Power to Change, a joint publication of SustainAbility and the International Business Leaders Forum (IBLF), is based on the analysis of corporate practices from around the world, and highlights how boards can take a leadership role in addressing the commercial and societal challenges facing business in the 21st Century.
IBLF and SustainAbility show that directors of leading companies are equipping themselves to ’take on board’ the triple bottom line – that is, balanced consideration of economic, social and environmental issues, rather than an exclusive focus on shareholder value. Based on its analysis of leading companies, The Power to Change argues that high performing boards are characterised by six L.E.A.D.E.R. principles:
the need for Boards and particularly CEOs and Chairs to take Leadership through ownership of their companies’ triple bottom line agenda;
the imperative for board Engagement with outside perspectives;
the importance of internal and external Alignment, thereby achieving coherence between policy and practice;
the need for Diversity in board composition, to foster creativity and independent thought;
the importance of Evaluation of both the board itself and the company as a whole to track and reward triple bottom line performance; and
the requirement for boards to take ultimate Responsibility and accountability for the activities of their company.
The report can be ordered online.