Corporate Futures and Doughnut Economics
Amsterdam was the first city to implement Doughnut Economics (Doughnut Economics, Kate Raworth, 2017) Brussels and Copenhagen followed. Which cities will be next? The alphabetical order does not need to be followed, but what definitely needs to be followed is their example!
Doughnut Economics as alternative economic system implies that the outer ring represents Earth’s environmental ceiling where the collective use of resources has an adverse impact on the planet and the inner ring represents a series of minimum social standards. The space in between is “humanity’s sweet spot”, the doughnut (Kate Raworth, 2017).
Exploiting workforce and putting their health at risk causing increasing inequality and irreversible damage to the environment and at the same time neglecting the climate crisis and its yearly environmental disasters is not a ´shadow imagination´ (Institute For The Future, IFTF) any more, it is the dark reality we are living in right now as effects of a profit-driven economy, speculations, unfair trading and globalisation. My ´positive imagination´ (IFTF) is supported by a new, just and sustainable economic model backed by purpose-driven companies, shared value between employers and employees and long-term oriented businesses and investments in circular economy and nature-based technological solutions (Reimagining capitalism in a world on fire, Rebecca Henderson, 2020).
New metrics, such as the so-called Environment, Social and Governance (ESG) metrics covering factors related to people, planet, prosperity, and principle of governance are increasingly important to investors. The World Economic Forum is encouraging businesses to include a full set of metrics in their corporate and financial reporting (WEF, Toward Common Metrics and Consistent Reporting of Sustainable Value Creation, 2020).