Industry At The Crossroads

The mood of the first U of M U.S.-Japan Auto conference in January 1981 could only be described as electric. People wanted to know what our problems were and how we could begin to solve them. Inherent in the latter issue was the questions, what could we learn from the Japanese? One left the conference with a sense that there was a call for action, a mandate to address the problems facing industry. The mood, about a year later, at the March 1982 U.S.-Japan Auto Conference was far more subdued. While undoubtedly this reflected the stream of statistics confirming the continually depressed state of the industry, another dynamic was possibly operating as well. Whereas the 1981 conference was "electric," a state of mind which flowed from a certain frustration at seemingly overwhelming difficulties and often vague expectations of what we might learn from the Japanese, the 1982 conference was more "workmanlike" in the sense that speakers discussed specifically what progress was being made in addressing problems. This more subdued, pragmatic approach continued throughout wand was reinforced by workshops held the day after the main conference. Instead of discussing the virtues of the Just-In-Time system in Japan, speakers addressed the practical problems of introducing such a system in the U.S. firms. Instead of railing about the benefits or failings of regulation of the industry, they discussed what we could reasonably expect from regulation. Instead of exhorting the industry to adopt Japanese practices willy-nilly, they focused on some of the limitations of the Japanese model in a range of different areas. Instead of trying to identify some magic key to Japanese success in the automotive industry, they discussed the interrelationships among various factors. At the same, they continued to explore the basic issues transforming the auto industry worldwide. In this connection, they sought to unravel some of the complexities associated with the internalization of the auto industry and trade obligations under the GATT.

