Juergen Daum’s News Service about New Economy Management Best Practice
©2000 Juergen Daum. All rights reserved.
Jose
Bové, a radical French farmer who dismantled with farm equipment a McDonald’s
restaurant under construction on August 12, 1999, was sentenced on Wednesday to
three months in prison. The destruction of the McDonald’s restaurant made Mr.
Bove in the eyes of many French people to a hero in the battle against rampant
globalization and drew 15000 people to the two-day trial in Millau, France. His
$17000 bail was paid for by farmers and activists around the world.
After
the trial Mr. Bové said, prison would not stop him from continuing his battle
against multinationals and the World Trade Organization, which he claims pose a
threat to small farmers, good food and a way of life. He said the attack was
ultimately against the “McDomination” of the world. Bove, nicknamed “Robin
Hood”, and his Farmer’s Confederation, linked with movements elsewhere, would
continue to act, in particular destroying field of genetically altered crop and
against multinationals producing what they see as standardized, unhealthy food.
Why
is this case important ?
Corporations
and their managers are in most countries one of the least trusted constituents
of society. Perceived as agents, acting exclusively in favour of their
shareholders they are increasing corporate profits and their own huge salaries
by cutting costs, laying off employees and destroying social welfare and local
culture through their unified products and brands. Global brands and the living
styles communicated through them often have a more significant influence on
kids, than their parents (“the Coca Cola culture or McDonald’s”). Corporate
reputation is highly and quickly at risk in world, where multinational
corporations are influencing a growing portion of the daily live of every
citizen in potentially any country in the world. A fundamental distrust in
front of corporations from citizens and Non-Governmental Organizations (NGOs)
is the consequence. They want companies to carry a proportionally greater
degree of accountability than in the past. But most managers don’t consciously
articulate, what role their companies play in society, leaving this task to
economists and representatives of NGOs, that shape the public perception of
themselves and their institutions. Yet a new generation of corporate managers
is starting to pioneer a new corporate model. They see their task not only by
increasing value for their shareholders and investors. Knowing that in a New
Economy, which is founded on Intellectual Capital that is created by the
interplay between employees, business partners, customers and society in
general, they have to incorporate into the companies economic chain all corporate
stakeholders and also public institutions and NGOs and their company has to
share with them created value.
... related news: The Global Compact
Innitiative
... recommended book about corporate
reputation management:
Glen
Peter, Waltzing with the raptors: a practical roadmap to protecting your
company’s reputation
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Juergen Daum. All rights reserved.
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