Article 11
Collective action step 1 – Mobilizing the collective
2-3 minute read
CAPSULE SUMMARY – The first step to mobilizing Collective Action against a Second-order impact is identifying the key players responsible for contributing to the harm. This can happen both pre-emptively or reactively.
11.1 To mitigate or resolve societal harm where multiple parties are all contributing, you need to bring the majority of them together (or at least enough of them such that their collective actions will be sufficient to move the needle). There are two paths to mobilizing such a collective: pre-emptively and reactively.
Pre-emptive mobilization of parties
11.2 Sadly, there are far too few examples of companies pre-emptively banding together to avoid future societal harm (and therefore, future regulation). One of the best examples, which spans a global industry that touches billions, is the Motion Picture Association.
11.3 Originally founded in 1922 by the then five major film studios of the United States, the MPA had acted as a traditional association in many ways—promoting effective copyright, reducing piracy, expanding market access, and more. In addition, the MPA has, over its history, pre-emptively identified areas of potential social harm and proactively addressed them.
11.4 The best example of pre-emptive action occurred in 1968 when the association established the Code and Rating Administration which mandated a simple rating system to enable parents to determine which films were appropriate for their children (G, PG, R, etc.). The industry did not wait for consumer outrage, friction, and then government regulation. It took the proactive step to pre-identify the societal risk and then took action.
11.5 The effort was so successful that the same rating system not only holds today but became a template for other industries to emulate. In 1994 the video game industry copied the approach and created the Entertainment Software Rating Board, which rates video game content and sets advertising restrictions based on those ratings.
Reactive mobilization of parties
11.6 Unfortunately, in most cases, the societal harm manifests without an association, industry group, or collective ready to address the issue. In these instances, smoke or even fire begins to brew and no one steps up to take responsibility.
11.7 Consider the current and very relevant example of the impact of social media on teen psychology and depression. This issue shows all of the hallmarks of an insidious Second-order issue: 1) clear smoke and fire based on data, research, and teen interviews, 2) all the major players are aware of the issue, 3) no single company is completely responsible although some are clearly more responsible than others based on relative usage, and 4) because proactive action hasn’t been taken, the issue has ballooned into a massive consumer concern and a potential regulatory hot-button.
11.8 The major social media companies, potentially in collaboration with the major device manufacturers, should come together, achieve a shared understanding of the root cause of the problem, and commit to actions to help resolve it. The lack of any collective action comes down to a lack of leadership and potentially the absence of a simple framework for Collective Action (the topic of the next article).
11.9 Regardless of industry, leaders must concede when their companies are contributors to a larger problem, take the hard steps to build or join the right coalitions, and drive to Collective Action that can mitigate the harm. This is what true 4th stakeholder leadership looks like.