I don't agree that Western individualism is incompatible with addressing systemic problems on a systemic level. Joining the two ideas is more or less the "Nordic model" that we use here (Denmark): Western culture, mixed public/private economy, a high degree of state planning, and a universalist social welfare system. To some extent the German model is similar. There is individualism as well, but not to address systemic problems. No one expects individual action on its own to build the rail system, address economic inequality, safeguard the environment, ensure sensible urban planning, or maintain a national defense. Individual activity is
part of all of those, but individual activity within the framework of rationally designed policies.
Western society is certainly individualist in some senses, especially culturally, and on a micro-level economically as well. I'm not arguing for a fully collectivist society, just to solve systemic problems using systemic approaches. Which we are perfectly capable of doing even in Western culture, using tools like a democratic government.