What is driving the shift from shareholders to stakeholders?

Kevin Sneader, global managing partner for McKinsey & Company, shares his perspective on the business world: What's driving the shift from shareholders to stakeholders?


There's five reasons: First, inequality. A growing awareness that while the inequality gap has closed between countries, it's increased within countries. Secondly, climate change and the environment. An awareness of the growing threat and the need for action, now. Thirdly, globalization receding. A move towards more regional, even local approach, with all the impact that has on everyone in the supply chain. Fourthly, trust. It's hard for any CEO not to be aware of the breakdown in trust, not just between business and society, but between many institutions in society, more generally. And we have our part to play. Fifth, and perhaps most importantly, technology, the way in which it's shifting. The way in which is shifting jobs and the real recognition that the workforce and how it operates is no longer going to be taken for granted. There really needs to be a different approach. Those are the five reasons I offer up as a reason for the shift from shareholder to stakeholder economy.

Howard University President Dr. Wayne A. I. Frederick joins That Made All the Difference podcast to discuss how his career as a surgeon influenced his work as an educator, administrator and champion of underserved communities, and why he believes we may be on the cusp of the next "golden generation."

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It's been a bad week at the office for President Trump. Not only have coronavirus cases in the US been soaring, but The New York Times' bombshell report alleging that Russia paid bounties to the Taliban to kill US troops in Afghanistan has continued to make headlines. While details about the extent of the Russian bounty program — and how long it's been going on for — remain murky, President Trump now finds himself in a massive bind on this issue.

Here are three key questions to consider.

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Ian Bremmer's Quick Take:

Yes, still in the middle of coronavirus, but thought I'd give you a couple of my thoughts on Russia. Part of the world that I cut my teeth on as a political scientist, way back in the eighties and nineties. And now Putin is a president for life, or at least he gets to be president until 2036, gets another couple of terms. The constitutional amendments that he reluctantly allowed to be voted on across Russia, passed easily, some 76% approval. And so now both in China and in Russia, term limits get left behind all for the good of the people, of course. So that they can have the leaders that they truly deserve. Yes, I'm being a little sarcastic here. It's sad to see. It's sad to see that the Americans won the Cold War in part, not just because we had a stronger economy and a stronger military, but actually because our ideas were better.

Because when those living in the former Soviet Union and the Eastern Block looked at the West, and looked at the United States, they saw that our liberties, they saw that our economy, was something that they aspired to and was actually a much better way of giving opportunities to the average citizen, than their own system afforded. And that helped them to rise up against it.

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Jon Lieber, managing director for the United States at Eurasia Group, provides his perspective on US politics:

How likely is bipartisan action against Russia in light of Taliban bounty reports?

I think it's probably unlikely. One of the challenges here is that there's some conflict of the intelligence and anything that touches on the issue of President Trump and Russia is extremely toxic for him. Republicans have so far been tolerant of that and willing to stop any new sanctions coming. I think unless the political situation or the allegations get much worse or more obvious, that stalemate probably remains.

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Nicholas Thompson, editor-in-chief of WIRED, discusses technology industry news today:

Do some of the Facebook's best features, like the newsfeed algorithm or groups, make removing hate speech from the platform impossible?

No, they do not. But what they do do is make it a lot easier for hate speech to spread. A fundamental problem with Facebook are the incentives in the newsfeed algorithm and the structure of groups make it harder for Facebook to remove hate speech.

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