conscious capitalism munir haddad 022110
DESCRIPTION
The "Great Recession" has expedited a shift in corporate culture and governance as well as challenged common perceptions of capitalism. There are a few revolutionary business leaders who are strongly capitalist, but believe in a way to balance the needs of all of their corporate stakeholders to build businesses for sustainable and profitable growth. This emerging trend is called by some "conscious capitalism." We will explore examples of some of these leaders, their strategies and discuss how you can put the principles into action.TRANSCRIPT
Conscious Capitalism & the “New Normal”February 21, 2010
HTTP://EN.WIKIPEDIA.ORG/WIKI/FILE:THE_EARTH_SEEN_FROM_APOLLO_17.JPG
1Tuesday, February 23, 2010
FINANCIAL, ENVIRONMENTAL, SOCIALA STATE OF MIND OR THINGS?
What is Conscious Capitalism?
2Tuesday, February 23, 2010
AS PARAPHRASED BY MY FRIEND THE (FORMER) MERRILL LYNCH COMMERCIAL MORTGAGE BROKER
Why can’t we be the company that saves the dolphin?
Wouldn’t you pay a penny to save a fish that thinks?
3Tuesday, February 23, 2010
NOT A NEW CONCEPTAS PARAPHRASED BY MY FRIEND THE (FORMER) MERRILL LYNCH COMMERCIAL MORTGAGE BROKER
3Tuesday, February 23, 2010
20TH CENTURY CAPITALISMBUILT ON 18TH & 19TH CENTURY IDEALS
Shareholder Equity
MAXIMIZE PROFITS
Investors
4Tuesday, February 23, 2010
CONSCIOUS CAPITALISMBALANCES STAKEHOLDERS TO BUILD GREATER LONG TERM SHAREHOLDER EQUITY
Stakeholder Relationship Management
CORE PURPOSE
Customers Employees Community Environment VendorsInvestors
5Tuesday, February 23, 2010
FINANCIAL, ENVIRONMENTAL, SOCIALA STATE OF MIND OR THINGS?
What’s the new normal?
6Tuesday, February 23, 2010
GLOBAL SHIFT
7Tuesday, February 23, 2010
WORLD STOCK MARKET CAPITALIZATION TRILLIONS OF USDJANUARY 1996 TO MAY 2009
8Tuesday, February 23, 2010
U.S. FORECLOSURES
9Tuesday, February 23, 2010
SHORT ON CONSCIOUS CAPITALTHE NEW NORMAL
10Tuesday, February 23, 2010
THE “NEW NORMAL”?UNEMPLOYMENT +10%
11Tuesday, February 23, 2010
THE “NEW NORMAL”?UNEMPLOYMENT +10%
11Tuesday, February 23, 2010
LOWER TAX BASEVICIOUS CYCLE
HTTP://KYLESISK.TYPEPAD.COM/SISKER/2009/09/CALIFORNIA-IS-ON-THE-MEND.HTML
12Tuesday, February 23, 2010
BORROWING AGAINST TOMORROWRATE CANNOT BE SUSTAINED
FISCAL RESPONSIBILITY
The Heritage Foundation
Mountain of debt imperils tomorrow’s taxpayers
Source: Heritage Foundation compilations of data from U.S. Treasury, Institute for the Measurement of Worth, Office of Management and Budget, and Congressional Budget Office.
Congress is poised to raise the debt limit, after maxing-out the national credit card in another year of runaway spending. Unless lawmakers get serious about spending cuts—especially exploding costs for Social Security, Medicare and Medicaid—future taxpayers will shoulder history-making debt.
For more on cutting the debt, go to heritage.org and click on Entitlements.
Publicly Held Debt as a Percentage of Gross Domestic Product
1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010 2020 2030 2035
50%
100%
150%
World War I
The Great Depression
World War II
War on Terrorism
108.6%
188.8%
13Tuesday, February 23, 2010
PERSONAL SAVINGS % OF INCOME = 0.56%PERSONAL CONSUMPTION GROWING
14Tuesday, February 23, 2010
THE END OF POVERTY...?NUMBER OF PEOPLE LIVING ON LESS THAN A DOLLAR A DAY DECREASING
15Tuesday, February 23, 2010
Socialism vs. Capitalism
Stéphane Courtois, “The Black Book of Communism” 1997
COMMUNISM KILLED 100 MILLION PEOPLE
CAPITALISM HAS SUCCEEDED
LAST 100 YEARS
BUT ISQUESTIONED
16Tuesday, February 23, 2010
CAPITALISMBATTLING FOR MARKET SHARE
DARWINIAN NATURAL SELECTION
KILL ‘EM
CRUSH THE COMPETITION
DESTROY THEM
WE’RE IN A WAR
IT’S SURVIVAL OF THE FITTEST
INDUSTRIAL METAPHORS
GRINDING OUT PROFITS
17Tuesday, February 23, 2010
CDO - COLLATERALIZED DEBT OBLIGATIONSIVA (STATED INCOME, VERIFIED ASSETS), NIVA (NO INCOME, VERIFIED ASSETS) & NINA...
