EUROPE: Albania, Andorra, Austria, Belarus, Belgium, Bosnia & Herzegovina, Bulgaria, Croatia, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Kosovo, Latvia, Liechtenstein, Lithuania, Luxembourg, North Macedonia, Malta, Moldova, Monaco, Montenegro, Netherlands, Norway, Poland, Portugal, Romania, Russia, San Marino, Serbia, Slovakia, Slovenia, Spain, Sweden, Switzerland, (Turkey), Ukraine, United Kingdom, Vatican City...SPECIAL THANKS 2020 TO EUROPE'S LIVESMATTER.CITY coalition: barcelona rome oxford-glasgow vienna
2020q1 when vaccine is born how can it be marketed so 7.5 billion
2020q2 from how can students and teachers help celebrate advancing sdgs on 75th year of UN

The Economist's entrepreneurial revolutions 49th annual league table of places sees barcelona and vienna playing most critical roles as tipping points of sdgs collapse unless we get back to understanding 90% of innovations advancing human lot start small deep and long in communi8ty or family lab not 90 day extraction mba thrones. Hong MOng takes over as startup epicentral in spite of western fake media to contrary
timelines of
worldclassbrands -what if purpose of brand leaders will exponentially determine success or failure of our final 40 year examination in species sustainability -launched in 1988 with a series in the economist - year of brand, death of brand manager- what needed to die as the world united around death of distance technolgues was the advertising paradim of battling for minds with a different brand for every new product and in every different language- what would be the mos importnant new geres of brands? places? faiths? big data local platforms - how would adam smith and james watt quarter of a century 1760-2010 morph into humanising moore machine intel than human as we entered 4G and 5G decades: back in 1960s alumni of moore had promised 100 times more computation power every decade 0g 1970s onwards - thats an exponential of trillion times moore by end of 2030 than needed to code moon landing- such power depended on trust in collaboration around globalistion's most purposeful brand leaders as well as integration of community sized enterprise value chains if sustainabity golals were to be a united reality not just a greenwashing game

universityofstars -what if world class sporting leagues prepped uber champoins- once you're too old to stay top of the pops in sports song or beauty, what if you already know an sdg leader you want to share your and her alumni with
-launched 2004 in delhi with 100- gandhians after seeing some early reality tv competitions as well as writing up 184's story of the critical deadlines of morphing digital and pre-digital media to be the sustainably deepest of both not the socially most trivial -more

Fascinating to track with hudson institute how many european countries have given up with the official advice of mr trump on building g5 and are letting carriers just do it with whomever offers the best deal washington dc technology's biggest leap -breaking 14 nov - many nations and continents are racing into 2020s with probably the biggest innovation crisis ever du8e to greed of governments spectrum auctions at $G #G- failure to let the peoples use 5g video would 5G exist without china -discussion welcome

Monday, August 13, 2018

france's sustainability leaders - a 10 year review

emmanuel faber of danone- featured in latest Economist article below
martin hirsch
maria nowak  -you tell us

youth journalist clubs contributing include journal of social business- foundation norman macrae The Economist's end poverty economist

A tradition of pursuing lofty social goals is going further
THE food industry is going nowhere. Pretty pictures on food packets mislead. Big companies have disconnected people from their sustenance. Consumers, especially millennials, are sceptics about industrial-scale food production. Even sellers of healthy products, such as mineral water, spread harm—just look at billions of their plastic bottles that choke the oceans.
Such views are commonly heard among food activists, radical bloggers or anti-capitalists. Yet these come from Emmanuel Faber, who runs Danone, a large French food company. Mr Faber (pictured) frequently sounds like a doomsayer about his own industry—and about capitalism more broadly. “A revolution” and the end of globalisation are nigh, he says.

