Financial Times publication:  ”Responsible Business Education – Award Winners 2023”

This FT publication contains valuable insights to challenge business leaders, business schools, students and employees. Here’s a snapshot.

Purposeful business teaching is the new norm. Employers and students are pushing business schools to either radically adapt their teachings and approach or risk being disrupted.

Leaders need to know as much about sustainability as about key business processes, such as finance, operations and strategy. Sustainability is no longer a niche focus area in organisations but essential in traditional business roles. Students on the other hand need to understand what it takes to align purpose and profit and learn how to generate financial value.

Warnings:
Talented employees are more inclined to leave companies if their employer’s commitment to improving the profit-purpose alignment is lacking.

Students must avoid the purpose-only trap. To quote author of Purpose + Profit, George Serafeim, who believes profit and purpose can be combined: “It is crucial to keep in mind the importance of profit as more students gravitate towards purpose. Finding a strong product market fit, designing business models that scale, and creating efficiencies are as important in purpose-driven businesses as any other. At times, this will require hard choices and ensuring ideals do not become the enemy of progress”.

ESG:. Interest in ESG (environmental, social and governance) goals continues to grow. Alex Edmans, professor of finance at London Business School highlights both the value of an ESG agenda and having a balanced view of the return. “There are some false promises of the ESG crowd: that everything you do will always help shareholder value and ESG always pays off. Many people ignore the trade-offs. Sometimes important social goals are at the expense of financial goals”.

This second edition of the FT’s Responsible Business Education Awards was published in Jan 2023