Profit motive vs. LO LO23506

Eugene Taurman (ilx@execpc.com)
Tue, 7 Dec 1999 09:39:51 -0800

Replying to LO23485 --

Hopefully if companies have a stems approach this shortsighted profit
Orientated behavior will go away. But if you don't make a profit that is
also a major problem. Believe me a learning approach will not solve these
problems, because all learning in business is generally about know-how and
that is to meet customers needs articulated and those not articulated.

Gavin just a few comments to support your position.

This will not solve the problems you speak about. Profit might not be the
cause of environmental degradation and there is no causal or structural
proof for this. In fact even strong statistics cannot prove causality only
association. So this is a hotbed of differing values we are talking about.
One needs to have a systems approach here, see Senge on the tragedy of the
commons.

Most American manufacturers, in fact all I have been close to, tried to
pay attention the environment and total implications of what they were
doing. Years ago 'they' we did not know that some things done were
harmful but as 'they' find out the practice changes.

It is also important to understand that only societies, which make a
profit, have time and money to concern them selves with environment,
poverty, pollution, and sicknesses. Societies that are poor have no time
to recognize these issues much less fix them. So the societies with mostly
profitable companies are the ones who lad the way to improving and
maintaining our earth.

Companies that make profit not these losing money support the YMCA, the
Salvation Army, the pollution research etc.

Profit is a way we tell if the organization is serving its' purpose well.
If it makes money then it is carrying out its purpose well. The values
determine the methods and kind of business, poorly run drug cartels and
mafia go out of business when they do not profit. So do moral companies.

Profit is not the problem it is the values society gives the leaders.

If the profit motive is the problem then why are the biggest violators of
the environmental laws in the US the government agencies? The reason is
in the system. Government agencies like some companies are run by budget
control so they get budget compliance. Budget compliance does not make a
great organization nor provide great things for society.

It is values and understanding the systems and society's expectations that
make socially responsible organizations. Profit motive is not the issue
but it does show how well and organization meets it's own purpose.

Eugene Taurman
interLinx
http://www.execpc.com/~ilx

-- 

"Eugene Taurman" <ilx@execpc.com>

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