Michael Porter: Why business can be good at solving social problems

947,965 views ใƒป 2013-10-07

TED


ืื ื ืœื—ืฅ ืคืขืžื™ื™ื ืขืœ ื”ื›ืชื•ื‘ื™ื•ืช ื‘ืื ื’ืœื™ืช ืœืžื˜ื” ื›ื“ื™ ืœื”ืคืขื™ืœ ืืช ื”ืกืจื˜ื•ืŸ.

ืžืชืจื’ื: Zeeva Livshitz ืžื‘ืงืจ: Ido Dekkers
00:12
I think we're all aware
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ืื ื™ ื—ื•ืฉื‘ ืฉื›ื•ืœื ื• ืžื•ื“ืขื™ื
00:14
that the world today is full of problems.
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ืœื›ืš ืฉื”ืขื•ืœื ื”ื™ื•ื ืžืœื ื‘ืขื™ื•ืช.
00:17
We've been hearing them
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ืื ื—ื ื• ืฉื•ืžืขื™ื ืขืœื™ื”ืŸ
00:19
today and yesterday and every day for decades.
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ืืชืžื•ืœ ื•ื”ื™ื•ื, ื•ื›ืœ ื™ื•ื ื‘ืžืฉืš ืขืฉืจื•ืช ืฉื ื™ื.
00:23
Serious problems, big problems, pressing problems.
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ื‘ืขื™ื•ืช ืจืฆื™ื ื™ื•ืช, ื‘ืขื™ื•ืช ื’ื“ื•ืœื•ืช, ื‘ืขื™ื•ืช ืœื•ื—ืฆื•ืช.
00:27
Poor nutrition, access to water,
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ืชื–ื•ื ื” ืœืงื•ื™ื”, ื’ื™ืฉื” ืœืžื™ื
00:30
climate change, deforestation,
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ืฉื™ื ื•ื™ ืืงืœื™ื, ื›ืจื™ืชืช ื™ืขืจื•ืช,
00:33
lack of skills, insecurity, not enough food,
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ื—ื•ืกืจ ื›ื™ืฉื•ืจื™ื, ื—ื•ืกืจ ื‘ื™ื˜ื—ื•ืŸ, ืœื ืžืกืคื™ืง ืื•ื›ืœ,
00:37
not enough healthcare, pollution.
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ืœื ืžืกืคื™ืง ื‘ืจื™ืื•ืช, ื–ื™ื”ื•ื ืื•ื•ื™ืจ.
00:40
There's problem after problem,
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ื™ืฉ ื‘ืขื™ื” ืื—ืจื™ ื‘ืขื™ื”,
00:41
and I think what really separates this time
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ื•ืื ื™ ื—ื•ืฉื‘ ืฉืžื” ืฉื‘ืืžืช ืžื‘ื“ื™ืœ ืืช ื”ื–ืžืŸ ื”ื–ื”
00:44
from any time I can remember in my brief time
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ืžื”ื–ืžืŸ ืฉืื ื™ ื™ื›ื•ืœ ืœื–ื›ื•ืจ ื‘ื–ืžืŸ ื”ืงืฆืจ ืฉืœื™
00:48
on Earth is the awareness of these problems.
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ืขืœ ืคื ื™ ื›ื“ื•ืจ ื”ืืจืฅ ื”ื•ื ื”ืžื•ื“ืขื•ืช ืœื‘ืขื™ื•ืช ืืœื”.
00:50
We're all very aware.
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ืื ื—ื ื• ื›ื•ืœื ื• ืžืื“ ืžื•ื“ืขื™ื.
00:53
Why are we having so much trouble
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ืœืžื” ื™ืฉ ืœื ื• ื›ืœ ื›ืš ื”ืจื‘ื” ืฆืจื•ืช
00:55
dealing with these problems?
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ื‘ื”ืชืžื•ื“ื“ื•ืช ืขื ื‘ืขื™ื•ืช ืืœื”?
00:57
That's the question I've been struggling with,
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ื–ื• ื”ืฉืืœื” ืฉืื ื™ ื ืื‘ืง ืืชื”,
01:00
coming from my very different perspective.
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ืฉืžื’ื™ืขื” ืžื ืงื•ื“ืช ื”ืžื‘ื˜ ื”ืฉื•ื ื” ืžืื•ื“ ืฉืœื™.
01:04
I'm not a social problem guy.
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ืื™ื ื ื™ ืื“ื ืฉืœ ื‘ืขื™ื” ื—ื‘ืจืชื™ืช.
01:07
I'm a guy that works with business,
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ืื ื™ ืื“ื ืฉืขื•ื‘ื“ ืขื ืขืกืงื™ื,
01:10
helps business make money.
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ืžืกื™ื™ืข ืœืขืกืงื™ื ืœืขืฉื•ืช ื›ืกืฃ.
01:13
God forbid.
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ื—ืก ื•ื—ืœื™ืœื”.
01:16
So why are we having so many problems
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ืื– ืœืžื” ื™ืฉ ืœื ื• ื›ืœ ื›ืš ื”ืจื‘ื” ื‘ืขื™ื•ืช
01:19
with these social problems,
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ืขื ื”ื‘ืขื™ื•ืช ื”ื—ื‘ืจืชื™ื•ืช ื”ืืœื”
01:23
and really is there any role for business,
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ื•ื”ืื ื‘ืืžืช ื™ืฉ ืื™ื–ืฉื”ื• ืชืคืงื™ื“ ืœืขืกืง,
01:25
and if so, what is that role?
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ื•ืื ื›ืŸ, ืžื”ื• ื”ืชืคืงื™ื“?
01:28
I think that in order to address that question,
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ืื ื™ ื—ื•ืฉื‘ ืฉืขืœ ืžื ืช ืœื‘ื“ื•ืง ืฉืืœื” ื–ื•,
01:31
we have to step back and think about
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ืขืœื™ื ื• ืœืงื—ืช ืฆืขื“ ืื—ื“ ืื—ื•ืจื” ื•ืœื—ืฉื•ื‘ ืขืœ
01:35
how we've understood and pondered
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ืื™ืš ืื ื—ื ื• ื”ื‘ื ื• ื•ื—ืฉื‘ื ื•
01:39
both the problems and the solutions
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ื”ืŸ ืขืœ ื”ื‘ืขื™ื•ืช ื•ื”ืŸ ืขืœ ื”ืคืชืจื•ื ื•ืช
01:41
to these great social challenges that we face.
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ืœืืชื’ืจื™ื ื”ื—ื‘ืจืชื™ื™ื ื”ื’ื“ื•ืœื™ื ื”ืœืœื• ืฉืขื•ืžื“ื™ื ื‘ืคื ื™ื ื•.
01:45
Now, I think many have seen business
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ื›ืขืช, ืื ื™ ื—ื•ืฉื‘ ืฉืจื‘ื™ื ืจืื• ืืช ื”ืขืกืงื™ื
01:48
as the problem, or at least one of the problems,
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ื›ื‘ืขื™ื•ืช, ืื• ืœืคื—ื•ืช ื›ืื—ืช ื”ื‘ืขื™ื•ืช,
01:50
in many of the social challenges we face.
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ื‘ื”ืจื‘ื” ืžื”ืืชื’ืจื™ื ื”ื—ื‘ืจืชื™ื™ื ืฉืขื•ืžื“ื™ื ื‘ืคื ื™ื ื•.
01:53
You know, think of the fast food industry,
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ืืชื ื™ื•ื“ืขื™ื, ื—ืฉื‘ื• ืขืœ ืชืขืฉื™ื™ืช ื”ืžื–ื•ืŸ ื”ืžื”ื™ืจ,
01:55
the drug industry, the banking industry.
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ืชืขืฉื™ื™ืช ื”ืชืจื•ืคื•ืช, ืชืขืฉื™ื™ืช ื”ื‘ื ืงืื•ืช.
01:57
You know, this is a low point
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ืืชื ื™ื•ื“ืขื™ื, ื–ื• ื ืงื•ื“ืช ื”ืฉืคืœ
01:59
in the respect for business.
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ื‘ื™ื—ืก ืœืขืกืงื™ื.
02:02
Business is not seen as the solution.
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ืขืกืงื™ื ืœื ื ืจืื™ื ื›ืคืชืจื•ืŸ.
02:03
It's seen as the problem now, for most people.
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ื”ื ื ืจืื™ื ื›ืžื• ื”ื‘ืขื™ื” ืขื›ืฉื™ื•, ืขื‘ื•ืจ ืจื•ื‘ ื”ืื ืฉื™ื.
02:07
And rightly so, in many cases.
