The beginning of a new year typically comes with the usual reflections of the year just ended. Reflecting on 2020 is bound to keep us busy for a while.
In confronting what we can only hope is a once-in-a-century global pandemic, we were forced to adapt to massive changes in our daily lifestyles, almost overnight. Preparing to go to the supermarket became an exercise in germ warfare. Working from home was no longer an employee perk but a necessity for continuity of business. Seeing friends and extended family was suddenly too dangerous.
In the throes of shutdowns and quarantines, 2020 demonstrated just how complex and interconnected the world is, and the extent to which decisions we make affect others whether its where we shop, how we socialize or what we choose to wear (or dont wear) on our faces. The pandemic has renewed a recognition that, even in isolation, the choices we make have broader impacts, and that challenging practices and conventions designed to benefit the greater good has consequences.
As we begin a new year that offers hope of a return to some sort of normalcy, the renewed recognition of our interconnectedness will have implications for global business leaders as well.
Even before the pandemic arrived, the concept of stakeholder capitalism defined as the belief that organizations need to prioritize societal, environmental, and governmental initiatives that benefit all, not just immediate investors, shareholders, and executives was gaining steam. Today, corporate focus around ESG (Environmental, Social & Governance) and DEI (Diversity, Equity & Inclusion) initiatives are rapidly becoming the norm.
Last year, 181 CEOs of large U.S. companies members of the Business Roundtable agreed in a policy statement that businesses cant flourish over the long term or appropriately reward their shareholders without investing in the stakeholders who make success possible. Prominent voices, BlackRock CEO Larry Fink among them, are now on record stating directly that stakeholder capitalism is the way forward. Salesforce CEO Marc Benioff has emerged as a lead evangelist for the movement.
But while there has been big talk around stakeholder capitalism, for the most part, companies have failed to deliver fundamental shifts in corporate purpose in a moment of grave crisis when enlightened purpose should be paramount, according to a KKS Advisors study published in September.
As we continue to grapple with the pandemic, alongside a deteriorating climate crisis, escalating demand for real social reform, and an ongoing, stark need for greater diversity in the workplace, chances are good that expectations for companies to deliver on their pledge to contribute more positively to society will grow. CEOs will face greater scrutiny as they are challenged to ensure that their organizations deliver more than just investor rewards, without compromising shareholder value. As this happens, leaders will be equally challenged with gauging and demonstrating the impact of their respective stakeholder initiatives. Doing so will require a rethink in the approach to measurement.
Why? Because measuring good, old-fashioned shareholder value is a relatively straightforward proposition. Corporations have a trove of real-time, historical, empirical data and established processes for collecting, capturing, analyzing, and publishing financial results. Investors, analysts, board members, and executives know where responsibility for financial operations resides within the company.
However, initiatives intended to affect broader stakeholders are more ambiguous, less obvious, and require input from well beyond the CFOs office. They are, therefore, more difficult to measure. The International Business Council has taken significant steps to provide organizations with a uniform set of measurement guidelines for progress reporting. After a year of development, the IBC presented a series of common stakeholder metrics at its Summer Meeting in August 2020, and secured support from a majority of participating members.
But even with this guidance, the onus is still on individual companies and senior leadership to ensure they have the capabilities and processes needed to measure their efforts and demonstrate impact. To do so, organizations engaging in ESG and DEI efforts must ask, and honestly assess, the right questions:
As stated, when it comes to shareholder value, there is no shortage of tangible, financial-based metrics captured by companies and accessible to investors and analysts. The data needed to appropriately measure stakeholder-focused initiatives will be different. Identify the data you will need, determine if you have the ability to capture it, and, if not, identify from where it can be sourced.
Whereas financial performance is the domain of the CFO, performance against ESG and DEI initiatives requires participation from elsewhere in the organization, such as human resources, legal, IT, etc. Determine who, within the company, needs to be involved to measure impact holistically, and ensure they understand their role and responsibilities in the measurement process.
