The first step in helping organizations move toward practicing Corporate Social Responsibility (CSR) is for each of us to take more personal responsibility for our own lives, and then demand that our employers do the same.
What are some of the prerequisites for accepting personal responsibility?
- Stop claiming that others have determined what we are today.
- Accept that we alone are responsible for our choices in life and that we alone determine the direction our life takes from now on.
- Admit past mistakes and accept the blame.
- Stop feeling sorry for ourselves.
- Let go of any old anger and get on with our lives.
- Learn to depend solely on ourselves for acceptance, affirmation and approval.
At its core, socially responsible leadership requires that we stand for advancing CSR because it truly matters to us, that it reflects our personal vision. But for our vision to have power, we must make it explicit. This requires going public and telling others that we think it’s important and explaining why we think it’s important. However, before we speak up, we need to become more knowledgeable so we’ll be credible and persuasive in our advocacy. Subsequently, our passion and our drive to action will become the prime message that influences others.
Will Marre says, “The American Dream will only be reclaimed one dream at a time. Only when enough of us stand up for our real dreams of a sustainable future will the entire energy of our culture rise up to transform the world. Only our noble vision will save our future. All we have to do is start right where we are. Today."
Vistage speaker Steven Snyder says, “If you don't know what to do, try this on for size. Ask, is this a problem that needs a solution, or a goal to realize. If you don't know what you want, you must ask your self and listen. The answer can't be logical, it must come through intuition. If you do know what you want, go forward in this fashion. Release the fear that's blocking you and take an action step with passion.”
I believe that when employees are empowered to take their own Personal Social Responsibility seriously, doors are opened. As a result, many of the best green initiatives and social innovations have come from employees in the middle or at the bottom of organizations. The key is training all employees to think and act in ways that add value to both their future, the planet’s future, and to the company’s bottom line. When these goals are aligned, workers harness their strengths, interests and creativity to create real value. When that happens, a culture of innovation thrives and people do amazing things no matter what their circumstances.
Tuesday, August 11, 2009
Monday, August 10, 2009
Why we avoid accepting personal responsbility.
Today is my 300th post since I started this blog in June, 2008. While 300 is just another number, it does indicate, if nothing else, that I've been diligent in my task. I've enjoyed sharing my opinions with you and trust that this coming year will see more signed-up readers. I strongly encourage you to sign up by scrolling down to the end of the page and signing in where it says "Follow."
Thinking further about Corporate Social Responsibility (CSR), Will Marre, who lives here in San Diego, and has a new book coming out next month entitled, Save the World and Still be Home for Dinner, points out that the success of CSR is dependent on each of us assuming personal responsibility for our choices and actions. Having passionate feelings about how we might contribute to a better world isn't enough. There are many barriers between noble intentions and effective action. The major barrier to accepting personal responsibility is adopting false stories.
We tell stories about everything - our parents, our high school years, ex-spouses, the economy, etc. These stories are usually based on a few selected facts and a hefty filler of emotional logic. Emotional logic is the glue we use to fill in the gaps between our fears and reality. False stories allow us to mentally connect events that weren't directly connected in reality and to invent causes, motives and reasons why events turned out the way they did. It also lets us generalize an individual incident into a law of life. False stories provide us with elaborate excuses for why we can't act on our desires. They lead us to deny, blame, or rationalize which creates inertia in our lives.
To deny means to pretend a negative situation doesn’t exist. “I have no problem. My life's fine as it is. This situation is normal and I shouldn’t expect more. Sometimes you have to be patient and wait for things to change.” To deny also means telling ourselves that change could create an even worse situation and this then becomes our excuse not to change.
To blame is to say, “I don’t like my situation, but it’s not my fault and I can’t fix it. I can’t do anything to create a sustainable future because my boss would never go for it.” We blame our obligations, responsibilities, and the stubbornness of others for the inertia in our lives. We don’t change because we're waiting for people or situations to change for us.
To rationalize we literally tell ourselves “rational lies" that make superficial sense. Most of the time these lies are constructed around two false ideas:
(1) even though this aspect of my life is less than I want it to be, it doesn’t really matter,
or
(2) change is impossible. ("We tried that before and it didn't work").
Denial, blame, and rationalization all are well-developed mental games we play to keep us in an unconscious state. But change is only difficult as long as we resist it. In business, small, visible and successful change often ignites a storm of enthusiasm by employees and consumers that gives leaders the courage to support further positive change.
