Social Impact

What is happening? The Rockerfeller Fund, an $860 million philanthropic organization built on wealth from Standard Oil, announced in 2014 that it would divest from fossil fuel companies.

Why is this important? Divestment from fossil fuels is ongoing among University pension systems.

How will this be important? The executive director of the Intentional Endowments Network calls divestment inevitable

Inside Higher Ed | Divestment Gap Emerges

What’s happening? If your feed is like mine, every corporation or entity that you follow talked up its sustainability efforts today for Earth Day. The new economy has been pointing toward sustainability in fashion as people stuck at home learned how much energy it took to make clothing.

Why is this important? So as consumers want more information about sustainability, how can they figure it out? Everlane chief supply chain officer suggests looking for companies with transparent supply chains. Also look out for clothing companies that have partners and standardized certifications that can support sustainability claims, such as LEED certification.,  The Global Organic Textile Standard, Global Recycled Standard .

How will this be important? Gen X, Millenials and Gen Z consumer majorities want to know this information and they make their purchases based on this sustainability information.

CNN | 15 sustainable fashion brands to fill your closet

What’s happening? Soon people will travel again. Rather, soon more people will travel again. Euromonitor International’s Sustainable Travel Index has released its  rankings of sustainable tourism. The tops: Sweden. The Top 10:

• Sweden
• Finland
• Austria
• Estonia
• Norway
• Slovakia
• Iceland
• Latvia
• France
• Slovenia

Why is this important? We’re going to traveling in the new economy where there is greater import placed on sustainability, diversity, inclusion.

How will this be important? The US is 35th. The UK 40th. The EU has a push to include sustainability in travel in its COVID recovery.

Schengenvisoinfo | Sweden Ranks First Among 99 World Countries for Global Sustainable Tourism

What’s happening? Texas Competes, a new business organization, which released a letter this week with 43 Companies in opposition to the Texas Legislature’s anti-LGBTQ legislation.

Why is this important? This list.

1. 
   Amazon
2. American Airlines
3. Apple
4. Austin Chamber of Commerce
5. Austin City Limits Music Festival
6. Austin LGBT Chamber of Commerce
7. Austin Tech Alliance
8. Bain and Company
9. BASF
10. BBVA USA
11. bp America
12. C3 Presents
13. Cedar Park Chamber of Commerce
14. Dell Technologies
15. Destination El Paso
16. Dow
17. Facebook
18. Fort Bend Chamber of Commerce
19. G6 Hospitality LLC
20. Gearbox Entertainment
21. Greater Houston LGBT Chamber
22. GSD&M
23. HP
24. Hunt Companies
25. IBM Corporation
26. Levi Strauss & Co
27. Lime
28. Marriott International
29. McKinney Chamber of Commerce
30. Microsoft
31. North Texas Commission
32. North Texas LGBT Chamber of Commerce
33. PayPal
34. Salesforce
35. San Antonio LGBT Chamber of Commerce
36. Silicon Labs
37. Sun Life
38. Sustainable Food Policy Alliance, including member companies Danone North America; Mars, Incorporated; Nestlé USA; and Unilever United States
39. TechNet
40. Texas LGBTQ Chambers of Commerce
41. Unilever
42. United Airlines
43. United Corpus Christi Chamber of Commerce

How will this be important? Corporations first became vocal on LGBT issues in 2017 when the Texas Legislature was considering its “bathroom bill” that LGBT supporters opposed. This is trend in a red state is a big deal.

Check them out on twitter @TXCompetes

What is happening? U.S. Wineries are moving beyond the biodynamic and organic and moving toward sustainable.

Why is this important? Sustainable means economic viability + social impact that incorporates  planting cover crops and composting and investing in your community through internships, partnerships, access to healthcare for their workers, and support of BIPOC organizations.

How will this be important? Wineries are seeing customer loyalty through their sustainability efforts. To quote one of the wine geniuses : “Taking care of others is a ripple effect. It goes out in the universe and eventually comes back.” – Napa’s Corison Winery

Wine Enthusiast | The U.S. Wineries Pursuing Radical Sustainability

What is happening? Fintech company, ParagonEX, will move its trading servers to  carbon-neutral hosting sites.

Why is this important? Listen to the CEO. Simon Duggan, ParagonEX’s CEO said: “We need to be socially responsible in our actions, both on the trading/customer-facing side and on the global responsibility side. One cannot ignore the fact that high electricity consumption has a detrimental effect on the environment, and companies must take responsibility for minimizing their carbon footprint.”

How will this be important? More companies in the new economy will be touting their ESG moves.

ParagonEX

What’s happening? Goldman Sachs review determined that successful sustainable investment decisions fared best when made by a human.

Why is this important? For those in the investment world, it means active investing wins this round.

How will this be important? More of these humans vs. algorithms are in our future.

@businessweek on instagram

What’s happening? Meet the Creo Syndicate which advises the world’s richest who support climate change efforts. ” Creo’s mission is to speed up the flow of capital into investments that can slow global warming. The group focuses on the richest of the rich, working with about 200 families and investment outfits with a total of more than $800 billion under management.”

Why is this important? The Creo Syndicate is described as small and secretive by Bloomberg and only allow certain people into their world.

How will this be important? Imagine a Creo Syndicate for each portion of ESG- Enviornmental, sustainability, and governance.

@businessweek on instagram

What’s happening? With the after effects of the Black Lives Matter movement, North Dakota just made Juneteenth an official ceremonial state holiday. This did not make Juneteenth a paid holiday.

Why is this important? The Republican who carried the bill, said it ” is a step of good will toward becoming a nation of respect to each other.”

How will this be important? South Dakota and Hawaii are the only states that do not recognize Juneteenth in some form.

AP | North Dakota Legislature OKs Juneteenth ceremonial holiday

What’s happening? Stella McCartney and Hermes began integrating mushroom leather into their merchandise. Mycelium leather requires low-energy in its manufacturing and can biodegrade.

Why is this important? Designers are looking for substitute to vegan leather the manufacturing of which can be harmful to the environment.

How will this be important? What can be produced from mushrooms is only now coming to light. Mushroom based inks and dyes are also getting greater attention.

W | What the Viral Spread of Mushrooms Means for Fashion’s Sustainable Future

What’s happening? 2000 CEOs have signed on to CEO Action for Diversity and Inclusion™ to advance racial equity through public policy.