18Tuesday, February 23, 2010
CORPORATE DISTRUSThttp://www.thecorporation.com
19Tuesday, February 23, 2010
CORPORATE DISTRUSTRESULT FROM OUTDATED THEORIES OF CAPITALISM
Why?
20Tuesday, February 23, 2010
The paradox of profits
20Tuesday, February 23, 2010
FOOD EQUIVALENT OF THE CDOTHANKS TO UMAIR HAQUE
21Tuesday, February 23, 2010
THE RETAIL EQUIVALENT OF CDOTHANKS TO UMAIR HAQUE
22Tuesday, February 23, 2010
HOUSE FARM...
23Tuesday, February 23, 2010
RESOURCES ARE FINITEPLASTIC BOTTLES: 3 LEVELS OF DETAIL
24Tuesday, February 23, 2010
RESOURCES ARE FINITERECYCLING MEETS SOME NEEDS
25Tuesday, February 23, 2010
RESOURCES ARE FINITENEW SCIENTIST - HTTP://FLOWINGDATA.COM/2009/04/24/HOW-LONG-WILL-THE-WORLDS-NATURAL-RESOURCES-LAST/
26Tuesday, February 23, 2010
PHYSICAL LIMITATIONS - FREDRICK SODDY, 1926TIME (DIGESTION, GESTATION), RESOURCES (LAND, FOOD, WATER), LITTER SIZE
WEALTH, VIRTUAL WEALTH & DEBT
27Tuesday, February 23, 2010
DATA PROVIDES AWARENESSTHE VALUE OF WATER AS A RESOURCE IS JUST BEGINNING TO BE UNDERSTOOD
28Tuesday, February 23, 2010
GAIA PRINCIPLE
http://en.wikipedia.org/wiki/Conservation_of_masshttp://en.wikipedia.org/wiki/Gaia_philosophy - James Lovelockhttp://en.wikipedia.org/wiki/File:Einstein1921_by_F_Schmutzer_4.jpg
COMPLEX INTERDEPENDENT SYSTEM IN HOMEOSTASIS
29Tuesday, February 23, 2010
HERMAN DALY
http://www.theoildrum.com/node/3941
PROFESSOR, SCHOOL OF PUBLIC POLICY, UNIVERSITY OF MARYLANDFORMER SENIOR ECONOMIST, WORLD BANK
The larger system is the biosphere and the subsystem is the economy. The economy is geared for growth...whereas the parent system doesn’t grow. It remains the same size. So as the economy grows...it encroaches upon the biosphere and this is the fundamental cost.
“
”30Tuesday, February 23, 2010
RAY KURZWEILSINGULARITY, LAW OF ACCELERATING RETURNS
31Tuesday, February 23, 2010
THE COUNTDOWN TO THE SINGULARITYRAY KURZWEIL
32Tuesday, February 23, 2010
MOORE’S LAWAS INTERPRETED BY RAY KURZWEIL’S LAW OF ACCELERATION
33Tuesday, February 23, 2010
PROCESSING POWER“WE SHAPE OUR TOOLS, THEN OUR TOOLS SHAPE US.” UNDERSTANDING MEDIA, 1964
HTTP://SINGULARITY.COM/IMAGES/CHARTS/SUPERCOMPUTERS.JPG
34Tuesday, February 23, 2010
PROCESSING POWER“WE SHAPE OUR TOOLS, THEN OUR TOOLS SHAPE US.” UNDERSTANDING MEDIA, 1964
35Tuesday, February 23, 2010
MARSHALL MCLUHAN“WE SHAPE OUR TOOLS, THEN OUR TOOLS SHAPE US.” UNDERSTANDING MEDIA, 1964
36Tuesday, February 23, 2010
SOCIAL NETWORK CONNECTIONS INCREASINGNETWORK THEORY
37Tuesday, February 23, 2010
LINEAR VS. INTERACTIVE
38Tuesday, February 23, 2010
FROM THE OLD WORLD TO THE NEW WORLDDATA SOURCES: MEDIAPOST, WIKIPEDIA
Studies suggest that a company needs to have
seven different 'contacts' with a customer (on average)
before they make a purchase.
