We need to understand the complex interconnections between economic and social forces. Isolating "social issues" as separate from the economic impact which they have, and conversely isolating economic issues as if they had no social effect, misses the mark both managerially and intellectually. Actions aimed at one side will not address the concerns of the other. Processes, techniques and theories that do not consider all of these forces will fail to describe and predict the business world as it really is.One of the things we do within the DC Chapter of Conscious Capitalism (DCCC) is present the four Principles of Conscious Capitalism Series for our members and invited guests. Each month the DCCC focuses an in depth discussion on one of the specific pillars of Conscious Capitalism. We define the principle and discuss best use cases using actual businesses as an example. We choose one or two companies that we believe does the best job of exhibiting the principle.
~ R. Edward Freeman
This month, we are focused on stakeholders. We will host a Panel Discussion on Implementing Stakeholder Orientation within businesses. So, you might ask, what is a stakeholder? Well, in the words of Dr. R. Edward Freeman (the father of the stakeholder approach), “A stakeholder in an organization is any group or individual who can affect or is affected by the achievement of the organization's objectives.”
Most businesses do not recognize that they have multiple stakeholders. They believe that the shareholder is the only stakeholder. This flawed assumption often leads to the many scandals that we have become accustomed to reading about over the past 20 or 30 years. The fact is, shareholders, employees, customers, suppliers, lenders and society are all stakeholders and must be treated as such. If one stakeholder is elevated at the expense of another, the business will suffer. I look forward to this event and reporting back on some of the insights that develop from our panel discussion.
The DCCC is a membership based society of business professionals, freethinking entrepreneurs, non-profits, lawmakers, and community leaders that are principle-centered and are driven by the desire to make a positive, measurable difference in the world. We are committed to the elevation of humanity through business by engaging in think tanks, mastermind session, strategic relationships, incubators, mentorship, and community empowerment events.
We are in the business of building business networks into a community of like-minded individuals who adhere to the Conscious Capitalist business model and operate from shared values. If you live in the DC area and have an interest in the DCCC organization, we would love to connect with you. Please visit our website for more information here.