Why is this important? CEOs are actively looking to public policy on race, diversity and inclusion. We should not be surprised when companies and CEOs speak up on these issues.

How will this be important? This is the new normal.

What’s happening? Wayfair has dedicated$30 million to social impact investing. This includes $20 million investment in the Black Economic Development Fund

Why is this important? The company has a clear stance on racism. From the CEO”…part of our broader commitment to stand against racism in every form and to continuously work to foster diversity, equity and inclusion both at Wayfair and in our communities,” noted Niraj Shah, CEO, co-founder and co-chairman, Wayfair.

How will this be important? This is the new normal.

Home Accents Today | Wayfair gives $30 million to social impact investing

What’s happening? Vermont because the first state to consider the disproportionate impact of COVD on Black and minority communities. For COVID, Black and minority residents are more than TWICE as likely to end up in the hospital. To make up for it, Vermont is giving vaccine priority to minority Vermontians.

Why is this important? More governmental entities are considering how their actions disproportionately impacting certain, mostly Black and minority communities, and are taking action to correct for this.

How will this be important? More local governments will be doing this once there are examples to follow.

Route Fifty | Vermont Is 1st State to Give Minority Residents Vaccine Priority

What’s happening? Black CEOs are speaking out against voting reforms in Georgia. Merck CEO Kenneth Frazier and former American Express CEO Kenneth Chenault, released a joint letter in The New York Times urging corporate America to stand up forcefully on matters of racial justice.

Why is this important? First comes Georgia, then Texas, and then the rest of the red states.

How will this be important? This issue is not going anywhere. Get Z, Millennials and Gen Xers vote with their dollars and support companies that take stands on the big issues.

AP | Under pressure, some Ga. corporate leaders slam voting bill

What’s happening? Delta Airlines and Coca-Cola CEO s spoke up and the companies issued statements. IN particular, Coca-Cola said that Georgia’s voting bill is ” a step backward.” “It does not promote principles we have stood for in Georgia around broad access to voting, around voter convenience, about ensuring election integrity. This legislation is wrong and needs to be remedied.”

Why is this important? Coca Cola has paused its PAC activity, and had done so before Georgia passed the voting bill.

How will this be important? This week it came to Texas and its coming to other states as well. Corporations can’t only be your political allied when you agree. That’s not how relationships work. Nor is it how our system of government works.

AP | Under pressure, some Ga. corporate leaders slam voting bill

What’s happening? Vaccine education by employers is entering the arena of part of the way a company can improve its social impact. The reason is employees trust information from their employers more than they trust information from their governments.

How is this important? We’re seeing that employers that were the most empathetic during the pandemic are reaping the greatest rewards.

Why will this be important? Businesses are incentivizing employees to get vaccinated. Dollar General, Instacart, and Publix, have offered paid leave time or cash incentive bonuses to encourage their employees to get vaccinated.

Fast Company | 3 ways employers can help fight vaccine skepticism

What’s happening? Lancome launched  “Caring Together for a Happier Tomorrow,” that focuses on 3 elements that reflect its business model.

Why is this important? Lancome is tying its impact directly to the work it does. By focusing on (1)protecting biodiversity (2) helping people to consume sustainably (3) empowering women

How will this be important? Companies are matching their social impact more directly to the work they do which increases the authenticity of the impact.

Happi | Lancôme Launches Sustainability Program

What’s happening? ESG-compliant funds now top US$40 trillion. And, it is growing. Not all ESG metric include input from indigenous people. Global Reporting Initiative and the Sustainability Accounting Standards Board reference them briefly. The missing link—-“provide advice on how to include Indigenous rights in company operations or decision making.”

How is this important? Indigenous population and rights are being re-affirmed in Canada and by the US Supreme Court. Enter the Indigenous Sustainable Investment Conference that will “highlight how Indigenous-led efforts in each area of ESG could serve as templates for investors to reduce risk and improve investment decisions in major projects.”

Why will this be important? Impact investing, diversity and inclusion aren’t going away.

BIV | Indigenous input missing from Canada’s ESG investment standards

What’s happening? Survey data from GlobeScan shared by Seafood Expo North America Reconnect  identified purchasing trends that Millennials and Sen Z is behind sustainable purchasing. When it comes to seafood:

• 70% of consumers want more info from companies about sustainability
• 63% want to know their fish can be traced back to a known and trusted source
• consumers 18 to 34 were the most likely to notice eco labels
• 70% of Gen Z have been inspired by an online influencer to live in a more sustainable way

Why is this important? From 1999- 2017 20% of purchasers said they would reward sustainable companies. In 2020, that number jumped to 38%. Yes, nearly doubled.  

How will this be important? Sustainability, social impact, egg, csr, corporate social responsibility is like a cartoon snowball , and we’re at that stage where the snowball is growing and rolling.

Seafood Source | Millennials, Gen Z driving sustainable seafood purchasing shift

What’s happening? Let’s look at T Rowe Price’s press release…because their word choices here say A LOT about the growth and import of ESG. They say “significant secular changes afoot” and “link between societal good and performance”

Why is this important? it’s like when you realize your weird uncle whose reputation to put his foot in his mouth all of a sudden became woke.

How will this be important? Change is afoot… This is the new normal.

T Row Price Launches First Impact Fund

What’s happening? As the financial decision-makers “wake up to the full, negative impact of the pandemic on people and the economy” there’s a move to invest in the S, social, part of ESG investments.

Why is this important? Institutional investors have moved toward property in recent years, and within that sector investments can focus on low income housing or housing for the homeless.

How will this be important? According to Big Society Capital, 42% of the social investment market in the UK focuses on social housing investments. Increasing popularity… driving investment demand up….

Pensions & Investments | Commentary: How institutional investors can play a role in tackling U.K. homelessness

What’s happening? Channel Factory, global brand suitability and ad performance platform for YouTube, released its Brand and Consumer Values Report.

Why is this important?

• 69% prefer to buy from brands committed to socially conscious causes
• 68% prefer to buy from brands that are committed to making online environments more positive
• 60% prefer to buy from those committed to making these environments diverse and inclusive
• 54% have a negative opinion of brands that run ads on content made by creators whose social values consumers disagree with
• 60% feel more positive about a brand knowing they advertised in diverse environments

How will this be important? Not only does it matter if brands take a stand, it matters how and where they take that stand.

