Influence, Relevance & Growth (IRG) Book
IRG for a Changing World. How to Survive & Thrive Beyond ESG.
The IRG comprises 10 quantitative parameters that measure the influence of a Business, its relevance and its capability to become a positive contributor to economic growth through a constant process of informing policymakers and stakeholders.
INFLUENCE, RELEVANCE AND GROWTH FOR A CHANGING WORLD
HOW TO SURVIVE & THRIVE WITH IRG™ BEYOND ESG
Governments struggle to respond to the needs of the people. The media have lost their traditional equidistance. The public trusts corporations the most putting pressure on them to proactively engage. The Influence, Relevance & Growth (IRG) 10 quantitative parameters offers corporations a new operating model to adapt to a societal context in which policymakers need to be continuously and deeply informed about complex, technologically intensive, and ethically charged issues. This book is designed to help CEOs and top management align companies and prepare business students for a more realistic perspective of society and how the corporate world can compensate for the overshadowing primacy of politics.
The corporation has the gravitas, and the strength to suggest and to shape policy through status, contacts, and competences. If so, it is capable of creating consensus around its key strategic charters
The corporation is perceived as being closely connected to priorities and having an appropriate understanding of those matters
By attending to its influence and relevance, the corporation protects shareholders’ value and its long-term vitality. It becomes a sought-after, visible constituent for industry content, relevant to policymakers in safeguarding and stimulating economic growth and the well-being of society
10 Parameters Assess the “Influence”, “Relevance” and fitness to contribute to economic “Growth” of a Company
Guidelines: The index assesses each parameter: 1 Min – 3 Max, the perfect score is 30.
CEOs should be personally visible
when discussing public policy with external
stakeholders or work their company has done
to benefit society
(Edelman Trust Barometer 2022)
on jobs and economy, CEOs expected to inform policy not politics.
Technology & Automation - 74%
Income inequality - 68%
Immigration and impacts on jobs - 61%
believe that capitalism today does more harm than good in the world.
We live in a world characterized by an imbalance among key democratic constituencies: governments, corporations, media and Non-Government Organizations (NGOs). Among these four pillars, the public impression of competence and influence, and the respect it engenders, has tilted in favor of corporations. The Influence Relevance and Growth system (IRG) offers insight and a methodology for corporations to manage that complexity and change. The IRG proposes 10 measurable metrics and actions to support companies in aligning and supporting policymakers, in managing new stakeholders’ expectations and in continuing to generate economic growth while protecting shareholders’ value.
Companies have created unprecedented wealth, designed sophisticated technology and intensive global value chains, largely monopolizing the pool of available talents. The public sector, in contrast, has remained at the margins of these processes, understanding and know-how, and with limited talents. Cold-called in when crisis erupted, it has revealed itself to be ill-equipped to manage such complex and yet global problems.
There is wide consensus that business is best at generating value for owners, being both an engine of innovation and driving economic prosperity. Nevertheless, companies are still feverishly trying to provide answers to stakeholders by intensifying corporate social responsibility and, as of late, by aiming to be “sustainable”.
While these practices are commendable and should continue, they fall short of providing the leadership and answers highlighted earlier.
Against this background, the IRG provides a holistic, quantitative and measurable methodology to help CEOs and corporations align to the changed societal context and become influential in order to inspire and cooperate with policy makers to ensure concrete answers, better understanding of industrial challenges, opportunities for job creation, and a more inclusive economic growth.
1. Company Governance
measures the soundness of the company's governance, its board members’ capabilities/ fit to support the mission, its structure and related evaluation processes
2. Industry Leadership
measures the impact of the company within its own sector(s).
3. Financial Influence
measures the financial strength of the enterprise
4. Industry Power
measures the company's positioning in shaping the terms of the debate domestically/ regionally and/or globally beyond its own sector(s) and/or adjacent ones
5. Innovation Excellence
focuses on the role of the company as a global innovator within the industry.
6. World Citizenship
measures the company’s actions, presence, leadership in key national and international fora; addressing globally/regionally/ locally sustainable and innovative themes for societal/industry well-being; becoming a thought-leader and sought after partner/advisor.
7. Media Strength
measures the company's ability to communicate the 2-3 strategic issues that contribute to the societal well being; to engage and enhance the understanding of its stakeholders, including policymakers; to promote its world-citizenship vision in a “statesman-like” manner; to be perceived as a competent advisor on how to address the issues at stakes.
8. Thought Leadership
the company’s ability to contribute to industry / managerial development with cutting edge best practices and opinions, and to make them known to external constituencies. It creates the means/media to share its vision and know-how with stakeholders and especially with policymakers.
9. Social Responsibility / Diversity / Sustainability
the organization's plans and approach in supporting these themes internally (workplace) and externally.
10. Human Capital
measures the attractiveness of the organization as a workplace/employer and its effort in supporting employees' professional growth, in attracting talents, and responding to emerging new needs.