Book

There are six chapters to the book, which are:

1. Excerpt from Chapter 1 Reframing
   Recent economic and corporate crises, such as the accountancy and banking scandals and sovereign debt crisis, point to deeply flawed ways of thinking. The causes of crisis are behavioural and international, but our traditional ways of looking at economics and politics are neither behavioural nor international. Instead, there is an emphasis on superficial financial indicators and a fervent quest for endless ‘growth’, measured at national level. Theory has to catch up with reality. Sustainability can become the new mega-trend.
   
2. A multi-polar world – and a finite one
   The world is no longer run by the West. Rapid economic development is already putting huge pressure on resources, as shown in increasing stress on food and water supplies. Inequality is exacerbated by speculative activity, but is being reined in through more cooperative enterprises.
   
3. The myths that hold us back
   All economics, ultimately, is behavioural, so we have to shed the trend established over decades for mechanistic modelling and the cult of ‘maximising shareholder value’. Conventional theories understate the role of inter-dependence within economies and organisations.
   
4. Beyond the balance sheet
   Boosting the business can help society: management is not a zero-sum game. Practical business common sense and an ethical outlook are natural partners, for businesses committed to sustainability. Case studies: Westpac, Marks & Spencer, Prospect trade union.
   
5. The leadership challenge
   Economists frequently call for ‘labour market reform’, but there is often greater need for management reform. The organisation is not a single entity, it is a set of relationships, and the best leaders understand this.
   
6. Beyond left and right: rethinking politics
   The politics of the old normal is not working. Both left and right are geared towards maximising returns for their interest groups over the short term, ahead of the matter of long-term sustainability. This short-termism has contributed to the crisis of bubble economics and excessive sovereign and banking debt. Both left and right neglect the importance of human capital and the productive economy.