Channel Factory | Consumer Sentiment and Conscious Advertising

What’s happening? Georgia Legislature is changing the voting rules, and civil liberties groups are asking big Georgia business to speak up. Hello, that’s you Coke, UPS, Delta Home Depot etc…. HB 531 (2021 | GA) SB 241 (2021 | GA)

Why is this important? It is just like what happened at the US Capitol on January 6th….businesses were asked to be on the correct side of history

How will this be important? The Georgia Chamber of Commerce has issued a statement expressing “concern and opposition”

@WashingtonPost on Instagram

What’s happening? The Us Department of Energy has added a position singularly focused on energy justice.

Why is this important? We’re hearing more and more about energy justice. The focus for the Department of Energy will be on social, economic, and health burdens within U.S. energy system.

How will this be important? higher utility bills, heightened susceptibility to pollution, and increased vulnerability to natural disasters disproportionately impacts communities of color.

@MIT Sloan School

What’s happening? Colorado has had its Equal pay for Equal Work Act in effect since January 1. First, the world has not ended.

Why is this important? Not only will salaries for open positions be clearer for all potential applicants, the bill also prevents employers from asking how much a potential employee is currently making.

How will this be important? More states are following suit

@goodgoodgoodco

What’s happening? Alaska, North Dakota, Texas legislators are introducing legislation that would force states to stop investing in companies that use sustainable strategies & stop doing business with asset managers, banks and insurers that support sustainable investing.

Why is this important? “The bills defy global financial and political trends” and, let’s note the bills defy the data that show msg investments perform better, especially during the pandemic.

How will this be important? Investment Firms adn Financial Services firms, Oregon, California, New York, and others are stacking up on the other side. Plus, fossil fuel players like BP are also on the other side as BP formally announced its sustainability. It’d be fun to see if the fossil fuel industry also print annual sustainability reports that show its industry support of concepts from diversity to sustainability. More than a majority of the S&P issues annual sustainability reports.

Route Fifty | Oil-Friendly States Fight Back Against Sustainable Investment Trend

RigZone | Texas Lawmakers Target Energy Discrimination

PEW Charities | Oil-Friendly States Fight Back Against Sustainable Investment Trend

What’s happening? The great minds at Stanford Social Innovation Review say boards need to recalculate their focus to (1) purpose (2) play nice with others, be good to your ecosystem (3) focus on equity and not reinforce systemic inequities(4) recognize organizational power

Why is this important? When you’re preoccupied by profit or fundraising above all else, no one wants to be round that.

How will this be important? This is the future. The New Economy is the stakeholder economy- not the economy fo what’s the best way to increase profit at all cost.

Stanford Social Innovation Review | The Four Principles of Purpose-Driven Board Leadership

What’s happening? “No longer do we limit such conversations to Black History Month, Hispanic Heritage Month or other specific times of the year” _ Texas Cable Association.

Why is this important? “We know that a diverse, equitable and inclusive company is a more innovative and successful one.” –Ward-Maupin, oversees the digital and customer experience strategy and execution across Comcast Business

How will this be important?”Every facet of the business benefits when DEI is a focus.” – Chatman, vice president of Sparklight’s South Central Division”

Texas Cable Association | CABLE LEADERS: DIVERSITY, EQUITY & INCLUSION

What’s happening? Atlanta took on food deserts head on. Atlanta’s Browns Mill neighborhood is a 30 minute bus ride from the closest grocery store.⠀⠀⠀⠀⠀⠀⠀⠀
⠀⠀⠀⠀

Why is this important? The food forest is a result of a partnership between the nonprofit organization @theconservationfund, with a grant from the U.S. Forest Service and in partnership with the city of Atlanta and Tree Atlanta. Together they created a 7.1-acre forest filled with 2,500 pesticide-free plants. It’s the largest food forest in the nation.

How will this be important? With insurers adding access to nutritious foods to policies and a greater focus on local food in the new economy.

On Instagram @goodgoodgoodco

What’s happening? “We’ve seen time and again, the lack of good and nutritional food causes members to get readmitted”  There is an increase in the number of insurance plans that pay for temporary meal deliveries and some are teaching people how to cook and eat healthier foods.

Why is this important? During the pandemic, Oscar Health, delivered fresh groceries to its plan members.

How will this be important? An un-politicized definition of nutritious foods is complicated. Hint: a green box labeled healthy, isn’t nutritious.

AP | Insurers add food to coverage menu as way to improve health

What’s happening? NRIX, Inc., a company that specializes in connected vehicle services and transportation analytics says US drivers saved 3.4 Billion hours over 2019.

Why is this important? 3.4 Billion employee hours saved translates to  $51 billion in time savings.

How will this be important? Companies are re-defining work life balances, with more companies, especially tech companies, retaining more elements of work from home.

Route 50 | The Hours Americans Reclaimed by Sitting Less in Traffic

What’s happening? After Governor Abbott opened business to 100% capacity and removed any state mask mandate, I saw a tweet that said now Texans will turn to the 4th State of Government in Texas- H.E.B , the state’s largest grocer.

Why is this important? This is quickly becoming common. Did the government go too far? Look for companies to take a stand on big picture issues. Think of Nike quickly supporting Kapernik

How will this be important? As GenZ feels more invested in their trusted brands, the positions those brands take will be more powerful than government.

What’s happening? Netflix has promised $100 Million to improve diversity in its shows.

Why is this important? Customers and the public want to know that products stand for something. People want to know if they’re spending their money that the money is going into the hands of a company that will be on the right side of history.

How will this be important? Being silent is no longer an option.

@Engadget

What’s happening? When analyzing the return from a hospital owned affordable housing project, analysts used social return on investment in lieu of old school return on investment.

Why is this important? IN 2018 numbers, they found that the return was $1.30 to $1.92 per year for every dollar of annual operating expense

How will this be important? We’ll see more social return on investment as it includes a more holistic economic review.

Healthcare Dive | Hospital-backed housing brings positive social return on investment: Health Affairs

What is happening? In November 2020 McDonalds launched its new Accelerating the Arches growth strategy designed to “refreshed purpose to feed and foster communities.”

Why is this important? In 1990 McDonalds forged a relationship with Conservation International to add sustainable whitefish sources for its Filet-O-Fish sandwiches. IN 2002 McDonalds released its first sustainability report.