"Capitalism at the Crossroads is built on strong theoretical underpinnings and illustrated with many practical examples. The author offers a pioneering roadmap to responsible macroeconomics and corporate growth." -Clayton Christensen, Professor of Business Administration, Harvard Business School and author of The Innovator's Dilemma "I hope this book will be able to influence the thought processes of corporations and motivate them to adapt to forthcoming business realities for the sake of their own long-term existence. Besides business leaders, this is a thought-provoking book for the readers who are looking for solutions to capitalism’s problems." -Muhammad Yunus, Founder and Managing Director, Grameen Bank, Bangladesh and 2007 Nobel Peace Prize recipient "Capitalism at the Crossroads is a practical manifesto for business in the twenty-first century. Professor Stuart L. Hart provides a succinct framework for managers to harmonize concerns for the planet with wealth creation and unambiguously demonstrates the connection between the two. This book represents a turning point in the debate about the emerging role and responsibility of business in society." -C.K. Prahalad, Ross School of Business, University of Michigan, co-author of Competing for the Future and author of The Fortune at the Bottom of the Pyramid "Stuart Hart was there at the beginning. Years ago when the term ‘sustainability’ had not yet reached the business schools, Stuart Hart stood as a beacon glowing in the umbrage. It is clear commerce is the engine of change, design the first signal of human intention, and global capitalism is at the crossroads. Stuart Hart is there again; this time lighting up the intersection." -William McDonough, University of Virginia, co-author of Cradle to Cradle "Professor Hart is on the leading edge of making sustainability an understandable and useful framework for building business value. This book brings together much of his insights developed over the past decade. Through case studies and practical advice, he argues powerfully that unlimited opportunities for profitable business growth will flow to those companies that bring innovative technology and solutions to bear on some of the world’s most intractable social and environmental problems." -Chad Holliday, Chairman and CEO, DuPont "Capitalism at the Crossroads clearly reveals the essence of what sustainability means to today’s business world. Hart’s analysis that businesses must increasingly adopt a business framework based on building sustainable value speaks to the entire sustainability movement’s relevance. Sustainability is more than today’s competitive edge; it is tomorrow’s model for success." -Don Pether, President and CEO, Dofasco Inc. "Stuart Hart has written a book full of big insights painted with bold strokes. He may make you mad. He will certainly make you think." -Jonathan Lash, President, The World Resources Institute "A must-read for every CEO—and every MBA." -John Elkington, Chairman, SustainAbility "This book provides us with a vast array of innovative and practical ideas to accelerate the transformation to global sustainability and the role businesses and corporations will have to play therein. Stuart Hart manages to contribute in an essential way to the growing intellectual capital that addresses this topic. But, beyond that, the book will also prove to be a pioneer in the literature on corporate strategy by adding this new dimension to the current thinking." -Jan Oosterveld, Professor, IESE Business School, Barcelona, Spain Member, Group Management Committee (Ret.), Royal Philips Electronics "Capitalism at the Crossroads captures a disturbing and descriptive picture of the global condition. Dr. Hart constructs a compelling new corporate business model that simultaneously merges the metric of profitability along with societal value and environmental integrity. He challenges the corporate sector to take the lead and to invoke this change so that the benefits of capitalism can be shared with the entire human community worldwide." -Mac Bridger, CEO of Tandus Group "Stuart L. Hart makes a very important contribution to the understanding of how enterprise can help save the world’s environment. Crucial reading." -Hernando de Soto, President of The Institute for Liberty and Democracy and author of The Mystery of Capital "Stuart Hart’s insights into the business sense of sustainability come through compellingly in Capitalism at the Crossroads. Any businessperson interested in the long view will find resonance with his wise reasoning." -Ray Anderson, Founder and Chairman, Interface, Inc. "This stimulating book documents the central role that business will play in humanity’s efforts to develop a sustainable global economy. Professor Hart presents an attractive vision of opportunity for those corporations that develop the new technologies, new business models, and new mental frames that are essential to a sustainable future." -Jeffrey Lehman, Former President of Cornell University "The people of the world are in desperate need of new ideas if global industrial development is ever to result in something other than the rich getting richer and the poor getting poorer, with nature (and potentially all of us) suffering the collateral damage. Few have contributed more to meeting this need over the past decade than Stuart Hart by helping to illuminate the potential role for business and new thinking in business strategy in the journey ahead. Capitalism at the Crossroads challenges, provokes, and no doubt will stimulate many debates—which is exactly what is needed." -Peter Senge, Massachusetts Institute of Technology, Chairperson of the Society for Organizational Learning, and author of The Fifth Discipline: The Art and Practice of The Learning Organization New Foreword by Al Gore Brand-New Second Edition, Completely Revised with: Up-to-the-minute trends and lessons learned New and updated case studies The latest corporate responses to climate change, energy, and terrorism Global capitalism stands at a crossroads-facing terrorism, environmental destruction, and anti-globalization backlash. Today's global companies are at a crossroads, too-searching desperately for new sources of profitable growth. Stuart L. Hart's Capitalism at the Crossroads, Second Edition is about solving both of those problems at the same time. It's about igniting new growth by creating sustainable products that solve urgent societal problems. It's about using new technology to deliver profitable solutions that reduce poverty and protect the environment. It's about becoming truly indigenous to all your markets, and avoiding the pitfalls of first-generation "greening" and "sustainability" strategies. Hart has thoroughly revised this seminal book with new case studies, trends, and lessons learned-including the latest experiences of leaders like GE and Wal-Mart. You'll find new insights from the pioneering BoP Protocol initiative, in which multinationals are incubating new businesses in income-poor communities. You'll also discover creative new ways in which corporations are responding to global warming and terrorism. More than ever, this book points the way toward a capitalism that's more inclusive, more welcome, and far more successful-for both companies and communities, worldwide. Paths to profitable sustainability: Lessons from GE and Wal-Mart Shattering the "trade-off" myth New commercial strategies for serving the "base of the pyramid" What enterprises have learned about doing business in income-poor regions Becoming indigenous-for real, for good Codiscovering new opportunities, cocreating new businesses with the poor Learning from leaders: 20+ new and updated case studies Best practices from DuPont, HP, Unilever, SC Johnson, Tata, P&G, Cemex, and more About the Author xii Acknowledgments xiii Foreword: Al Gore, Former Vice President of the U.S. xxiv Foreword: Fisk Johnson, Chairman and CEO, S.C. Johnson & Son, Inc. xxvii Prologue: Capitalism at the Crossroads xxxi PART ONE: MAPPING THE TERRAIN Chapter 1: From Obligation to Opportunity 3 Chapter 2: Worlds in Collision 31 Chapter 3: The Sustainable Value Portfolio 59 PART TWO: BEYOND GREENING Chapter 4: Creative Destruction and Sustainability 87 Chapter 5: The Great Leap Downward 111 Chapter 6: Reaching the Base of the Pyramid 139 PART THREE: BECOMING INDIGENOUS Chapter 7: Broadening the Corporate Bandwidth 169 Chapter 8: Developing Native Capability 193 Chapter 9: Toward a Sustainable Global Enterprise 223 Epilogue 249 Index 254