39Tuesday, February 23, 2010
CRITICAL POINT IN PHASE TRANSITIONRAPIDLY MELTING ARGON ICE
HTTP://EN.WIKIPEDIA.ORG/WIKI/FILE:ARGON_ICE_1.JPG
40Tuesday, February 23, 2010
SEA CHANGETECHNOLOGY, BUSINESS, ENVIRONMENT, PEOPLE
41Tuesday, February 23, 2010
INTERACTIVE
How many of you are entrepreneurs?
42Tuesday, February 23, 2010
INTERACTIVEWILLING PARTICIPANTS?
What is the purpose of your business?
43Tuesday, February 23, 2010
INTERACTIVEWILLING PARTICIPANTS?
To maximize profits?
43Tuesday, February 23, 2010
WHAT IS THE PURPOSE OF A TEACHER?
To teach.
44Tuesday, February 23, 2010
WHAT IS THE PURPOSE OF A DOCTOR?
To heal.
45Tuesday, February 23, 2010
WHAT IS THE PURPOSE OF A LAWYER?BUELLER...?
To uphold justice.
46Tuesday, February 23, 2010
20TH CENTURY CAPITALISMBUILT ON 18TH & 19TH CENTURY IDEALS
Shareholder Equity
MAXIMIZE PROFITS
Investors
47Tuesday, February 23, 2010
CONSCIOUS CAPITALISMBALANCES STAKEHOLDERS TO BUILD GREATER LONG TERM SHAREHOLDER EQUITY
Stakeholder Relationship Management
CORE PURPOSE
Customers Employees Community Environment VendorsInvestors
48Tuesday, February 23, 2010
GROWING POWER - WILL ALLENNOURISHMENT TO LOW INCOME COMMUNITIES
49Tuesday, February 23, 2010
TECHNICOLOR“REVOLUTIONIZE THE MOTION PICTURE INDUSTRY” - HERBERT KALMUS, 1915
51Tuesday, February 23, 2010
PROMOTE SAVINGS
52Tuesday, February 23, 2010
APPLE - “THE BEAUTY OF TECHNOLOGY”CORE PURPOSE DRIVES INNOVATION
53Tuesday, February 23, 2010
TRANSFORMATION
54Tuesday, February 23, 2010
LUIS VON AHNMAKING YOUR TIME VALUABLE
55Tuesday, February 23, 2010
INTERACTIVE
How many hours have you played solitaire?
56Tuesday, February 23, 2010
INTERACTIVE
9 Billion hours in 2003
20 Million hours to build Panama Canal
56Tuesday, February 23, 2010
57Tuesday, February 23, 2010
GAMES WITH A PURPOSE7 MILLION MAN HOURS TO BUILD THE EMPIRE STATE BUILDING
58Tuesday, February 23, 2010
RECAPTCHATRANSLATING SCANNED BOOKS AND PAPERS
59Tuesday, February 23, 2010
CORE PURPOSE GUIDES ALL STAKEHOLDERS“GOOD TO GREAT”
60Tuesday, February 23, 2010
JIM COLLINSON ALTRUISM IN CORE PURPOSE
There is no reason you can’t be one of the most successful organizations in the world and one of the most altruistic.
There is no inconsistency between these.
61Tuesday, February 23, 2010
INTERACTIVE
How many of you have customers?
62Tuesday, February 23, 2010
ZAPPOS.COM / TONY HSIEHPOWERED BY SERVICE
64Tuesday, February 23, 2010
UNITED BREAKS GUITARS - 7,819,199 VIEWS+ THE SECOND VIDEO & THE ANCILLARY DISTRIBUTION &...
65Tuesday, February 23, 2010
PARTICIPATORY PRODUCT DEVELOPMENTYOUR CUSTOMER’S HELP DEFINE WHO YOU ARE
66Tuesday, February 23, 2010
CONTROLLED -> OPEN SOURCETHE TIGHTER YOU TRY TO HOLD ONTO SOMETHING THE MORE LIKELY IT IS TO GO AWAY
67Tuesday, February 23, 2010
CONTROLLED -> OPEN SOURCETHE TIGHTER YOU TRY TO HOLD ONTO SOMETHING THE MORE LIKELY IT IS TO GO AWAY
HTTP://WWW.FLICKR.COM/PHOTOS/VOYAG/3506956372/
67Tuesday, February 23, 2010
USER GENERATED FASHIONCHANGE A PARADIGM
68Tuesday, February 23, 2010
GIVE YOUR CUSTOMERS TOOLSTHEY WILL CREATE YOUR NEXT GREAT PRODUCT
69Tuesday, February 23, 2010
MODERN DAY BAZAARDEMOCRATIZED FINE ART
70Tuesday, February 23, 2010
INTERACTIVE
How many of you have employees?