How will this be important? Harvard Business Review notes that consumers and stakeholders want companies that see social good as a necessity to address the growing number of global issues. It’s good for business.

Forbes | How McDonald’s New Chief Global Impact Officer Plans To Execute The Company’s ‘Refreshed Purpose’

What’s happening? Katie Moussouris, a leading researcher and entrepreneur in cybersecurity and vulnerability disclosure, made a $1 million gift via her Pay Equity Now (PEN) Foundation to establish the Anuncia Donecia Songsong Manglona Lab for Gender and Economic Equity at Penn State Law in University Park

Why is this important? She is establishing a litigation clinic that will focus primarily on appellate advocacy and litigation involving issues of gender in employment equity to achieve pay equity across the US in her lifetime.

How will this be important? The pandemic reset thinking from traditional workdays, systemic racism, sexism and there is no sign of a slow down. Whether it’s the Business Roundtable or NHL players standing up against racism or homophobia, more voices re actively looking to be on the correct side of history.

www.manglonalab.org.

What’s happening? Caledonia Minings has added its first ever sustainability expert to its board. It’s a big step.

Why is this important? Mining is looking at sustainability. Mining. Old school is getting new school.

How will this be important? The new economy is here to stay, folks.

Proactive Investors | Caledonia Mining appoints sustainability and community engagement expert to board

What’s happening? The brains at Chicago Booth Review found that COVID revealed that sustainability isn’t a nice thing to have, but rather a necessity for investors

Why is this important? Being kind, supporting sustainability and diversity increases profits in times of disaster like COVID too.

How will this be important? ESG standards are not only entering with corporate sustainability and diversity standards, but also pension options that include ESG or transparency in pension investments to disclose sustainability and diversity standards and investments.

Chicago Booth Review | When green investments pay off

What’s happening? A republican State Senator tweeted during the great Texas Winter Storm of 2021 hailing HEB, a local grocery store, for gifting groceries to people caught in the store when the power went out.

Why is this important? The Stakeholder Economy is all about people over profit. It’s what the Business Roundtable pointed to a few years ago, it is the heart of the new economy from COVID, and its’ what the academics have been saying for years- data shows when you play nice, you make more money.

How will this be important? People over profits isn’t red or blue.

@DrSchwertner

What’s happening? A new transparency benchmark for pension systems has been created. Meet the new Global Pension Transparency Benchmark. Overall country benchmarks measure four factors: governance/organization, performance, costs, and responsible investing.

Why is this important? This benchmark focuses on the transparency and quality of public disclosures, with quality relating to the completeness, clarity, information value, and comparability of disclosures.

How will this be important? Disclosing information in common terms is important. These experts point to CALPERS executive summary that’s easy to read and Quebecois pension fund Caisse de dépôt et placement du Québec  puts easy to read updates on its website. Communication is key.

CIO | New Pension Transparency Gauge Finds Serious Improvement Is Needed

What’s happening? Costco announced today that it would increase its base pay to $16/hour.

Why is this important? Costco leadership talks about increased base pay like a champion for stakeholder economy: “This isn’t altruism. At Costco, we know that paying employees good wages and providing affordable benefits makes sense for our business and constitutes a significant competitive advantage for us.”

How will this be important? Local governments and states are considering higher minimum wages and point to businesses closing. This example will be lauded to support higher minimum wages.

Market Watch | ‘I will continue happily shopping there forever’: Costco customers react to retailer’s new $16 minimum wage

What’s the deal? The BBC says the UK”s use of a COVID tracing app told 1.7 million to isolate and is estimated to have prevented 600,000 new infections.

Why is this important? The app has 21.7 million downloads and 16.5 million active users. For reference there are 63.8 million people in Great Britain.

How will this be important? COVID will not be the first rodeo in Pandemicland.

BBC | Covid-19: NHS app has told 1.7 million to self-isolate

What’s the deal? The head of the US Chamber will soon be a woman, after an early departure of its longtime leader.

Why is this important? IN 2020, the US Chamber made the unprecedented endorsement of 23 first-term House Democrats.

How will this be important? Writing is on the wall. “Suzanne is a great leader. If the speculation is true, this is not only good for the Chamber, but good for American business and the association world in general,” – Former political affairs and federal relations leader at the US Chamber. And from the President of the US Brands Association, “Suzanne has brought welcome changes to the Chamber in recent years — modernizing functions, injecting new talent, pursuing bipartisanship and promoting diversity.”

The Hill | Chamber eyes CEO change just weeks into Biden presidency

What’s the deal? The Mavericks has not played the national anthem before its home games.

Why is this important? The NBA has different from the NFL in that the NBA has supported its players that have spoken about social justice.

How will this be important? One of these will be in the right side of history and the other will not be.

@washingtonpost

What’s the deal? First Energy, parent company of Penn Power, donated $1 million to the American Heart Association’s Social Impact Fund.

Why is this important? The Social Impact Fund provides provides financial grants and low-interest loans for evidence-based, community-driven entrepreneurial solutions to local health equity challenges including economic empowerment, healthy food access, housing, recidivism, access to quality healthcare, transportation, and educational opportunities.

How will this be important? A current big issue is how to pay for deferred utility bills due to the pandemic. Is there an impact fund that can benefit the industry?

New Castle News | FirstEnergy gives to social impact fund

What’s the deal? Not to get into corporate speak of intersectionality. We are gong to talk about how social impact is intersecting with the construction industry,

Why is this important? Investors are paying attention. Investors are taking their calls for ESG to construction investments. States are calling for specifics in projects too. The director of sustainability at Skanska USA, pointed to Washington state’s proposed Buy Clean-Buy Fair Act, which would mandate that any building materials procured with tax dollars are manufactured in a cleaner, less carbon-intensive way, and via fair labor practices.

How can this impact us? If construction companies aren’t up on their ESG, the investors say they’ll pull their funding.

Construction Dive | Socially responsible investing is poised to intersect with construction

What’s the Deal? The Reddit Co-founder speaks about fintech startups in the retail trading space never being more aware of the iron fist of regulatory pressure. “The collective public cannot unsee this, and so I think that there’s going to be more and more energy to find decentralized solutions. “

Why should we care? Gamestop stock situation will not be an isolated event.

How can this impact me? Somehow it appears that the Reddit Co-founder and TexAs Attorney General Ken Paxton are on the same page, at least as it comes to the role of Robinhood trading in this mix.