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ื•ื‘ืฆื“ืง, ื‘ืžืงืจื™ื ืจื‘ื™ื.
02:09
There's a lot of bad actors out there
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ื™ืฉ ื”ืจื‘ื” ืฉื—ืงื ื™ื ืจืขื™ื ืฉื ื‘ื—ื•ืฅ
02:11
that have done the wrong thing,
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ืฉืขืฉื• ืืช ื”ื“ื‘ืจ ื”ืœื ื ื›ื•ืŸ,
02:14
that actually have made the problem worse.
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ื–ื” ืœืžืขืฉื” ื”ื—ืžื™ืจ ืืช ื”ื‘ืขื™ื”.
02:15
So this perspective is perhaps justified.
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ื›ืš ืฉื ืงื•ื“ืช ื”ืžื‘ื˜ ื”ื–ื• ืื•ืœื™ ืžื•ืฆื“ืงืช.
02:19
How have we tended to see the solutions
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ืื™ืš ืื ื—ื ื• ื ื˜ื™ื ื• ืœืจืื•ืช ืืช ื”ืคืชืจื•ื ื•ืช
02:22
to these social problems,
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ืœื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช ืืœื•,
02:24
these many issues that we face in society?
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ื”ื ื•ืฉืื™ื ื”ืจื‘ื™ื ื”ืืœื” ืฉืขื•ืžื“ื™ื ื‘ืคื ื™ื ื• ื‘ื—ื‘ืจื”?
02:27
Well, we've tended to see the solutions
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ื•ื‘ื›ืŸ, ืื ื—ื ื• ื›ื‘ืจ ื ื˜ื™ื ื• ืœืจืื•ืช ืืช ื”ืคืชืจื•ื ื•ืช
02:29
in terms of NGOs,
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ื‘ืžื•ื ื—ื™ื ืฉืœ ืืจื’ื•ื ื™ื ืœื ืžืžืฉืœืชื™ื™ื,
02:31
in terms of government,
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ื‘ืžื•ื ื—ื™ื ืฉืœ ื”ืžืžืฉืœื”,
02:33
in terms of philanthropy.
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ื‘ืžื•ื ื—ื™ื ืฉืœ ืคื™ืœื ืชืจื•ืคื™ื”.
02:35
Indeed, the kind of unique organizational entity
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ืื›ืŸ, ื”ืกื•ื’ ืฉืœ ื™ืฉื•ืช ืืจื’ื•ื ื™ืช ื™ื™ื—ื•ื“ื™ืช
02:37
of this age is this tremendous rise of NGOs
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ื‘ื–ืžื ื ื• ื”ื™ื ื”ืขืœื™ื™ื” ื”ืขืฆื•ืžื” ื”ื–ื• ืฉืœ ืืจื’ื•ื ื™ื ืœื ืžืžืฉืœืชื™ื™ื
02:42
and social organizations.
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ื•ืืจื’ื•ื ื™ื ื—ื‘ืจืชื™ื™ื.
02:45
This is a unique, new organizational form
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ื–ื• ืฆื•ืจื” ืืจื’ื•ื ื™ืช ื™ื™ื—ื•ื“ื™ืช ื—ื“ืฉื”
02:47
that we've seen grown up.
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ืฉืจืื™ื ื• ื’ื“ืœื”.
02:49
Enormous innovation, enormous energy,
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ื—ื™ื“ื•ืฉ ืขืฆื•ื, ืื ืจื’ื™ื” ืขืฆื•ืžื”,
02:52
enormous talent now has been mobilized
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ื›ื™ืฉืจื•ืŸ ืขืฆื•ื ืขื›ืฉื™ื• ื’ื•ื™ื™ืก
02:55
through this structure
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ื‘ืืžืฆืขื•ืช ื”ืžื‘ื ื” ื”ื–ื”
02:57
to try to deal with all of these challenges.
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ื›ื“ื™ ืœื ืกื•ืช ืœื”ืชืžื•ื“ื“ ืขื ื›ืœ ื”ืืชื’ืจื™ื ื”ืœืœื•.
03:02
And many of us here are deeply involved in that.
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ื•ืจื‘ื™ื ืžืื™ืชื ื• ื›ืืŸ ืžืขื•ืจื‘ื™ื ื‘ื–ื” ืขืžื•ืงื•ืช.
03:06
I'm a business school professor,
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ืื ื™ ืคืจื•ืคืกื•ืจ ื‘ื‘ื™ืช ืกืคืจ ืœืžื ื”ืœ ืขืกืงื™ื,
03:08
but I've actually founded, I think, now, four nonprofits.
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ืื‘ืœ ืœืžืขืฉื” ื™ื™ืกื“ืชื™, ืœื“ืขืชื™, ื›ืขืช, ืืจื‘ืข ืขืžื•ืชื•ืช ืฉืœื ืœืžื˜ืจื•ืช ืจื•ื•ื—..
03:12
Whenever I got interested and became aware
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ื‘ื›ืœ ืคืขื ืฉืื ื™ ื”ืชืขื ื™ื™ื ืชื™ ืื• ื ืขืฉื™ืชื™ ืžื•ื“ืข
03:14
of a societal problem, that was what I did,
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ืœื‘ืขื™ื” ื—ื‘ืจืชื™ืช, ื–ื” ืžื” ืฉืื ื™ ืขืฉื™ืชื™.
03:17
form a nonprofit.
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ื”ืงืžืชื™ ืขืžื•ืชื”.
03:19
That was the way we've thought about how to deal
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ื–ื• ื”ื™ื™ืชื” ื”ื“ืจืš ืฉืขืœื™ื” ื—ืฉื‘ื ื• ื›ื™ืฆื“ ืœื”ืชืžื•ื“ื“
03:22
with these issues.
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ืขื ื ื•ืฉืื™ื ืืœื”.
03:23
Even a business school professor has thought about it that way.
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ืืคื™ืœื• ืคืจื•ืคืกื•ืจ ื‘ื‘ื™ืช ืกืคืจ ืœืžื ื”ืœ ืขืกืงื™ื ื—ืฉื‘ ืขืœ ื–ื” ื›ื›ื”
03:28
But I think at this moment,
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ืื‘ืœ ืื ื™ ื—ื•ืฉื‘ ื‘ืจื’ืข ื–ื”
03:30
we've been at this for quite a while.
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ืฉืื ื—ื ื• ื›ื‘ืจ ื”ื™ื™ื ื• ื‘ื–ื” ื“ื™ ื”ืจื‘ื” ื–ืžืŸ.
03:33
We've been aware of these problems for decades.
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ื”ื™ื™ื ื• ืžื•ื“ืขื™ื ืœื‘ืขื™ื•ืช ืืœื” ื‘ืžืฉืš ืขืฉืจื•ืช ืฉื ื™ื.
03:35
We have decades of experience
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ื™ืฉ ืœื ื• ื ื™ืกื™ื•ืŸ ืฉืœ ืขืฉืจื•ืช ืฉื ื™ื
03:37
with our NGOs and with our government entities,
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ืขื ื”ืืจื’ื•ื ื™ื ื”ืœื ืžืžืฉืœืชื™ื™ื ืฉืœื ื• ื•ืขื ื”ื’ื•ืคื™ื ื”ืžืžืฉืœืชื™ื™ื ืฉืœื ื•,
03:42
and there's an awkward reality.
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ื•ื™ืฉ ืžืฆื™ืื•ืช ืžื‘ื™ื›ื”.
03:43
The awkward reality is we're not making
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ื”ืžืฆื™ืื•ืช ื”ืžื‘ื™ื›ื” ื”ื™ื ืฉืื ื—ื ื• ืœื ืขื•ืฉื™ื.
03:45
fast enough progress.
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ื”ืชืงื“ืžื•ืช ืžื”ื™ืจื” ืžืกืคื™ืง.
03:48
We're not winning.
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ืื ื—ื ื• ืœื ืžื ืฆื—ื™ื.
03:51
These problems still seem very daunting
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ื‘ืขื™ื•ืช ืืœื” ืขื“ื™ื™ืŸ ืžืจืชื™ืขื•ืช ืžืื•ื“
03:53
and very intractable,
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ื•ืกื•ืจืจื•ืช ืžืื•ื“,
03:54
and any solutions we're achieving
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ื•ื›ืœ ื”ืคืชืจื•ื ื•ืช ืฉืื ื—ื ื• ืžืฉื™ื’ื™ื
03:57
are small solutions.
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ื”ื ืคืชืจื•ื ื•ืช ืงื˜ื ื™ื.
03:59
We're making incremental progress.
