In our new blog series “One thought about Responsible Leadership”, Mashudu Molefe from South Africa – who is an Ambassador of the World Business Dialogue – asks himself the question: Do you believe that the purpose of capital should be transmogrified by governments to better inform responsible leadership? He reflects on the purpose of capital and how we have to rethink it in order to act as Responsible Leaders.
Mashudu says: “In order to shape our collective values in ways that benefit society as a whole, we need to ensure our values are embedded in dialogue and not our egos.” Read his thoughts and share your personal ideas below.
Do you believe that the purpose of capital should be transmogrified by governments to better inform responsible leadership?
The belief that there is an adverse trade-off between financial and social returns in the context of capital is nescient. I say that because I believe that as civil society we decide what capital is, how we wish to think about it, how we wish to structure its purpose, how we want to deploy it as well as how we want to understand its performance.
For governments to effectively transmogrify the purpose of capital to better inform responsible leadership, they need to create a scorecard that makes it mandatory for businesses and investors to conform to certain norms. Before an individual or a firm engage in a project that requires that they deploy capital, they need to provide the government with an action plan that embodies the following factors:
In conclusion, we need to understand that we won’t be successful in our pursuit to ensure we use capital in sustainable ways if we view our own success as being a separate component from the success of others. A noble Buddhist concept on achieving nirvana is rooted in ensuring that your partners, colleagues and other sentient beings achieve nirvana. You cannot be liberated if someone else is oppressed. Through dialogue we can become Responsible Leaders by coming together and redefining what capital is, how we wish to structure its purpose, how we want to deploy it, how we view its value as well as how we plan to use it to create the world we want to live in. Capital’s relationship with Responsible Leadership should become embedded in every individual’s train of thought. That way the purpose of capital will be expanded to incorporate new factors that will assist leaders with making responsible decisions.
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