In addition to human capital, determine if your organization has the technological capabilities required to appropriately and accurately capture data and enhance collaboration from disparate sources and corners of the organization. Can the new data streams be effectively combined with your existing analytics to generate useful and valuable insights?
You have the data, the resources, and the insights. Now what? Its time to determine if you have the ability to convert all this intelligence into actionable behavior. Consider the feasibility of creating a cross-operational role responsible for launching new programs, interpreting data, and, as needed, redirecting resources or implementing course corrections.
Time will tell if 2021 will be the year that enlightened business leaders with a renewed respect for our global interconnectedness and an understanding of the inextricable link between stakeholder capitalism and shareholder value will actually make a measurable impact. As we head into a hopeful new year, the organizations that act on their values will create value for everyone. Effective measurement will be crucial in demonstrating the impact of those efforts for all constituencies.
See more here:
Measuring Impact in a Complex and Interconnected World - Chief Executive Group
- Xinhua Headlines: In Harbin's icy embrace, tourists flock to offer condolences, cherish memories - Xinhua - February 11th, 2024 [February 11th, 2024]
- Empires of lies The China Project - The China Project - October 22nd, 2023 [October 22nd, 2023]
- Official records on Japanese Imperial Army unit unearthed | NHK ... - NHK WORLD - August 26th, 2023 [August 26th, 2023]
- Today's Nuclear Balance of Power: The Wells of Doom - Executive Intelligence Review (EIR) - August 26th, 2023 [August 26th, 2023]
- People thought the Beatles were God. That's not correct: the ... - Louder - August 26th, 2023 [August 26th, 2023]
- The startling role that disease played in human evolution - Sydney Morning Herald - May 18th, 2023 [May 18th, 2023]
- Celebrate Mothers Day With These 15 Stuntcasted Sitcom Moms - Cracked.com - May 18th, 2023 [May 18th, 2023]
- Smallpox in Canada | The Canadian Encyclopedia - November 27th, 2022 [November 27th, 2022]
- Microorganism - Wikipedia - November 23rd, 2022 [November 23rd, 2022]
- Andrew Kaufman on the false germ paradigm - Jerm Warfare - November 16th, 2022 [November 16th, 2022]
- The Strategic National Stockpile failed during COVID and monkeypox. Will it come through next time? - Bulletin of the Atomic Scientists - October 2nd, 2022 [October 2nd, 2022]
- The SKELP Directives: U.S. Secret Financing of Germ Warfare during the ... - September 29th, 2022 [September 29th, 2022]
- Germ Warfare: GSA Supports Rapid Deployment of Xenex LightStrike Germ ... - August 25th, 2022 [August 25th, 2022]
- You need to watch the most underrated apocalypse movie before it leaves HBO Max this week - Inverse - July 29th, 2022 [July 29th, 2022]
- Allegations of biological warfare in the Korean War - Wikipedia - June 24th, 2022 [June 24th, 2022]
- The deadly germ warfare island abandoned by the Soviets - BBC - May 9th, 2022 [May 9th, 2022]
- The Terrifying Cherry Blossoms at Night of the Japanese Military - SOFREP - May 3rd, 2022 [May 3rd, 2022]
- Avoid Chinas stockmarket heres what to invest in instead - MoneyWeek - May 3rd, 2022 [May 3rd, 2022]
- A Perfect Storm Could Make Measles a Nightmare in 2022, WHO and UNICEF Warn - Gizmodo Australia - May 3rd, 2022 [May 3rd, 2022]
- Colwell: Things would surely be different in Ukraine if Trump were president - South Bend Tribune - April 9th, 2022 [April 9th, 2022]