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ืื ื—ื ื• ืžืชืงื“ืžื™ื ื‘ืฆืขื“ื™ื ืžืฆื˜ื‘ืจื™ื.
04:02
What's the fundamental problem we have
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ืžื”ื™ ื”ื‘ืขื™ื” ื”ื‘ืกื™ืกื™ืช ืฉื™ืฉ ืœื ื•
04:05
in dealing with these social problems?
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ื‘ื”ืชืžื•ื“ื“ื•ืช ืขื ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช ืืœื”?
04:08
If we cut all the complexity away,
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ืื ื ืงืฆืฅ ืืช ื›ืœ ื”ืžื•ืจื›ื‘ื•ืช.
04:12
we have the problem of scale.
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ื™ืฉ ืœื ื• ืืช ื”ื‘ืขื™ื” ืฉืœ ืงื ื” ืžื™ื“ื”.
04:16
We can't scale.
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ืฉืื ื—ื ื• ืœื ื™ื›ื•ืœื™ื ืœืฉื ื•ืช.
04:19
We can make progress. We can show benefits.
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ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœืขืฉื•ืช ื”ืชืงื“ืžื•ืช. ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœื”ืจืื•ืช ืืช ื”ื™ืชืจื•ื ื•ืช.
04:22
We can show results. We can make things better.
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ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœื”ืจืื•ืช ืชื•ืฆืื•ืช. ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœืฉืคืจ ืืช ื”ืžืฆื‘.
04:25
We're helping. We're doing better. We're doing good.
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ืื ื—ื ื• ืขื•ื–ืจื™ื. ืื ื—ื ื• ืขื•ืฉื™ื ื™ื•ืชืจ ื˜ื•ื‘. ืื ื—ื ื• ื‘ืกื“ืจ.
04:29
We can't scale.
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ืื ื—ื ื• ืœื ื™ื›ื•ืœื™ื ืœืฉื ื•ืช.
04:32
We can't make a large-scale impact on these problems.
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ืื™ื™ื ื• ื™ื›ื•ืœื™ื ืœื™ืฆื•ืจ ื”ืฉืคืขื” ืจื—ื‘ืช ื”ื™ืงืฃ ื‘ื ื•ืฉื ืฉืœ ื‘ืขื™ื•ืช ืืœื”.
04:37
Why is that?
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ื•ืœืžื” ื–ื”?
04:38
Because we don't have the resources.
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ื›ื™ ืื™ืŸ ืœื ื• ืืช ื”ืžืฉืื‘ื™ื.
04:42
And that's really clear now.
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ื•ื–ื” ื‘ืืžืช ื‘ืจื•ืจ ืขื›ืฉื™ื•.
04:44
And that's clearer now than it's been for decades.
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ื–ื” ื™ื•ืชืจ ื‘ืจื•ืจ ืขื›ืฉื™ื•. ืžืฉื”ื™ื” ืžื–ื” ืขืฉืจื•ืช ืฉื ื™ื.
04:47
There's simply not enough money
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ืคืฉื•ื˜ ืื™ืŸ ืžืกืคื™ืง ื›ืกืฃ
04:50
to deal with any of these problems at scale
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ื›ื“ื™ ืœื”ืชืžื•ื“ื“ ืขื ื‘ืขื™ื” ื›ืœืฉื”ื™ ื‘ืกื•ืœื
04:54
using the current model.
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ื‘ืืžืฆืขื•ืช ื”ืžื•ื“ืœ ื”ื ื•ื›ื—ื™.
04:56
There's not enough tax revenue,
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ืื™ืŸ ืžืกืคื™ืง ื”ื›ื ืกื•ืช ืžืžื™ืกื™ื,
04:59
there's not enough philanthropic donations,
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ืื™ืŸ ืžืกืคื™ืง ืชืจื•ืžื•ืช ืคื™ืœื ืชืจื•ืคื™ื•ืช,
05:03
to deal with these problems the way we're dealing with them now.
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ื›ื“ื™ ืœื”ืชืžื•ื“ื“ ืขื ื‘ืขื™ื•ืช ืืœื” ื‘ื“ืจืš ืฉืื ื—ื ื• ืžืชืžื•ื“ื“ื™ื ืื™ืชืŸ ืขื›ืฉื™ื•.
05:06
We've got to confront that reality.
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ืขืœื™ื ื• ืœื”ืชืขืžืช ืขื ื”ืžืฆื™ืื•ืช ื”ื–ืืช.
05:11
And the scarcity of resources
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ื•ื”ืžื—ืกื•ืจ ื‘ืžืฉืื‘ื™ื
05:14
for dealing with these problems is only growing,
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ืœืฉื ื”ืชืžื•ื“ื“ื•ืช ืขื ื‘ืขื™ื•ืช ืืœื” ืจืง ื’ื“ืœ,
05:18
certainly in the advanced world today,
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ื‘ื•ื•ื“ืื™ ื‘ืขื•ืœื ื”ืžืชืงื“ื ื”ื™ื•ื,
05:21
with all the fiscal problems we face.
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ืขื ื›ืœ ื”ื‘ืขื™ื•ืช ื”ืชืงืฆื™ื‘ื™ื•ืช ืฉืขื•ืžื“ื•ืช ื‘ืคื ื™ื ื•.
05:26
So if it's fundamentally a resource problem,
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ืื– ืื ื–ื” ื‘ื™ืกื•ื“ื• ื‘ืขื™ื” ืฉืœ ืžืฉืื‘ื™ื,
05:30
where are the resources in society?
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ื”ื™ื›ืŸ ื”ื ื”ืžืฉืื‘ื™ื ื‘ื—ื‘ืจื”?
05:34
How are those resources really created,
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ืื™ืš ืžืฉืื‘ื™ื ืืœื” ื‘ืืžืช ื ื•ืฆืจื™ื,
05:36
the resources we're going to need to deal
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ื”ืžืฉืื‘ื™ื ืฉืื ื—ื ื• ื ืฆื˜ืจืš ืœื”ื ื›ื“ื™ ืœื”ืชืžื•ื“ื“.
05:38
with all these societal challenges?
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ืขื ื›ืœ ื”ืืชื’ืจื™ื ื”ื—ื‘ืจืชื™ื™ื ื”ืืœื”?
05:42
Well there, I think the answer is very clear:
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ื˜ื•ื‘ ืฉื, ืื ื™ ื—ื•ืฉื‘ ืฉื”ืชืฉื•ื‘ื” ื”ื™ื ืžืื•ื“ ื‘ืจื•ืจื”:
05:45
They're in business.
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ื”ื ืขื•ืฉื™ื ืขืกืงื™ื.
05:49
All wealth is actually created by business.
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ื›ืœ ืขื•ืฉืจ ื ื•ืฆืจ ืœืžืขืฉื” ืขืœ ื™ื“ื™ ืขืกืงื™ื.
05:54
Business creates wealth
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ืขืกืง ื™ื•ืฆืจ ืขื•ืฉืจ
05:57
when it meets needs at a profit.
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ื›ืฉื”ื•ื ืขื•ื ื” ืขืœ ื”ืฆืจื›ื™ื ื‘ืจื•ื•ื—.
06:02
That's how all wealth is created.
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ื›ืš ื›ืœ ืขื•ืฉืจ ื ื•ืฆืจ.
06:04
It's meeting needs at a profit
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ื”ื•ื ืขื•ื ื” ืขืœ ืฆืจื›ื™ื ืชื•ืš ื™ืฆื™ืจืช ืจื•ื•ื—
06:07
that leads to taxes
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ืฉืžื•ื‘ื™ืœ ืœืžื™ืกื™ื
06:09
and that leads to incomes
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ืฉืžื•ื‘ื™ืœื™ื ืœื”ื›ื ืกื•ืช
06:11
and that leads to charitable donations.
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ื•ื–ื” ืžื•ื‘ื™ืœ ืœืชืจื•ืžื•ืช.
06:13
That's where all the resources come from.
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ื–ื” ื”ืžืงื•ื ืฉืžืžื ื• ืžื’ื™ืขื™ื ื›ืœ ื”ืžืฉืื‘ื™ื.
06:16
Only business can actually create resources.
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ืจืง ืขืกืงื™ื ื™ื›ื•ืœื™ื ืœืžืขืฉื” ืœื™ืฆื•ืจ ืžืฉืื‘ื™ื.
06:19
Other institutions can utilize them
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ืžื•ืกื“ื•ืช ืื—ืจื™ื ื™ื›ื•ืœื™ื ืœื ืฆืœ ืื•ืชื
06:21
to do important work,
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ื›ื“ื™ ืœืขืฉื•ืช ืืช ื”ืขื‘ื•ื“ื” ื”ื—ืฉื•ื‘ื”,
06:22
but only business can create them.
