A Better World, Inc.: Summary Review
This is a summary review of A Better World, Inc. containing key details about the book.
What is A Better World, Inc. About?
This unique book shows companies and their executives how to profit by developing solutions to the world's most daunting challenges that governments cannot, and have not yet addressed. Using case studies, A Better World, Inc . delineates best practices for businesses to maximize revenues and reduce costs.
Who is the author of A Better World, Inc.?
Alice Korngold, President, Korngold Consulting LLC provides strategy advisory servicess to Fortune 100 companies, professional services firms, foundations, universities, healthcare institutions, and the boards of directors of global
A Better World, Inc. Summary Notes
Governments and NGOs both fail to solve the world’s most challenging problems.
One of the main themes in The book is that both governments and NGOs have limitations in solving the world's most complex problems. NGOs often lack sufficient resources, such as funds and skilled staff, to effectively address these challenges. Even successful NGOs may struggle to sustain their impact as they grow. Governments, on the other hand, often face conflicts of interest and short-term mandates that hinder their ability to set long-term goals and focus on lasting projects.
NGOs, despite their good intentions, may not have the necessary resources and expertise to tackle complex problems. They may rely on volunteers who may lack the qualifications needed, and may struggle with fundraising and other essential tasks. The example of mothers2mothers, an international NGO, is cited as an organization that initially succeeded but faced challenges as it grew and required support from a global corporation to overcome them.
Similarly, governments may face conflicts of interest when dealing with global challenges. International conferences and agreements may not yield significant results as nations prioritize their own interests over collective action. Additionally, short-term mandates of politicians focused on re-election may result in prioritizing immediate needs of the voting public rather than long-term projects that require sustained efforts.
The book suggests that a better approach to addressing global challenges may be through organizations that have the necessary resources, skills, and long-term vision. It highlights the limitations of both NGOs and governments in tackling complex problems and emphasizes the need for sustained efforts and collaboration to create meaningful and lasting solutions.
The tone of The book is critical of the limitations of NGOs and governments, but also suggests a potential solution in the form of organizations that can overcome these limitations. It presents an insightful and original perspective on the challenges of solving complex global problems and highlights the importance of sustained efforts and collaboration for creating a better world.
Global Companies as Agents of Change
Global companies are uniquely positioned to make a positive impact on social, environmental, and economic problems. Contrary to common perception, these companies have the influence, resources, and incentives to find and implement solutions to pressing global challenges.
While NGOs and governments often struggle with limitations in funding, skills, and conflicting interests, global companies have the financial power and reach to effect change. With their widespread presence and global supply chains, they can create sustainable products and policies that benefit communities and the environment. For example, Ecolab, with its patented dishwashing machine that uses half the water of conventional models, is making a significant contribution to water conservation worldwide.
Moreover, global companies have a vested interest in addressing environmental and social issues. Customers increasingly prefer products from companies that demonstrate corporate responsibility, and offering environmentally friendly products can give companies a competitive advantage. This not only boosts their reputation but also increases their profits and cost savings. Kimberly-Clark's decision to switch to Forest Stewardship Certified (FSC) fibers after being criticized by Greenpeace resulted in improved customer perception and saved the company tens of millions of dollars.
Furthermore, global companies can influence political decisions through lobbying efforts, amplifying their impact on social and environmental policies. Their ability to shape public opinion and advocate for change can be a powerful force in addressing global challenges.
Despite the criticism and skepticism towards the role of global companies in addressing social and environmental issues, they are increasingly stepping up as agents of change. By leveraging their resources, influence, and incentives, they have the potential to make a meaningful difference in creating a better world.
How Big Corporations Can Contribute to Economic Growth and Healthcare in Developing Countries
Big corporations have a vested interest in promoting economic growth and improving healthcare in developing countries. A stable economy and a healthy population are crucial for businesses to thrive. Studies have shown that in low-income countries, life expectancy is significantly lower compared to high-income countries, resulting in less stable economies and lower average incomes. Therefore, it is in the best interest of corporations to support local economies and healthcare systems in developing countries.
By investing in developing countries, corporations can create new market opportunities. As people in these countries become healthier and their economies grow, they will have increased purchasing power, leading to higher demand for goods and services. This benefits both the local economy and the corporations supplying those goods, creating a positive cycle of economic growth.
For example, Ericsson, a global information and communication technology company, is establishing high-performing networks in Myanmar, where less than five percent of the population has access to mobile phones. This investment is expected to create around 70,000 jobs and could potentially increase Myanmar's GDP by up to 7.4 percent, demonstrating the positive impact that corporations can have on economic growth in developing countries.
