When we think about shareholders of our organization, we think of investors, employees, and customers. But in any circular business strategy, there is one shareholder which is always missed out i.e. our planet Earth.
Don’t you think so?
If not, why?
The planet gives us required resources like land, air, water to work and support our business. Then why are not we considering it as a shareholder in our business?
Employees give manpower and get paid in return.
Investors give money for running the business and get profit.
Customers pay and buy the products they want.
But Earth gives us all its resources and gets nothing but pollution in return.
I read somewhere that “Economy and Environment should go hand in hand”. But in real life, they do not. What can we do to make them both grow together?
The most important thing most businesses miss out is the fact that they need to consider this shareholder’s interest from the very start of their business. When we create a business strategy, we think about all our shareholders, whether the customer would want to purchase our product or not, if it’s a profitable business then we will able to get investments and earn, etc. Similarly, we need to think about the earth — Which business decisions and cations will affect it in a negative way? How will it get affected? How can we avoid that? etc.
Thinking about Earth as a shareholder will ensure that it’s interest in considered in every step or decision taken by the company. Hence, making it a circular business strategy.
Example:
While planning for an e-commerce business, we should consider the waste they will generate because of packaging. At times thinking about these issues might lead you to a better product/ service or a better way of running the business. Once you list all the questions, then try and find answers to them, are there any eco-friendly packaging materials available? If there are none, then find out which material will cause the lowest pollution?
To read more about what is a circular business model and find some solutions, click here.
So, this is just an example of how including the thought of this hidden shareholder will let us create a business which works with it or for it but not against it.
Click here to read more about circular economy and marketing strategy.