VideoCorporate Political Responsibility Taskforce

Clarifying the Case for DEI - Investing in People and Opportunity

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On April 18, 2024, we spoke with Daniel Aronson, Founder of Valutus, to explore “The Value of Values: How Quantification Strengthens the Case for Action (and CPR).”

As more companies face challenges related to ESG and DEI initiatives, some are pulling back on investments and hesitating to take public stances on issues. But prevailing public sentiment and market indicators rebuke the conventional idea that business leaders must choose between profit and purpose. Increasingly, the numbers — factual and financial — show the tangible value for corporations in establishing and prioritizing values and intentionally deciding where and how to show up for policy discussions. Established values can also inform a corporate political responsibility framework that companies can use to navigate the policy landscape and decide how and when to act. As leaders take the courageous and sometimes vulnerable steps to lead with values, they adopt a long-term perspective on management and decision-making that creates more resilient businesses with stronger bottom lines.  

In this module, we explore:

  • How can you use data to show that profit and purpose are not mutually exclusive?
  • Why does investing in people and opportunity creates more resilient and innovative businesses? 

The Corporate Political Responsibility Taskforce (CPRT) Expert Dialogues are in-depth, recorded conversations with academic experts, stakeholder advocates, and business practitioners to provide our members and other CPR champions with the expertise and context they need to develop principled, proactive CPR strategies. Each module is designed to spark constructive, non-partisan, principles-based dialogue without “being political.”

As Founder of Valutus, Daniel Aronson specializes in creating value through sustainability and responsibility. During his consulting career, he has led sustainability strategy consulting for Deloitte and IBM and has worked with global leaders in the field — including Nike, Johnson & Johnson, Novartis, Autodesk, Interface, Biogen, and Philips. He has been researching, writing, and consulting on the environment, social responsibility, and innovation for over 25 years.   

The full transcript for this module is available here.  

KEYWORDS: #CorporatePoliticalResponsibility #CPR_Long-term Value #CPR_ESG #CPR_Enterprise Risk #CPR_Systemic Risk #CPR_BizStrategy #CPR_Markets #CPR_PublicPolicy #CPR_Accountability #CPR_Responsibility

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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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ArticleHarvard Business Review

This article introduces the concept of “net positive advocacy,” which involves working with partners to advocate for policy that supports systemic solutions and net positive outcomes for all competitors. This requires courage and a shift in mindset, but actually helps de-risk both sustainable business strategies AND political interactions for companies. Their Readiness Test tool provides a useful conversation starter about the change in mindset required. 

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ReportWBCSD

This guide outlines nine clear pathways—like net-zero emissions, circular economy, and inclusive societies—across key sectors including energy, mobility, food, and manufacturing, providing businesses a strategic roadmap to embed sustainability in governance and operations for a thriving 2050 within planetary limits.

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ReportWBCSD

In a major refresh of its Vision 2050, the World Business Council for Sustainable Development argues that the decade ahead is critical if we are to achieve “9+ billion people living well within planetary boundaries.” They highlight the need to shift political and economic incentives that push companies into short-term behaviors that undermine societal or environmental systems, and propose a new CPR-driven mindset where firms align all policy influence activities to purpose statements and sustainability goals, partner to generate new policy ideas and help ensure relevant stakeholders are at the table.

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VideoCorporate Political Responsibility Taskforce
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ReportThe Conference Board

A robust overview of current legal landscape for corporate political activity. It highlights the reputational and other risks companies need to manage, and the need for oversight and transparency to govern political spending.

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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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ReportAspen Institute & Allstate

Explores the history, emotion, and power of effective argumentation to promote more constructive debates and mutual learning in America. Shares key principles, including removing the focus on winning, prioritizing relationships and engaged listening, considering context, embracing vulnerability, and creating space for transformation. 

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ReportCERES

Offers concrete recommendations on how companies can establish systems that address climate change as a systemic risk and integrate this understanding into their direct and indirect x on climate policies.

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This report focuses on 527 organizations as a major vehicle for corporate treasury spending in support of candidates, parties and issues. It shows how the complexity of the transactions distance companies from their political spending, and the contradictions this invites -- in theory and in practice.

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ReportCenter for Political Accountability

The CPA-Zicklin Framework provides suggested key practices that companies can adopt to help manage the risks associated with election-related political spending.

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ReportNiskanen Center

The authors of this report argue that regulatory capture, specifically in finance, health care and housing sectors, has created extensive roadblocks to achieving inclusive prosperity and advocate for a more dynamic high road economy built around equitable access to high quality services. (See pg 1-11)

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ArticleHBR

Founder of the Institute for Political Innovation and a Harvard Professor teamed up to identify the most powerful levers for transformation in American politics. Most notably, an increasing call from corporate leaders to reconsider frameworks that allow businesses to be entrenched in politics.

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ArticleCalifornia Management Review

This paper reflects on Friedman’s famous claim that American business should solely be driven to increase profits. Oxford Professor Karthik Ramanna homes in on the qualifying clause of Friedman’s argument—that markets need non-market institutions to safeguard the conditions for competition—and that if corporations have influence in shaping the market, then it is not free. The report argues that corporate influence on the political landscape has tilted in their favor, often at the expense of the public sphere.

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ArticleNiskanen Center

This report provides an expansive history that ties the corporate condition to various policy eras, and makes a case for private sector investment in public policy (and not just one-off, charitable CSR initiatives).

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