Posts Tagged ‘not business as usual’

2010: Turning Over a New Leaf

Tuesday, January 12th, 2010

 

What is the point of all your great efforts these past few years you may be asking? In 2009, it was enough to just hold on, keep your business or income afloat, and try to make it through each month. There wasn’t a whole lot of growing to do unless you were one of the firms that grabbed onto the government’s life line to be pulled out of the hole you put yourself in. For the rest of us, we are left to our own devices to pull ourselves out of the hole others left behind.

All the progress made in 2008 by motivated entrepreneurs and optimistic working folk was flushed down the old porcelain convenience post Lehman Brothers’ collapse. 2009 was the year to hang on for dear life and hope you made it through. It was like standing on the Titanic watching all the Big Banks jump into the lifeboats leaving you two choices: sink or swim.  If you managed to swim in 2009 and not get pulled down with the ship, you might be asking, what do I do now?

The New Year 2010 has begun and with it green shoots of Hope have sprung in the hearts of the resilient. Larry Summers, President O’s Chief Economic Advisor, swears that “everyone agrees that the recession is over.” Those words ring false for the millions upon millions whose incomes have been cut in half or completely wiped out, for the tens of millions more whose net worth is a fraction of 2007 values.  For the millions of jobless or financially devastated who feel abandoned or forgotten, these words inspire rage and despair. Those left to their own resources without lifeboats over the past 16 months do not agree, Mr. Summers – the recession is not over, not for ordinary folks, not by a long shot.

So what is it all about, Alfie? What was the point of all that? Where do we go from here?

We muddle through the day to day financial stress trying to make sense of the senseless and nothing rings true – except for old truths. We read about the need for financial regulation, the methods for resurrecting incomes, the possibilities of official guidance or support and all of it really means nothing in the face of the bigger truths. For all the menial, trivial, and hard reality of paying the bills, and creating value to stay alive, it all comes back to one thing: what is the meaning to your life?

Why are you or any of us here? What is this whole thing – life, liberty, financial ruin – all about? These are the questions for millennia; these are the questions for the moment at hand.

I don’t know the meaning to life if it is not to help others as we help ourselves – to serve a higher purpose by making the world a better place. While that may be a deep truth, it will not necessarily pay the bills.

The question for 2010 then is how to do we make the world a better place, a world where human beings care for each other more than their wallets, where common folk are not left on the curb as “fat cats” step over their writhing bodies, where ordinary heroes rise up to take back the world they create every day in every way. When will the values of ordinary people who do the “right” thing consistently and without prompting reap earthly rewards for their humanity? Must we always be trumped by the overwhelming self-serving indifferent powers that be? How can we take the reins and ride our own way to freedom?

I ask all these questions of you, because I have been asking these of myself.

It can get pretty hopeless out here in the wasteland of the devastated American economy. I look around and see great misery and suffering, some of which the rest of the world has always known, but for my generation is new. What do I tell them, how do I bring them hope for a better future?

First of all, I want to remind everyone, even those facing homelessness and bankruptcy, it is never just about money. There is always a bigger picture.

Money makes the world go around only to a degree. It buys us food, shelter, clothing, perhaps medical care and education. Things we need to survive. But we already know it does not buy us love, nor does it buy us compassion, or sensitivity to the pain of others, nor relief from apathy. That comes from the heart. That comes from a greater place than cannot be explained easily in words.

So while you are going through your great financial challenges and hoping to pull yourself up from the boot straps for 2010, remember one thing: there is always a greater plan. This too shall pass and you will be once again back on your feet having learned important lessons along the way.

Remember too: it’s only money. Money pays for your lifestyle, keeps you in your home and in the mainstream of the living. But it does not say who you are, no matter how much you have or don’t. More importantly it does not reveal how you are inside, your heart, your mind, your soul. No matter what, you always have that.

Sometimes we think, I am so good, why is this happening to me? Haven’t I done so much for so many, shouldn’t I be rewarded for that? Yes, absolutely. And so we are rewarded every day for our good deeds in the warmth and support we give and receive from others. Not necessarily in monetary terms.