Latest stories

See more
Danone is well-placed to spot such changes. With its headquarters in Paris, the company sells to over 130 countries and made nearly €25bn ($28bn) in revenues last year. Mostly it sells dairy goods such as Activia yogurt, mineral water (in plastic bottles) such as Evian or Volvic, and baby food. Mr Faber sees change driven mostly by the new habits of consumers in rich countries. “People are walking out of brands that they’ve been consuming for decades,” he says. Millennials in particular do not think their food system works and are shopping locally, favouring smaller producers and buying organic, plant-based or GM-free products.
Danone’s answer is to rethink the motivating idea of the company. That means rejecting the Anglo-Saxon idea that a firm exists primarily to maximise the welfare of its owners, the shareholders. Danone is pursuing what Mr Faber sees as a more meaningful goal. The “purpose of this firm is not to create shareholder value”, he says. Instead it is to get healthy food to as many mouths as possible, benefiting everyone from suppliers to consumers to owners.
In part, this serves as savvy marketing; Mr Faber, a wiry rock-climber, is living the brand. The approach is also consistent with Danone’s history going back well over a century. In a speech in Marseille in 1972 a former boss, Antoine Riboud, launched the idea of the company having a “dual project”, meaning it should pursue both economic and social benefits. That speech, influenced by his Socialist leanings and anti-capitalist protests and social upheaval from 1968 onwards, is still dutifully cited by senior management.
The firm does put its money where its mouth is. It has sold subsidiaries that produced biscuits, chocolate and beer, for example. Evian, its high-end mineral water brand, which accounts for roughly 3% of revenues, is trying to become carbon neutral. Danone is working on a way to make recycled plastic, which is often grey, appealing to drink from. Danone also runs large-scale, non-profit “social businesses”, such as one in co-operation with Muhammad Yunus, a Nobel laureate, which provides high-quality and nutritious yogurt cheaply to Bangladeshi children. Mr Faber previously led this part of the company.
The latest effort is to win certification as a “B Corporation”, a label meant to reflect a firm’s ethical, social, environmental practices. Smaller outfits, such as Patagonia, a clothing firm, or Ben and Jerry’s ice-cream (now part of Unilever) were early B Corps. Some 2,500 have been certified in the past decade or so. Athleta, an “athleisure” firm owned by the Gap clothing chain, became a B Corp in March. Firms scrutinise each other, along with independent monitors.
So far around 30% of Danone’s various subsidiaries are thus certified. The goal is to do them all within a few years, at least by 2030. In April Danone North America, encompassing WhiteWave, an organic-food firm that Danone bought in 2017 for $12.5bn, became the world’s biggest B Corp. The idea is that the label will help to win back trust from consumers.
Relatively few people, at least outside America, have heard of B Corps, although Walmart, Danone’s biggest single customer, is an enthusiastic promoter and pushes B-Corp goods in its stores. In America B Corps are associated with (but different from) Benefit Corporations, a legal status for firms that lets them seek goals other than maximising shareholder welfare.
B Corps are certified by an independent movement called B Lab, founded by Jay Coen Gilbert. Like Mr Faber, he talks of a pressing need to rethink the philosophy of the company, saying “we need to correct an error in the source code of capitalism: shareholder primacy”. B Corps, he says, promote better governance and better serve the interests of workers, suppliers and wider society, in addition to investors. He notes that Larry Fink, chairman of BlackRock, the world’s biggest asset manager, said much the same in a letter to companies in January.
Prophet with profits
Does Danone’s radical approach hold water? Other consumer giants, such as Unilever, emphasise that giant firms should lead on environmental, social and governance topics. But Danone’s virtue-signalling goes further, analysts agree. All the same, Martin Deboo, of Jefferies International, a bank, notes that Danone has a mixed reputation among European investors. The firm had been trying to up its returns, but its high-priced purchase of WhiteWave, which has low returns, was disappointing, he says. Danone’s returns of around 8% on invested capital are relatively low compared to its peers. After rumours in the summer of 2017 that an activist investor was circling, the firm’s share price leapt, suggesting buyers hoped new management could lift its performance.
Over time, Danone’s approach may become more appealing to mainstream investors. Long-term asset managers, banks, and other financial partners say they feel social and environmental obligations getting stronger. Yngve Slyngstad, the head of Norway’s pension fund, says he is obliged to consider how investment decisions today might affect future generations and ask how firms might influence society, say, over climate change. The fund owns nearly $1bn of Danone stock (1.7% of the total).
Danone points to other financial benefits of its approach. It trumpets, for example, a deal announced in February with 12 creditors. Cecile Cabanis, its chief financial officer, describes a syndicated credit facility of €2bn that is tied to Danone’s B-Corp status plus other environmental, social and governance goals. As more of Danone is certified, she says, the margin payable on the credit will gradually fall. Mr Faber does concede that ultimately, he himself will be judged by Danone’s share price. The proof of the pudding will be in the eating.

No comments:

Post a Comment