50 years ago this week, the New York Times published an incredibly influential essay by the economist Milton Friedman titled “The Social Responsibility of Business Is to Increase Its Profits.” It went from widely accepted dogma that promoted greed and put shareholder return above all else, to being viewed as a myopic and short-term credo that hurt business. 

Now decades later, many see capitalism differently, even as a force for good. We have movements like Conscious Capitalism, Servant Leadership, Teal organizations, and the Amare Wave that show us new possibilities for capitalism that honor both individual and collective enterprise. With conscious leaders, it’s a better way to prosper, which ironically was the focus of Friedman’s article. What’s your take on capitalism?

• Capitalism is _________.

• Do you benefit from capitalism?

• Can you see capitalism as good for the world?

4 Principles to Shape Capitalism the Amare Way

Put capitalism to work in a healthy way through these four Amare Way principles:

1. Start with purpose. Get clear about what yours is by completing this sentence: “We do __________ so that________ so that _________ so that__________, etc. Somewhere in that benefits chain is your higher purpose that customers share.

2. Respect money. Recognize that financial abundance is a natural result of putting the power of love to work. As a leader, be sure what you say about money and the decisions you make match. It should also be consistent with your personal and company values.

3. Prioritize relationships. Think in terms of “we” not just “me”—and mean it. Literally, include the word “we” in your thought process. Then regularly ask yourself: How will this decision or this action affect the relationship? 

4. Take the long view. Explicitly set and reinforce expectations that your decisions will be based on long-term viability. Let all your stakeholders know what that  means to them, and make sure your KPIs, internal reward system, and compensation are aligned with your long-term focus, not just quarterly numbers.

Get dozens more action steps like these in The Amare Wave book. For a quick overview of all seven principles, check out the 7 Amare Way Principles free mini-e-book. 

Welcoming Stories of Amare Leaders for Next Book!

Do you know of organizations and leaders on this path? I’m seeking more inspiring stories of leaders successfully putting love to work to showcase in the next book in the Amare Way Series, entitled Riding the Amare Wave: Inspired Stories of Leading with Love. Please send me a note to share your ideas (even if you’re not certain they’re a good fit or don’t have a personal connection with the organization).

Today’s Amare Wave Wednesday Quote

“The myth that profit maximization is the sole purpose of business has done enormous damage to the reputation of capitalism and the legitimacy of business in society. We need to recapture the narrative and restore it to its true essence: that the purpose of business is to improve our lives and to create value for stakeholders.”

― John Mackey, Whole Foods CEO and co-author of Conscious Capitalism

Thanks everyone for tuning in to Amare Wave Wednesday! Do YOUR one amare thing today to improve your business and grow the wave!