What does all of this have to do with Good Business and earning a living? Everything. That is what we cannot forget. We are not our bank books, portfolios, or careers. We are living breathing souls with Goodness on our side and a greater plan guiding us through it all. We can’t forget that. The good don’t always die young; sometimes they live to be very old like Desmond Tutu or Mother Teresa. Financial reward is not necessarily in the picture.

So make your money and make your living, but don’t let it define you. Don’t let it determine your mood or your self esteem. Don’t fall into the trap that got our society in the current bind of materialism it finds itself:  that money determines any part of our value other than numbers on a computer screen. Our deepest most valuable assets are our hearts and minds. We have those no matter what. These are the assets we are remembered for; these will be the things that we remember ourselves and others for. How do we treat others in our climb to the top or our quest for more? How do create our living in relationship to others? How do we view ourselves – as numbers or as souls?

Don’t forget to ask what your greater purpose in life might be. It isn’t money. It is never money. It is always how you make your money that counts the most, not whether you do. How do you maneuver through the tough times to make you proud and confident?

As you navigate through the maze of making ends meet this year and working towards growing your business or income back to prosperous levels, you may have to lay people off; you may have to look for a job, you may not be able to pay all your bills.

Put these circumstances in perspective by remembering that these are ordinary realities of the human condition. There is no need to confuse them with greater meaning in your life or to let economic difficulties obscure the core of who you are.

Wishing you the best in the New Year.

About the author:

Monika Mitchell is the Executive Director and Editor-in-chief of Good Business International, Inc. (GoodB). She founded GoodB in response to the growing need to unify and support the global good business community 

On Becoming a Force for Good

Tuesday, August 4th, 2009

It used to be, not long ago, the common motto for Good Business was “take the money and run.” Other business mottos included “Cash is King” and the all-time American favorite “Greed is Good,” made famous from Oliver Stone’s 1988 movie, Wall Street.

Only a few years ago, in 2004, the fabulously popular show, The Apprentice, thrilled audiences with savage infighting among executives wannabes and The Donald reducing contestants to tears with “You’re Fired!.” At the opening of every show, the words “it’s not personal, its business” flashed across the screen echoing a common sentiment of a decades old business model. Yet by 2007, the thrill was gone. Watching struggling entrepreneurs fired and humiliated started to look like an old Gordon Gekko rerun and audience interest waned. To keep the show alive, the premise changed from “survival of the fittest” cutthroat competitions to celebrities humiliating themselves for their favorite charity. Something in the cultural ethos of profit-at-any-cost had shifted as even The Donald emerged as “a force for good. “

In 2009, we stand at the crossroads of an ethical revolution in business. The global economic crisis has brought to the surface the dark forces of the world of money. A small and vocal few have been writing and speaking about these forces for years. Two good business mavericks, Paul Hawken and Amory Lovins wrote of a new kind of business a decade ago in Natural Capitalism, their ground-breaking treatise on how to make money while saving the planet. It stands as a guidebook for modern sustainable business. Yet few were listening then. At least not enough to usher in change at fundamental levels.

It took a major hurricane to wipe out one of America’s most beloved cities and the world to witness the incredible suffering of innocents to wake us up. The realization that global warming played a part in Hurricane Katrina’s deadly force was a shock to those watching. The film, “An Inconvenient Truth” erased any lingering doubts of our responsibility to climate change for millions of global citizens. Suddenly, in the post-Katrina world, natural capitalism was not such an outrageous concept. While the U.S. has some serious catching up to do to its European sisters, the winds of global consciousness have shifted. Eleven years after Hawken and Lovins’ book, environmental sustainability is no longer a “radical” idea, but an economic necessity.

Which brings us to the global economic crisis, the economy’s Katrina… This financial hurricane set the record for economic gale force winds.  Ordinary people awakened to the fact that the very financial institutions they trusted to be responsible had been flagrantly reckless and threatened the economic stability and well-being of every member of society.

News Reports on both sides of the Big Pond are highlighting record profits and enormous payouts for bailed-out bankers. Public rage in the U.S. and the U.K. is increasing by the minute. The tension between the financial system and the general public has not reached this level stateside since 1929. “Gluttony and greed” are the factors named in the hoarding of public monies in private hands. Big banks are taking heat for posting big profits and earmarking bigger bonuses for their fortunate sons. The firms claim their business model of self-interest as their guiding principle. Society’s outrage reveals that pure self-interest is no longer an adequate economic model.