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ืื‘ืœ ืจืง ืขืกืง ื™ื›ื•ืœ ืœื™ืฆื•ืจ ืื•ืชื.
06:25
And business creates them
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ื•ืขืกืง ื™ื•ืฆืจ ืื•ืชื
06:27
when it's able to meet a need at a profit.
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ื›ืืฉืจ ื”ื•ื ืžืกื•ื’ืœ ืœืกืคืง ืฆืจื›ื™ื ื‘ืจื•ื•ื—.
06:35
The resources are overwhelmingly
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ื”ืžืฉืื‘ื™ื ื‘ืื•ืคืŸ ื’ื•ืจืฃ
06:38
generated by business.
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ื ื•ืฆืจื™ื ืขืœ ื™ื“ื™ ืขืกืงื™ื.
06:40
The question then is, how do we tap into this?
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ืื– ื”ืฉืืœื” ื”ื™ื, ืื™ืš ื ื•ื›ืœ ืœื ืฆืœ ืืช ื–ื”?
06:45
How do we tap into this?
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ืื™ืš ืื ื—ื ื• ืžืชื—ื‘ืจื™ื ืœื–ื”?
06:48
Business generates those resources
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ื”ืขืกืง ืžื™ื™ืฆืจ ืืช ื”ืžืฉืื‘ื™ื ื”ืœืœื•
06:50
when it makes a profit.
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ื›ืฉื”ื•ื ื ื•ืฉื ืจื•ื•ื—ื™ื.
06:55
That profit is that small difference
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ืจื•ื•ื— ื–ื” ื”ื•ื ื”ื”ื‘ื“ืœ ื”ืงื˜ืŸ ื”ื–ื”
06:58
between the price and the cost it takes to produce
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ื‘ื™ืŸ ื”ืžื—ื™ืจ ืœืขืœื•ืช ื”ื™ื™ืฆื•ืจ
07:03
whatever solution business has created
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ื›ืœ ืคืชืจื•ืŸ ื›ืœืฉื”ื• ืฉื”ืขืกืง ื™ืฆืจ
07:06
to whatever problem they're trying to solve.
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ืœื‘ืขื™ื” ื›ืœืฉื”ื™ ืฉื”ื ืžื ืกื™ื ืœืคืชื•ืจ.
07:09
But that profit is the magic.
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ืื‘ืœ ื”ืจื•ื•ื— ื”ื–ื” ื”ื•ื ื”ืงืกื.
07:16
Why? Because that profit allows whatever solution
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ืžื“ื•ืข? ื›ื™ ื”ืจื•ื•ื— ื”ื–ื” ืžืืคืฉืจ ืœื›ืœ ืคืชืจื•ืŸ
07:20
we've created
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ืฉื™ืฆืจื ื•
07:23
to be infinitely scalable.
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ืœื”ืชืจื—ื‘ ืœืื™ืŸ ืฉื™ืขื•ืจ.
07:27
Because if we can make a profit,
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ื›ื™ ืื ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœื™ื™ืฆืจ ืจื•ื•ื—,
07:29
we can do it for 10, 100, a million,
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ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœืขืฉื•ืช ื–ืืช ื‘ืฉื‘ื™ืœ 10, 100, ืžื™ืœื™ื•ืŸ.
07:33
100 million, a billion.
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100 ืžื™ืœื™ื•ืŸ, ืžื™ืœื™ืืจื“.
07:36
The solution becomes self-sustaining.
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ื”ืคื™ืชืจื•ืŸ ื ืขืฉื” ืžื–ื™ืŸ ืืช ืขืฆืžื•.
07:41
That's what business does
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ื–ื” ืžื” ืฉืขืกืง ืขื•ืฉื”
07:44
when it makes a profit.
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ื›ืฉื”ื•ื ืžื™ื™ืฆืจ ืจื•ื•ื—.
07:47
Now what does this all have to do
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ืขื›ืฉื™ื•, ืื™ืš ื›ืœ ื–ื” ืงืฉื•ืจ
07:50
with social problems?
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ืขื ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช?
07:53
Well, one line of thinking is, let's take this profit
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ื•ื‘ื›ืŸ, ืฉื•ืจื” ืื—ืช ืฉืœ ื—ืฉื™ื‘ื” ื”ื™ื, ื”ื‘ื” ื•ื ื™ืงื— ืืช ื”ืจื•ื•ื— ื”ื–ื”
07:56
and redeploy it into social problems.
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ื•ื ืคืจื•ืก ืื•ืชื• ืžื—ื“ืฉ ืœืชื•ืš ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช.
08:01
Business should give more.
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ื”ืขืกืง ืฆืจื™ืš ืœืชืช ื™ื•ืชืจ.
08:03
Business should be more responsible.
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ื”ืขืกืง ืฆืจื™ืš ืœื”ื™ื•ืช ื™ื•ืชืจ ืื—ืจืื™.
08:04
And that's been the path that we've been on
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ื•ื–ื” ื”ื™ื” ื”ื ืชื™ื‘ ืฉืื ื—ื ื• ืžืฉื“ืจื™ื ืขืœ
08:07
in business.
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ื‘ืขืกืงื™ื.
08:09
But again, this path that we've been on
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ืื‘ืœ ืฉื•ื‘, ื ืชื™ื‘ ื–ื” ืฉื›ื‘ืจ ื”ื™ื™ื ื• ื‘ื•
08:11
is not getting us where we need to go.
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ืœื ืžื‘ื™ื ืื•ืชื ื• ืœืืŸ ืฉืื ื—ื ื• ืฆืจื™ื›ื™ื ืœืœื›ืช.
08:15
Now, I started out as a strategy professor,
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ืขื›ืฉื™ื•, ื”ืชื—ืœืชื™ ืืช ื“ืจื›ื™ ื›ืคืจื•ืคืกื•ืจ ืœืืกื˜ืจื˜ื’ื™ื”,
08:19
and I'm still a strategy professor.
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ื•ืื ื™ ืขื“ื™ื™ืŸ ืคืจื•ืคืกื•ืจ ืœืืกื˜ืจื˜ื’ื™ื”.
08:20
I'm proud of that.
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ืื ื™ ื’ืื” ื‘ื–ื”.
08:21
But I've also, over the years,
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ืื‘ืœ, ื‘ืžื”ืœืš ื”ืฉื ื™ื, ื’ื
08:23
worked more and more on social issues.
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ืขืกืงืชื™ ื™ื•ืชืจ ื•ื™ื•ืชืจ ื‘ืกื•ื’ื™ื•ืช ื—ื‘ืจืชื™ื•ืช.
08:26
I've worked on healthcare, the environment,
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ืขืกืงืชื™ ื‘ื ื•ืฉืื™ ื‘ืจื™ืื•ืช, ืื™ื›ื•ืช ื”ืกื‘ื™ื‘ื”,
08:29
economic development, reducing poverty,
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ืคื™ืชื•ื— ื›ืœื›ืœื™, ืฆืžืฆื•ื ื”ืขื•ื ื™,
08:32
and as I worked more and more in the social field,
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ื•ื‘ื–ืžืŸ ืฉืขื‘ื“ืชื™ ื™ื•ืชืจ ื•ื™ื•ืชืจ ื‘ืชื—ื•ื ื”ื—ื‘ืจืชื™,
08:37
I started seeing something
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ื”ืชื—ืœืชื™ ืœืจืื•ืช ืžืฉื”ื•
08:38
that had a profound impact on me
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ืฉื”ื™ื™ืชื” ืœื• ื”ืฉืคืขื” ืขืžื•ืงื” ืขืœื™
08:42
and my whole life, in a way.
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ื•ื›ืœ ื”ื—ื™ื™ื ืฉืœื™, ื‘ืื•ืคืŸ ืžืกื•ื™ื™ื.
08:45
The conventional wisdom in economics
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ื”ื“ืขื” ื”ืจื•ื•ื—ืช ื”ืžืงื•ื‘ืœืช ื‘ื›ืœื›ืœื”
08:49
and the view in business has historically been
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ื•ื”ื”ืฉืงืคื” ื‘ืขืกืงื™ื ื”ื™ืชื” ืžื‘ื—ื™ื ื” ื”ื™ืกื˜ื•ืจื™ืช
08:53
that actually, there's a tradeoff
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ืฉืœืžืขืฉื”, ื™ืฉ ืื™ื–ื•ืŸ
08:57
between social performance and economic performance.
