3 minute read
Foreword
Finally, an in-depth book that looks inside the engine of B Corps, the raison d’être, the philosophy of why business must benefit people and regenerate the planet. A word that recurs throughout is ‘value’, one of the central pillars of economic theory since ancient times, which the neo-liberal paradigm we still inhabit has lost sight of. Value is about exchange, citizens, society, mutuality, interdependence, the core of any civilised economy. Value is also central to the measurement systems we use, how we account for the socalled ‘externalities’, the unresolved elephant in the room of economics. Herein the work of accountants is key, witness the pioneering efforts of True Price in The Netherlands in measuring ’total prices’ that include planetary and societal costs above and beyond costs of production, distribution, etc. PUMA was one of the first companies to use true-cost accounting over 10 years ago, when they calculated that their annual profit would effectively halve if external costs were accounted for.
The tapestry of additional threads in measuring and accounting is wide: from adding positive externalities from job creation and maintenance in industries such as bottled water where many families are employed to treating Human Resources as assets on the balance sheet rather than cost in the P & L, from planetary reserves to regenerate diminishing resources to ecosystem accounting, scope 3 and beyond. As others have stated: “Accountants can save the world !”. Such is the power of numbers !
A timely link to the book is the work of ISSB and its chair Emmanuel Faber, who understands that at bottom it’s a new language we need, a language that reveals a new world in tune with nature and people.
It is also a ‘how to’ book, complete with examples of businesses that are using the B Corp Impact Assessment, have certified as B Corps or are on their way.
Every example listed is like a mini case-study with space for notes, comments and questions, making it very hands-on and a true learning tool. Numerous leaders and entrepreneurs are mentioned, which makes it easy to trace these people on LinkedIn and engage in real conversations. In general, B Corp leaders are very communicative and willing to be helpful, which can make the B Corp journey easier and faster.
At a time when many voices are asking for business to step up to the needed transformation towards a more regenerative economy, Mark’s and Aldo’s book is a relatively quick way to become familiar with B Corps, paving the way for the required practice that each will master when completing the B Corp Impact Assessment.
One suggestion is to set up a dedicated web page to collect feedback from the book readers, since an open process of consultation with other users will benefit everyone and speed up the evolution of business !
Finally, from a new language to a new population, a movement of leaders, an ecosystem, where private and public sectors work in tandem to actualize the meaning of the new measuring system that integrates natural, social and human capital. This step towards a multiple theory of capital is a fertile ground for next steps by accountants. The real implication of ecosystem thinking is joint accounting measurement, not for one company on its own, but for companies in an industry, collectively, and eventually even at the levels of local economies, cities and regions. Collective, or shared, well-being can’t really be achieved without shared value creation and shared measurement systems. In this endeavor, the growing population of certified B Corps and Benefit Corporations by law, respectively 6,000 in 85 countries and over 20,000 in 9 countries, is the perfect starting point to experiment with in the years to come.
There is much to do in the next decade to transform economies for well-being. This book makes a concrete contribution in this direction.
