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Strategy Ethics Leadership
These three areas of inquiry and practice are very similar. All three involve knowing the situation and circumstances. Also, “leadership is about service not about power” just as strategy and ethics also both involve service and power.
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1. FP&R: future-proofing and resilience
8 REALLY IMPORTANT IDEAS IN STRATEGY & ETHICS FOR 21ST CENTURY 1. FP&R: future-proofing and resilience 2. RBMHG: reasonably-balanced mixture of the human goods 3. KLMBS: known limitations of market based systems 4. LPAMC: levers to pull to avoid mega-catastrophes 5. PGMIBG: public-good missions involving business and govt 6. GEHI: the general effectiveness of human intentions 7. TBRT: table of blue vs. red themes 8. MFoC & MOMA: the moral foundations of capitalism and a more-obviously-moral approach
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(from private regimes) More obviously moral approach
Capitalism & strategy wealth, negative-freedom (from state regimes) pleasure, aesthetics positive- freedom, health, happiness justice & fairness, negative-freedom (from private regimes) friendship, sociality care, nobility, charity More obviously moral approach
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KLMBS Monopolistic tendencies (concentration of power, wealth)
Ignores aspects of Distributive-Justice (distribution of wealth and the HGs). Many lack the ability to pay for anything (no endowment, or legitimate opportunity) Lack of Information (about the things being exchanged, purchased) Preference vs. well-being (the dark psyche; the creation of desire) Externalities (e.g. un-priced pollution, no restorative-j) Un-priced public-goods (e.g. the benefits we all obtain when everyone else is healthy). Lack of universal access to non-rival goods (in strong IPR regimes)
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Mid-century Canyon Trans- humanist divide
wealth Trans-human civilization Leverage Factors Mega -cats? 1st & 2nd worlds Trans- humanist divide USA average Lifted 4th & 3rd worlds 3rd & 4th world 2bn+ in squalor 2015 2045 2100 Momentum - Trends
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Corporation Government(1) Government (2) Government (n) PGSIBG Global
Co-opetition & Self-governance e.g. Global Compact CSR Compensate for all KLMBS, In pursuit of dual mission & vision Corporation Global Common Good Endorse & support optimize tax globally Lobbying & constructive engagement for common good, anti-corruption, etc. Partner & engage for shared mission Informative advertising to explain KLMBS & HG-government HG-government cultivate & implant justice, efficiency, health, positive -freedom, happiness, etc. I-NGO’s Government(1) Good leaders are trying to create this understanding. The terrain is in the mind, not the land or ice TGI’S & Networks e.g. UN, OECD Government (2) Lobby for selected HG’s & global good Government (n) Build trust facilitate stability, Huri coordination & harmonization
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Corporation Government(1) Government (2) Government (n)
Hypercompetitive Global Capitalism Hyper-competitive strategy CSR Compensate for selected KLMBS, to achieve valued reputation effects Corporation global quasi-feudal corporate society Selectively endorse & support minimize tax globally Narrow lobbying to enable increased exploitation of KLMBS Ignore, partner for reputation & ideology, or monitor & disrupt sub-set of HG’s stability, contracts, negative-freedom, Political or ideological advertising I-NGO’s Government(1) Draw dat!! This is the terrain in the mind of some leaders. Its not good, not ethical, not balanced should find another route. TGI’S & Networks e.g. UN, OECD Government (2) Lobbying for selected HG’s or policies Government (n) Build trust facilitate stability, Huri coordination & harmonization
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Planned Strategy “Realized” Strategy “un-realized” Strategy* Emergent
Deliberate, intentional Planned Strategy “Realized” Strategy Unforeseen changes Circumstances that strategist does not control but perhaps co-creates “un-realized” Strategy* Emergent Strategy This aspect of strategy did not work out “Things just evolve in unpredictable ways” “The business system is an ecology”
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benefits for self & society
Due to Exploitation of KLMBS Expected costs to society Deliberate, intentional Realized* benefits for self & society Planned benefits for self Unforeseen changes Circumstances that strategist does not control but perhaps influences un-realized outcomes emergent benefits for self & society Invisible hand Parts of the plan “came to nothing” “Things just evolve in unpredictable ways” “The business system is an ecology” …by pursuing self-interest man frequently promotes the interest of society more effectively than when he directly intends to promote it (as if by an invisible hand). Adam Smith 1776 * i.e. “becomes real”
