can you manage smarter? Bloomberg Businessweek contributors synthesize insights from the brightest business thinkers, critique the latest management trends, and comment on leaders in the news.

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