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Financial Times Business Book of the Month: October 2019
"Entrusted offers plenty of examples of companies that follow a successful long-term stewardship model. The authors walk readers through the stewardship 'value chain' and lay out the stewardship responsibilities of board, investors and the state — this is a timely call to rediscover the path to more sustainable capitalism."
Financial Times Business Book of the Month: October 2019
Our system of wealth creation is at a crossroads. It has contributed to economic and social progress. Yet it has also fuelled many problems from climate impacts, and air pollution, to digital manipulation and the invasion of privacy. In many parts of the world, there are demands for government action to restrain greed, irresponsibility and short-termism.
But what about positive solutions? How do we define the contributions that we all want business and investment to make? That is the challenge to which Ong Boon Hwee and Mark Goyder respond. They argue that if our societies are to be set on a forward-looking virtuous cycle and a less damaging course, we will need every ounce of human ingenuity — the inventiveness of entrepreneurs, the dynamism of companies and the adaptability of markets. We need a sense of ownership and purpose, anchored on strong values. We need to be better at valuing the future and rewarding those whose work will benefit future generations. We need a better form of capitalism, one which, while promoting competition, is there to serve and not dominate; to respect human beings and not exploit them; to nurture our surrounding environment, and not destroy it.
This will only be achieved by injecting the spirit and principles of stewardship into the decisions of investors, business leaders, regulators and citizens. The authors draw on their combined experience, gelling the perspectives of East and West, to offer a vision and agenda for responsible wealth creation.
Stewardship means that we manage, nurture and grow what has been entrusted to us so that we hand it over in a better condition to the next generation. This book offers ideas and guidance for people in all levels of business — asset owners, asset managers, investors, shareholders, board directors, management, policymakers and regulators. It is a handbook for all those willing to play their part in responsible wealth creation, now and for future generations. It says to each participant — consider what you have been entrusted with, and then decide what you are doing about your stewardship responsibilities.
Sample Chapter(s)
Preface
Chapter 1: (Re)Discovering Stewardship
Contents:
- Preface
- (Re)Discovering Stewardship
- Understanding Stewardship
- Steward Leadership and the Pursuit of Long-term Success
- From Investment Chain to a Stewardship Value Chain
- The Board as Steward
- Institutional Investors as Stewards
- The State as Steward
- Capitalism beyond the Crossroads
- Acknowledgements
- About the Authors
- Endnotes
- Index
Readership: People in all levels of business — asset owners, asset managers, investors, shareholders, board directors, management, policymakers and regulators.
"Entrusted offers plenty of examples of companies that follow a successful long-term stewardship model … The authors walk readers through the stewardship 'value chain' and lay out the stewardship responsibilities of board, investors and the state … this is a timely call to rediscover the path to more sustainable capitalism."
Financial Times Business Book of the Month: October 2019
"This is an important book at a critical time. The paradox is that while our problems are complex and require long-term solutions our world is increasingly short-term focused. The only solution is to embrace stewardship so that we leave organisations and the world in better shape as a result of our efforts. This book lays out a powerful approach to do so"
Antony Jenkins
CEO 10x Future Technologies and formerly CEO Barclays
"This is a book for anyone with a real interest in thinking deeply about the purpose of companies. The authors chart a course for responsible capitalism, or stewardship. Governments, business leaders and investors should read it. Like the authors, I believe strongly that business leaders and owners must consign the aberrant shareholder value primacy to the dustbin of history and build a better model that recognises the wider purpose of business and its societal connection."
Robert Swannell
Chair, UK Government Investments and
former Chair, Marks & Spencer
"I have known Mark Goyder for more than a decade. He is a deep thinker about the way organisations work, their responsibilities and their impact upon society. Purpose and values within a business together with an indomitable belief that business should be a force for good are cornerstones of his approach. In this East-West collaboration these convictions shine through. In writing Entrusted Ong Boon Hwee and Mark Goyder have combined powerfully to challenge conventional thinking and offer positive solutions."
Dr Andy Wood, OBE, DL
Chief Executive Officer, Adnams plc.
"I have always believed that individual wellbeing depends on a sense of living in harmony with oneself and with others, Before I read this book, I hadn't been convinced that the business community understood this deeply. Yet, with telling examples from East and West, this book shows business at its best, and demonstrates a way forward to which companies, investors, governments and citizens alike can contribute. It's a vital agenda for rebuilding trust and tackling a widespread sense among citizens that they have lost control over system that is not working for them."
Anthony Seldon
Vice-Chancellor, The University of Buckingham and
author of Trust (2009) and Beyond Happiness (2014)
"Capitalism needs a reboot. We need companies to show their human face. That's easy to say. What I like about Entrusted is that Mark Goyder and Ong Boon Hwee combine an inspiring vision for business with practical recommendations for boards, investors, governments and individual savers. This is an agenda that can and must make a difference in the digital age."
Jason Stockwood
Vice chairman of Simply Business and
author of Reboot: A Blueprint for Happy, Human Business in the Digital Age
"'Entrusted' is a wonderful resource, a treasure trove of explanations, insights, examples and tools to help us all become better stewards."
Oonagh Harpur
Independent Non Executive, KPMG UK LLP
"This book is very timely. Our current capitalist system has clearly lost its ability to deliver the results we really want, leading to a world that is inequitable and out of harmony. In Entrusted, the authors highlight an increasingly apparent truth — business performance measured by a single metric of immediate financial returns does not lead to sustainable growth for our future generations, and it is our shared responsibility to help guide a broken system back on track. The solution is stewardship, along the entire value chain from customers, employees, vendors, owners, shareholders and regulators. It is refreshing, and very true, that the source of value creation of a company lies in its positive relationships with all stakeholders, and one relationship cannot take precedence over all others. A convincing read for anyone who believes our current understanding of economics needs to change, for us to build a better world."
Bernard Tan
Country President, Singapore
Sinar Mas
"... a big part of the problem is that — for all the agreement that something needs to change — it is complex and resistant to easy solutions. Goyder and Ong certainly do not see the approach they are advocating — stewardship — as simple. 'Stewardship is a systemic concept and its power lies in its ability to help address systemic issues. Wealth creation is a team game. Its best fruits come from the synergistic contribution of entrepreneurs, employees, managers, boards, asset managers and asset owners,' they write."
Forbes
Ong Boon Hwee is the CEO of Stewardship Asia Centre (SAC), a Singapore-based thought leadership centre supported by Temasek Trust. SAC focuses on promoting stewardship and governance across Asia. Dedicated to inspiring and leading change, Ong directs SAC's efforts towards propagating the concept of responsible wealth creation so that organisations can create economic and societal value over time to benefit the wider community and future generations. Ong is the co-author of the book — Inspiring Stewardship and has published a number of papers and articles on stewardship.
Mark Goyder is the founder and trustee of Tomorrow's Company (TC), a London-based business think tank which he founded in 1996 and led until his retirement in 2017. TC works with business leaders, investors, policymakers and other partners to champion the importance of business purpose beyond profit, as well as to inspire and lead businesses to be a force for good in society. In recent years, Goyder has concentrated on the issue of board and investor responsibilities for stewardship. He is also the author of the book — Living Tomorrow's Company: Rediscovering the Human Purposes of Business.