More on accepting personal social responsibility tomorrow.
Thinking further about Corporate Social Responsibility (CSR), Will Marre, who lives here in San Diego, and has a new book coming out next month entitled, Save the World and Still be Home for Dinner, points out that the success of CSR is dependent on each of us assuming personal responsibility for our choices and actions. Having passionate feelings about how we might contribute to a better world isn't enough. There are many barriers between noble intentions and effective action. The major barrier to accepting personal responsibility is adopting false stories.
We tell stories about everything - our parents, our high school years, ex-spouses, the economy, etc. These stories are usually based on a few selected facts and a hefty filler of emotional logic. Emotional logic is the glue we use to fill in the gaps between our fears and reality. False stories allow us to mentally connect events that weren't directly connected in reality and to invent causes, motives and reasons why events turned out the way they did. It also lets us generalize an individual incident into a law of life. False stories provide us with elaborate excuses for why we can't act on our desires. They lead us to deny, blame, or rationalize which creates inertia in our lives.
To deny means to pretend a negative situation doesn’t exist. “I have no problem. My life's fine as it is. This situation is normal and I shouldn’t expect more. Sometimes you have to be patient and wait for things to change.” To deny also means telling ourselves that change could create an even worse situation and this then becomes our excuse not to change.
To blame is to say, “I don’t like my situation, but it’s not my fault and I can’t fix it. I can’t do anything to create a sustainable future because my boss would never go for it.” We blame our obligations, responsibilities, and the stubbornness of others for the inertia in our lives. We don’t change because we're waiting for people or situations to change for us.
To rationalize we literally tell ourselves “rational lies" that make superficial sense. Most of the time these lies are constructed around two false ideas:
(1) even though this aspect of my life is less than I want it to be, it doesn’t really matter,
or
(2) change is impossible. ("We tried that before and it didn't work").
Denial, blame, and rationalization all are well-developed mental games we play to keep us in an unconscious state. But change is only difficult as long as we resist it. In business, small, visible and successful change often ignites a storm of enthusiasm by employees and consumers that gives leaders the courage to support further positive change.
More on accepting personal social responsibility tomorrow.
Friday, August 7, 2009
Mandalay, a poem by Rudyard Kipling.
Rudyard Kipling (1865 –1936) was a British author and poet. Born in Bombay, British India, he is best known for his works of fiction The Jungle Book (1894), Kim (1901), many short stories, including The Man Who Would Be King (1888); and his poems, including Mandalay (1890), Gunga Din (1890), and If— (1910). In 1907, he was awarded the Nobel Prize in Literature, making him the first English language writer to receive the prize, and to date he remains its youngest recipient. He believed that, “If history were taught in the form of stories, it would never be forgotten.”
I've always loved this poem for the exotic world it conjures up in my imagination.
Mandalay by Rudyard Kipling
By the old Moulmein Pagoda, lookin' lazy at the sea,
There's a Burma girl a-settin', and I know she thinks o' me;
For the wind is in the palm-trees, and the temple-bells they say:
"Come you back, you British soldier; come you back to Mandalay! "
Come you back to Mandalay,
Where the old Flotilla lay:
Can't you 'ear their paddles chunkin' from Rangoon to Mandalay ?
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
'Er petticoat was yaller an' 'er little cap was green,
An' 'er name was Supi-yaw-lat - jes' the same as Theebaw's Queen,
An' I seed her first a-smokin' of a whackin' white cheroot,
An' a-wastin' Christian kisses on an 'eathen idol's foot:
Bloomin' idol made o' mud
Wot they called the Great Gawd Budd
Plucky lot she cared for idols when I kissed 'er where she stud!
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
When the mist was on the rice-fields an' the sun was droppin' slow,
She'd git 'er little banjo an' she'd sing "Kulla-lo-lo!
With 'er arm upon my shoulder an' 'er cheek agin my cheek
We useter watch the steamers an' the hathis pilin' teak.
Elephints a-pilin' teak
In the sludgy, squdgy creek,
Where the silence 'ung that 'eavy you was 'arf afraid to speak!
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
But that's all shove be'ind me - long ago an' fur away
An' there ain't no 'busses runnin' from the Bank to Mandalay;
An' I'm learnin' 'ere in London what the ten-year soldier tells:
"If you've 'eard the East a-callin', you won't never 'eed naught else."