Tech Crunch | The collective public cannot unsee this, and so I think that there’s going to be more and more energy to find decentralized solutions. 

What’s the deal? Amperity, the Seattle-based customer data platform, is adding Ciara to its corporate board to focus on social responsibility. Star Power + social impact.

Why should we care? Corporations are adding C suite level positions directed at diversity, inclusion, sustainability all the elements of corporate social responsibility. Now we’re seeing more parity at the corporate board level.

How can this impact me? Talking about business as bottom line only while boasting bully policies worked before, not anymore. Stakeholder capitalism means we care how well everyone is doing and we choose to make them better first.

GeekWire | Ciara joins board of Seattle startup Amperity to help guide corporate social responsibility efforts

What’s the deal? Illinois awarded $31.5 million in grants to revitalize neighborhoods devastated by violence, poverty and the war on drugs. Grants are being given to violence prevention, legal aid and reentry for those convicted of crimes.

Why should we care? Let’s call COVID the precursor to Feel Good times. Treating your community like you want to be treated is here to stay.

How can this impact me? Think about the process this sets up- legalize and tax something, cannabis in this case, and then dedicate a portion of the tax revenue from what you legalized to build communities. It is like paying it forward by paying it backwards.

Chicago Tribune | Illinois awards $31 million in grants funded by pot taxes for violence prevention, reentry and development in areas hurt by the war on drugs

What’s the deal? First, let me apologize to the non-Swedish speakers here. This link is in Swedish, but you know, google translate is your friend. The advertisement compares the support of fossil fuels by major Nordic banks.

Why should we care? Consumers are paying attention. It is part of the new economy. Are we seeing more ads about whether our clothes are from sustainable sources and our food is organically and stainable grown? probably but the next phase will be what they’re seeing in europe which is how sustainable are the practices of a business.

How can this impact me? We’re going to see all of our economic choices include an element of whether we chose the diverse, the inclusive, the sustainable, etc….Bring a bad actor isn’t cool anymore. It never was really cool but it was popular- consider it like high school and now we’re all more mature and kinder.

@alicebahkuhnke

What’s the deal? Texas A&M announced its new Green Labs Certification Program that will decrease energy and water costs and reduce the costs to dispose of lab chemicals. Texas A7M has 3500 lab spaces. The program will certify wet labs that meet its standards.

Why should we care? This is Texas A&M keeping up. Peer universities have green lab programs.

How could this impact me? If the local convenience can talk up its sustainability programs, so will everyone else. Keep up.

Texas A&M today | Texas A&M University Launches Green Labs Certification Program

What’s the deal? Traditional super bowl ads are gone by the wayside, because tone matters now. Companies are concerned about the tone of their commercials, they are concerned about the high tensions within the American public, and what happens when it collides on social media. Is it a message that uplifts and your company is a social media darling or is it a message that gets your products boycotted and pulled off shelves of retailers.

Why should we care? Words and tone matter not only in commercials, but in our day to day world too. It is like this– just because my dog can leave his mark on the sofa, doesn’t mean he should. Just because we can be mean, should we be?

How can this impact me? This is a foundation of the new economy. It’s the future.

WSJ | Super Bowl 2021 Ads Adjust Tone, Message for a Difficult Year

What’s the deal? A professional golfer uttered a LGBTQIA+ slur. He quickly apologized on television while still on the green. Ralph Lauren announced it would stop working with him. The PGA Tour announced a fine. Citi announced that they will require him to use his platform to “play an active role in accelerating support for the community and increase awareness of discrimination in the community. He is also required to donate a meaningful portion of his sponsorship fee.

Why should we care? This is like an evolved map of cancel culture. Learn from it

Why does this matter to me? This is the perfect example of the new economy. There’s grey area but there’s no room for bad actors.

Out | Citi Makes Golfer Justin Thomas Donate to LGBTQ+ Orgs After Slur Usage

What’s the deal? Apple CEO is speaking out about privacy concerns over other tech companies that collect user data for targeted ads. Apple has been a supporter of data privacy as a right for the consumer.

Why should we care? Every level of government is considering legislation in this arena. Tech is spending record numbers on government affairs teams.

Why does this matter to me? Every device we use collects data and uses data. Every device your clients make or use collects data and uses data.

Bloomberg | Apple CEO Slams Tech Giants Ahead of New Privacy Features

What’s the deal? The EU is benefitting from socially responsible public procurement. There’s even hashtags, #webuysocialEU.

Why should we care? The EU did the work for us and named 71 examples of socially responsible procurement from ethical trade to design for all to diversity.

Why does this matter to me? because it’s heading your way.

Recycling Magazine | #WeBuySocialEU campaign pushes socially responsible public procurement

What’s the deal? BlackRock, the $8.7 trillion asset manager, is saying it will drop companies that fail to act on climate change.

Why should we care? Follow the money. This isn’t isolated. Business Roundtable has called on a switch to stakeholder capitalism. The Pandemic has given consumers time to pay attention to supply chains and company behaviors.

Why does this matter to me? it’s changing how companies message. How consumers act. The majority of Get Z & Millennials are driven by this mindset and they are starting to be decision makers.

Fund Europe | BlackRock vows to divest from climate change laggards

What’s happening? Pundits, people on social media, are comparing the way voters are behaving to the way sports fans behave.

Why should we care? The polarization of voters has been full display. Now the academics are explaining why it’s happening. Sports researchers refer to the power of identity on behavior.

Why does this matter to me? There’s that line from The Man Who Shot Liberty Valance- about when he legend becomes fact, you print the legend. This polarization in politics has made wins and losses a lot more personal. Take note.

Route Fifty | Voters Are Starting to Act Like Hard-Core Sports Fans—With Dangerous Repercussions for Democracy

• Better reporting is putting more information into the hands of investors and companies
  • Sustainable investing is changing global supply chains: 4 key takeaways | Greenbiz
• Stakeholders are demanding more sustainability
  • 3 ways traceability can fulfill the sustainability promise | World Economic Forum
• “sustainability is profitability.”
  • -Ilham Kadri, CEO of chemicals provider Solvay

Who is created a new index and label? UAE

The UAE along with UAE Chambers of Commerce will create a new CSR label to benchmark participating companies.

How will it work?

