Creating Shared Value Blog

There is a natural link between shared value and environmental issues: use less and create money. Reducing energy, materials, or natural resources used in producing a product protects natural resources. Creating environmentally friendly products that conserve or protect natural resources can attract new customers and revenues. Case studies of successful corporate initiatives along these lines abound: Wal-mart’s optimization of its transportation network, GE’s Ecomagination solutions, and Toyota’s introduction of the Prius are just a few of many examples.

The FSG annual retreat—my first ever—just drew to a close. We convened in Boston to share best practices, celebrate this year’s achievements, and plot a course ahead. The energy of my colleagues was infectious and the sense of optimism, palpable. So much has occurred in 2011 across the firm, but especially in the area of creating shared value. Since Mark Kramer and Michael Porter published “Creating Shared Value” in Harvard Business Review’s January edition, we have seen the shared value concept embraced, challenged, honed, adapted, and disseminated across the world. There is tremendous momentum going into 2012: Shared value was discussed at Davos last week while the Economist predicts that it will be one of the top trends in 2012. We are particularly pleased to see it cropping up in unexpected places. Our Mumbai colleagues report that the HBR shared value article is being hawked by vendors weaving in and out of the city’s notoriously traffic-clogged streets.