No! you won't 'eed nothin' else
But them spicy garlic smells,
An' the sunshine an' the palm-trees an' the tinkly temple-bells;
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
I am sick o' wastin' leather on these gritty pavin'-stones,
An' the blasted English drizzle wakes the fever in my bones;
Tho' I walks with fifty 'ousemaids outer Chelsea to the Strand,
An' they talks a lot o' lovin', but wot do they understand?
Beefy face an' grubby 'and -
Law! wot do they understand?
I've a neater, sweeter maiden in a cleaner, greener land!
Ship me somewheres east of Suez, where the best is like the worst,
Where there aren't no Ten Commandments an' a man can raise a thirst;
For the temple-bells are callin', an' it's there that I would be
By the old Moulmein Pagoda, looking lazy at the sea;
On the road to Mandalay,
Where the old Flotilla lay,
With our sick beneath the awnings when we went to Mandalay!
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
I've always loved this poem for the exotic world it conjures up in my imagination.
Mandalay by Rudyard Kipling
By the old Moulmein Pagoda, lookin' lazy at the sea,
There's a Burma girl a-settin', and I know she thinks o' me;
For the wind is in the palm-trees, and the temple-bells they say:
"Come you back, you British soldier; come you back to Mandalay! "
Come you back to Mandalay,
Where the old Flotilla lay:
Can't you 'ear their paddles chunkin' from Rangoon to Mandalay ?
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
'Er petticoat was yaller an' 'er little cap was green,
An' 'er name was Supi-yaw-lat - jes' the same as Theebaw's Queen,
An' I seed her first a-smokin' of a whackin' white cheroot,
An' a-wastin' Christian kisses on an 'eathen idol's foot:
Bloomin' idol made o' mud
Wot they called the Great Gawd Budd
Plucky lot she cared for idols when I kissed 'er where she stud!
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
When the mist was on the rice-fields an' the sun was droppin' slow,
She'd git 'er little banjo an' she'd sing "Kulla-lo-lo!
With 'er arm upon my shoulder an' 'er cheek agin my cheek
We useter watch the steamers an' the hathis pilin' teak.
Elephints a-pilin' teak
In the sludgy, squdgy creek,
Where the silence 'ung that 'eavy you was 'arf afraid to speak!
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
But that's all shove be'ind me - long ago an' fur away
An' there ain't no 'busses runnin' from the Bank to Mandalay;
An' I'm learnin' 'ere in London what the ten-year soldier tells:
"If you've 'eard the East a-callin', you won't never 'eed naught else."
No! you won't 'eed nothin' else
But them spicy garlic smells,
An' the sunshine an' the palm-trees an' the tinkly temple-bells;
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
I am sick o' wastin' leather on these gritty pavin'-stones,
An' the blasted English drizzle wakes the fever in my bones;
Tho' I walks with fifty 'ousemaids outer Chelsea to the Strand,
An' they talks a lot o' lovin', but wot do they understand?
Beefy face an' grubby 'and -
Law! wot do they understand?
I've a neater, sweeter maiden in a cleaner, greener land!
Ship me somewheres east of Suez, where the best is like the worst,
Where there aren't no Ten Commandments an' a man can raise a thirst;
For the temple-bells are callin', an' it's there that I would be
By the old Moulmein Pagoda, looking lazy at the sea;
On the road to Mandalay,
Where the old Flotilla lay,
With our sick beneath the awnings when we went to Mandalay!
On the road to Mandalay,
Where the flyin'-fishes play,
An' the dawn comes up like thunder outer China 'crost the Bay!
Thursday, August 6, 2009
Combining CSR with leadership development.
Dr. L. Todd Thomas, the founder and president of IMPACT Consulting and Development, advocates that companies combine the needs of their communities with the objectives of their companies' leadership development efforts. By changing the typical design of in-workshop exercises to simulations and activities that benefit existing community organizations, leaders are more engaged in the learning and the outcome has a lasting benefit. Organizations that support this type of leadership development create highly engaged and loyal leaders who see that the values of the organization extend beyond the profit and loss statement. Companies that want to go this route need to identify a purpose that's in alignment with their values and their business, partner with an organization that welcomes their involvement, and then take the time needed to combine their business purpose with their societal purpose.
They can then create some highly innovative ways of combining leadership development and social responsibility. Common skill development examples include:
Collaboration.