- Patriotic Propaganda: Staying silent as a choice when what is seen does not match with what is believed - Milwaukee Independent - April 9th, 2022 [April 9th, 2022]
- Germ warfare: Saginaw hospital becomes battleground in U.S ... - March 15th, 2022 [March 15th, 2022]
- U.S. Biological Weapons in UkraineSeparating the Facts From the Fiction - Newsweek - March 15th, 2022 [March 15th, 2022]
- Wanted: A rallying cry to hold back the coming 'Dark... - Daily Maverick - March 15th, 2022 [March 15th, 2022]
- Putin's Apocalypse: How Far Is the Russian President Willing To Go? - DER SPIEGEL International Edition - March 15th, 2022 [March 15th, 2022]
- Yamashita: The pandemic generation will learn to succeed - Guam Pacific Daily News - February 17th, 2022 [February 17th, 2022]
- Bill M. McClure Obituary - Times Record - Times Record - February 17th, 2022 [February 17th, 2022]
- Urban explorer sneaks on to top secret germ warfare base known as UKs Area 51 exposing security ris... - The Sun - February 5th, 2022 [February 5th, 2022]
- Modern warfare - Wikipedia - February 3rd, 2022 [February 3rd, 2022]
- US Military Released Bacteria to Test Biological Warfare - February 3rd, 2022 [February 3rd, 2022]
- This week in Texas History: Spanish flu, our ancestors' pandemic - Hays Free Press - February 3rd, 2022 [February 3rd, 2022]
- Yamashita: Boundaries should be respected | Opinion | guampdn.com - Guam Pacific Daily News - February 3rd, 2022 [February 3rd, 2022]
- The Army tested 'germ warfare' on the NYC subway by ... - January 24th, 2022 [January 24th, 2022]
- Biological Warfare: Infectious Disease and Bioterrorism - January 24th, 2022 [January 24th, 2022]
- Opinion: Vaccines are a tool, not a silver bullet. If we'd allowed more scientific debate, we would have realized this earlier - The Globe and Mail - January 24th, 2022 [January 24th, 2022]
- SARS: A Mystery Illness To Impact Air Travel - Aviation Week - December 10th, 2021 [December 10th, 2021]
- We Need To Protect Earth (And Space) From Interplanetary Invaders - IFLScience - November 21st, 2021 [November 21st, 2021]
- Louis Pasteur | Science History Institute - November 19th, 2021 [November 19th, 2021]
- Pontiac's War - Wikipedia - November 19th, 2021 [November 19th, 2021]
- Japan and weapons of mass destruction - Wikipedia - November 19th, 2021 [November 19th, 2021]
- Andreas Kluth - The War of Nerves on Europe's Border Could Turn Hot - Asharq Al-awsat - English - November 17th, 2021 [November 17th, 2021]
- Microorganisms as potent biological weapons The National - The National - November 15th, 2021 [November 15th, 2021]
- Who is and what does the playwright Yunior Garca Aguilera think, the promoter of the new protests in Cuba - Market Research Telecast - November 15th, 2021 [November 15th, 2021]
- Terrorists will wage terrifying new biowar as Wuhan lab leak chaos shows they could get away with mur... - The Sun - November 9th, 2021 [November 9th, 2021]
- US vicious slanders on China over COVID-19 origins tracing and the truth (Part 7) - China.org.cn - November 9th, 2021 [November 9th, 2021]
- Scientists, Emergency Planners Conducting Air Flow Study In NYC This Week To Improve Response Protocols - CBS New York - October 21st, 2021 [October 21st, 2021]
- Letter to the Editor - Masks: one of the three best defenses in modern germ warfare - The Havre Daily News - September 27th, 2021 [September 27th, 2021]
- Ancient Greek Medicine: Who Was Hippocrates And What Was The Hippocratic Oath? - BBC History Magazine - September 27th, 2021 [September 27th, 2021]
- The US government's comic approach to information warfare - Bulletin of the Atomic Scientists - September 20th, 2021 [September 20th, 2021]
- The enduring appeal of the Bond villain - Spectator.co.uk - September 4th, 2021 [September 4th, 2021]
