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Changing the Game of Coordination with Andrew Hewitt

18th Jun 2024 Gemini 1.5 Pro

Awakening to the Metacrisis

Andrew Hewitt's journey began with a profound awakening to the interconnected crises facing our planet, an experience that initially left him feeling despair and paralysis. He realized that surface-level solutions wouldn't suffice; addressing the root causes of these crises required a fundamental shift in how society coordinates and operates.

"I didn't want to just put a bandaid on it. And so how do you in such complexity navigate to find the causal drivers of all of this?"

This realization led him to the Pachamama Alliance, an organization born from a collaboration with indigenous tribes in the Amazon. These tribes issued a call to the Western world, urging a collective effort to change the dominant paradigm driving destruction and injustice. The Alliance works towards the permanent protection of the Amazon's sacred headwaters, vital for global climate regulation. Their efforts extend beyond environmental protection, however. They also aim to shift the mindsets that perpetuate harmful behaviors by running programs like the Game Changers Intensive, which equips individuals with the skills and perspectives needed to drive systemic change.

Game Changers and the Evolution of Purpose-Driven Business

Hewitt's work with the Pachamama Alliance deepened his conviction that a dedicated group of "game changers" existed, individuals poised to usher in a new era of societal coordination and address the metacrisis. This belief fueled his creation of Game Changers 500, an alternative to the Fortune 500 that ranks companies based on their positive impact. Through this initiative, Hewitt has observed a notable evolution in the business landscape, with a growing number of entrepreneurs seeking to align profit with purpose.

"So I would say phase one of the shift and change in the game was was a mass number of people saying we don't want to be for profit or nonprofit we want to accomplish a mission, we can generate revenue doing it. We don't want to be limited by these structures and funding mechanisms."

This shift has led to the rise of social enterprises, B Corps, and other purpose-driven business models collectively termed the "fourth sector." However, Hewitt emphasizes that even with the best intentions, these models often struggle to resist the pull of traditional capitalism. He argues that without addressing the underlying incentive structures, businesses risk reverting to profit-maximization as their primary objective, often sidelining their initial social and environmental missions.

Six Aspects of Game Coordination

To create truly transformative change, Hewitt proposes that we must go beyond superficial adjustments and fundamentally redesign the "game" of coordination itself. He offers a framework for understanding the six core drivers of behavior within any system:

  1. Objective: What is the ultimate goal of the game?
  2. Choice Making: How are decisions made within the system?
  3. Development: How are participants prepared to play the game?
  4. Motivation: What drives behavior and action?
  5. Performance Assessment: How is success measured?
  6. Benefit: How are rewards and benefits distributed?

By analyzing traditional capitalism through this lens, Hewitt highlights how its emphasis on short-term profit, centralized decision-making, and narrow performance metrics ultimately contribute to many of the challenges we face. He contrasts this with the emerging potential of Web3 technologies, which offer new possibilities for decentralized governance, distributed benefit, and a greater emphasis on collective well-being.

Navigating the Challenges of Web3

While Hewitt acknowledges the valid criticisms and potential pitfalls of the Web3 space, he maintains an optimistic outlook, viewing it as a powerful tool for change if guided by ethical principles. He emphasizes the need for careful consideration when choosing funding sources, cautioning against partnerships that prioritize profit over purpose.

"Yeah, I really encourage as entrepreneurs, know where you're banking, know what the incentives are of any funds you're working with and understand DAFs."

Hewitt also highlights the crucial role of personal and collective development in building a more harmonious and regenerative future. He advocates for practices that cultivate self-awareness, emotional intelligence, and the ability to collaborate effectively within groups.

DAFs as a Potential Bridge

Recognizing the crucial role of funding in driving system change, Hewitt sees promise in donor-advised funds (DAFs) as a potential bridge between traditional philanthropy and the Web3 space. DAFs offer several benefits, including tax advantages for donors and greater flexibility in deploying capital.

"So when you're raising money for a project, you now have a way of raising money that would give an investor a philanthropic container so they get a tax receipt while still being able to invest in your company, right?"

Hewitt envisions a future where DAFs, combined with the transparency and accessibility of blockchain technology, could democratize philanthropic giving and empower a wider range of individuals to participate in funding systemic change. He emphasizes the importance of aligning DAF investments with the values of regeneration and social impact, moving away from traditional, extractive models.