Leaders can be assigned to a community development project where each individual has a certain amount of information, but no one leader has all the information. The objective is to collaborate together to achieve the desired outcome.
Delegation.
By assigning a leader to an objective in partnership with a non-profit organization where the outcome can't possibly be achieved by the individual themselves, you can demonstrate the problems that arise when leaders try to do everything themselves without depending on their followers. In order to be successful, the leader will have to enlist others and empower them to participate.
Communication.
Leaders may have to create an internal communication strategy for another organization with the understanding that it's a real strategy - i.e. the organization will likely follow it. By comparing what they know others should do with their own practices, leaders will often identify actions they need to take to increase the effectiveness of their own communication.
Accountability.
Socially responsible leadership development can teach accountability through making the leaders responsible for the commitments of the company to the non-profit organization. If leaders in the activity are sure that the company won't come to their aid in achieving the objective, they'll realize their own accountability in making sure the project is successful.
There are many other leadership characteristics that can be taught in partnership with non-profit and social-responsibility organizations. Many companies routinely do community service projects, but normally miss the opportunity to use the practice as leadership development because they don’t evaluate the process later based on leadership criteria. It's the process of debriefing the learning from the activity that creates the leadership development potential.
They can then create some highly innovative ways of combining leadership development and social responsibility. Common skill development examples include:
Collaboration.
Leaders can be assigned to a community development project where each individual has a certain amount of information, but no one leader has all the information. The objective is to collaborate together to achieve the desired outcome.
Delegation.
By assigning a leader to an objective in partnership with a non-profit organization where the outcome can't possibly be achieved by the individual themselves, you can demonstrate the problems that arise when leaders try to do everything themselves without depending on their followers. In order to be successful, the leader will have to enlist others and empower them to participate.
Communication.
Leaders may have to create an internal communication strategy for another organization with the understanding that it's a real strategy - i.e. the organization will likely follow it. By comparing what they know others should do with their own practices, leaders will often identify actions they need to take to increase the effectiveness of their own communication.
Accountability.
Socially responsible leadership development can teach accountability through making the leaders responsible for the commitments of the company to the non-profit organization. If leaders in the activity are sure that the company won't come to their aid in achieving the objective, they'll realize their own accountability in making sure the project is successful.
There are many other leadership characteristics that can be taught in partnership with non-profit and social-responsibility organizations. Many companies routinely do community service projects, but normally miss the opportunity to use the practice as leadership development because they don’t evaluate the process later based on leadership criteria. It's the process of debriefing the learning from the activity that creates the leadership development potential.
Wednesday, August 5, 2009
Resources for getting started in CSR.
One easy way to start a CSR initiative, according to Sam Pettway, the founding director of BoardWalk Consulting in Atlanta, is to institute a matching program for charitable contributions made by your own employees. By setting aside some of your charitable dollars in support of causes your own people are already supporting, you'll get additional leverage from whatever contributions you do make.
Additionally, you can pick a target area (or two or three, depending on the amount of money you're working with) and focus on that for a specified period of time. It's perfectly fair to pick areas that are strategically important to your business. For example, if architecture and construction are your business targets, then Habitat for Humanity, Rebuilding Together, or your area's version of ToolBank represent causes that might resonate. That way, you can make a real difference by making larger donations to a smaller number of organizations. Pettway says, "In short, by thinking strategy, then policy, CSR can be a joy and not a burden!"
Here are some of the growing number of resources that can provide additional ideas:
Boston College’s Center for Corporate Citizenship - http://www.bcccc.net/ - has a developed a five stage hierarchy of corporate citizenship, from reactive (compliant) to fully integrated and proactive (transformative). As you might guess, the real benefits for everyone - businesses and society - lie increasingly along the more proactive stages of that grid.
The Business Civic Leadership Center - http://www.uschamber.com/bclc/ - is a nonprofit sponsored by the US Chamber of Commerce to support businesses in their initiatives to achieve social goals.
Business for Social Responsibility (BSR) - http://www.bsr.org/index.cfm - is a practical resource for those interested in or committed to corporate social responsibility. Members include the brand-name global companies you would expect plus many smaller ones you might not know.
Corporate Social Responsibility - http://www.csrwire.com/ - is an extensive resource and newsletter for those interested in corporate citizenship / social responsibility, both domestically and internationally.
