Creating shared value

1. Creating shared value Michael E. porter Mark R. Kramer HBR / 2011.01

2. 목차 1 IT doesn’t matter? 2 Vanishing Advantage 3 The Commoditization of IT 4 From offense to Defense 5 Does IT matter?

3. 1. Moving beyond Trade-off companies must take the lead in bringing Business and society back together Largely excluded social and environmental consideration from their economic thinking. Societal needs, not jus conventional economic need.

4. 2. The roots of shared value A business needs a successful community, not only to create demand for its products but also to provide critical public assets and a supportive environment Conducting business as usual is sufficient social benefit The best companies once took on a broad range of roles in meeting the needs of workers, communities, and supporting businesses Strategy theory holds that to be successful, a company must create a distinctive value proposition that meets the needs of a chosen set of customers.

5. 3. How shared value is created Reconceiving products and markets Redefining productivity in the value chain Building supportive industry clusters at the company’s location

6. 3-1. Reconceiving products and markets In advances economies, demand for products and services that meet societal needs is rapidly growing Equal or greater opportunities arise from serving disadvantage communities and developing countries

7. 3-2. Redefining productivity in the value chain A company’s value chain inevitably affects and is affected by numerous societal issues such as natural resource and water use, health and safety in the workplace. Opportunities to create shared value arise because societal problems can create economic costs in the firm’s value chain the synergy increases when firms approach societal issues from a shared value perspective and invent new ways of operating to address them.

8. 3-3. Building supportive industry clusters at the company’s location The success of every company is affected by the supporting companies and infrastructure around it. Clusters include not only businesses but institutions such as academic programs, trade associations, and standards organizations. Firms create shared value by building clusters to improve company productivity The benefits of cluster building apply not only in emerging economies but also in advances countries.

9. 4. Creating shared value in practice Creating shared value presumes compliance with the law and ethical standards as well as mitigating any harm caused by the business Creating shared value will be mare effective and far more sustainable than the majority of today’s corporate efforts in the social arena The opportunities to create shared value are widespread and growing