The new business model fit for the 21st century includes an inclusive world-interest in its focus. As environmentally sustainable business takes center stage, the public is demanding a socially sustainable model be incorporated into modern business as well. Goldman Sachs said recently, “We are painfully conscious of being a force for good.” The backlash in blogs, business journals, and newspapers around the nation disagrees.

The old model of profit-at-any-cost that put Gordon Gekko’s real life model Ivan Boesky in jail no longer works in the new millennium. If profit comes at a high cost to society like the record numbers of unemployed, bankrupt, and foreclosed, citizens will look for ways to strike back at the heart of business.  That might mean far less consuming of products or services and urgent calls for heavy regulation of formerly “free markets.”

Old-school financier John Bogle, interviewed by market watcher Morningstar, states U.S. banking is experiencing a  systemic “crisis” and calls for a “Better Capitalism,” one where we put as much into the system as we take out. The mogul who created his personal fortune by founding Vanguard Group said the current state of finance as well as finance professionals themselves, “have failed us.” He blames the ongoing economic downturn and the state of the wounded financial system on a herd mentality. Bogle says the current ethical standard in business that brought us here “seems to be if everybody else is doing it, I can do it too.” Bogle said in his day, there were “some things you just didn’t do…It was black and white.”

He says the current industry trend to blame government for failing to prevent the crisis is flawed. “What I’m hearing here is you’re blaming the government for allowing you to do what you should have had enough brains not to do in the first place,” continues Bogle. “So it’s endemic to the system, and we have to learn to have a better capitalistic system.”

What Bogle means is that the continuation of the “rip your face off culture” of profit that brought us here is foolhardly at best and economic suicide at worst. The eighty-year old industry legend has ironically become a sage voice for the New Economy.

These days, modern enlightened business minds understand that greed is no longer good. In spite of this sentiment, the financial industry across the globe has failed to emerge as a “force for good.” In fact, quite to the contrary, financial firms are taking more and more for their own pockets and leaving more and more ordinary folks homeless and bankrupt, creating a moral conundrum of astronomical proportions.

How then do we in business make money and still operate as a force for good? Google, for one, seems to have accomplished this business model as well as countless of other businesses listed through the web pages of GoodB. There are movements espoused by Whole Foods mogul John Mackey and business writer Patricia Aburdene that encourage “conscious capitalism.” Other movements include Hazel Henderson’s “ethical markets,” entrepreneurs for “social capital markets,” maverick social investors like Amy Domini of Domini Funds and GoodB’s “Better World Business” movement that represent not just the wave of the future by the wave of the present. These movements have yet to take hold in the slow to adapt financial markets.

We are poised and ready as a society for an ethical revolution in the financial markets. The pursuit of profits without a conscious and constructive connection to the greater society is in peril of becoming extinct. The Elephant in the Room is not an elephant at all, but an out-of-control Tyrannosaurus Rex that looks oddly primitive on the elegant corners of Park Avenue or Wall Street.

The Rex is booking record profits at the expense of investors and citizens alike. The Rex is devouring every bit of pulsating wildlife with its insatiable appetite for more, leaving nothing in its wake but its discarded carcasses. The “survival-of-the-fittest” antiquated business model has become a fascinating display in a natural capitalism museum.

While Wall Street does (and did) a lot of “good” for humanity in philanthropic endeavors, it fails to see that philanthropy is not good business; it’s not business at all. Good Business must include in its operating strategy a clear and concise way to serve the greater society it extracts value from. To be a force for good, it must put at least equal value back into the system it depletes.

What does a force for good in business look like these days? It is a good business model that embraces the “3 T’s” of trust, transparency, and temperance.

Trust is the standard modus operandi of any good business model. In finance, this means honoring clients, shareholders, and the public by serving all involved with honor and integrity.

Transparency is the basic operating strategy for replacing the “rip your face off” culture with creating real value for investors, shareholders, and citizens alike.

Temperance is the self-regulating self-restraint currently missing from market profits and market maker payouts.

The new model for the New Economy is to follow The Golden Rule of Business and put as much into the system as we take out. How do we do that? Rather than taking as much wealth out of the system as we possibly can, we leave enough there for others to sustain themselves too.

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