Stanford's Social Innovation Review - http://www.ssireview.org/ - web site is also a source of ideas to help corporate and nonprofit executives think strategically about sustaining communities while building enduring companies. It claims to presents "the best ideas in nonprofit management, philanthropy and corporate citizenship. Find out what works and what doesn't. And how to strengthen your social impact."
The Center for Ethics and Corporate Responsibility at Georgia State - http://robinson.gsu.edu/ethics/index.html - is the Southeast's leading organization in ethical leadership and corporate integrity.
Network for Good - http://www.networkforgood.org - is a web-based nonprofit organization dedicated to helping people get more involved in their communities by connecting passion and financial support with compelling causes.
Additionally, you can pick a target area (or two or three, depending on the amount of money you're working with) and focus on that for a specified period of time. It's perfectly fair to pick areas that are strategically important to your business. For example, if architecture and construction are your business targets, then Habitat for Humanity, Rebuilding Together, or your area's version of ToolBank represent causes that might resonate. That way, you can make a real difference by making larger donations to a smaller number of organizations. Pettway says, "In short, by thinking strategy, then policy, CSR can be a joy and not a burden!"
Here are some of the growing number of resources that can provide additional ideas:
Boston College’s Center for Corporate Citizenship - http://www.bcccc.net/ - has a developed a five stage hierarchy of corporate citizenship, from reactive (compliant) to fully integrated and proactive (transformative). As you might guess, the real benefits for everyone - businesses and society - lie increasingly along the more proactive stages of that grid.
The Business Civic Leadership Center - http://www.uschamber.com/bclc/ - is a nonprofit sponsored by the US Chamber of Commerce to support businesses in their initiatives to achieve social goals.
Business for Social Responsibility (BSR) - http://www.bsr.org/index.cfm - is a practical resource for those interested in or committed to corporate social responsibility. Members include the brand-name global companies you would expect plus many smaller ones you might not know.
Corporate Social Responsibility - http://www.csrwire.com/ - is an extensive resource and newsletter for those interested in corporate citizenship / social responsibility, both domestically and internationally.
Stanford's Social Innovation Review - http://www.ssireview.org/ - web site is also a source of ideas to help corporate and nonprofit executives think strategically about sustaining communities while building enduring companies. It claims to presents "the best ideas in nonprofit management, philanthropy and corporate citizenship. Find out what works and what doesn't. And how to strengthen your social impact."
The Center for Ethics and Corporate Responsibility at Georgia State - http://robinson.gsu.edu/ethics/index.html - is the Southeast's leading organization in ethical leadership and corporate integrity.
Network for Good - http://www.networkforgood.org - is a web-based nonprofit organization dedicated to helping people get more involved in their communities by connecting passion and financial support with compelling causes.
Tuesday, August 4, 2009
MBAs join the CSR movement.
The top business schools in the US have taken a lot of criticism lately for failing to put enough (or indeed any) emphasis on ethics, social values and corporate reponsibility in their study programs. Imagine graduating with a master's degree in business administration and being lumped in the same category as Ponzi schemer Bernie Madoff, or the executives who ran Enron. The low opinion many people have of MBAs, especially in the wake of the financial crisis was on the minds of a group of 25 students who received their master's degrees from Harvard Business School earlier this year. They've mounted a campaign to have graduating students take what they call the "MBA Oath," modeled after the medical profession's Hippocratic oath. The oath is about their commitments to the good of the community, and how it's not just about individual profit or about their own self-advancement.
They define their Mission as:
Our near-term goal is to get at least 100 graduating Harvard Business School students to sign the oath. We hope this will
a) make a difference in the lives of the students who take the oath
b) challenge other classmates to work with a higher professional standard, whether they sign the oath or not and
c) create a public conversation in the press about professionalizing and improving management.
Our long-term goal is to transform the field of management into a true profession, one in which MBAs are respected for their integrity, professionalism, and leadership. We hope to see hundreds of thousands of MBAs take the MBA oath, or something like it, as a step towards realizing this vision.
THE MBA OATH
As a manager, my purpose is to serve the greater good by bringing people and resources together to create value that no single individual can create alone. Therefore I will seek a course that enhances the value my enterprise can create for society over the long term. I recognize my decisions can have far-reaching consequences that affect the well-being of individuals inside and outside my enterprise, today and in the future. As I reconcile the interests of different constituencies, I will face choices that are not easy for me and others.
Therefore I promise:
* I will act with utmost integrity and pursue my work in an ethical manner.