• labels can be given to private & public entities
• 3 categories of CSR labels – platinum, gold, and silver
• Utilize 7 criteria:
  • contribution to national priorities
  • local added value
  • strategic planning and implementation
  • societal and environmental impact
  • stakeholder engagement
  • risk and opportunity management
  • creativity & innovation

Gulf News | UAE to create its own index and label for Corporate Social Responsibility initiatives

Hayes County Judge created the Council for the Indigenous and Tejano Community to preserve undertold and untold indigenous and Tejano stories.

Is the Council partnering with any groups? Yes, the Indigenous Cultures Institute 

Austin American Statesman | Hays County judge forms Council for the Indigenous and Tejano Community

The funding source: Jay-Zs new $10 million fund that will invest in minority-owned cannabis startups

Why? Minorities are convicted more often under drug laws & comprise a fraction of cannabis business in the legal market

What does the data say?

• 5-7 times higher incarceration rate for similar drug crimes -2017 study for the National Institutes of Health
• fewer than 6% of the almost 7,000 agents registered to sell or grow cannabis in Massachusetts are Black
• under 6% Black ownership of cannabis businesses in Denver
• 3% Black ownership of cannabis businesses in Washington
•  4X as likely for a Black person to be arrested for marijuana possession in the U.S. in 2018

What states have created programs to bolster minorities in the cannabis business? California, Illinois, and New York

Wall Street Journal | Jay-Z Joins Push to Boost Minority-Owned Cannabis Businesses

How much has Google dedicated to fighting misinformation over COVID vaccines? $3 million injection into its COVID-19 Vaccine Counter-Misinformation Fund

How is Google fighting misinformation over COVID vaccines? support journalistic projects that look to broaden the audience of fact checks

The Hill | Google launches $3 million fund to fight coronavirus vaccine misinformation

Everyone’s dear old pal, Yelp, is here to help.

How will Yelp add in COVID compliance? crowdsourced through customer input

Will Yelp track only restaurants? Nope, Bars and other businesses too

Engadget | Yelp will tell you which restaurants aren’t following COVID-19 guidelines

Eater | Yelp Will Now Display How Well a Restaurant Is Observing COVID-19 Guidelines

@Eater

When was the initiative announced? June 2020

What’s the goal of the initiative? help reduce barriers and opportunities for people of color across the country

What did Apple CEO Tim Cook say? We are all accountable to the urgent work of building a more just, more equitable world — and these new projects send a clear signal of Apple’s enduring commitment,”

What funding has been announced?

• Propel Center, an Atlanta-based innovation and learning hub for historically black colleges and universities
• Will found a Detroit-based Apple developer academy to support coding and tech education
•  Invest in New York-based Harlem Capital, which focuses on diverse entrepreneurs. 

What about Apple’s diversity? 53% of new hires in the U.S. are from historically underrepresented groups in tech including women and people who identify as Black, Hispanic, Native American or Native Hawaiian & Other Pacific Islander

Austin American Statesman | Apple says it will spend $100 million to promote diversity and racial equality

Where:Israel

How is the crowd funding for the social impact bond working?

• 1.6 Million in funding is anchored with investors and philanthropic funds
• 700,000 will be crowdsourced

What’s the social impact? To improve the life of 200 seniors in Televiv over 2.5 years to help with loneliness, quality of life and community

How does COVID factor in? COVID has exacerbated these challenges in the senior community

Pro Bono Australia | World first crowdfunded social impact bond launches

Who is focused on men’s sustainable fashion?  Seasons, a men’s rental platform that launched in New York in 2019

How much did Seasons membership grow in 2020? 800%

How does the company say Seasons fits the new economy? “There can be an alternative to traditional ‘ownership,’ where you’re creating opportunities for people to be a part of something without committing to it.”

Is it expanding in 2021? Yes, it will link directly to fashion brands e-commerce sites for purchase

Vogue | This Men’s Rental App Is Rethinking Fashion’s Sharing Economy

The App: Cluster

How does Cluster work for brands?

• “Brands partner with CLUSTER
• To give purpose to their marketing campaigns
• Uniting with Creators and individuals to champion social causes and drive positive change in the world.”

How does Cluster work for creators?

• “Creators use CLUSTER to (partner with Brands)
• To turn their passion for social causes into actionable events
• That drive positive change in their communities and the world.”

What’s the short hand in all this? Helps amplify causes by using your digital networks

KLTA 5 | New platform ‘Cluster’ aims to promote positive social action

Meet Helping Hands Community, an app that connects volunteers to food banks and social service organizations.

What does Helping Hands Community offer? streamlines how food banks and social service organizations deliver food, medicine and other necessities to senior citizens and those who are immunocompromised

Who is delivering to those in need?

• Volunteers sign up in the app to deliver goods to people in their local communities.
•  The APP also connects service providers to drivers with ride-sharing applications such as Uber and Lyft

How is the app structured? It is a nonprofit platform is completely volunteer-run with about 150 people from companies such as Google, Apple and Amazon

The Bulletin | Bend man creates online platform for those in need during pandemic

It’s the perfect time:

• NASDAQ has new diversity requirements for listing
• Securities & Exchange Commission have new proposed rules on ESG investing which includes a diversity component
• Impact of COVID
• Impact of Social Justice Issues like Black Lives Matter

What do most corporate boards look like? “male, pale and stale” 

Deadline has a great overview of diversity on media corporate boards.

Deadline | Corporate Boards Will Get More Diverse In 2021 With Social Justice Jolt, New Regs, Covid Impact

MIT Sloan School has identified the behavioral practices necessary for leading in the new economy.

What will leaders in 2021 need to be?

• empathy
• authenticity
• curiosity
• resiliency
• mindfulness
• being purpose-driven
• guided by analytics and data
• trust
• integrity
• straightforward communication
• role modeling

@MITSLOAN

Where: Los Angeles based

Why now? “Companies and investors across all sectors of commercial real estate — and the financial institutions that fund them — pledged billions to close the racial wealth gap and work to undo the financial legacies of systemic racism. “

How will the funding work?

• Black Impact Fund $1 Billion
• $500M for qualified opportunity zones
• $500M fund for projects near but not in those federally designated areas
• asset appreciation and fees earned to fund the affiliated nonprofit Black Impact Community Fund

Bisnow | LA-Based Fund Aims To Raise $1B For Investments In Black And Brown Neighborhoods

Congressman Andy Levin (MI-9th) legislation looks to have retirement benefits, like in pensions, reflect an individual’s social and political values.

