Theories of Change are becoming popular!

Initially the Aspen Institute coined the term “Theory of Change”. The term got picked up by some impact investors like Charly Kleissner and the GIIN (Global Impact Investing Network).

The GIIN defines as follows „A theory of change (also referred to as the Theory of Value Creation or Logic Model) is an expression of the sequence of cause-and-effect actions or occurrences by which organizational and financial resources are hypothesized to be converted into the desired social and environmental results.“

„Wow“ That sounds complicated and broad. As a consequence we now live in a world with more than one „Theory of Change“ – we have a whole bunch of „Theories of Change“

So it is high time to systemize, categorize and improve – and it is necessary to show-case and evaluate the value of theories of change. I am proud to announce here that “Theories of Change” is a New Publication in my “Sustainable Finance Series with Springer Palgrave MacMillan (see

In the “Journal of Sustainable Finance & Investment” Edward T. Jackson has been interrogating the Theory of Change and asked a couple of relevant, future oriented questions and started to define the research agenda.

Now here we are to implement “Theories of Change” into practice.

In the new “Theories of Change” anthology (part of the sustainable finance series

We will concentrate on the following fundamental question:

> Imagine a world in which decision makers are enabled to anticipate the future impact of today’s decisions. .

> Imagine a world in which a simulation model consistently calculates future states of a system from the present state considering possible future interventions.

> Imagine the method and model includes perspectives of all actors along the value chain. Imagine how helpful this model shall be.

Therefore I am glad that Salomon Billeter will write on this topic for our “Theories of Change” Publication.

Find the poster here.  Enjoy!

Courtesy of

Simulated Action Analysis for Sustainable Impact

Please find my presentation for Investors at Qualitates here: Presentation Sustainable


Creating Ecosystems of Ethical Culture in Business and Non Business Organizations

In the face of global challenges how have some organizations reflected on decision making, values that impact decisions and how have they developed or forged new paths forward? According to the latest Global Risk Report there is no shortage on problem knowledge what constitutes global challenges. They range from poverty, migration, climate change, food and water shortages, decrease in biodiversity, fiduciary malfeasance to economic collapse and institutional corruption. Ecosystems creating solutions to those challenges are one of the most talked about instruments in addressing global challenges. Global challenges are of a magnitude that no one institution or organization can address them on its own. They require the pooling and sharing of knowledge and resources. Ecosystems are awarded great potential to address global issues and create the necessary target knowledge and resource allocation required to tackle the issues at hand. There is currently a growing consensus that economic theory, politics and the financial system fall short of addressing these challenge effectively. In the Agenda 2030 – Transforming our World the UN admits, that the 17 Sustainable Development Goals (SDGs) of the United Nations (UN) create target knowledge however, the UN has also notes that Sustainable Development is a critical skill and the goals provide the “what” (target knowledge), but not the “how” (Transformation Knowledge). The question why and how ecosystem are better placed to create target knowledge appears to have some appeal, but research is missing on how they instil civil action, create the target knowledge and buy in, mobilize and activate members and how success is defined and measured?

Can pattern of proactively dealing with change be identified, that possibly have substantial benefits in creating better decisions? What role does the development of ecosystems of ethical culture play in decision making, namely in the development of target knowledge, transformation knowledge, developing consistent value propositions and how does each of those components influence decision making.? In a time of disruption and political, economic, societal , technological and organizational change, the answers to – how do companies steer through the maze while creating sustainable competitive edge- is relevant. The benefits might accrue directly to practitioners, consumers, or policy makers or indirectly through further research. I am really wondering how this works best and this is a really interesting research project for me.
Read more in Sustainable Finance see


[1]According to the 10th edition of the Global Risks Report, the top global risks in terms of likelihood over the coming 10 years are: interstate conflict with regional consequences is the number one global risk in terms of likelihood, followed by the risk of extreme weather events
(2), failure of national governance systems
(3), state collapse or crisis
(4) and high structural unemployment or underemployment
(5). In terms of impact, nearly 900 experts that took part in the survey rated water crises as the greatest risk facing the world, followed by infectious diseases (2) weapons (3) and climate adaptation(5). Ten global risks are shown in the picture see

[2]see United Nations Agenda 2030