Could this tool deliver sustainability success?
In his 2013 TED talk, professor Michael Porter offered the business world a new approach. “The world today is full of problems”, he explained. “We’re all very aware,” but “business is not seen as the solution. It’s seen as the problem now.” The way we operate, Porter argued, does not work. Common corporate behaviors – tax revenues or philanthropy – do not move the needle in a noticeable manner – and as a consequence, conventional wisdom suggests that “business makes a profit from causing a social problem.”
The problem, says Porter, is that companies “remain trapped in an outdated approach to value creation.”
What we need, says Porter, is to reconceive how we do business, so as to create a positive benefit for society, _at the same time_as we create economic value. Shared Value, as he calls this approach, has since gained traction: dozens of firms have engaged on the way.