What would legislation require?

• retirees would have be given information about ESG options
• investment managers would also have ESG-oriented financial portfolios available

How are ESG portfolios performing? Generally outperform their counterparts

WDET | Congressman Andy Levin Introduces Legislation Aimed At Sustainable Investments

The local farm: Laughingstock Farm in Maine

What happened 1 day in March: Their sales plummeted by 75% once a lockdown was in effect

So what did the farm do? Road Side booth

What did neighbors do? Bought their products, shared the farm’s information

What did the farm do? Partnered with local ranchers for their meats & local dairy farmers, and saw their business grow

NY Times | A Farm Family’s Business Caved In. Then the Neighbors Showed Up.

This year, consumers are watching corporations like old school spies. They watch how supply chains & employees are being treated, sustainability efforts, diversity, inclusion, and whether companies speak up when it matters. Corporations are watching too. Watching investors fund ESG, sustainability, diversity & inclusion. It matters because people are paying attention. Data is tracking all of this. Investments are going up. Diversity is inching up.

Why is this happening now? I thought shareholders and trickle down were still en vogue. COVID is the common denominator. People weren’t stuck on commutes. People had time to ask- where is that retailer buying its products? Where is that coffee sourced & how is the labor treated? Did that company speak up to support diversity and inclusion? Did it take action? So many eyes are watching now.

What is IoT? the Internet of Things- everything can get hacked- cars, electric locks, pacemakers…

How can consumers get notice of “hack-ability?” Researchers from Carnegie Mellon University’s CyLab Security and Privacy Institute are developing a consumer warning label

Are companies on board? Yes, On December 8, 2020 Apple took a step forward in this direction by requiring App developers to disclose privacy practices.

WSJ | Imagine a Nutrition Label—for Cybersecurity

Where: Georgia

What? The University of Georgia Athletic Association has appointed Courtney Gay as assistant athletic director for diversity, equity, and inclusion.

How did we get here? This summer the Athletic Director called for real responses to our social issues

Atlanta Journal Constitution | Georgia names assistant AD for diversity, equity and inclusion

Meet chief diversity and inclusion officer of Duke Energy, Joni Davis. Get know some of their public statements:

• “2020 really catalyzed those efforts after George Floyd and the race equity movement. Diversity and inclusion were top of mind for so many of our employees and within our communities. “
• “I believe that 2020 ushered in the opportunity to accelerate and really sustain diversity, equity and inclusion like never before. “

Meet chief diversity office of Chevron, Lee Jourdan. Get to know some of their public statements:

• “We are, I think still, the only oil and gas company to use the term “Black Lives Matter.”
• “That was important to us because we recognize the true intent of that term. So, we became public in our support of what was happening in the black community.”
• “That set the tone for our organization to have more vulnerable conversations about what was going on, which built a foundation for sustainable conversations in the future. It has changed a lot. “

CERA Week Conversations

Some say the Biden Administration may call for rules that require greater sustainability disclosures.

What disclosures could be included?

• carbon emissions
• corporate diversity 
• sustainability metrics

Is industry following suit? In 2019, 90% of companies in the S&P 500 index issued sustainability reports, in 2011 it was 20%

What is industry looking for? globally recognized and adopted standard

WSJ | Companies Could Face Pressure to Disclose More ESG Data

Does NASDAQs board diversity proposal mirror other proposals? Yes, it mirrors California’s board diversity requirements

What is NASDAQ calling for its listed companies?

• at least one woman
• at least another director who is either a racial minority or lesbian, gay, bisexual, transgender or queer

How do NASDAQ listed company boards currently stack up? 3/4 of its 3,000 companies don’t meet the standard.

Who else is on board for diversity? Institutional investors like  BlackRock Inc.and State Street Global Advisors have also actively pushed for greater board diversity

WSJ | Companies Face New Pressures to Diversify Boards. It’s Sensitive.

Summer of 2020 shall be defined by the Black Lives Matters.

So, along comes this question to the Texas Attorney General: What duty does an officer have to intervene if he sees another officer violating someone’s rights.

The answer, in Texas: Can’t say that there is an “absolute duty for an officer to intervene”

It gets muddier- the opinion says maybe there is a duty, but it’s a question of fact and our opinions don’t answer questions of fact.

What you need to know: The code sections that would be amended to change this answer: Code of Criminal Procedure article 2.13, Penal Code section 39.03

KP-0343 (2020)

How are shareholders getting companies to act?

• Company engagement
• Proxy Voting
• Shareholder Resolutions

What were the hot topics?

• Political Activity- taking specific positions e.g. Black Lives Matter, MeToo 18%
• Climate Change 15%
• Board Diversity 13%
• Decent Work 12%

CNBC | Shareholders challenge the companies they invest in to promote good in the world

The EU is enacting disclosure rules for ESG investments.

Who is impacted?

• banks
• insurance companies
• pension funds
• investment firms

What would be disclosed?

• Disclosures related to the integration of sustainability risks in the investment decision making process
• The pre-contractual disclosure requirements applicable when products are promoted as having an ESG focus or investment objective
• Disclosures related to whether an investment manager or financial product considers the adverse impacts of investment decisions on sustainability.

Chief Investment Officer | Europe’s ‘Ambitious Plans’ for ESG Disclosure Rules

Legislation in Texas, HB 669 ( 2021 | TX), would allow a judge to order a defendant to make a donation to organizations that assist veterans or organizations that provide charitable services for defendants under community supervision

Where: North East Oklahoma City, an area where more than 1/2 the population is Black

It had been 22 years since the area had a new grocer

The partners for the project:

• Homeland, will operate an employee owned grocery store
• $300,000 Funding from a Social Impact Fund,  Metafund
• Alliance for Economic Development—a private nonprofit—is lining up about $8.5 million through the New Markets Tax Credit program
• $3.5 million in tax increment financing from Oklahoma City

Route Fifty | Two-Decade Push to Build a Grocery in a Food Desert Finally Pays Off

What does Unilever New Zealand hope to achieve with a 4 day workweek?

