How to manage and finance complex sustainability transitions

The pursuit of long-term sustainability is now a paramount objective for all of us: governments, businesses, charities, donors, foundations and civil society.

But addressing challenges like climate change, resource scarcity, and social inequality requires more than incremental improvements.

It requires structural changes to reform our economies: a fundamental shift towards efficient, sustainable, circular, regenerative, inclusive, and fair systems.

Transformation is needed. A mission-based approach can provide it.

At NewForesight, we have developed the TransMission model – a practical and action-oriented framework for managing complex sustainability transitions.

The TransMission Model

The TransMission framework is an integrated, complete, and hands-on transition framework to accelerate mission-driven sustainability transitions.

It’s based on decades of research and real-life practice in multiple global transitions. This has helped us gain a comprehensive understanding of how economic systems work, why they resist change, and how to implement effective, action-oriented interventions.

By recognising that transitions are change processes that can be governed and managed, we can move beyond academic theories to practical applications.

The model has four key features:

• Urgency and Pressure: Creating a shared sense of urgency is crucial to initiate transitions. Without sufficient pressure, existing systems remain too powerful to change.
• Mission-Driven Approach: We advocate for defining clear, ambitious, and measurable missions that guide the transition process. Thesemissions require coordinated efforts from diverse stakeholders, including governments, businesses, NGOs, and civil society.
• Phased Transition Process: The transition journey progresses through five phases: Inertia, Inception, Competition, Synergy and Integration, and Institutionalization. Each phase has specific characteristics, challenges, and required interventions.
• Stakeholder Roles: Effective transitions involve multiple stakeholders, each playing crucial roles at different stages. Detailed matrices for intervention and stakeholder engagement ensure that the right actions are taken at the right time by the appropriate actors.

Managing the Transition Journey

Effective management of transition processes requires a structured approach.

In our model, the transition journey has 5 stages: Inertia, Inception, Competition, Synergy & Integration, and finally Institutionalisation:

• During the opening phase, Inertia, creating urgency through awareness campaigns and highlighting the need for change is crucial.
• As the transition progresses to the Competition phase, fostering market differentiation and recognising frontrunners build momentum.
• In the Synergy and Integration phase, collaboration between stakeholders to harmonize solutions and scale up sustainable practices is vital.

There are more details on necessary actions for each stakeholder in the Transmission e-book.

The role of philanthropy

Where does philanthropy come into our model? Organisations like NPC have shown how philanthropists can drive systemic change.

In the TransMission approach, philanthropic capital plays a crucial role in accelerating transitions by funding the management and coordination of collaborative approaches. Typically, no single organization wants to bear the cost of these activities alone.

Philanthropic capital can bridge those gaps by funding critical transition management activities that enable diverse stakeholders to collaborate effectively. This includes supporting the development of shared goals, facilitating stakeholder engagement, and providing resources for continuous learning and adaptation.

By investing in these foundational elements, philanthropy can help ensure that transitions are well-coordinated, inclusive, and impactful.

Conclusion

As we grapple with unprecedented sustainability challenges, the TransMission model will be instrumental in guiding us towards a more sustainable future. Our ambition is that every organization and transition leader can take note of it and start working with it to shape sustainable futures.

I invite all charities, social enterprises, individual donors and their families, trusts and foundations, government bodies, and businesses to adopt this way of thinking and to drive transitions from a systems perspective. Your support and collaboration are crucial for achieving the comprehensive changes we need.

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Laure Heilbron is the Managing Director of NewForesight, a consultancy that drives transitions towards sustainable economies.

NewForesight is the initiator of TransMission – a Mission Driven Transition Approach.

Read the Transmission E-book here or get in touch to get involved.