Monday, September 26, 2011

The future of growth... new sustainability champions

Interesting report by the World Economic Forum (and performed by BCG), including 16 case-studies about new and existing businesses changing their business model into a more sustainable one: Redefining the Future of Growth: The New Sustainability Champions

The overall initiative (of which this report is part) is 'set out to seek unconventional, practical solutions to the current challenges of growth, aiming to identify and support key business practices, and to relay them to the global community.'

This is well worth the effort, although it does not necessarily provide a clear answer to what exactly growth should be measured on. The initiatives of these companies -and their transformed business model- are of course changes that produce effects one can track. From a sustainability perspective you'd track them through the number of people they helped, or the amount of water that is being returned unharmed, for instance.

But from a business perspective? They will still be measured on turnover and profits I'm afraid, even if the short-term financial (profitability) expectations might have decreased a little.

All in all there must be a better way to seize even the economic growth -or else leave it out of the equation altogether? This needs a complete new business model for the way the world operates ;-)

While the cases form a very interesting read, I was most struck by the 'metrics' by which the companies were selected:



With the debt crisis in mind, surely these metrics would be more interesting parameters to base a debt redemption on, rather than tough saving plans and sellout of public properties, like the world demands from Greece now...

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