71Tuesday, February 23, 2010
DEMOCRATIZE AIR TRAVEL“YOU ARE NOW FREE TO MOVE ABOUT THE COUNTRY”
72Tuesday, February 23, 2010
CONSISTENTLY HIGH EMPLOYEE SATISFACTION#80 ON THE TOP 100
73Tuesday, February 23, 2010
10% OF TIME FOR OWN PROJECTS#4 ON THE FORTUNE TOP 100 COMPANIES TO WORK FOR
74Tuesday, February 23, 2010
Happy employees = Happy customers
75Tuesday, February 23, 2010
Happy employees + Happy customers =
Shareholder Equity
75Tuesday, February 23, 2010
INTERACTIVEEVEN INVESTORS HAVE INVESTORS...
How many of you have investors?
76Tuesday, February 23, 2010
OUTPERFORMS THE S&P 500 BY 11%COMPANIES THAT INVEST IN EMPLOYEES DELIVER RETURNS
www.business.und.edu/goenner/research/.../100%20best%20j-econ.pdf
77Tuesday, February 23, 2010
CONSCIOUS CAPITALISM = LONG TERM EQUITYSource: http://eresearch.fidelity.com/eresearch/goto/evaluate/snapshot.jhtml?symbols=WFMI&rsrch=gqb
WHOLE FOODS SHARES JUMPED NEARLY 13% AFTER THE GROCERY CHAIN LATE TUESDAY REPORTED FIRST-QUARTER RESULTS IN WHICH PROFIT CLIMBED 79%
78Tuesday, February 23, 2010
INTERACTIVE
How many of you live here?
79Tuesday, February 23, 2010
BETTER PLACEBUSINESS BUILT WITH A PURPOSE
80Tuesday, February 23, 2010
STAKEHOLDER EQUITY IS BALANCEDGROWER, RETAILER, CONSUMER
81Tuesday, February 23, 2010
GRAMEEN BANKMUHAMMAD YUNUS AND GRAMEEN BANK WIN NOBEL PEACE PRIZE 2006
82Tuesday, February 23, 2010
PEPSI: REFRESH EVERYTHINGMOVED $20 MILLION AWAY FROM THE SUPERBOWL, REDIRECTED TO THIS EFFORT
83Tuesday, February 23, 2010
EMBRACING CHANGE, NOT FIGHTING ITA SYSTEMATIC CHANGE IN DOING BUSINESS
84Tuesday, February 23, 2010
SUSTAINABILITY PROMISEIF WALMART IS PAYING ATTENTION, EVERYONE’S PAYING ATTENTION
85Tuesday, February 23, 2010
BIODYNAMIQUETERROIR
86Tuesday, February 23, 2010
INTERACTIVEA NEW MODEL OF JUDGING SUCCESS
Are we happy now?
87Tuesday, February 23, 2010
MONEY REACHES A PEAK OF UTILITYPURE PROFITS ALONE DO NOT CREATE VALUE
88Tuesday, February 23, 2010
BHUTAN: GROSS NATIONAL HAPPINESSMEASURING EQUITY DIFFERENTLY
89Tuesday, February 23, 2010
BHUTAN: GROSS NATIONAL HAPPINESSMEASURING EQUITY DIFFERENTLY
89Tuesday, February 23, 2010
Positive Work Environment
Healthy Community
Capital to InvestProfit
Growth
SalesGrowth
Innovation & Customer Service
Motivated Team Members
Community & Environmental Responsibility
Increased Shareholder
Value
Satisfying & Delighting Customers
Team Member Happiness
NEW BUSINESS PARADIGM
CORE PURPOSE
RIFFS ON JIM COLLINS->JAMES HESKETT->JOHN MACKEY->MUNIR HADDAD
90Tuesday, February 23, 2010
Community & Environmental Responsibility
Increased Shareholder
Value
Satisfying & Delighting Customers
Team Member Happiness
NEW BUSINESS PARADIGM
CORE PURPOSE
sharedfate
sharedfateshar
edfa
te
shar
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RIFFS ON JIM COLLINS->JAMES HESKETT->JOHN MACKEY->MUNIR HADDAD
90Tuesday, February 23, 2010
91Tuesday, February 23, 2010
CONSCIOUS CAPITALISMGREEN SHOOTS
92Tuesday, February 23, 2010
HAVE AN IMPACTKEEP IN TOUCH
Munir Haddadhttp://twitter.com/Scromp
93Tuesday, February 23, 2010