The concept of Stakeholder Capitalism and the many issues involved continue to make news in the business and academic media.
A recent article in the Harvard Business Law School Governance Journal reports that Americans of all stripes believe in Stakeholder Capitalism principles…An article in the Journal of Accountancy says that financial auditors are eyeing a role in reviews of ESG reporting, which could include human capital…Gary Gensler, the Securities & Exchange Chairman, says he wants to promote greater transparency in ESG reporting…There are increasing signs of union activity even at people-oriented companies such as Starbucks….Deloitte CEO study highlights focus on people, technology, and innovation.
JUST Capital Report in Harvard Law Corporate Governance Journal. The article shares the results of its surveys of American public opinion on Capitalism respondents continue to be optimistic on capitalism as an economic system, but pluralities say (with agreement across most demographics) that we need a more evolved form of capitalism to: ensure the greater good of society; produce the kind of society respondents want for the next generation, and work for the average American.”
Financial Auditors eye a role in human capital reporting. According to an article in the Journal of Accountancy, auditors and lawyers see a role in helping to audit Environmental, Social, Governance (ESG) reporting.
SEC Chair—It’s Time to Clear Up ESG Claims by Investment Funds. As money pours into ESG funds, the SEC Chair Gary Gensler is asking the staff to consider requiring more disclosure of ESG criteria and underlying data behind such claims, according to a report in Citywireusa.com. This likely will put pressure on these funds to use more transparent methods of investment criteria.
Are the Worker’s Getting Restless? When Starbucks Employees Press for Unions, Watch Out. Amazon workers turned back a union organization effort in the South and Buffalo employees might vote no to this organization effort, but it says something that even companies with good pay and benefits are facing increasing pushback from employees.
Deloitte CEO Study—Talent, Technology Top List of Priorities. Interesting findings from this survey of CEOs from Deloitte released early this year include:
PEOPLE ARE THE MAJOR VALUE CREATORS--NOT M&A, PRICE INCREASES, OR GEOGRAPHIC EXPANSION
When asked to identify the three drivers for success in the coming year, “more than half of CEO respondents give roughly equal credit to innovation or new products and to the application of technology (such as digital transformation or artificial intelligence…Just shy of 40% expect accelerated or pent-up consumer demand to drive business success this year, and one in three CEOs expect to reap the benefits of increased operational efficiencies (e.g., hybrid workforce). Fewer than 20% expect business success to come from M&A, price increases, increases in public spending, or geographic expansion.”
THE EMPLOYEE TECHNOLOGY REVOLUTION HAS JUST BEGUN
Nearly three out of four CEOs say their organizations are undergoing or preparing for digital transformation. A close second, 71% of CEOs, say the same for workforce and talent transformation.
ALIGN SOCIAL POSITIONS WITH AN ORGANIZATION’S STRATEGY, PURPOSE, AND VALUES
When asked to select the top three factors they use to decide whether to take a vocal stand on social or societal issues, more than four out of five CEOs say they consider alignment with their organization’s strategy, purpose, and values—in contrast with about a third who say they consider alignment with their personal values and conscience.
MORE FOCUS ON MULTI-STAKEHOLDER MANAGEMENT AND TIME MANAGEMENT
Both issues have come to the forefront for CEOs during the pandemic, the report says.
Master the “S” of Environmental, Social, Governance (ESG), A.k.a. Stakeholder Capitalism
The Enterprise Engagement Alliance at TheEEA.org is the world’s first and only organization that focuses on outreach, certification and training, and advisory services to help organizations achieve their goals by fostering the proactive involvement of all stakeholders. This includes customers, employees, distribution and supply chain partners, and communities, or anyone connected to an organization’s success.
Training and Thought Leadership
- Founded in 2008, the Enterprise Engagement Alliance provides outreach, learning and certification in Enterprise Engagement, an implementation process for the “S” or Social of Stakeholder Capitalism and Human Capital Management and measurement of engagement across the organization.
- The Enterprise Engagement Alliance provides a training and certification program for business leaders, practitioners, and solution providers, as well as executive briefings and human capital gap analyses for senior leaders.
- The EEA produces an education program for CFOs for the CFO.University training program on Human Capital Management.
- Join the EEA to become a leader in the implementation of the “S” of ESG and Stakeholder Capitalism.
- The ESM information portal and The Enterprise Engagement Advisors Network solution provider marketplace cover all aspects of stakeholder engagement, and the EEA information library lists dozens of resources.
- The RRN information portal and Brand Media Coalition marketplace address the use of brands for gifting, incentives, recognition, and promotions. The BMC information library provides information and research resources.
The EEA Human Capital Management and ROI of Engagement YouTube channel features a growing library of 30- to 60-minute panel discussions with leading experts in all areas of engagement and total rewards.
- Enterprise Engagement for CEOs: The Little Blue Book for People-Centric Capitalists. A quick guide for CEOs.
- Enterprise Engagement: The Roadmap 5th Edition implementation guide. A comprehensive textbook for practitioners, academics, and students.
Enterprise Engagement Advisory Services
The Engagement Agency helps:
- Organizations of all types develop strategic Stakeholder Capitalism and Enterprise Engagement processes and human capital management and reporting strategies; conduct human capital gap analyses; design and implement strategic human capital management and reporting plans that address DEI (Diversity, Equity, and Inclusion), and assist with managed outsourcing of engagement products and services.
- Human resources, sales and marketing solution providers profit from the emerging discipline of human capital management and ROI of engagement through training and marketing services.
- Investors make sense of human capital reporting by public companies.
- Buyers and sellers of companies in the engagement space or business owners or buyers who seek to account for human capital in their mergers and acquistions.
For more information: Contact Bruce Bolger at Bolger@TheICEE.org or call 914-591-7600, ext. 230.