Leading the change: Building a culture of impact and innovation for SDGs

"Leading the change" is two words too long. Leadership means change by definition. You're showing the way for others to follow and change location, change direction, change perspective. So if change is part of leadership anyway why do we purposely, explicitly, need to start "leading the change" now? As a leader of course you know why: Because it's time! Forest fires, extreme rain, the hottest summer since we've cared, change is real and it's happening to us if we want it or not. So it is simply time to take control and lead the change - while we still can.

But there is one more thing about leadership that makes "leading the change" challenging: it always implies there are other people, too. As if there weren't there wouldn't be anyone to lead. And while a group of people does not necessarily require organisation, it always requires culture to transform it into a movement. And make change happen. So creating a culture of impact and innovation is not just a corporate trend – it's the only to way to lead the change. It is the most difficult and most important job of leadership today, and the one we need to master if we want to reshape our economy and society, steering them towards a sustainable future, while we still can.

Impact on what, exactly?

We live in an age of buzzwords, where "impact" and "innovation" often become hollow jargon. But impact can be very specific if we care. This is where the Sustainable Development Goals (SDGs) Framework comes into place. SDGs have gained global recognition and habe become the basis for a number if reporting requirements for businesses starting in 2024. It is our best effort so far to align around the complex interdependencies between planet, purpose and profit. It is our way to be specific about impact. When companies genuinely invest in solutions aligned with SDGs, they're not just pandering to trends; they're fuelling real change.

Impact vs. Bottom Line

Profit-driven mentalities have dominated business for ages, but impact is gaining momentum.

1. Impact wins talent: Studies show that Corporate Social Responsibility (CSR) is having an impact on job seekers selection process.
2. Impact also drives sales: A study by Nielsen reveals that 73% of global consumers actively seek sustainable products, showing that society's mindset is evolving.
3. Impact attracts investment: The Global Impact Investing Network (GIIN) reports that impact investments are growing at an annual rate of 17%.

Those are just of few examples that show that we are past the either or thinking when it comes to impact vs. bottom line. Today's employees, customers, and investors require both.

So before we lose ourselves into the numerous studies showing that companies making impact the very center of their culture are more successful, let's take a look at what's required to do so.

Ideas for impact

Changing a company culture is a complex and multifaceted process that requires strategic planning, commitment from leadership, and active engagement from employees. I do not want to give a step-by-step guide on how to initiate and navigate the journey of changing culture in this article (I will write one later in the newsletter as the topic is too big). I'd rather like to share ideas for initiatives here, as I belive that they would help illustrate that neither impact nor a culture of impact need to be a big abstract, fuzzy thing, but rather very specific, real things we can do, to create real impact. Here are some suggestions to get you started:

1. Organize lunch-and-learn sessions where employees share insights on SDG impacts and innovative ideas.
2. Offer courses or workshops on sustainability, circular economy principles, and the role of technology in achieving SDGs.
3. Create an internal knowledge-sharing platform where employees can match and learn from each other, discuss projects and learnings on SDGs.
4. Launch a speaker series featuring experts in various SDG-related fields to educate employees and stimulate discussions.
5. Develop a mentorship program connecting employees passionate about SDGs with experienced mentors in related fields.
6. or (alternatively) Establish a mentorship exchange program with other companies to exchange best practices for driving SDGs through innovation.
7. Establish a cross-functional sustainability task force to identify SDG-aligned projects.
8. Introduce a rewards system that recognizes and celebrates employees' contributions to existing SDG-focused projects in the company.
9. Collaborate with universities or startups on innovation partnerships to bring fresh perspectives to solving SDG challenges.
10. Integrate SDG-related metrics into performance evaluations to underscore the importance of impact.
11. Develop a dashboard that tracks the organization's progress toward SDGs, making the data transparent and accessible to employees.
12. Launch employee volunteer programs supporting local community initiatives linked to specific SDGs.
13. Establish an internal innovation fund to support projects that align with SDGs and have the potential for societal impact.
14. Launch an annual SDG summit or conference that brings together thought leaders, employees, and stakeholders to discuss progress and innovation.
15. Launch an internal communications campaign that highlights the organization's commitment to specific SDGs and showcases employee involvement.

While a big part of culture is invisible, such initiatives will make some of it more tangible. Culture and change have something in common - they are aboth action. They are about what actually is happening. What are we doing. This is why the transformation of work, from all things, is crucial for a sustainable, regenerative, economy.

As we reflect on the notion that "leading the change" might be two words too long, let's remember that true leadership, like true change, and true culture, isn't about just the words; it's about the actions we take to transform our organizations, society, and economy. It's about igniting a culture that doesn't just follow trends, but sets them, and in doing so, crafts a world that embraces sustainability, innovation, and impact as the cornerstones of progress. The time to act is now, and the power to shape our future is in our hands.