Understanding Conscious Capitalism…
The idea that a growing economy benefits all classes has a long history of acceptance. It has been embodied in political mystery for the past half-century, regardless of party, John F. Kennedy is credited with the saying, “A rising tide lifts all boats.”
Conscious Capitalism is a fast growing global movement around a business philosophy that has four key characteristics:
Higher Purpose – Business can and should be done with a higher purpose in mind, not just with a view to maximizing profits. A compelling sense of purpose creates an extraordinary degree of engagement for stakeholders and creates organizational energy.
Stakeholder Orientation – Conscious businesses are managed for the simultaneous benefit of all of their stakeholders, represented by the acronym SPICE: Society, Partners, Investors, Customers, and Employees. A conscious business aligns the interests of all stakeholders, so that what is good for one is good for all.
Conscious Leadership – Driven primarily by service to the company’s purpose rather than by power or money, conscious leaders lead by mentoring, motivating, developing and inspiring people, not through command-and-control.
Conscious Culture – Defined by the acronym TACTILE: Trust, Authenticity, Caring, Transparency, Integrity, Learning and Empowerment, the word tactile also suggests values of these.companies are tangible to their stakeholders as well as to outside observers; you can feel the difference when you walk into a conscious business versus one that is purely driven by a profit motive and just for the benefit of shareholders.
Above all, conscious capitalism involves integrity and higher standards. It’s a growing and powerful movement that is becoming a norm in businesses small and large.
By Jack Stieber – President – American Receivable