* I will safeguard the interests of my shareholders, co-workers, customers and the society in which we operate.
* I will manage my enterprise in good faith, guarding against decisions and behavior that advance my own narrow ambitions but harm the enterprise and the societies it serves.
* I will understand and uphold, both in letter and in spirit, the laws and contracts governing my own conduct and that of my enterprise.
* I will take responsibility for my actions, and I will represent the performance and risks of my enterprise accurately and honestly.
* I will develop both myself and other managers under my supervision so that the profession continues to grow and contribute to the well-being of society.
* I will strive to create sustainable economic, social, and environmental prosperity worldwide.
* I will be accountable to my peers and they will be accountable to me for living by this oath.
This oath I make freely, and upon my honor.
MBAs from over 280 different programs have signed the oath, and of the 200 most recent signers of the oath, 93% are from schools other than Harvard. In fact, schools with the largest contingents of signers include Kellogg, NYU Stern, Oxford Said, Singapore Management University, Columbia Business School, Fuqua, MIT Sloan, Dominican University, and Wharton.
Enthusiasm for the oath is increasingly international, from coverage by the Shanghai Daily to support from similar initiatives in Argentina. Over half the pioneer MBA class at Singapore Management University has taken the oath, as has 70% of NYU’s Executive MBA class.
For more information, see http://www.mbaoath.org
They define their Mission as:
Our near-term goal is to get at least 100 graduating Harvard Business School students to sign the oath. We hope this will
a) make a difference in the lives of the students who take the oath
b) challenge other classmates to work with a higher professional standard, whether they sign the oath or not and
c) create a public conversation in the press about professionalizing and improving management.
Our long-term goal is to transform the field of management into a true profession, one in which MBAs are respected for their integrity, professionalism, and leadership. We hope to see hundreds of thousands of MBAs take the MBA oath, or something like it, as a step towards realizing this vision.
THE MBA OATH
As a manager, my purpose is to serve the greater good by bringing people and resources together to create value that no single individual can create alone. Therefore I will seek a course that enhances the value my enterprise can create for society over the long term. I recognize my decisions can have far-reaching consequences that affect the well-being of individuals inside and outside my enterprise, today and in the future. As I reconcile the interests of different constituencies, I will face choices that are not easy for me and others.
Therefore I promise:
* I will act with utmost integrity and pursue my work in an ethical manner.
* I will safeguard the interests of my shareholders, co-workers, customers and the society in which we operate.
* I will manage my enterprise in good faith, guarding against decisions and behavior that advance my own narrow ambitions but harm the enterprise and the societies it serves.
* I will understand and uphold, both in letter and in spirit, the laws and contracts governing my own conduct and that of my enterprise.
* I will take responsibility for my actions, and I will represent the performance and risks of my enterprise accurately and honestly.
* I will develop both myself and other managers under my supervision so that the profession continues to grow and contribute to the well-being of society.
* I will strive to create sustainable economic, social, and environmental prosperity worldwide.
* I will be accountable to my peers and they will be accountable to me for living by this oath.
This oath I make freely, and upon my honor.
MBAs from over 280 different programs have signed the oath, and of the 200 most recent signers of the oath, 93% are from schools other than Harvard. In fact, schools with the largest contingents of signers include Kellogg, NYU Stern, Oxford Said, Singapore Management University, Columbia Business School, Fuqua, MIT Sloan, Dominican University, and Wharton.
Enthusiasm for the oath is increasingly international, from coverage by the Shanghai Daily to support from similar initiatives in Argentina. Over half the pioneer MBA class at Singapore Management University has taken the oath, as has 70% of NYU’s Executive MBA class.
For more information, see http://www.mbaoath.org
Monday, August 3, 2009
Do you work for a B Corporation?
Last week, I tried to illustrate why interest in Corporate Social responsibility (CSR) is spreading. I also provided examples of initiatives in both large and small companies, here in the US and in Europe. I could also have given examples from a host of other countries on all five continents. So, I believe a new model of socially-strategic leadership is already working and gaining wide-spread acceptance.
In physics we know that many seemingly opposite things can be true at the same time. Light can be both a particle and a wave. We can be sitting in a chair, sure we’re not moving, yet be on a planet moving through space at 67,000 miles an hour. Once we become open to a “Both + And” world view, we can begin to see problems as opportunities. "Both + And" thinking pushes our imaginations to a higher level and lets us live our whole dream rather than a fraction of it. "Either - Or" thinking boxes us into making small, limiting choices instead of big, liberating ones. The CSR philosophy is grounded in providing "Both + And" leadership which seeks to jointly optimize many requirements at the same time in a complimentary way.
