The world has become increasingly complex and uncertain. Trust in public institutions has been steadily declining, while extreme individualism is spreading like wildfire. Individuals cling to their own versions of facts, making it even harder to distinguish between truth and lies. Polarized positions grow further apart, and consensus feels more elusive than ever.

This is the environment we are in today, whether we like it or not. Public institutions, essential pillars of governance and society, have been searching for ways to adapt to this volatile, uncertain, complex, and ambiguous (VUCA) world. Lately this world has even been seen as brittle, anxious, non-linear, and incomprehensible (BANI). Public institutions must therefore ensure the capacities to effectively deliver on their mandates. One crucial way to achieve this is by strengthening institutional governance, which can be significantly enhanced through learning and knowledge sharing at individual, team, and organizational levels.

Capacity and Capacity Development: From Individuals to Teams and Institutions

At the CEF, we have been exploring how people learn for over 15 years. Initially, our focus was on individual learning—helping public officials enhance their skills and knowledge. However, over the last five years, we have expanded our learning approach to encompass learning in teams and organizations. We developed a comprehensive methodology to support public institutions in becoming learning organizations. This shift in focus has not only enriched our understanding of organizational learning but also provided us with tools to better address the challenges of the VUCA and BANI world.

I periodically reflect on my personal journey of learning and leadership. Between 2008 and 2012, I undertook an in-depth study of what capacity is and how it can be developed. This was an important period for me that shaped my understanding of what should guide our efforts at the CEF.

In 2014, I shared some of my thoughts on the theory of capacity and capacity development in three learning blogs [1]. These writings laid the foundation for my contribution to our approach in supporting public officials and institutions to develop their capacities. But knowing theory is insufficient. Over the years, I have also drawn insights from practitioners and literature on leadership, learning, and organizational development. It is not a surprise that much of this literature originates from the private sector, underscoring the need for a similar focus in public sector contexts.

Learning and Leadership: A Brave Approach

In 2019, I reflected on the transformation of public institutions in another blog [2]. I concluded with a thought from Brené Brown, whose book I was reading at the time. She argued that daring to lead required bravery and wholeheartedness. This resonated deeply with me. For public institutions to transform into learning organizations, they need leaders who are courageous and invested with their whole hearts. Only such institutions can deliver on their mandates, lead their own transformation, and support the broader transformation of societies.

This insight shaped my stance on our strategic priorities at the CEF. First, our own personal learning must be anchored in our values and must never stop. Second, the CEF must lead by example, walking the talk. Third, we must develop a strategic approach to learning and leadership in public institutions that aligns with our technical thematic focus on public financial management and central banking. Today, our learning and knowledge-sharing program encompasses both technical and non-technical thematic areas, comprehensively addressing the capacity required by public institutions to contribute to successful economies and fair societies.

Values and Organizational Culture as Foundations

To build capacity effectively, institutions must ground their efforts in clearly defined values and a strong organizational culture. The CEF team has identified our core values:

• Teamwork and unity

• Clarity and transparency

• Integrity and accountability

• Equity and inclusivity

• Development and learning

These values are our aspirations. They guide how we strive to work and interact, setting the foundation for creating a higher value-added. One of our key aspirations is to develop an environment of strong collaboration and mutual support, fostering our progress as a learning organization.

Transforming Institutions to Transform Societies

The transformation of public institutions into learning organizations is not merely an institutional endeavor; it has far-reaching implications for societal progress. Institutions that prioritize learning and collaboration are better equipped to respond to the needs of their citizens, adapt to changing circumstances, and drive positive change.

However, this transformation starts at the individual level. Each of us must be willing to learn, grow, and challenge our assumptions and biases. If we want to change the world, we must first start with ourselves, influencing change also at team and institutional levels.

Role Modeling by Walking the Talk

As we work to inspire public institutions to embrace learning and collaboration, we must model these behaviors ourselves. Over the years, our team has worked hard to cultivate a culture of openness, continuous learning, and shared responsibility. While this journey has not been without challenges, the progress we have made reinforces our belief in the transformative power of teamwork.

Teamwork is not just about working together; it is about understanding and using the strengths of everyone on the team to achieve common goals [3]. It involves clear communication, trust, and a willingness to embrace diverse perspectives. When done well, teamwork fosters innovation, resilience, and a sense of shared purpose—qualities that are essential for navigating today’s complex and uncertain world.

[1]

• Theoretical ambiguity of capacity and capacity development;
• Capacity development and change management
• Reductionist and systemic perspectives to capacity development

[2] Transforming Public Sector Institutions

[3] Read the blog of my colleague Ajda Turk