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Article

26 May 2005

Author:
Ian Davis, worldwide managing director of McKinsey & Company, in Economist

The biggest contract

Businesses need to introduce explicit processes to make sure that social issues and emerging social forces are discussed at the highest levels as part of overall strategic planning...Shareholder value should continue to be seen as the critical measure of business success. However, it may be more accurate, more motivating—and indeed more beneficial to shareholder value over the long term—to describe business's ultimate purpose as the efficient provision of goods and services that society wants. [refers to General Electric]