Raj Sisodia and Ignacio de la Vega discuss the impact of having enterprises and leaderships that are conscious of the needs of society and the world.

By JOSÉ ÁNGEL DE LA PAZ | EGADE BUSINESS SCHOOL

“Latin America is the most active region in the adoption of conscious capitalism,” Raj Sisodia declared.

The founder of the movement Conscious Capitalism explained that there are currently active chapters in Mexico, Brazil, Chile, Colombia and Ecuador, as well as others being created in Panama, Costa Rica, Peru and Guatemala.

He also stated that there are a growing interest and commitment among Latin American firms to do business with a higher purpose, benefiting each and every group of society.

Within the framework of the National IMEF Convention 2020, Sisodia delivered the keynote conference “Conscious Capitalism and its Application in Latin America”, together with Ignacio de la Vega, Dean of EGADE Business School and the Undergraduate Business School at Tecnológico de Monterrey.

Conscious Capitalism seeks to foster a higher consciousness in the world of business, thinking beyond the financial wellbeing of organizations, integrating all the actors involved, such as the senior management, employees, suppliers and consumers, protecting the surroundings and the environment, pursuing the wellbeing of society and looking towards a long-term future.

De la Vega highlighted Tecnológico de Monterrey’s commitment to the preparation of the conscious leaders that society and the world need.

“We firmly believe that consciousness is the starting point for their capacity to address the many challenges they face. Therefore, we are building the Center for Conscious Enterprises for a Sustainable Future which will work on diverse fronts to promote such consciousness, developing the competencies required by business leaders of today and of tomorrow.

The Dean explained that efforts are being carried out within the ecosystem of strategic centers of Tec’s School of Business and EGADE Business School that point towards a more inclusive financial system and a digital evolution for organizations and society.

Sisodia defined the four fundamental principles of conscious capitalism:

1. Higher purpose: each business must strive to alleviate suffering, promote happiness, and permit healthy growth.
2. Stakeholder orientation: all stakeholders should be taken into account, considering how they will be affected: society, employees, the future, the environment.
3. Conscious leadership: we need leaders who care about people and do not just focus on their own power and wealth.
4. Conscious culture: is based on trust, authenticity, solidarity, transparency, integrity, loyalty, and empowerment.

“COVID-19 is showing us that a lot of what we believed was wrong. These are days to challenge dogmas and better understand the role of companies in our societies. This pandemic is a somber but vital reminder that human beings are here on this planet to take care of each other, and business is a way of doing so on a large scale,” said the also distinguished professor at Babson College and Tec School of Business visiting professor.

The XLVIII edition of the National IMEF Convention took place on November 19 and 20, under the title "Inclusive economics: socially-oriented investing and growth", and included an agenda of keynote conferences and discussion panels with global leaders and experts, such as the Nobel Laureate in Economics, Joseph Stiglitz.