Tomorrow’s Australian Company Proposed RMIT – Nankai University research

Background The origins of the Tomorrow’s Company project: Initial presentation by Professor Charles Handy at the RSA The RSA project until 1995 The initial report: Tomorrow’s Company The formation of the Centre for Tomorrow’s Company Subsequent reports Tomorrow’s Global Company Tomorrow’s Global Talent Tomorrow’s Owners

The main theme of the reports The underlying theme of the projects in the UK have been: The global environment is changing Social and environmental issues are becoming more important Business is part of society, not independent of it The theme of inclusiveness – or stewardship - is central Redefining measures of success Embedding values conducive to inclusiveness Creating frameworks for change The future is seen as balancing the natural environment, the social and political system, and the ‘real economy’ (supported by the financial economy) The real economy produces goods and services that meet human needs

The formation of the Australian Project The Tomorrow’s Australian Company project was established to examine the challenges and choices that will face tomorrow’s companies operating in a global environment. It will examine: The key forces for change and the resulting challenges and opportunities for Australian corporations. The role of business in society, locally and globally, and clarify the future relationship between business, government and civil society. It is intended that the project will identify ways in which corporations can be shaped to be a force for both economic, environmental and social betterment, and describe the respective contribution of companies and of all the other stakeholders (including governments and not-for-profit organisations) who are needed to work together to achieve this betterment. It will suggest innovations in governance, reporting and accountability that can win the confidence of business, shareholders and society

Next steps in Australia On reviewing our agenda, we have concluded: Tomorrow’s global companies may need to adopt a new approach in pursuing a sustainable life style at the level of the firm, employees, leadership, capital, society and the natural environment. This could involve the scrutiny of internal and external governance mechanisms and principles designed for tomorrow’s global company’s owners and the tomorrow’s global company’s staff. The following concepts and business practices are to be investigated: Sustainability What is sustainability? What does sustainability mean for tomorrow’s Australian company? Stewardship What is stewardship? What does stewardship mean to tomorrow’s Australian companies’ owners, managers and board of directors? The internal and external governance mechanisms will achieve sustainability The other challenges that tomorrow’s Australian companies will face in future and the solutions tomorrow’s Australian companies may be able to offer? RMIT University©2010 Graduate School of Business and Law

The Chinese component The addition of the Chinese component has enlarged our thinking: Examining the emerging role of owners and board of directors in the PRC, and what changes could be made in enhancing corporate governance. Exploring how far tomorrow’s global companies need to be more entrepreneurial in the way of pursuing sustainable competitive advantages together with sustainable development, through identifying and exploiting entrepreneurial opportunities in a long time span. Examining the role of change in Chinese public-listed companies, and the extent to which dominant control can allow a company to pursue real innovation. Other questions emerging out of the Chinese arm of the project are: What is the role of family business in an economic society? How could corporate governance and sustainability be enhanced through ownership reform? Is ownership reform required in order to implement stewardship principles in Australian, Western, or Chinese society?

Next steps We are still at a planning stage. Associate Professor Ren Bing has completed a review of the UK studies, and is now looking at a series of more detailed questions that can be asked in China and Australia We are seeking to carry out a series of case studies of companies undergoing reform in both countries to examine similarities and differences Our key question is quite simple: What is required to make owners and managers want to change in the direction of sustainability?