CEOs of nearly 200 Companies just said shareholder value is no longer their main objective. This is noteworthy because we’ve all heard many Business Leaders state that the key objective of an organization is to make money for it’s shareholders.
It’s interesting to note that Leaders are increasingly seeing the importance of investing in employees, delivering true value to customers and delivering Profit with a Purpose. The Win at all costs mentality and the age-old notion of maximizing profits seems to be changing.
Rather, investing in employees, delivering value to customers, dealing ethically with suppliers and supporting outside communities are now at the forefront of American business goals, according to the statement.
Below are the key commitments issued by CEOs at the Business Roundtable
- Delivering value to our customers. We will further the tradition of American companies leading the way in meeting or exceeding customer expectations.
- Investing in our employees. This starts with compensating them fairly and providing important benefits. It also includes supporting them through training and education that help develop new skills for a rapidly changing world. We foster diversity and inclusion, dignity and respect.
- Dealing fairly and ethically with our suppliers. We are dedicated to serving as good partners to the other companies, large and small, that help us meet our missions.
- Supporting the communities in which we work. We respect the people in our communities and protect the environment by embracing sustainable practices across our businesses.
- Generating long-term value for shareholders, who provide the capital that allows companies to invest, grow and innovate. We are committed to transparency and effective engagement with shareholders.