- Letters To The Editor Week of 8/16/2021 | The Press - Press Publications Inc. - August 14th, 2021 [August 14th, 2021]
- Talk of the Town: | Blowing Rocket | wataugademocrat.com - Watauga Democrat - July 29th, 2021 [July 29th, 2021]
- Letter to the Editor: Joe Bialek - Atlanta Jewish Times - July 18th, 2021 [July 18th, 2021]
- America's Impressive History of Bioweapons Attacks Against Its Own People - CounterPunch.org - CounterPunch - July 10th, 2021 [July 10th, 2021]
- Lee Camp: Americas impressive history of bioweapons attacks against its own people - RT - July 10th, 2021 [July 10th, 2021]
- Laboratory leaks have happened before more frequently than we would like to believe - Yahoo Eurosport UK - June 4th, 2021 [June 4th, 2021]
- Biden's Renewed Interest in COVID Lab Leak Theory Likely to Worsen Anti-Asian Sentiment - UrduPoint News - June 4th, 2021 [June 4th, 2021]
- 10 Fascinating Facts About The US Army - War History Online - June 4th, 2021 [June 4th, 2021]
- US targeting China to hide its own past: expert - Chinadaily USA - May 31st, 2021 [May 31st, 2021]
- Dr. Fauci Just Discovered What Rush Told Us Last Year - Rush Limbaugh - May 31st, 2021 [May 31st, 2021]
- Everything is reopening. But lets not bring back the handshake, OK? - The Boston Globe - May 20th, 2021 [May 20th, 2021]
- Fake news, conspiracy theories and a deadly global pandemic and that was in 1918 - Salon - May 9th, 2021 [May 9th, 2021]
- North Korea and China Accused America of Biowarfare During the Korean War - The National Interest - April 21st, 2021 [April 21st, 2021]
- Top Secret: Russia Had a Military Accident With Anthrax in 1979 - The National Interest - March 26th, 2021 [March 26th, 2021]
- Chaos Walking: Wanna Hear What Tom Hollands Thinking? Think Again - Rolling Stone - March 7th, 2021 [March 7th, 2021]
- Josh Freed: COVID has robbed us of small talk, and that's a big deal - Montreal Gazette - February 21st, 2021 [February 21st, 2021]
- Letter to Editor | Letters to the Editor - Hermann Advertiser Courier - February 8th, 2021 [February 8th, 2021]
- Letter: Need to return to united, not divided states - Whidbey News-Times - February 8th, 2021 [February 8th, 2021]
- Whats Keeping the Vaccine From Getting to Those Who Need it Most? - The Nation - February 8th, 2021 [February 8th, 2021]
- Letter: Need to return to united, not divided states - South Whidbey Record - February 2nd, 2021 [February 2nd, 2021]
- Bill Gates: 3 innovations that will help America get ahead of the next pandemic - CNBC - February 2nd, 2021 [February 2nd, 2021]
- 1887: The invasion of the rabbit - Stuff.co.nz - February 2nd, 2021 [February 2nd, 2021]
- The Recorder - My Turn: Germ warfare - The Recorder - January 25th, 2021 [January 25th, 2021]
- Paul Kaufman on Trump and nuclear weapons - Newham Recorder - January 25th, 2021 [January 25th, 2021]
- Biological warfare experiment in India and the curious case of yellow fever mosquitoes - Frontline - January 21st, 2021 [January 21st, 2021]
- How the KGB convinced the world that AIDS was a Pentagon invention - Russia Beyond - January 21st, 2021 [January 21st, 2021]
- South African Doctor Who Tried to Wipe Out Black People Still Practising - iAfrica.com - January 21st, 2021 [January 21st, 2021]
- The militarization of American democracy | TheHill - The Hill - January 21st, 2021 [January 21st, 2021]
- The BroadsheetDAILY ~ 1/14/21 ~ State Extends, Expands Eviction and Foreclosure Bans Credited with Saving Thousands of Lives - ebroadsheet.com - January 15th, 2021 [January 15th, 2021]
- Protesters Gather as Spiffy's and Farm Boy Drive-in Go to Court - Centralia Chronicle - January 5th, 2021 [January 5th, 2021]