All people long for genuine wealth: physical, mental, emotional and spiritual well-being. declining trust between their companies and their key stakeholders, such as customers and supply chain partners. Measuring each employee’s level of mission alignment and personal wellness every year will provide a more powerful way to assure that the spirit of an organization is flourishing. Most importantly, everyone will eventually see that the underpinning of all corporate assets is the preservation of natural resources that are currently being used beyond capacity, without being considered on anyone’s balance sheet. These ideas can become the new corporate yardstick, providing a much more comprehensive look at the bottom line than the traditional profit and loss mentality. Focusing on what is truly valuable and not simply money must become the new reality, the unifying cornerstone of a flourishing economy. Long-term thinking will become more prevalent than the quarter-to-quarter pressure to impress Wall Street. Strategic planning will focus on preserving and increasing all five capital assets: financial, built, human, relationship/social and environmental. Why is this inevitable? In 1945, 80 percent of a corporation’s assets were tangible. Today, only 20 percent of assets are tangible, while the other 80 percent (intangible assets) are unaccounted for on financial statements. This leaves room for both huge errors and huge opportunities in the decision-making process that everyone will eventually discover.
a company asset. Within two years of cutting this cost, the engineer started a competitive firm and took millions of dollars of revenue away from his former company by recruiting customers who were more loyal to his expertise than the company he formerly worked for. In an example where decision makers “saw the light,” a software development firm was initially turned down for a $3 million bank loan it needed to launch its new higher-end product after years of reinvesting all discretionary revenue into research and development. The traditional approach to profits, losses and balance sheets made the company look like a risky investment. When it obtained permission from external auditors to redo the last five years of financial statements as management reports with genuine wealth-oriented policy changes, the company had a dramatically different outcome. The new approach added $4.5 million worth of intangible assets to its genuine wealth balance sheet, and showed strong and growing profits over the past five years that had been reinvested into intellectual property assets. This resulted in the same bank providing the company with the requested loan, with no increase to its tax liability. This saved the company from having to sell 33% of its stock to outside investors for the money necessary to launch the new product. After much reflection and research, I am convinced that all people long for genuine wealth: physical, mental, emotional and spiritual well-being. And there is a practical way to achieve it. It will require great jobs in flourishing companies that people are proud to work for. Wise executives will lead the way by changing the game and measuring what matters. Wise people are already declaring that this new economy is non-negotiable. Investing ourselves in spiritual transformation that leads to genuine wealth and a flourishing society will make it a reality. PAUL WERDER , founder of LionHeart
In one unfortunate example, a very creative and highly compensated engineer was terminated because of his “excessive salary.” The decision maker was obviously not considering his expertise as
Consulting, is the author of The Zugunruhe Mastery Guide with Jason F. McLennan.