In this innovative exploration of the interaction between economic processes and social relations, Lourdes Benería and Martha Roldán examine the effect of homework on gender and family dynamics. Their fieldwork in Mexico City during 1981-82 has enabled them to provide important new empirical data on industrial piecework performed by women as well as intimate glimpses of these women's lives which place that piecework in context. Tracing the stages of production from home to jobber, workshop, and manufacturer (often a multinational corporation), the authors demonstrate the way in which the work and lives of these women are connected through subcontracting to the national and often international system of production.

An objective, comprehensive, and accessible examination of today's most crucial problem: preserving the environment in the face of society's insatiable demand for energy. In Energy at the Crossroads, Vaclav Smil considers the twenty-first century's crucial question: how to reconcile the modern world's unceasing demand for energy with the absolute necessity to preserve the integrity of the biosphere. With this book he offers a comprehensive, accessible guide to today's complex energy issues—how to think clearly and logically about what is possible and what is desirable in our energy future. After a century of unprecedented production growth, technical innovation, and expanded consumption, the world faces a number of critical energy challenges arising from unequal resource distribution, changing demand patterns, and environmental limitations. The fundamental message of Energy at the Crossroads is that our dependence on fossil fuels must be reduced not because of any imminent resource shortages but because the widespread burning of oil, coal, and natural gas damages the biosphere and presents increasing economic and security problems as the world relies on more expensive supplies and Middle Eastern crude oil. Smil begins with an overview of the twentieth century's long-term trends and achievements in energy production. He then discusses energy prices, the real cost of energy, and "energy linkages"—the effect energy issues have on the economy, on quality of life, on the environment, and in wartime. He discusses the pitfalls of forecasting, giving many examples of failed predictions and showing that unexpected events can disprove complex models. And he examines the pros and cons not only of fossil fuels but also of alternative fuels such as hydroenergy, biomass energy, wind power, and solar power. Finally, he considers the future, focusing on what really matters, what works, what is realistic, and which outcomes are most desirable.

This report discusses Canada's position in international competition, and the determinants of a national competitive advantage. It includes studies in the Canadian competitive advantage for the Canadian newsprint industry, the central office switch industry, the Canadian whisky industry, and the geophysical contracting industry. It also analyzes the sources of the Canadian competitive advantage.

In this manifesto-style book, radical economist and strategist Umair Haque calls for the end of the corrupt business ideals that exemplify business as usual. His passionate vision for "Capitalism 2.0," or "constructive capitalism," is one in which old paradigms of wasteful growth, inefficient competition, and self-destructive ideals are left far behind at this reset moment. According the Haque, the economic crisis was not a market failure or even a financial crisis, but an institutional one. Haque details a holistic five-step plan for both reducing the negative and exploitive nature of the current system and ensuring positive social and economic growth for the future. Haque calls for a reexamination of ideals, and urges business away from competition and rivalries and toward a globally-conscious and constructive model--and a constructive future. Haque argues that companies must learn to orient their business models around: - renewal in order to maximize efficiency - equity in order to maximize productivity - meaning in order to maximize effectiveness - democracy in order to maximize agility - peace in order to maximize evolvability These new business ideals focus on the human element - not profit exclusively - and are easily tailored for any size or type of business, as long as they are willing to make bold and sustained changes to the current system.

A holistic understanding of worked bone and the ways it shapes and is shaped by the humans who made and used it comes from integrating multiple perspectives.

There are two paths in life: Should & Must. We arrive at this crossroads over and over again, and every day. And we get to choose. Starting out or starting over, making a career change or making a life change, the most life-affirming thing you can do is to honor the voice inside that says your have something special to give, and then heed the call and act. Many have traveled this road before. Here’s how you can, too. #choosemust An inspirational gift book for every recent graduate, every artist, every seeker, and every career change.