These companies are rewriting their strategies to infuse a sense of wider societal purpose in their corporate values, Kanter writes in her new book SuperCorp: How Vanguard Companies Create Innovation, Profits, Growth, and Social Good.
More importantly, these values are not just something tacked up on the lunchroom wall but are actively baked into each company's core mission.
Among the companies she writes about are Mexico-based Cemex, one of the world's largest building materials companies; Omron, the Japanese electronics company; and Banco Real, a bank headquartered in Sao Paolo, Brazil.
I also found some surprising names among Kanter's exemplars, such as IBM and Procter & Gamble, who you might typically think of as old guard rather than vanguard. But they "reflect the paradigm for emerging vanguard companies that pursue their everyday business opportunities in a way that reflects humanistic values and promotes the highest standards in the countries where they operate. This, in turn, helps them grow quickly and effectively, with strong profits and solid reputations."
How do vanguard companies act?
- An alley near Banco Real's headquarters was known as a dangerous haven for drug dealers, not to mention an eyesore. With police not likely to act, Banco Real organized its own employees and community volunteers to pave and light the alley, install a garden, and build two kiosks that employ local teenagers. The bank was also the first in the region to trade in carbon credits.
- When Sam Palmisano took over IBM in 2002, one of his first actions was to refresh the company's values by engaging 140,000 IBMers in a 72-hour Web chat about what IBM stands for. The community identified three overarching values: Dedication to every client's success; innovation that matters, for our company and the world; trust and personal responsibility in all relationships.
- When Cemex acquired RMC, a troubled ready-mix cement company, it also acquired that company's highly unpopular and ecologically damaging plant in Rugby, England. A television program named it as one of the top 10 buildings people in the UK would like to see demolished. Instead, Cemex upgraded training and pay of plant employees, invested in numerous capital upgrades such as a new air filtration system, and financially supported the town's launch of a business improvement program.
Read an excerpt from SuperCorp: The Strategic Value of Values: A New Guidance System