Business of Tomorrow – Navigating the Intersection of Materiality and Morality
Whitepaper: The Bengal Chamber Indo-Pacific Economic Conclave – Position Paper
October 19, 2023Whitepaper: India-Middle East-Europe Economic Corridor (IMEC)
December 4, 2023
Enorasi - Intueri Turns 5
At Enorasi – Intueri’s 5 year anniversary event, held on 6th October, top Consulting corporations, State leaders, and visionaries delved into the nexus of ‘Materiality and Morality’ that seems to be shaping tomorrow’s corporate landscape. The event explored the newly defined roles of the Board in enterprises, how to make the Board effective, and how to seamlessly cater to the highly morphed demands of impact investors and new generation millennials as both customers and employees.
Key Takeways
Ambarish Dasgupta – 00:02:48
The corporate landscape today grapples with changing investor perspectives and evolving definitions of morality, particularly among new generations. Traditional student investment programs, rooted in the 1970s, have expanded to address various concerns. In recent years, universities such as Yale, Stanford, MIT, Vanderbilt, and others have filed lawsuits under the Uniform Prudent Management of Institutional Funds Act regarding fossil investments. What was once philosophical discourse has transformed into concrete legal frameworks and regulations. Materiality and morality are not just some philosophical concepts anymore because there are specific laws and regulations are now coming up like UK financial reporting council, British academy, their 8 principles in acting purpose initiative score in short, the French entrepreneur mission law, section 172 of British companies’ act are some of the global regulations that are coming in to define corporate’s purpose.
Alapan Bandopadhyay – 00:14:58
Public administration, often rooted in morality, was perceived as a governance project, whereas business administration focused on materiality. This separation was particularly pronounced in former colonies, such as India, where bureaucratic roles were seen as guardians of law and justice, prioritizing ethics. However, as time has passed, the lines between these roles have blurred. Contemporary bureaucrats are increasingly expected to embrace moral duties, mirroring the evolving expectations of managers and corporations regarding social and environmental norms. In essence, the discussion highlights the shifting landscape where bureaucratic efficiency and managerial morality intersect in the business world of tomorrow.
Richard Rekhy – 00:39:50
A pivotal transition from Industry 4.0 to Society 5.0, signifying a shift from job destruction by technology to a more harmonious coexistence of technology and human labor. The emerging gig economy is poised to prioritize skills over traditional full-time employment, emphasizing sustainability, eco-friendliness, and social impact. The concept of a higher purpose is stressed as a guiding moral compass for decision-making, encompassing qualities such as vision, collaboration, ethics, courage, and resilience. Emphasis is placed on ethical considerations and principles, particularly in the “S” part of ESG (Environmental, Social, Governance), as being as crucial as legal compliance, with a focus on humane practices, protecting employees, and minimizing layoffs.
Akhil Gupta (Panel Discussion) – 01:13:45
The mission of any company centers on offering employment through legal channels while simultaneously tending to the needs of customers and stakeholders. Morality finds its roots in principles of honesty, transparency, adherence to rules, and the unwavering commitment to elevated corporate governance standards. Unfortunately, many companies predominantly emphasize ESG and CSR as a mere showcase of compliance. It is crucial that materiality, when interwoven with ethics, takes on a central role in the operations of every enterprise.
Gunjan Shah (Panel Discussion) – 01:23:30
Bata has been actively integrating morality into its corporate ethos, with a history dating back 70 years when they committed to sourcing leather only from LWG-certified tanneries. Recently, the company has been emphasizing the importance of purpose in their ESG and CSR initiatives, aiming to engage employees personally and professionally. They measure the success of their corporate social responsibility programs by tracking the number of employees who volunteer and the man-hours they contribute to social work. Additionally, Bata places a strong emphasis on recycling, not just within the company but also in employees’ families, as a means to instill a sense of purpose.
Sandeep Kuma (Panel Discussion) – 01:28:56
Purpose-driven companies are becoming more attractive to talent, as the younger generation values organizations with sustainability principles. This sentiment was tested within Tata Group, revealing a strong emphasis on sustainability among today’s workforce. Additionally, customers are increasingly seeking products and services with embedded sustainability principles.
Edgardo Pappacena – 01:58:12
Geo-political risk is a long-term reality that companies must address, yet many are unprepared for it. Less than one-third of multinational companies’ internal audit strategies focus on geo-political risk. There are three significant factors affecting the business landscape: economics, geo-politics, and technology, and these factors are constantly shifting.
