I've always kind of believed God evolved with the rest of the world. Yes, the actions of god in the old testament are quite revolting to us. So were the actions of many of the people on the earth at that time. I've always kind of thought that as the earth became more civilized, well God followed suite and changed with the world.
Or perhaps the world changed because God's attitude changed.
Or if you don't believe in God perhaps the stories we made up about god changed because the world changed.