1 / 32

Corporation 2020: Redefining Business for a Green Economy

Explore the pivotal role of businesses in the social-ecological transition towards a sustainable future. Discover the transformative ideas presented by Pavan Sukhdev, Founder & CEO of GIST Advisory, in his book "Corporation 2020." The discussion delves into the necessity of a green economy for sustainable development and how corporations need to shift their behaviors towards creating positive externalities. Learn about the impact of human and social capital on business performance and society, and the importance of stakeholder reporting for creating shared value. Join the conversation on reshaping corporate strategies for a greener, more equitable tomorrow.

faunus
Télécharger la présentation

Corporation 2020: Redefining Business for a Green Economy

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. ETUI The social-ecological transition: the role of business and labour Brussels, 23rd May 2014 “Corporation 2020” Transforming Business for Tomorrow’s World Pavan Sukhdev, Founder & CEO, GIST Advisory Author, “Corporation 2020”

  2. Not the future we want…

  3. Is a ‘Green Economy’ Possible without greening the Private Sector? (eg: USA) 2010 data. Source: U.S. Bureau of Economic Analysis

  4. Sustainable Development, Green Economy, Corporation 2020… Without a “Green Economy” we cannot achieve the goals of “Sustainable Development” www.unep.org/greeneconomy Without “Corporation 2020” we cannot deliver a “Green Economy” www.corp2020.com @corp2020

  5. “Corporation 1920” • Four Defining Behaviours • Pursuit of Size • Active Lobbying • Leverage without Limits • Advertising without Ethics ….

  6. “Corporation 1920” • Four Defining Behaviours • Pursuit of Size • Active Lobbying • Leverage without Limits • Advertising without Ethics …. Causing “Negative Externalities”

  7. “Externalities”… Global Picture • Negative externalities of top 3,000 companies estimated at US$2.15 trillion per annum Source: Trucost for UNPRI, 2010.

  8. Global Picture: Planetary Boundaries…

  9. Negative Corporate Externalities ….. Top 3,000 Listed Companies Source: Trucost for UNPRI, 2010.

  10. ….. Are Pushing Planetary Boundaries Greenhouse Gases Greenhouse Gases Natural Resources Natural Resources Natural Resources Water Abstraction

  11. “Corporation 1920” • Four Defining Behaviours • Pursuit of Size • Active Lobbying • Leverage without Limits • Advertising without Ethics ….

  12. Smoke and Mirrors in 1920…

  13. Fifty Years On … “You’ve come a long way, baby”

  14. Accountable Advertising : PUMA

  15. Key Featre of “Corporation 2020”Creating Positive Externalities, not Negative.. Evolution of the Corporation From : “Corporation 2020”

  16. Why “Stakeholder Reporting?”Business today depends on, and/or has impacts on, ALL dimensions of private & public wealth… but.. * Creating community wealth and public wealth creates “shared value”

  17. Why “Stakeholder Reporting?”Business today generally measures & reports only shareholder wealth impacts: private physical capital

  18. Why “Stakeholder Reporting?”Business for a sustainable tomorrow – will measure & report on ALL dimensions of its impacts …

  19. How Stakeholder Reporting?GIST 360™Assessment Scope Measuring “Value Addition” holistically, including all material Externalities

  20. Positive Human Capital Externalities Human Capital Factory for IT Talent: INFOSYS Mysore Campus, Infosys - World-class Training for 30,000 p.a. Attrition feeds trained IT talent to the world Positive externalities over US$ 1 billion p.a.

  21. What is “Human Capital”? • “Human Capital refers to the knowledge, skills, competences, and other attributes embodied in individuals that are relevant to economic activity” (OECD, 1998). • Among the most important assets and a key determinant of country’s overall economic performance • Among the most important assets for any business and a key determinant of business performance • One of the “Six Capitals” in IIRC’s recent consultation draft of their “Integrated Reporting” framework (<IR>, 2013) • Neither national accounts nor business accounts reflect human capital creation or loss, nor human capital externalities

  22. Levels & Dimensions of Human Capital Level and Dimensions of Human Capital (Adapted from CEDEFOP, 2001)

  23. Progress of Corporate Reporting on Human Capital: the last 50 years

  24. Approaches to Valuing Human Capital

  25. HCXTM Model: Results from Infosys Annual Report 2011-12

  26. Positive Social Capital Externalities A Business Model delivering Social Benefits: NATURA 1.4 million housewives earn 33% sales commission Economic security improves family & social status for women Training is used to sell other companies’ goods Greater proportion of household expenditure on health & education Increased labour market flexibility and efficiency http://totallybeautyaddict.fr/mon-jolieapero-chez-natura-brasil/ Source: http://www.managementexchange.com/story/innovation-in-well-being

  27. What is “Social Capital”? • Social Capital can be defined (source: IIRC) as “the institutions and relationships established within and between communities, groups of stakeholders and other networks, and the ability to share information, to enhance individual and collective well-being. Social and relationship capital includes: • Shared norms & common values and behaviours • Key relationships and the trust and loyalty that an organization has developed and strives to build and protect with customers, suppliers and business partners • An organization’s social licence to operate” • Some business models, company policies and CSR activities are designed to improve such institutions and relationships, and in doing so, will usually generate positive externalities (eg: improvements in public health, societal job creation,environmental conditions, etc.).

  28. What will drive change? • Macro Issue • Micro Driver • Micro Solution

  29. What will define a “Corporation 2020”? • Four Characteristics • Goal Alignment with Society • Positive Externalities • “Community” • “Institute”

  30. “Corporation 2020” views of Labour and the Community • Mondragon: “Risking capital to create labour, not risking labour to create capital” • Tata: “The community is not merely a stakeholder in the business, it is its very purpose”

  31. Corporation as “Community”: Natura Alessandro Carlucci Pavan Sukhdev CEO, Natura Author, “Corporacao 2020”

  32. Thank You ! www.gistadvisory.com www.corp2020.com

More Related