Conscious capitalism can be defined as a method of reasoning concerning business and capitalism which reasonably reflects the position we are in the human journey, the state in which the world is in today and the innate business potential of making positive change in the universe. Conscious capitalism encourages profits and it stresses that it should be done in methods that consider all principal stakeholders' interests ( Frémeaux & Michelson, 2017) . From the article, there are four interrelated disciplines found in conscious capitalism and state that conscious business is committed to each other. They include higher purpose, Conscious culture, conscious leadership and Stakeholder orientation. Higher purpose states that purpose is bigger compared to profit and it's the reason as to why one invests. Stakeholder orientation states that conscious businesses ensure that they optimize equal value to every stakeholder so as to attain success. Conscious leadership states that a leader should have a 'we' mentality and not a 'me' mentality and should also understand that his or her purpose is to support, serve and creating worth in a business. The conscious culture encourages a culture of cooperation, care and trust among all the stakeholders.
What Role Do You Think Conscious Capitalism Can Play in A Business?
There are different roles which are played by conscious capitalism in a business that practices it. First, a business gets peace among employees and the employers. It also encourages customer employee satisfaction. Also, it improves the stakeholders' loyalty. With these benefits, the company is able to outdo its competition.
Delegate your assignment to our experts and they will do the rest.
How Can You Tie Conscious Capitalism to Auditing?
The main aim of capitalism is to create companies that put into consideration all the stakeholders and do not just aim at making maximum earnings for the shareholders. It also aims at making the universe a better place. It aims at giving employees meaningful work at wages that are fair. Leaders in a given company have to be honest and inspired by greater purpose than self-indulgence. Auditors are supposed to be the organizations' conscience and thus have a responsibility to ensure a principled quality at the top and practice conscious accounting.
Reference
Frémeaux, S., & Michelson, G. (2017). The common good of the firm and humanistic management: Conscious capitalism and economy of communion. Journal of Business Ethics , 145 (4), 701-709.
