… the capitalist bourgeoisie has accomplished wonders far surpassing Egyptian pyramids, Roman aqueducts and Gothic cathedrals … it has conducted expeditions that put in the shade all former: exoduses of nations and crusades.
The above statement made by Karl Marx in one of his most popular works, The Communist Manifesto vividly underscores the meteoric rise of corporations and businesses as the fountainhead of economic prosperity, creative inventiveness and technological ingenuity – accomplishing feats that far surpass those of state and church.
The magic of technology coupled with the far-reaching influence of globalization has enhanced the swift generation, dissemination and exchange of knowledge and expertise across diverse disciplines and countries while empowering researchers, especially those in the field of science and technology to continue pushing and expanding the frontiers of development beyond imaginable bounds.
Being the buffs that convert raw science to refined products and services for human consumption, businesses now hold substantial power to influence and shape human behaviour in ways that governments may not. There has been no other time in history than now when corporations have been far more prosperous than nations and when businesses hold the keys to the vaults of innovation and knowledge. In contrast, there has been no other time in history as well when our shared planet has been so threatened and when social inequality has been more pronounced.
The contribution of businesses to these global challenges are far from minuscule. After World War II, great emphasis was placed on economic recovery to the extent that businesses pillaged natural and human resources without care. An article published in the journal Climatic Change reports that “nearly two-thirds of historical green-house emissions came from the products and operations of just 90 companies”. It is further stated that since 1980, the emissions of these 90 companies have accounted for “around 28 to 35 percent of rising temperatures and around 11 to 14 percent of rising seas”. The negative footprint of corporations has hugely dented our shared planet while the way some of them treat employees, procure raw materials and use the huge pool of peoples’ data which they have access to have stretched the fabric of social cohesion to ripping points.
I propose that you, the business leaders … and we the United Nations initiate a Global Compact of shared values and principles which will give a human face to the global market.
The above statement made by the late sage, Koffi Annan in January 1999 at the World Economic Forum in Davos vividly summarizes what the purpose of business should be in the 21st century.
With the immense influence and power that 21st-century businesses hold, the deluge of resources at their immediate disposal and their culpability in the social and environmental challenges that bedevil our planet, it logically behoves on businesses to be at the forefront of global activities geared towards halting climate change and healing our social wounds. To do right by the planet and her inhabitants, corporations need to make sustainability the very stanchion upon which their overarching strategy is built by realigning their purpose to one which places human and planetary good above the rapacious accumulation of wealth for the sole benefit of shareholders.
As expounded by the principles of multi-capitalism, sustainable capitalism and triple bottom line, businesses should deploy a sizeable amount of their vast financial, intellectual and reputational capital towards reversing the trend of climate change and bridging the cavernous gap of social and wealth inequality that threatens to rip our world apart.