Download - TBLI CONFERENCE ASIA 2015 - Yuwei Shi
Aligning Impact with Business Model for Capital Reward
Yuwei Shi
“…the game is to enable the capital markets
understand a company’s strategy, align their
models with business performance and make
efficient and forward-looking investment …”
Michael BrayChair, Energy & Natural Resources
KPMG
“Investing with a gender lens is about creating
a new economic logic that bridges the market
logic of financial returns with the feminist logic
of women’s equality.”
Jackie VanderBrugSVP & Investment Strategist
U.S. Trust
ASPIRATIONS
FRUSTRATIONS
• Annual reports divorced from the time
horizon and information requirements
of capital markets
• Impact or sustainability reports seldom
demonstrating business value creation,
and not designed for capital markets
Some of the intangible factors are explained
within financial statements, but many are not.
IIRC FRAMEWORK: THE VALUE CREATION PROCESS
Customer
Activity
Resource
Relationship
Economic
Logic
Stakeholders
Activity
Resource
Relationship
Economic
Logic
What If We Treat Business Like A Social Network?
Description of Business Exchange Network
Stakeholders
Value Exchanges
• Carriers
• Values
• Resources & Capabilities
Stakeholder-Exchange Configurations
Business to Network Performance
Value Realization
• Bilateral exchange
• System-level exchange
Focal-organization Financials
• Revenue
• Cost
• Profit
• Cash flow
Risks
• Focal-organization position
• System-level outcome
Network Analysis Metrics
Worth
Reciprocity
Altruism
Endurance
Status
Autonomy
Group gain
Status consistency
Status competition
Uncertainty
Business Model Design
Monetization
Cash Flows
Probability of Survival
• Within-group Competition
• Ecosystem sustainability
Cost of capital
• Financial
• Manufactured
• Intellectual
• Human
• Social
• Natural
RAROC
