Just in case. Did you install new fuses in the main fuse box behind the plastic electro cover? There's also an accessory fuse box in plain sight, usually rearward or to the right of the electro cover.
Shift pedal. You have to pull in the clutch lever to shift & you may have to spin the rear wheel. The bike has a positive neutral finder, so when you are in neutral or 1st gear & the rear wheel isn't spinning, you should only be able to shift from neutral to 1st or vice versa.
1981 KZ650-CSR. Competition, Sports & Road.