While a company can easily claim to be following CSR practices, rather like what's happening with the current organic food movement, how do you know which are for real and which are just continuing with old practices but calling them by new names? One way in the US is to look for businesses that have been certified as B Corporations (B as in “for benefit” to society). This certifies to a consumer or investor that they’ve chosen a company that's passed a certain threshold of social responsibility. Becoming a B Corporation involves changing a company's bylaws to pledge consideration of wider stakeholder interests. Changes in the company charter however are only part of the story, according to Andrew Kassoy, cofounder of B Lab, the Berwyn, Pa., nonprofit group that certifies B Corporations. That’s because B Corporations must also continually earn high marks on a social responsibility scorecard to qualify for certification.
The three-year-old B Corporation movement began when Mr. Kassoy and two former classmates at Stanford University formed B Lab to encourage alternatives to what they call “short-termism” – a tunnel-vision focus on generating quick returns for shareholders. Currently, there are 200 B corporations from 31 industries with over $900 million in sales. This is expected to grow to more than 300 companies by the end of 2009.
Benefits - brands a company as a business with sustainable values
- links like-minded companies together who have the same practices.
For instance, all B Corporations save as much as 80% on SalesForce.com software that helps them manage customer service.
Shareholders might argue that they, as owners, have a right to top stakeholder status under the definition of a corporation and seek damages if a company seems to give preference to another group’s interests. To date, such legal questions remain largely in the realm of speculation since no B Corporation has faced a lawsuit challenging its charter. In California, a working group of corporate lawyers has been developing a bill that would create a new legal structure for companies eager to embrace broad social commitments without fear of recourse from disgruntled shareholders, says Susan Mac Cormac, a partner in the corporate law group at Morrison & Foerster in San Francisco.
In physics we know that many seemingly opposite things can be true at the same time. Light can be both a particle and a wave. We can be sitting in a chair, sure we’re not moving, yet be on a planet moving through space at 67,000 miles an hour. Once we become open to a “Both + And” world view, we can begin to see problems as opportunities. "Both + And" thinking pushes our imaginations to a higher level and lets us live our whole dream rather than a fraction of it. "Either - Or" thinking boxes us into making small, limiting choices instead of big, liberating ones. The CSR philosophy is grounded in providing "Both + And" leadership which seeks to jointly optimize many requirements at the same time in a complimentary way.
While a company can easily claim to be following CSR practices, rather like what's happening with the current organic food movement, how do you know which are for real and which are just continuing with old practices but calling them by new names? One way in the US is to look for businesses that have been certified as B Corporations (B as in “for benefit” to society). This certifies to a consumer or investor that they’ve chosen a company that's passed a certain threshold of social responsibility. Becoming a B Corporation involves changing a company's bylaws to pledge consideration of wider stakeholder interests. Changes in the company charter however are only part of the story, according to Andrew Kassoy, cofounder of B Lab, the Berwyn, Pa., nonprofit group that certifies B Corporations. That’s because B Corporations must also continually earn high marks on a social responsibility scorecard to qualify for certification.
The three-year-old B Corporation movement began when Mr. Kassoy and two former classmates at Stanford University formed B Lab to encourage alternatives to what they call “short-termism” – a tunnel-vision focus on generating quick returns for shareholders. Currently, there are 200 B corporations from 31 industries with over $900 million in sales. This is expected to grow to more than 300 companies by the end of 2009.
Benefits - brands a company as a business with sustainable values
- links like-minded companies together who have the same practices.
For instance, all B Corporations save as much as 80% on SalesForce.com software that helps them manage customer service.
Shareholders might argue that they, as owners, have a right to top stakeholder status under the definition of a corporation and seek damages if a company seems to give preference to another group’s interests. To date, such legal questions remain largely in the realm of speculation since no B Corporation has faced a lawsuit challenging its charter. In California, a working group of corporate lawyers has been developing a bill that would create a new legal structure for companies eager to embrace broad social commitments without fear of recourse from disgruntled shareholders, says Susan Mac Cormac, a partner in the corporate law group at Morrison & Foerster in San Francisco.
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