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ื‘ื™ืŸ ื‘ื™ืฆื•ืขื™ื ื›ืœื›ืœื™ื™ื ืœื‘ื™ืฆื•ืขื™ื ื—ื‘ืจืชื™ื™ื.
09:02
The conventional wisdom has been
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ื”ื“ืขื” ื”ืจื•ื•ื—ืช ื”ื™ืชื”
09:03
that business actually makes a profit
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ืฉืขืกืง ืœืžืขืฉื” ืขื•ืฉื” ืจื•ื•ื—
09:06
by causing a social problem.
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ืขืœ ื™ื“ื™ ื’ืจื™ืžืช ื‘ืขื™ื” ื—ื‘ืจืชื™ืช.
09:08
The classic example is pollution.
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ื”ื“ื•ื’ืžื” ื”ืงืœืืกื™ืช ื”ื™ื ื–ื™ื”ื•ื ื”ืกื‘ื™ื‘ื”.
09:10
If business pollutes, it makes more money
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ืื ื”ืขืกืง ืžื–ื”ื, ื”ื•ื ืขื•ืฉื” ื™ื•ืชืจ ื›ืกืฃ.
09:13
than if it tried to reduce that pollution.
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ืžืืฉืจ ืื ื”ื•ื ื”ื™ื” ืžื ืกื” ืœื”ืคื—ื™ืช ืืช ื”ื–ื™ื”ื•ื.
09:18
Reducing pollution is expensive,
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ื”ืคื—ืชืช ื”ื–ื™ื”ื•ื ื”ื™ื ื™ืงืจื”,
09:20
therefore businesses don't want to do it.
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ืœื›ืŸ ืขืกืงื™ื ืœื ืจื•ืฆื™ื ืœืขืฉื•ืช ืืช ื–ื”.
09:25
It's profitable to have an unsafe working environment.
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ืกื‘ื™ื‘ืช ืขื‘ื•ื“ื” ืœื ื‘ื˜ื•ื—ื” ื”ื™ื ืจื•ื•ื—ื™ืช ื™ื•ืชืจ
09:28
It's too expensive to have a safe working environment,
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ืกื‘ื™ื‘ืช ืขื‘ื•ื“ื” ื‘ื˜ื•ื—ื”, ื”ื™ื ื™ืงืจื” ืžื“ื™,
09:31
therefore business makes more money
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ืœื›ืŸ ืขืกืง ืžืจื•ื•ื™ื— ื™ื•ืชืจ ื›ืกืฃ
09:32
if they don't have a safe working environment.
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ืื ืื™ืŸ ืœื”ื ืกื‘ื™ื‘ืช ืขื‘ื•ื“ื” ื‘ื˜ื•ื—ื”.
09:34
That's been the conventional wisdom.
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ื–ื• ื”ื™ืชื” ื”ื“ืขื” ื”ืจื•ื•ื—ืช.
09:38
A lot of companies have fallen into that conventional wisdom.
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ื”ืจื‘ื” ื—ื‘ืจื•ืช ื ืคืœื• ืœืชื•ืš ื”ื“ืขื” ื”ืจื•ื•ื—ืช.
09:40
They resisted environmental improvement.
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ื”ื ื”ืชื ื’ื“ื• ืœืฉื™ืคื•ืจ ืื™ื›ื•ืช ื”ืกื‘ื™ื‘ื”.
09:43
They resisted workplace improvement.
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ื”ื ื”ืชื ื’ื“ื• ืœืฉื™ืคื•ืจ ืžืงื•ื ื”ืขื‘ื•ื“ื”.
09:48
That thinking has led to, I think,
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ื—ืฉื™ื‘ื” ื–ื• ื”ื•ื‘ื™ืœื”, ืื ื™ ื—ื•ืฉื‘,
09:52
much of the behavior
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ืœื”ืจื‘ื” ืžื”ื”ืชื ื”ื’ื•ืช
09:53
that we have come to criticize in business,
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ืฉื ื”ื’ื ื• ืœื”ืขื‘ื™ืจ ืขืœื™ื” ื‘ื™ืงื•ืจืช ื‘ืขืกืงื™ื.
09:55
that I come to criticize in business.
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ืฉื ื”ื’ืชื™ ืœื‘ืงืจ ื‘ืขืกืงื™ื.
09:58
But the more deeply I got into all these social issues,
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ืื‘ืœ ื›ื›ืœ ืฉื ื›ื ืกืชื™ ื™ื•ืชืจ ืขืžื•ืง ืœื›ืœ ื”ื ื•ืฉืื™ื ื”ื—ื‘ืจืชื™ื™ื ื”ืืœื”,
10:01
one after another,
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ืื—ื“ ืื—ืจื™ ื”ืฉื ื™,
10:04
and actually, the more I tried to address them
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ื•ืœืžืขืฉื”, ื›ื›ืœ ืฉื ื™ืกื™ืชื™ ื™ื•ืชืจ ืœื˜ืคืœ ื‘ื”ื
10:07
myself, personally, in a few cases,
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ื‘ืขืฆืžื™, ื‘ืื•ืคืŸ ืื™ืฉื™, ื‘ืžืงืจื™ื ืื—ื“ื™ื,
10:09
through nonprofits that I was involved with,
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ื‘ืืžืฆืขื•ืช ืขืžื•ืชื•ืช ืฉื‘ื”ืŸ ื”ื™ื™ืชื™ ืžืขื•ืจื‘,
10:12
the more I found actually that the reality
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ื™ื•ืชืจ ืžืฆืืชื™ ืœืžืขืฉื” ืฉื”ืžืฆื™ืื•ืช
10:15
is the opposite.
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ื”ื™ื ื”ืคื•ื›ื”.
10:17
Business does not profit
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ืขืกืง ืœื ืžืจื•ื•ื™ื—
10:18
from causing social problems,
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ืžื’ืจื™ืžืช ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช,
10:20
actually not in any fundamental sense.
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ืœืžืขืฉื” ืœื ื‘ืฉื•ื ืžื•ื‘ืŸ ื‘ืกื™ืกื™
10:24
That's a very simplistic view.
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ื–ื•ื”ื™ ื”ืฉืงืคื” ืžืื“ ืคืฉื˜ื ื™ืช.
10:27
The deeper we get into these issues,
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ื›ื›ืœ ืฉืื ื• ืžืขืžื™ืงื™ื ืœืชื•ืš ืกื•ื’ื™ื•ืช ืืœื”,
10:29
the more we start to understand
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ื›ื›ืœ ืฉืื ื• ืžืชื—ื™ืœื™ื ืœื”ื‘ื™ืŸ
10:31
that actually business profits
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ืฉืœืžืขืฉื” ืขืกืง ืžืจื•ื•ื™ื—
10:33
from solving from social problems.
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ืžืžืชืŸ ืคืชืจื•ื ื•ืช ืœื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช
10:35
That's where the real profit comes.
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ื–ื” ื”ืžืงื•ื ืฉืžืžื ื• ื”ืจื•ื•ื— ื”ืžืžืฉื™ ืžื’ื™ืข.
10:38
Let's take pollution.
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ื‘ื•ืื• ื•ื ื™ืงื— ืืช ื”ื ื•ืฉื ืฉืœ ื–ื™ื”ื•ื ื”ืกื‘ื™ื‘ื”.
10:40
We've learned today that actually
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ืœืžื“ื ื• ื”ื™ื•ื ืฉืœืžืขืฉื”
10:43
reducing pollution and emissions
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ื”ืคื—ืชืช ื”ื–ื™ื”ื•ื ื•ื”ืคืœื™ื˜ื•ืช
10:45
is generating profit.
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ืžื™ื™ืฆืจืช ืจื•ื•ื—.
10:49
It saves money.
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ื—ื•ืกื›ืช ื›ืกืฃ.
10:51
It makes the business more productive and efficient.
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ื”ื™ื ื”ื•ืคื›ืช ืืช ื”ืขืกืง ืœืคื•ืจื” ื•ื™ืขื™ืœ ื™ื•ืชืจ.
10:52
It doesn't waste resources.
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ื”ื™ื ืœื ืžื‘ื–ื‘ื–ืช ืžืฉืื‘ื™ื.
10:54
Having a safer working environment actually,
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ืกื‘ื™ื‘ืช ืขื‘ื•ื“ื” ื‘ื˜ื•ื—ื” ื™ื•ืชืจ, ืœืžืขืฉื”.
10:56
and avoiding accidents,
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ื•ื”ื™ืžื ืขื•ืช ืžืชืื•ื ื•ืช,
10:58
it makes the business more profitable,
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ื”ื•ืคื›ื™ื ืืช ื”ืขืกืง ืœื™ื•ืชืจ ืจื•ื•ื—ื™,
10:59
because it's a sign of good processes.