Furthermore, supporting healthcare systems in developing countries is not only socially responsible but also economically beneficial for corporations. Healthy employees and consumers are essential for businesses to thrive. By investing in healthcare infrastructure, corporations can improve the health and well-being of the local population, leading to a more productive workforce and a larger consumer base.
Companies Can Increase Their Profits by Helping the Environment
Companies can benefit financially by incorporating environmentally friendly practices into their operations. By reducing energy and resource consumption, investing in renewable energies, and addressing global problems, companies can not only protect the environment but also increase their profits.
One of the ways companies can save money and help the environment is by increasing their productivity through green practices. McKinsey estimates that companies can save 20-30 percent of the energy used in production by becoming more environmentally friendly. This aligns their goals with the planet's, as reducing energy consumption not only benefits the environment but also the bottom line.
Investing in renewable energies also yields long-term cost savings. By transitioning to renewable energy sources, companies can reduce their reliance on expensive fossil fuels. For example, in 2013, Intel purchased 3.1 billion kWh of green power, enough to meet their energy needs in the United States, and saved the equivalent of 320,000 American homes' CO2 emissions.
Furthermore, companies that demonstrate social responsibility and sustainability efforts can gain a competitive advantage. Customers, employees, and investors prefer organizations that show goodwill towards the environment and society. Brands owned by socially responsible companies have higher customer usage, preference, and loyalty, as shown by a survey by BAV consulting.
Customers are also increasingly demanding energy-efficient products, creating a market opportunity for companies to meet this need. Intel, for instance, aims to lower the energy costs of the products they supply to businesses. When the University of Oklahoma High Performance Computing Center was built, Intel Xeon processors were chosen not only for their performance but also for their ability to reduce energy costs by around 30 percent.
Climate Change and Poverty Threaten Corporations, International Security, and the Global Economy.
Climate change is not just an environmental issue, but also a threat to corporations, international security, and the global economy. Major companies and their customers are at risk due to the increasing frequency and intensity of natural disasters caused by climate change. Hurricane Sandy, which caused $50 billion in damages and left 8.5 million people without electricity, is just one example of the devastating impact of climate change on businesses and communities.
As the planet continues to warm up, experts predict that such extreme weather events will become more frequent, posing a significant threat to the profits and even the existence of corporations. Moreover, climate change and poverty are intertwined, with natural disasters often resulting in the destruction of infrastructure, food supplies, and displacement of people, leading to increased poverty and social instability.
The repercussions of climate change and poverty also extend to international security. When people's lives are threatened, they may resort to violence, leading to refugee crises and potential terrorist attacks. The Arab Spring, which was partly fueled by food scarcity and increased food prices linked to climate change, is a notable example of how environmental issues can have far-reaching consequences for global security.
In light of these challenges, businesses have a vested interest in contributing to solutions that address climate change, poverty, and other global crises. By investing in sustainable practices, companies can mitigate their own risks, protect their profits, and contribute to the well-being of the communities in which they operate. Additionally, consumers and investors are increasingly demanding socially responsible business practices, with brands owned by socially responsible companies enjoying greater customer loyalty and preference.
The Importance of a Sustainability Committee for Implementing Sustainable Practices
In today's world, it's not enough for companies to focus solely on their legal and financial well-being. The concept of sustainability has gained increasing importance, and companies need to take responsibility for their impact on the world. This is not only the right thing to do, but it can also lead to higher profits and better brand performance in the long run. In order to effectively implement sustainability practices, companies need to establish a sustainability committee associated with their board of directors or another governing board within the organization.
The sustainability committee plays a crucial role in helping the board develop, carry out, and monitor the company's sustainability strategy. It should regularly report to the board on the performance of the strategy and ensure that the board understands the significance of sustainability initiatives. Companies like Unilever and Nike have already established sustainability committees that meet regularly to address various sustainability issues.
A sustainability committee can have a broad mandate, beyond just energy and environmental concerns. For example, Nike's sustainability committee reviews all of the company's policies and actions, including labor practices, charitable contributions, and diversity initiatives. This underscores the value and importance of a sustainability committee as an asset for the organization.
The stakes are higher than ever when it comes to sustainability. Natural disasters, climate change, and poverty can all pose significant risks to corporations, international security, and the global economy. Companies need to be proactive in addressing these challenges and integrating sustainability into their core strategies. A sustainability committee can provide the necessary oversight, expertise, and accountability to ensure that sustainability practices are effectively implemented and monitored within the organization.
Engaging with Stakeholders: A Key to Achieving Sustainability Goals
Engaging with stakeholders is a crucial aspect of implementing sustainable practices within a company. It involves actively involving various stakeholders such as customers, employees, investors, and the local community in the decision-making process when developing and implementing sustainability strategies. By doing so, companies can benefit from their diverse perspectives and increase their chances of achieving sustainability goals.
