VideoCorporate Political Responsibility Taskforce

Implications of Limits to Growth for CPR

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On May 18, 2023,, we spoke with Gaya Herrington of Schneider Electric to explore “Examining the ‘Limits to Growth’ Model: Systems Thinking, Sustainability & CPR”

Today’s debates over sustainability and prosperity hinge on foundational assumptions about the economy, growth and the drivers of human well-being. Since its publication in 1972, the “Limits to Growth” model commissioned by the Club of Rome has been at the center of such debates, raising fundamental questions about whether prosperity is inherently linked to material consumption, and whether “business as usual” models of economic growth will lead to greater prosperity or collapse.

In this module, we explore:

  • How would you define CPR?
  • Where should companies be more involved and why? Where should they reduce their influence or stay out?

The Corporate Political Responsibility Taskforce (CPRT)’s 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. We invite those interested in a constructive, non-partisan, principles-based discussion.

Gaya Herrington is the former Director of Sustainability Services for KPMG US, author of Five Insights to Avoid Global Collapse: What a 50-year Old Model of the World Taught Me About a Way Forward for Us Today, based on research that examined updated quantitative information and found that current empirical data is broadly consistent with the 1972 projections and that if major changes to the consumption of resources are not undertaken, economic growth will peak and then rapidly decline by around 2040.

Keywords: #CorporatePoliticalResponsibility, #CPR_Climate, #CPR_Environment, #CPR_Long-term Value, #CPR_ESG, #CPR_Systemic Risk, #CPR_Trends, #CPR_Responsibility, #CPR_Resiliency, #CPR_CivicInstitutions

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WebsiteHarvard Law School Forum on Corporate Governance

This post summarizes the Center for Political Accountability’s Guide to Corporate Political Spending, which provides best practices for implementing the CPA-Zicklin Model Code. The Model Code identifies a company’s broader societal and democracy obligations and responsibilities that should govern its political spending decisions. This new Guide spells out what concrete steps and actions management should follow as it makes spending decisions and evaluates the accompanying risks. 

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ToolDebevoise & Plimpton

This tracker provides an overview of federal and state investigations into corporate ESG practices, highlighting lawsuits over misleading ESG claims by firms like BlackRock, government probes requesting information from asset managers and climate organizations, and legislative efforts aimed at limiting ESG considerations in investing. It offers essential insight into the shifting legal and reputational risks companies face in ESG governance.

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This guide provides a good overview of how the current environment developed for companies and some tips that business leaders can use to navigate through the conflicting pressures.

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ReportHarvard Law School Forum on Corporate Governance

This report explores the financial impacts of growing political instability in the U.S., emphasizing how shifts in policy and governance affect corporate decision-making, risk assessment, and long-term value. It outlines the importance of aligning business strategies with evolving political landscapes to protect financial interests. 

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ReportThe Heritage Foundation

This report argues free enterprise supports both individual prosperity and societal well-being, advocating for competitive markets over government intervention to ensure long-term economic growth.

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ToolClimate-lobbying.com

This framework guides companies to align lobbying with climate goals, focusing on transparent reporting, board oversight, and annual reviews to support efforts to limit global temperature rise to 1.5°C.

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ReportGreenwash Action Lab

This report outlines how corporate greenwashing tactics have become more sophisticated, shifting from exaggerated claims to subtler misrepresentations and legal obfuscation. It highlights emerging regulatory gaps, critiques industry self-regulation, and calls for more robust public accountability frameworks to ensure environmental claims align with actual business practices. 
 

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ArticleHarvard Business Review

This article explores the need for companies to think about political responsibility, not just social responsibility.

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ArticleNetwork for Business Sustainability

This article summarizes the rationale for corporate political responsibility and explains the four Erb Principles, which are an actionable, non-partisan template that companies can use to decide whether and how to engage in political influence.  

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VideoCorporate Political Responsibility Taskforce
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VideoCorporate Political Responsibility Taskforce
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ReportCarnegie Endowment for International Peace

This paper provides a deep and detailed examination of how economies and businesses fare under leaders who purport to be both pro-business and populist. With the increase in the number of populist leaders throughout the world, this question has become increasingly pressing. 

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ArticleBloomberg

In this article the authors highlight how the Erb Principles for Corporate Political Responsibility identify common ground between the debate about shareholder value versus stakeholder considerations, and offer a roadmap for more responsible participation by businesses in our political system. 

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