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benefits for self & society
Due to compensation for KLMBS Low expected costs to society Deliberate, intentional “Realized” Benefits for self & more for society Planned Benefits for self & society Unforeseen changes Circumstances that strategist does not control but perhaps influences “un-realized” outcomes emergent benefits for self & society This aspect of the plan “came to nothing” “Things just evolve in unpredictable ways” “The business system is an ecology” …by directly intending to promote the interest of self and society man frequently does promote both quite effectively(Business Ethics)
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COMPONENT LEFT-POLE RIGHT-POLE Comments KLMBS Compensate, refrain
exploit Exploiting KLMBS yields market-power and generates “above normal” returns to s/h. Value-priority justice efficiency Econ.-efficiency implies aggregate wealth, so these values are like HG’s Variants stakeholder shareholder Variants of capitalism (legal, cultural) or models of strategic management (conceptual) Capitals multi-forms financial forms Human, social, ecological, cultural, moral, political, economic; Classes of equity and debt Politics econ-left econ-right Strong positions often reflect partial-knowledge, sense of identity, vague emotions Timing ethics now ethics later First get rich, then maybe give it to charity when you get old (but you won’t give enough) Co-opetition co-operation C competition D Dynamic prisoners’ dilemma games explain a lot about strategy and ethics. E.g. Tit-for-Tat Language values-based value-based There are separate (political) discourses, e.g. “Value-Based-Mgmnt” means s/h wealth-maxn. Agency (resp) corporate individual Pol-left endorses CM-Resp concept (like stakeholder modl.), right emphasizes indiv resp. Agency (rights) Pol-right endorses CM-Ri like right to political speech and funding. Left wants equal voices. Trust in governments in markets Right tends to trust markets more than governments to deliver a satisfying HG mix. Hopes enlightenment for all prosperity for self Left wants to elevate peoples’ consciousness, Right seeks personal salvation or prosperity. Passions isothymic megalothymic Passion for justice or for power? Plato noted the two types of character (cf. virtue ethics). Leader-style transformational transactional t-forml leader inspires and changes others’ abilities; t-actl uses +/- incentives (exchanges) Focus We/the other I/the self Several psychological theories focus on this fundamental distinction (Etzioni, Piaget, Wu) Yin/Yang yin yang Female and male aspects in balance. L-R alignment is partial; yang includes “the light” Science Ecology Engineering Broadly, the right has an engineering view of economics; left has ecological-understanding Rate of innovn Gradual, evolving Rapid, driven Weber noted that many do not want innovation, but just want to live in their “accustomed way” Ethics theories* MOMA MFoC The partitioned ethics-set identifies and locates forms of (pol-) moral-reasoning on both sides.
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Dialectics, Pluralism, Pragmatism Particularism, Virtue-ethics
MFoC MOMA Consequentialism Act-ut U + J U - J Deontology Logic based Golden rule(s) Rule-ut Egoism Utility-aspects Justice constraint & conditions Ethic of Care Inter-dependence Attend to vulnerable Agapism (love ethic) Utility-max. in markets Distributive justice Free exchange agreements Fiduciary- Duty & Financial- stewardship Contractarianism Dialectics, Pluralism, Pragmatism Particularism, Virtue-ethics Expressive aspects of ethical-egoism Various aspects of altruism RBMHG
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FORM OR THEORY CENTRAL IDEA Consequentialism Consider expected HG consequences of each considered action Act vs. Rule sub-forms Each decision separately vs. use utiln-justified general rules. Utilitarianism without justice. seek “the greatest good for the greatest number”, OK with slavery Ethical Egoism. Best for oneself (including identity aspects & freedoms) Utility-maximization (in markets) Optimized satisfaction of participants’ preferences (good or bad). Associated with ‘let market decide’, if you ignore KLMBS. Utilitarianism with justice “Greatest good” but no-one is suffering beyond a reasonable limit. Deontology Logic, categorical imperative: Golden rule, others as ‘ends’. Ethic of Care. Feminist, care, kindness; Balance vs . Feminist or Socialist Revoln? Contractarianism Moral-political, free agreement & exchange, veil of ignorance, justice (difference) principle The spanning-theories Dialectics (synthesis), Pluralism (all forms), Pragmatism (inquiry), Particularism (case-by-case) Virtue-ethics (character).
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