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ื›ื™ ื–ื” ืกื™ืžืŸ ืฉืžืขื™ื“ ืขืœ ืชื”ืœื™ื›ื™ื ื˜ื•ื‘ื™ื.
11:02
Accidents are expensive and costly.
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ืชืื•ื ื•ืช ื”ืŸ ื™ืงืจื•ืช ื•ืขื•ืœื•ืช ื”ืจื‘ื”.
11:07
Issue by issue by issue, we start to learn
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ื ื•ืฉื ืื—ืจ ื ื•ืฉื, ืื ื• ืžืชื—ื™ืœื™ื ืœื”ื‘ื™ืŸ
11:09
that actually there's no trade-off
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ืฉืœืžืขืฉื” ืื™ืŸ ืฉื•ื ื™ืชืจื•ืŸ ืขื•ื“ืฃ
11:12
between social progress
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ื‘ื™ืŸ ื”ืชืงื“ืžื•ืช ื—ื‘ืจืชื™ืช
11:16
and economic efficiency
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ื•ื™ืขื™ืœื•ืช ื›ืœื›ืœื™ืช
11:19
in any fundamental sense.
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ื‘ืžื•ื‘ืŸ ื‘ืกื™ืกื™ ื›ืœืฉื”ื•.
11:21
Another issue is health.
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ื‘ืขื™ื” ื ื•ืกืคืช ื”ื™ื ื‘ืจื™ืื•ืช.
11:22
I mean, what we've found is actually
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ื›ืœื•ืžืจ, ืžื” ืฉืžืฆืื ื• ื”ื•ื ืœืžืขืฉื”
11:25
health of employees is something
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ืฉื‘ืจื™ืื•ืชื ืฉืœ ื”ืขื•ื‘ื“ื™ื ื”ื™ื ืžืฉื”ื•
11:27
that business should treasure,
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ืฉืขืกืง ืฆืจื™ืš ืœื”ืขืจื™ืš ืžืื“,
11:28
because that health allows those employees
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ื›ื™ ื‘ืจื™ืื•ืช ื–ื• ืžืืคืฉืจืช ืœืขื•ื‘ื“ื™ื ื”ืืœื”
11:30
to be more productive and come to work
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ืœื”ื™ื•ืช ื™ื•ืชืจ ืคืจื•ื“ื•ืงื˜ื™ื‘ื™ื ื•ืœื”ื’ื™ืข ืœืขื‘ื•ื“ื”
11:32
and not be absent.
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ืžื‘ืœื™ ืœื”ื™ืขื“ืจ.
11:34
The deeper work, the new work, the new thinking
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ื”ืขื‘ื•ื“ื” ื”ืขืžื•ืงื” ื™ื•ืชืจ, ื”ืขื‘ื•ื“ื” ื”ื—ื“ืฉื”, ื”ื—ืฉื™ื‘ื” ื”ื—ื“ืฉื”
11:37
on the interface between business and social problems
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ืขืœ ื”ืžืžืฉืง ื‘ื™ืŸ ืขืกืงื™ื ืœื‘ื™ืŸ ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช
11:42
is actually showing that there's a fundamental,
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ืžืจืื•ืช ืœืžืขืฉื” ืฉืงื™ื™ืžืช
11:45
deep synergy,
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ืกื™ื ืจื’ื™ื” ื‘ืกื™ืกื™ืช ืขืžื•ืงื”,
11:46
particularly if you're not thinking in the very short run.
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ื‘ืžื™ื•ื—ื“ ืื ืœื ื—ื•ืฉื‘ื™ื ื‘ืžื•ื ื—ื™ื ืฉืœ ื”ื˜ื•ื•ื— ื”ืงืฆืจ ืžืื•ื“.
11:50
In the very short run, you can sometimes
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ื‘ื˜ื•ื•ื— ืงืฆืจ ืžืื•ื“, ืืชื ื™ื›ื•ืœื™ื ืœืคืขืžื™ื
11:52
fool yourself into thinking
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ืœื”ืฉืœื•ืช ืืช ืขืฆืžื›ื ืœื—ืฉื•ื‘
11:54
that there's fundamentally opposing goals,
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ืฉื™ืฉ ืฉื ืžื˜ืจื•ืช ืžื ื•ื’ื“ื•ืช ืžื™ืกื•ื“ืŸ.
11:57
but in the long run, ultimately, we're learning
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ืื‘ืœ ื‘ื˜ื•ื•ื— ื”ืืจื•ืš, ื‘ืกื•ืคื• ืฉืœ ื“ื‘ืจ, ืื ื—ื ื• ืœื•ืžื“ื™ื
11:59
in field after field that this is simply not true.
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ื‘ืชื—ื•ื ืœืื—ืจ ืชื—ื•ื ืฉื–ื” ืคืฉื•ื˜ ืœื ื ื›ื•ืŸ.
12:04
So how could we tap into
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ืื– ืื™ืš ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœื”ืชื—ื‘ืจ
12:07
the power of business
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ืœื›ื•ื— ืฉืœ ื”ืขืกืงื™ื
12:10
to address the fundamental problems
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ื›ื“ื™ ืœื˜ืคืœ ื‘ื‘ืขื™ื•ืช ื™ืกื•ื“
12:12
that we face?
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ืฉืขื•ืžื“ื•ืช ื‘ืคื ื™ื ื•?
12:14
Imagine if we could do that, because if we could do it,
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ื“ืžื™ื™ื ื• ืœืขืฆืžื›ื ืœื• ื”ื™ื™ื ื• ื™ื›ื•ืœื™ื ืœืขืฉื•ืช ื–ืืช, ื›ื™ ืื ื”ื™ื™ื ื• ื™ื›ื•ืœื™ื ืœืขืฉื•ืช ื–ืืช,
12:17
we could scale.
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ื”ื™ื™ื ื• ื™ื›ื•ืœื™ื ืœืฉื ื•ืช ืืช ื”ืกืงืืœื”.
12:19
We could tap into this enormous resource pool
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ื”ื™ื™ื ื• ื™ื›ื•ืœื™ื ืœื ืฆืœ ืืช ืžืื’ืจ ื”ืžืฉืื‘ื™ื ืขืฆื•ื
12:21
and this organizational capacity.
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ื•ื™ื›ื•ืœืช ืืจื’ื•ื ื™ืช ื–ื•.
12:24
And guess what? That's happening now, finally,
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ื•ื ื—ืฉื• ืžื”? ื–ื” ืงื•ืจื” ืขื›ืฉื™ื•, ืกื•ืฃ ืกื•ืฃ,
12:30
partly because of people like you
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ื—ืœืงื™ืช ื‘ื’ืœืœ ืื ืฉื™ื ื›ืžื•ืชื›ื
12:34
who have raised these issues now
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ืฉื”ืขืœื• ืกื•ื’ื™ื•ืช ืืœื” ืœื“ื™ื•ืŸ
12:36
for year after year and decade after decade.
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ืฉื ื” ืื—ืจื™ ืฉื ื”, ืขืฉื•ืจ ืื—ืจ ืขืฉื•ืจ.
12:39
We see organizations like Dow Chemical
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ืื ื• ืจื•ืื™ื ืืจื’ื•ื ื™ื ื›ืžื• ื“ืื• ื›ื™ืžื™ืงืœื™ื
12:41
leading the revolution away from trans fat
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ืฉืžื•ื‘ื™ืœื” ืืช ื”ืžื”ืคื›ื” - ืœืœื ืฉื•ืžืŸ ื˜ืจื ืก
12:43
and saturated fat with innovative new products.
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ื•ืฉื•ืžืŸ ืจื•ื•ื™, ืขื ืžื•ืฆืจื™ื ื—ื“ืฉื ื™ื™ื.
12:46
This is an example of Jain Irrigation.
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ื–ื•ื”ื™ ื“ื•ื’ืžื” ืฉืœ ืงื•ื ืฆืจืŸ ื”ื”ืฉืงื™ื™ื” ื’'ื™ื™ืŸ ืื™ืจื™ื’ื™ื™ืฉืŸ
12:48
This is a company that's brought drip irrigation technology
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ื–ืืช ื—ื‘ืจื” ืฉื”ื‘ื™ืื” ืืช ื˜ื›ื ื•ืœื•ื’ื™ื™ืช ื”ื”ืฉืงื™ื” ื‘ื˜ืคื˜ื•ืฃ
12:51
to thousands and millions of farmers,
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ืœืืœืคื™, ื•ืžื™ืœื™ื•ื ื™ ื—ืงืœืื™ื,
12:53
reducing substantially the use of water.
