#REBOOT Business #18 with Otto Schärmer

EPISODE SUMMARY
“Reboot Business” podcast host Julian Devaureix interviews Otto Scharmer, a senior lecturer at MIT and creator of Theory U, about navigating the current radical transformation of the business world due to social, energy, and environmental demands. Scharmer discusses systems thinking as a way to understand interconnected global crises like ecological damage, socioeconomic inequality, and mental health issues, emphasizing that these are symptoms of deeper disconnects. He introduces Theory U as a framework and set of tools for achieving organizational and societal change by shifting consciousness and enabling systems to see and sense themselves more fully. The conversation highlights the power of attention as crucial for individuals and leaders to intentionally shape the future and move from reactive patterns to co-creative action, advocating for personal awareness practices, deep listening in small groups, and aligning work with purpose to foster widespread change starting at the individual level.
What do we talk about?
00:00 Introduction
03:17 Defining Systems Thinking and its Importance
05:50 Limitations of Systems Thinking and the Concept of Social Fields
09:05 Introduction of Theory U as a Process of Transformation
14:30 The Two Main Aspects of Theory U
22:10 Analysis of the Current Age Through Three Divides
26:40 Awareness of Problems Contrasting with Lack of Effective Action and Root Causes
32:10 “The Power of Attention is the Real Superpower of Our Age”
37:45 The Attention Crisis and its Drivers
46:10 Strategies to Address the Attention Crisis and Drive Change
50:00 Where to Start Making a Difference and Identifying Biggest Levers for Change
55:30 Practical Advice for Individuals
65:00 The Importance of Listening & Shifting Inner States
Impact
Otto Scharmer’s work has generated significant impact by offering a structured approach to leading change and fostering innovation in complex systems. His emphasis on “presencing”—learning from the emerging future by shifting inner awareness—has equipped individuals, organizations, and multi-stakeholder initiatives with tools for deeper listening, reflection, and co-creation. This has demonstrably influenced fields ranging from business and leadership development to social innovation and sustainability, enabling a move away from reactive problem-solving towards generating novel solutions rooted in a shared understanding of emerging possibilities. The Presencing Institute’s global reach, through programs like the u-lab and collaborations with organizations like the UN, further amplifies Scharmer’s impact by cultivating a worldwide ecosystem of change agents committed to addressing pressing global challenges with heightened awareness and collective action.
“You cannot change a system Unless you change consciousness, right? So that that means you cannot really change a social system unless you transform or evolve the mindsets of the people who are enacting that system.”