Posts Tagged ‘Business’

D'Iberville, MS, November 24, 2005 -- A FE...

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The whole sustainability / fair trade issue would be so different if it were a question that has to be addressed. Instead it often has to be shoehorned in to the agenda.

Imagine if this weren’t the case. A couple of weeks ago I moved house and our electricity supplier offered 100% renewable energy as an option; all I had to do was tick a box. Too easy.

The word for this problem is schemas. We all have schemas. When you get presented with the same problem over and over, you start to take mental short cuts. You ‘know what to expect’ so you don’t give it your complete attention. Driving a car is a clear example, but we can have schemas for more abstract matters, such as a familiar-sounding customer enquiry.

Schemas are fine for many situations. The requirements of driving a car don’t change from year to year. However the business world is dynamic and evolving and there is always going to be emergent information which will be missed by a person who is following a mental script.

Worse, the pressure to produce measurably better results means that you don’t get paid to think of considerations other than what is right before you. Especially considerations that might add costs, like the work conditions under which goods are made, and whether the people who make them can afford to live on what they are paid.

It’s even worse when the process is all mapped out for you in procedures and flowcharts and, yes, tick-a-box forms.

(I think that goes beyond ethics – organisations that do not or can not respond to change have a strategy problem and are headed for an eventual crisis)

What to do about it? For one thing, ‘outsiders’ are more likely to see flaws in an organisation’s approach. Either ask for outside advice or, if you are in a position to influence hiring decisions, ensure employees come from a variety of social and cultural backgrounds and don’t share identical outlooks.

At the very least lobby for a metaphorical “Any other comments?” field! - for the option to add unexpected information. How many meetings have you attended lately that still have General Business or Open Forum as an agenda item? Event organisers don’t like them – they are hard to plan around, don’t seem to have a purpose and you never know if some nutter might hijack the microphone. However you never know what good ideas were never raised because there “wasn’t time”.

Related posts:

There are those that look at things the way they are, and ask why? … I dream of things that never were, and ask why not?

- Robert Kennedy

Thus far I have written frequently about companies failing in their responsibilities to their workforce in a very direct sense: not paying them enough to get by, or requiring excessive work hours, or failing to provide a safe workplace.

These are the easy problems to spot because their effect is so immediate. Videos, photographs and human stories will find their way out from behind factory gates.

However it is only part of the picture. To use an analogy from physics, it is like the ‘visible matter’ of the universe. There is an even larger mass of ‘dark matter’ – practices that are less than ideal but, because the ideal has never been seen, they are not perceived as a problem in need of a remedy.

One of these is structures that hinder employees themselves from acting in the best interest of the company.

Occupational Health and Safety Committees are an excellent example of employee empowerment for the good of a company. Where these function effectively, employees can raise safety concerns in their workplace without fear of reprisal. Also their concerns cannot be brushed under the carpet but are formalised and must be addressed. Yes in the short term there is a cost in some lost work hours and in purchasing equipment, however the long term benefits are there.

If a workplace does not have a Committee and a preventable accident occurs, chances are that people will see it as just one of those things that happen. Who would think to blame it on the absence of a Committee who could have identified and reduced the risk.

Whistleblowing is an even more dramatic example. Where whistleblower protections exist, companies can be saved from themselves and catastrophic problems averted. Where they don’t, disaster will unfold. People will shrug and say no one person could have prevented it, which may be true but perhaps if lines of communication were kept open it would not be.

This is a different way of perceiving workers rights. It is not a matter of being pushed and then pushing back. Rather it is a case of taking ownership of a situation and seeking to improve it, whether one is an employee, manager or even a shareholder.

The UDHR was written in 1948 as a global repudiation of the horrors of state totalitarianism.

For the first 40 or 50 years of its existence, the primary offenders remained states however the United Nations, custodian of the Declaration, has started looking at rights more broadly.

Increasingly multinational corporations are being seen as rights offenders. In 2000 the United Nations launched the UN Global Compact, under which signatory corporations commit to uphold basic human rights in their operations. The reasoning is simple: the workforces of many of today’s corporations are the size of cities. There are about as many people working for McDonald’s, for example, as there are working in the city of Melbourne.

Continuing the momentum, in 2004 Kofi Annan convened a summit on good corporate citizenship and in 2005 John Ruggie was appointed ‘Special Representative of the Secretary General on human rights and transnational corporations’.