• improved productivity
• a greater work life balance
• measure performance on output not on time
• keep salaries the same

What is NOT the goal: “If we find that we’re all working the same number of hours as before but in four days, then we’ve missed the opportunity this trial presents us with”

New York Times | A 4-Day Workweek for 5 Days’ Pay? Unilever New Zealand Is the Latest to Try

The study: The 2020 Edelman Trust Barometer Special Report

The results: 92% say investors should apply a premium valuation to companies that excel in environmental, social impact and governance (ESG) initiatives

What else did the study discover from its proprietary investor analysis?

• “social” jumped in ranking from number three last year to number one as the most important ESG factor in the U.S
• “investors clearly believe that a robust ESG strategy has a positive impact on share price and resilience,””
• 89% say shareholder activism will increase as the economy rebounds
• 93% said they are more interested in taking an activist approach investing (up 12% from 2019)

Edelman Study Finds Investors Plan To Intensify Focus On ESG With COVID-19 Recovery; “Social” Jumps To Top Priority Among ESG Factors

The Industry: British Retail Consortium

The advice from the head the British Retail Consortium: “doing the right thing as a board makes for better business for the company, and the environment in which it operates”.

Why does this matter? European Countries are leaders in ESG initiatives with EU rules on EU and active ESG investments

UK Consumer polling:

• 74% think businesses have a responsibility to do social good
• 59% are more likely to shop at a business that is clear about their ethical stance

Professional Jeweller | Socially responsible businesses more likely to survive pandemic, suggests BRC chief

A restaurant in D.C., Mannan, began its story with the usual restaurant service, but at the same time, the owner provided meals to homeless.

When COVID closedowns began Mannan continued feeding homeless even as it saw revenue declines.

Facing closure- its customer base, because of Mannan’s strong community presence from providing food to those in needed, raised the capital for Mannan to continue.

Why is this important? Because when you leave your community with warm and fuzzy feelings about you, they remember your good deeds and offer you their good deeds.

@WashingtonPost on Instagram

The Texas Legislature’s Black Caucus has re-established its Black Caucus Foundation.

The goals of the Foundation:

• provide research and policy analysis
• covering policy issues from curbing police brutality to providing health care for the uninsured

Will the Foundation partner in its work? Yes, it will partner with universities, businesses, religious institutions and other non-profits 

Dallas Morning News | Texas lawmakers revive Black Caucus Foundation to push social justice, empowerment issues

• $791 million to 16 environmental organizations
• favor mainstream organizations
• The mainstream organizations must be innovating and looking for new methods
• Includes Hive Fund for Climate and Gender Justice
• Includes the NDN Collective that funds and supports indigenous-led movements and sustainability initiatives

When did Bezos create the Bezos Earth Fund? February 2020

Wait, isn’t there also an Amazon climate change fund? Yes, Amazon has a $2 billion climate fund will go toward getting more electric vehicles on the roads

The Verge | Jeff Bezos announces first beneficiaries of his $10 billion climate fund

Why are we still talking about more women in business leadership? Because a 2020 study from LeanIn.org & McKinsey & Co. found that American women held less than 40% of corporate management positions

What strategies are employed?

• mentorship
• women speaking up
• recommending women for opportunities
  • Don’t let leaders assume what women want- she just returned from maternity leave so she won’t more work or travel. Let it be her choice.

MIT Sloan School | This KPMG principal leads a team to accelerate women’s careers

Who: The Impact Finance Research Consortium (IFRC)

Who composes the IFRC? Chicago Booth’s Rustandy Center for Social Sector Innovation, the Harvard Business School Impact Collaboratory, and the Wharton Social Impact Initiative of the University of Pennsylvania’s Wharton School

The database goals:

• financial performance
• due diligence practices
• investor relations
• legal governance
• strategy
• management of impact investing funds across the world

U Penn Almanac | Collaboration on Impact Investing Data Collection

SXSW announced its 2021 festival would be virtual/online.

Anyhoo…they opened registration.

@sxsw

What’s the Big Good? A nonprofit to support good doers making a big impact

Who? Grammy winner Leon Bridges, Former TCU Football Coach Gary Patterson & tv Host Chris Harrison

Where is the Big Good Focusing? Ft. Worth/North Texas

The Big Good

The healthcare start up: Ro

Its COVID pivots:

• In March it launched a bill board campaign for staying apart, together.
• Created a free telehealth triage service for people who are seeking guidance and information about the novel coronavirus.
• Developed a support system for mental health care for its employees with a collaborative remote work environment and fostering personal connections

The Drum | Ro the Patient Company: Stay Apart. Together. by Wieden+Kennedy

@initialized on instagram

What does greenwashing mean according to Statestreet? To “give misleading claims about their products or ESG credentials”

Why should we care?

• Big money is flowing into ESG … In Quarter 2 of 2020, $71 billion went into global ESGfunds, making total assets $1.1 trillion across 3,432 funds
• ESG determinations are subjective

What’s an example of an industry not thought of as ESG, but actually is making sustainability strides? Oil and Gas

Wall Street Journal | What Is Greenwashing? Here Is What Investors Need to Know

The winner: UPS

What did the winner do financially ?  Its stock has an above-average ”DividendRank” statistics including a strong 2.4% yield

What ESG, socially responsible investment, characteristics of UPS stock?

• achievements in efficiency in terms of its use of energy and resources
• policies tied to tied to weapons, gambling, tobacco, and alcohol

Nasdaq | UPS Named A Top Socially Responsible Dividend Stock

When “me too” came to the top of zeitgeist, the best advice I heard form a male to other makes was “Don’t be an asshole.”

Apparently this advice wasn’t heeded by the Court of Master Sommeliers. Male court members resigned as investigations over “disturbing patterns of sexual misconduct” that negatively impacted careers of women

Up Next for the Court: Organizational reforms and then new Court leadership

Food & Wine | Chairman of the Court of Master Sommeliers Resigns, Entire Board Will Be Put Up for Election

Los Angeles County Board of Supervisors has 5 members, after the election all 5 members will be women.

The County Board of Supervisors budget oversight: $35 billion

The constituency: Serves 10 million people

ABC 7 Los Angeles | Holly Mitchell makes history with win over Herb Wesson for LA County Board of Supervisors seat

Why did COVID shed light on ESG investing importance?

• COVID reinforced our global interconnectivity
• COVID showed that company’s resilience and contingency planning ability is crucial (this is the S in esg)
• COVID shined sunlight onto how employers viewed labour standards, and employee health and safety measures

National News | How Covid-19 has highlighted the importance of ESG investing