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ืฉืžืคื—ื™ืชื” ื‘ืื•ืคืŸ ืžืฉืžืขื•ืชื™ ืืช ื”ืฉื™ืžื•ืฉ ื‘ืžื™ื.
12:57
We see companies like the Brazilian forestry company Fibria
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ืื ื• ืจื•ืื™ื ื—ื‘ืจื•ืช ื›ืžื• ื—ื‘ืจืช ื”ื™ืขืจื ื•ืช ื”ื‘ืจื–ื™ืœืื™ืช ืคื™ื‘ืจื™ื–ื”
13:00
that's figured out how to avoid
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ืฉืžืฆืื” ืื™ืš ืœื”ื™ืžื ืข
13:01
tearing down old growth forest
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ืžื”ืฉืžื“ืช ื™ืขืจ ืฆื•ืžื— ื™ืฉืŸ
13:03
and using eucalyptus and getting much more yield
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ื•ืœื”ืฉืชืžืฉ ื‘ืืงืœื™ืคื˜ื•ืก ื•ืœืงื‘ืœ ืชืฉื•ืื” ื”ืจื‘ื” ื™ื•ืชืจ ื’ื“ื•ืœื”
13:06
per hectare of pulp
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ืฉืœ ืฆื™ืคื” ืœื“ื•ื ื
13:08
and making much more paper than you could make
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ื•ืœื™ื™ืฆืจ ื”ืจื‘ื” ื™ื•ืชืจ ื ื™ื™ืจ ืžืžื” ืฉื”ื™ื” ื ื™ืชืŸ
13:10
by cutting down those old trees.
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ืขืœ ื™ื“ื™ ื›ืจื™ืชืช ื”ืขืฆื™ื ื”ื™ืฉื ื™ื ื”ืœืœื•.
13:12
You see companies like Cisco that are training
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ืืชื ืจื•ืื™ื ื—ื‘ืจื•ืช ื›ืžื• ืกื™ืกืงื•, ืฉืžื“ืจื™ื›ื•ืช
13:15
so far four million people in I.T. skills
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ืขื“ ื›ื” ืืจื‘ืขื” ืžื™ืœื™ื•ืŸ ืื ืฉื™ื ื‘ื›ื™ืฉื•ืจื™ I.T
13:19
to actually, yes, be responsible,
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ื›ื“ื™ ืœืžืขืฉื”, ื›ืŸ, ืœื”ื™ื•ืช ืื—ืจืื™ื,
13:21
but help expand the opportunity
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ืื‘ืœ ืœืขื–ื•ืจ ืœื”ืจื—ื™ื‘ ืืช ื”ื”ื–ื“ืžื ื•ืช
13:23
to disseminate I.T. technology
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ืœื”ืคื™ืฅ ืืช ื˜ื›ื ื•ืœื•ื’ื™ื™ืช ื”- I.T
13:26
and grow the whole business.
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ื•ืœื”ื’ื“ื™ืœ ืืช ื”ืขืกืง ื›ื•ืœื•
13:27
There's a fundamental opportunity for business today
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ื™ืฉ ื”ื–ื“ืžื ื•ืช ื‘ืกื™ืกื™ืช ืœืขืกืงื™ื ื”ื™ื•ื
13:32
to impact and address these social problems,
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ืœื”ืฉืคื™ืข ื•ืœื˜ืคืœ ื‘ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช ืืœื•,
13:36
and this opportunity
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ื•ื”ื”ื–ื“ืžื ื•ืช ื”ื–ืืช
13:37
is the largest business opportunity
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ื”ื™ื ื”ื”ื–ื“ืžื ื•ืช ื”ืขืกืงื™ืช ื”ื’ื“ื•ืœื” ื‘ื™ื•ืชืจ
13:40
we see in business.
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ืฉืื ื• ืจื•ืื™ื ื‘ืขืกืงื™ื.
13:44
And the question is, how can we get business
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ื”ืฉืืœื” ื”ื™ื, ืื™ืš ืื ื—ื ื• ื™ื›ื•ืœื™ื ืœื’ืจื•ื ืœื—ืฉื™ื‘ื”
13:46
thinking to adapt this issue of shared value?
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ื”ืขืกืงื™ืช ืœืืžืฅ ื ื•ืฉื ื–ื” ืฉืœ ืขืจืš ืžืฉื•ืชืฃ?
13:50
This is what I call shared value:
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ื–ื” ืžื” ืฉืื ื™ ืžื›ื ื” ืขืจืš ืžืฉื•ืชืฃ:
13:51
addressing a social issue with a business model.
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ื˜ื™ืคื•ืœ ื‘ื ื•ืฉื ื—ื‘ืจืชื™ ืขื ืžื•ื“ืœ ืขืกืงื™.
13:55
That's shared value.
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ื–ื” ืขืจืš ืžืฉื•ืชืฃ.
13:57
Shared value is capitalism,
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ืขืจืš ืžืฉื•ืชืฃ ื”ื•ื ืงืคื™ื˜ืœื™ื–ื,
13:59
but it's a higher kind of capitalism.
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ืื‘ืœ ื–ื” ืกื•ื’ ื’ื‘ื•ื” ื™ื•ืชืจ ืฉืœ ืงืคื™ื˜ืœื™ื–ื.
14:01
It's capitalism as it was ultimately meant to be,
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ื–ื” ื”ืงืคื™ื˜ืœื™ื–ื ื›ืคื™ ืฉื‘ืกื•ืคื• ืฉืœ ื“ื‘ืจ ื”ื•ื ื ื•ืขื“ ืœื”ื™ื•ืช,
14:05
meeting important needs,
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ืœืขื ื•ืช ืขืœ ืฆืจื›ื™ื ื—ืฉื•ื‘ื™ื,
14:08
not incrementally competing for
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ืœื ืœื”ืชื—ืจื•ืช ื‘ืื•ืคืŸ ื”ื“ืจื’ืชื™
14:11
trivial differences in product attributes
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ืขืœ ื”ื‘ื“ืœื™ื ื–ื ื™ื—ื™ื ื‘ืชื›ื•ื ื•ืช ื”ืžื•ืฆืจ
14:14
and market share.
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ื•ื ืชื— ื”ืฉื•ืง.
14:16
Shared value is when we can create social value
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ืขืจืš ืžืฉื•ืชืฃ ื”ื•ื ื›ืืฉืจ ืื ื• ื™ื›ื•ืœื™ื ืœื™ืฆื•ืจ ืขืจืš ื—ื‘ืจืชื™
14:18
and economic value simultaneously.
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ื•ืขืจืš ื›ืœื›ืœื™ ื‘ื• ื–ืžื ื™ืช.
14:21
It's finding those opportunities
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ืžืฆื™ืืช ื”ื”ื”ื–ื“ืžื ื•ื™ื•ืช ื”ืืœื”
14:23
that will unleash the greatest possibility we have
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ืฉื™ืฉื—ืจืจื• ืืช ื”ืืคืฉืจื•ืช ื”ื’ื“ื•ืœื” ื‘ื™ื•ืชืจ ืฉื™ืฉ ืœื ื•
14:26
to actually address these social problems
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ืœื”ืชื™ื™ื—ืก ืžืžืฉ ืœื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช ืืœื”
14:28
because we can scale.
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ืžืฉื•ื ืฉืื ื—ื ื• ื™ื›ื•ืœื™ื ืœืฉื ื•ืช ืืช ื”ืกืงืืœื”.
14:30
We can address shared value at multiple levels.
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ืื ื• ื™ื›ื•ืœื™ื ืœื˜ืคืœ ื‘ืขืจืš ืžืฉื•ืชืฃ ื‘ื”ืจื‘ื” ืจืžื•ืช.
14:34
It's real. It's happening.
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ื–ื” ืืžื™ืชื™. ื–ื” ืงื•ืจื”
14:37
But in order to get this solution working,
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ืื‘ืœ ืขืœ ืžื ืช ืฉืคืชืจื•ืŸ ื–ื” ื™ืขื‘ื•ื“,
14:40
we have to now change how business sees itself,
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ืขืœื™ื ื• ืœืฉื ื•ืช ืขื›ืฉื™ื• ืืช ื”ืื•ืคืŸ ืฉื‘ื• ื”ืขืกืง ืจื•ืื” ืืช ืขืฆืžื•,
14:44
and this is thankfully underway.
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ื•ื–ื” ืœืฉืžื—ืชื™ ื™ืฆื ืœื“ืจืš.
