How highly productive traditional industries can lead the wellbeing charge
Comment from: -Dr Troy Coyle, CEO, HERA -Dr Ganesh Nana, chief economist, BERL New Zealand is currently under the leadership of a coalition Government with a staunch focus on wellbeing, and business and industry need to understand how this focus changes the way they should assess their bottom line and their general contribution to the domestic economy. Treasury’s Living Standards Framework (LSF) encompasses the ‘four capitals’ – natural, human, social, and financial/physical – which affect our wellbeing as a nation and as a citizenry. All four capitals are meaningful for companies as financial entities, users of resources and employers of people – so how should we understand the vanguard role New Zealand’s traditional industries, such as the metals sector, can play in driving up the diverse indicators of wellbeing? Get measuring The New Zealand metals industry was the first sector to measure itself against the LSF, and the very act of self-examination is beneficial to an industry and its member companies, because of how it forces operators to analyse how they work in a larger economic, social and environmental framework. In particular, if you are working or hoping to work with the public sector, it is critical to acknowledge the different measures of success that are now being applied. Treasury’s approach is not a simple one, and we found we couldn’t measure everything – but we don’t ignore what we can’t measure, and we now look at how our sector can make things better for people, the environment and the economy. www.stocktrim.com/ Make your own definitions Our view is that the LSF does not have to be taken as rote – areas such as social capital are not yet sharply defined for a New Zealand context, and companies and sectors need to define the terms of wellbeing for themselves. The […]