Stakeholders play a significant role in shaping a company's sustainability efforts. It is important to proactively seek their input through mechanisms such as a Stakeholder Advisory Council (SAC). This council can help maintain open communication channels with stakeholders and anticipate and address any potential conflicts or issues. Stakeholder-related risks, such as conflicts with local communities or negative impacts on the environment, can have serious financial implications for a company. Engaging with stakeholders through an SAC can help prevent such risks and safeguard the company's financial well-being.
Engaging with stakeholders also has positive impacts on a company's performance. Employees are more motivated and productive when they are asked for feedback on social and environmental issues. Trust and loyalty from stakeholders, including customers, are crucial for a company's brand reputation and sales. Studies have shown that people trust companies more and are more willing to buy from them if they perceive the company's leadership as trustworthy and engaged in social and environmental issues.
In today's business landscape, sustainability is not just about doing the right thing; it also has tangible benefits for a company's bottom line. Engaging with stakeholders and incorporating their input in sustainability strategies can lead to improved sales, increased brand loyalty, and enhanced productivity. It is important for companies to recognize the value of stakeholder engagement and make it an integral part of their sustainability efforts. By working collaboratively with stakeholders, companies can create a better world for themselves, their stakeholders, and the planet.
Collaboration for Environmental Goals: Businesses and NGOs Working Together
Collaboration between companies and non-governmental organizations (NGOs) can be a powerful approach to achieving environmental goals. While NGOs may not always be perfect, they have expertise, networking opportunities, and proven approaches that can benefit businesses. Working together, businesses and NGOs can accomplish much more than they could on their own.
NGOs can provide valuable resources to businesses, including expertise in social, environmental, and economic issues, as well as credibility with customers, employees, and investors. Collaborating with NGOs can also help reduce costs and risks for businesses. For example, the partnership between The Dow Chemical Company and the Nature Conservancy has resulted in the development of successful methodologies that have been adopted by other companies, leading to improved sustainability practices.
Collaboration among businesses is also beneficial, as it allows for the sharing of expertise, information, and experience. The Clinton Global Initiative, founded by Bill Clinton, is an example of an effective collaboration that brings together businesses and NGOs to discuss and solve common problems. This initiative has made a positive impact on the lives of millions of people around the world, demonstrating the potential of collaboration for achieving meaningful change.
While businesses have their own resources and capabilities, collaborating with NGOs and other businesses can amplify their impact on environmental goals. It enables access to diverse perspectives, innovative approaches, and broader networks, leading to more effective and sustainable solutions. Collaborative efforts can also enhance a company's reputation and stakeholder engagement, as it demonstrates a commitment to addressing environmental challenges through partnerships and collective action.
In today's complex environmental landscape, collaboration is a key strategy for businesses to make meaningful progress towards their environmental goals. By leveraging the expertise, resources, and networks of NGOs and other businesses, companies can drive positive change and contribute to a better world for everyone.
Book Details
- Print length: 208 pages
- Genre: Business, Sustainability, Nonfiction
A Better World, Inc. Chapters
Chapter 1 :Only Global Corporations Have the Resources, Global Reach, and Self-Interest to Build A Better World
Chapter 2:Economic Development 3. Climate Change and Energy
Chapter 3:Ecosystems
Chapter 4:Education
Chapter 5:Healthcare
Chapter 6:Human Rights
Chapter 7:Successful Companies Engage Stakeholders, Collaborate with NGOs and Each Other, and Ensure Effective Board Oversight
What is a good quote from A Better World, Inc.?
Top Quote: “In the land where excellence is commended, not envied, where weakness is aided, not mocked, there is no question as to how its inhabitants are all superhuman.” (Meaning) - A Better World, Inc. Quotes, Alice Korngold
What do critics say?
Here's what one of the prominent reviewers had to say about the book: "Through rich examples and a thorough analysis, A Better World, Inc. illustrates that it's not only possible for companies to do well while doing good, but it is increasingly essential." — Kenneth B. Mehlman, Partner, KKR
* The editor of this summary review made every effort to maintain information accuracy, including any published quotes, chapters, or takeaways. If you're interested in enhancing your personal growth, I suggest checking out my list of favorite self-development books. These books have been instrumental in my own personal development and I'm confident they can help you too.
Chief Editor
Tal Gur is an author, founder, and impact-driven entrepreneur at heart. After trading his daily grind for a life of his own daring design, he spent a decade pursuing 100 major life goals around the globe. His journey and most recent book, The Art of Fully Living, has led him to found Elevate Society.