14:47
Businesses got trapped into the conventional wisdom
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ืขืกืงื™ื ื ืœื›ื“ื• ื‘ื“ืขื” ื”ืžืงื•ื‘ืœืช
14:50
that they shouldn't worry about social problems,
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ืฉื”ื ืœื ืฆืจื™ื›ื™ื ืœื“ืื•ื’ ืœื’ื‘ื™ ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช,
14:52
that this was sort of something on the side,
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ืฉื–ื” ืกื•ื’ ืฉืœ ืžืฉื”ื• ืฉื•ืœื™,
14:54
that somebody else was doing it.
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ืฉืžื™ืฉื”ื• ืื—ืจ ืขื•ืฉื” ืืช ื–ื”.
14:57
We're now seeing companies
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ืื ื—ื ื• ืขื›ืฉื™ื• ืจื•ืื™ื ื—ื‘ืจื•ืช
14:58
embrace this idea.
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ืžืืžืฆื•ืช ืืช ื”ืจืขื™ื•ืŸ ื”ื–ื”.
15:01
But we also have to recognize business
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ืื‘ืœ ืขืœื™ื ื• ื’ื ืœื”ื›ื™ืจ ื‘ื›ืš ืฉืขืกืง
15:03
is not going to do this as effectively
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ืœื ื”ื•ืœืš ืœืขืฉื•ืช ื–ืืช ื‘ื™ืขื™ืœื•ืช
15:06
as if we have NGOs and government
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ื›ืื™ืœื• ื™ืฉ ืœื ื• ืขืžื•ืชื•ืช ื•ืžืžืฉืœื”
15:08
working in partnership with business.
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ืฉืขื•ื‘ื“ื•ืช ื‘ืฉื•ืชืคื•ืช ืขื ื”ืขืกืงื™ื.
15:11
The new NGOs that are really moving the needle
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ื”ืขืžื•ืชื•ืช ื”ื—ื“ืฉื•ืช ืฉื‘ืืžืช ืขื•ืฉื•ืช ืฉื™ื ื•ื™
15:14
are the ones that have found these partnerships,
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ื”ืŸ ืืœื” ืฉืžืฆืื• ืฉื•ืชืคื•ื™ื•ืช ืืœื•,
15:16
that have found these ways to collaborate.
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ืฉืžืฆืื• ื“ืจื›ื™ื ืืœื• ื›ื“ื™ ืœืฉืชืฃ ืคืขื•ืœื”.
15:18
The governments that are making the most progress
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ื”ืžืžืฉืœื•ืช ื”ืžืชืงื“ืžื•ืช ื‘ื™ื•ืชืจ
15:20
are the governments that have found ways
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ื”ืŸ ืžืžืฉืœื•ืช ืฉืžืฆืื• ื“ืจื›ื™ื
15:22
to enable shared value in business
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ื›ื“ื™ ืœืืคืฉืจ ืขืจืš ืžืฉื•ืชืฃ ื‘ืขืกืงื™ื
15:25
rather than see government as the only player
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ื•ืœื ืจื•ืื•ืช ืืช ื”ืžืžืฉืœื” ื›ืฉื—ืงืŸ ื”ื™ื—ื™ื“
15:28
that has to call the shots.
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ืฉืฆืจื™ืš ืœืงื‘ืœ ืืช ื”ื”ื—ืœื˜ื•ืช.
15:31
And government has many ways in which it could impact
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ื•ืœืžืžืฉืœื” ื™ืฉ ื“ืจื›ื™ื ืจื‘ื•ืช ืฉื‘ื”ืŸ ื ื™ืชืŸ ืœื”ืฉืคื™ืข
15:34
the willingness and the ability of companies
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ืขืœ ื”ื ื›ื•ื ื•ืช ื•ื”ื™ื›ื•ืœืช ืฉืœ ื—ื‘ืจื•ืช
15:36
to compete in this way.
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ืœื”ืชื—ืจื•ืช ื‘ื“ืจืš ื–ื•.
15:38
I think if we can get business seeing itself differently,
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ืื ื™ ื—ื•ืฉื‘ ืฉืื ื ื’ืจื•ื ืœืขืกืงื™ื ืœืจืื•ืช ืืช ืขืฆืžื ืื—ืจืช,
15:41
and if we can get others seeing business differently,
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ื•ืื ื ื•ื›ืœ ืœื’ืจื•ื ืœืื—ืจื™ื ืœืจืื•ืช ืขืกืงื™ื ืื—ืจืช,
15:44
we can change the world.
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ื ื•ื›ืœ ืœืฉื ื•ืช ืืช ื”ืขื•ืœื.
15:47
I know it. I'm seeing it.
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ืื ื™ ื™ื•ื“ืข ืืช ื–ื”. ืื ื™ ืจื•ืื” ืืช ื–ื”.
15:50
I'm feeling it.
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ืื ื™ ืžืจื’ื™ืฉ ืืช ื–ื”.
15:52
Young people, I think,
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ืื ืฉื™ื ืฆืขื™ืจื™ื, ืื ื™ ื—ื•ืฉื‘,
15:53
my Harvard Business School students, are getting it.
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ืชืœืžื™ื“ื™ ื‘ื™ืช ื”ืกืคืจ ืœืขืกืงื™ื ืฉืœ ื”ืจื•ื•ืืจื“, ืžื‘ื™ื ื™ื ื–ืืช.
15:57
If we can break down this sort of divide,
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ืื ื ื•ื›ืœ ืœืคืจืง ืกื•ื’ ื–ื” ืฉืœ ืคื™ืฆื•ืœ.
16:01
this unease, this tension,
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ืื™ ื ื•ื—ื•ืช ื–ื•, ื”ืžืชื— ื”ื–ื”,
16:04
this sense that we're not
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ื”ืชื—ื•ืฉื” ื”ื–ื• ืฉืื ื—ื ื• ืœื
16:06
fundamentally collaborating here
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ืžืฉืชืคื™ื ืคื” ืคืขื•ืœื” ื‘ืื•ืคืŸ ื‘ืกื™ืกื™
16:08
in driving these social problems,
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ื‘ื”ื ื”ื’ืช ื‘ืขื™ื•ืช ื—ื‘ืจืชื™ื•ืช ืืœื•,
16:10
we can break this down,
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ืื ื• ื™ื›ื•ืœื™ื ืœื ืคืฅ ื–ืืช
16:12
and we finally, I think,
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ื•ืื ื—ื ื• ืกื•ืฃ ืกื•ืฃ, ืื ื™ ื—ื•ืฉื‘,
16:14
can have solutions.
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ื™ื›ื•ืœื™ื ืœืžืฆื•ื ืคืชืจื•ื ื•ืช.
16:17
Thank you.
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ืชื•ื“ื”.
16:20
(Applause)
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(ืžื—ื™ืื•ืช ื›ืคื™ื™ื)
ืขืœ ืืชืจ ื–ื”

ืืชืจ ื–ื” ื™ืฆื™ื’ ื‘ืคื ื™ื›ื ืกืจื˜ื•ื ื™ YouTube ื”ืžื•ืขื™ืœื™ื ืœืœื™ืžื•ื“ ืื ื’ืœื™ืช. ืชื•ื›ืœื• ืœืจืื•ืช ืฉื™ืขื•ืจื™ ืื ื’ืœื™ืช ื”ืžื•ืขื‘ืจื™ื ืขืœ ื™ื“ื™ ืžื•ืจื™ื ืžื”ืฉื•ืจื” ื”ืจืืฉื•ื ื” ืžืจื—ื‘ื™ ื”ืขื•ืœื. ืœื—ืฅ ืคืขืžื™ื™ื ืขืœ ื”ื›ืชื•ื‘ื™ื•ืช ื‘ืื ื’ืœื™ืช ื”ืžื•ืฆื’ื•ืช ื‘ื›ืœ ื“ืฃ ื•ื™ื“ืื• ื›ื“ื™ ืœื”ืคืขื™ืœ ืืช ื”ืกืจื˜ื•ืŸ ืžืฉื. ื”ื›ืชื•ื‘ื™ื•ืช ื’ื•ืœืœื•ืช ื‘ืกื ื›ืจื•ืŸ ืขื ื”ืคืขืœืช ื”ื•ื•ื™ื“ืื•. ืื ื™ืฉ ืœืš ื”ืขืจื•ืช ืื• ื‘ืงืฉื•ืช, ืื ื ืฆื•ืจ ืื™ืชื ื• ืงืฉืจ ื‘ืืžืฆืขื•ืช ื˜ื•ืคืก ื™ืฆื™ืจืช ืงืฉืจ ื–ื”.

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