Alright! You’ve got me. Plato never actually stepped foot inside a boardroom. He never read a board-pack, chaired an audit committee nor dialled into a conference call. But his influence on what happens in the modern boardroom is deepening over time and becoming ever more clear.
Plato is rightly considered the father of philosophy. Whilst several came before him, Plato laid the foundations for western philosophical thought and basically founded political philosophy when he wrote The Republic. In fact some even gone so far as to say:
“The safest general characterisation of the European philosophical tradition is that it consists of a series of footnotes to Plato”
Call me dramatic, but I truly believe that we’re making decisions now that will affect how we live for the next 1000 years. If we take a step back and think about where we stand as a species, I’d argue that humanity is at a transformative moment; defined by the dual forces of extraordinary progress and profound challenges.
We’ve reached an era where AI can revolutionise industries and connect billions, yet it brings the looming spectre of mass unemployment. Climate change threatens our very existence, while the liberal democratic progress we believed to be inevitable, has been proven otherwise under the strain of deep polarisation and division. Capitalism, once the undisputed engine of economic progress, now stands at a crossroads, criticised for prioritising short-term profit over long-term sustainability.
Set against this backdrop, business leaders now more than ever, need more than commercial acumen; they need a strong moral compass and philosophical underpinnings to navigate the complexities ahead.
an Ethical blindspot in Business Strategy
Philosophical objectivism may be closer it appears…
While businesses may have mastered the art of making money, this often comes with unseen costs, as the relentless pursuit of growth often sidelines ethical considerations and social responsibility.
As ever, new technologies have brought significant advancements and allowed companies to drive efficiencies - but as AI and Robotics become more sophisticated, it’s also raised important questions:
What do we do when unchecked growth exacerbates inequality?
What happens when these efficiencies lead to job losses on a massive scale?
Who is responsible for answering these questions on behalf of society?
In the corporate world, focusing solely on quarterly earnings and shareholder value risks amplifying these challenges. Corporate Social Responsibility (CSR) appeared for a while as a bolt-on; repackaged and rebranded as “ESG”, it’s most often part of the marketing department and has no real teeth to affect change.
Leaders who ignore the long-term impacts of their actions may find themselves contributing to societal instability that even the most robust profits cannot buffer against.
This is where a new mindset is needed - one that integrates sustainability and ethical principles as core business practices rather than afterthoughts.
Guiding Modern Leaders
Boards play a critical role in guiding leadership
It hasn’t always been this way, but the prevailing wisdom since the 1970’s has been “The Agency Theory of Management”, which is a fancy way of saying: “maximise profit for shareholders at the detriment of all others”, but business leaders cannot just be profit-maximisers.
The role of a modern leader should be to look beyond the immediate gains and embrace a broader view that considers the well-being of all stakeholders—employees, communities, and the environment. Success needs to be redefined to include the positive impacts a company makes on society and its resilience in facing external challenges.
Businesses that embed accountability and social responsibility within their operations create not just stronger companies but stronger societies. They position themselves to weather economic fluctuations and societal shifts with greater adaptability. The evolution from “business as usual” to ethical stewardship is not just an ideal; it’s fast becoming a competitive advantage.
Consciously moving Beyond the Profit Motive
The traditional model that prioritises profit at any cost has reached its limits. Both Executive Directors and their Boards, must step into the role of ethical stewards, setting the tone for responsible corporate behaviour that prioritises long-term value over short-term gain. This approach doesn’t mean abandoning profitability; it means expanding the definition of success to align with values that benefit more than just shareholders.
We can already see this shift in forward-thinking companies. B-Corps, for instance, strive to balance purpose and profit, making decisions that consider their broader impact. Some tech companies are investing heavily in training and upskilling their workforce to prepare for the shifts that AI and automation will bring. These examples show that responsible growth is not only possible but essential.
Ethical considerations can no longer be optional in the boardroom; they must be integral to decision-making. Leaders who adopt a holistic approach, incorporating social, environmental, and economic factors, are better equipped to navigate complex global challenges. The essence of leadership today lies in asking deeper questions and guiding companies to answers that benefit everyone.
The Mission statement
“I had lost the ability to bullshit…” - Jerry Maguire
When I studied Philosophy at university, I really had no idea how useful it would be in life.
Yet, every year that passes I realise more and more how relevant and interconnected it is with the world around us, and particularly in business. It looks to address all the most important issues that humanity faces today; Bioethics, Artificial Intelligence, Climate Change, not to mention the nature of capitalist economics.
It’s been really heartening to see that over the last 5 years in particular, there has been a renewed interest in Philosophy, with writers like Alain De Botton, Mark Manson and Ryan Holiday bringing ancient wisdom to the question “how can we lead better lives”.
What I think is missing though, is the application of these ideas to modern business, and the wide-ranging societal implications that are going to shape how we live for millennia to come.
Plato in the Boardroom, is my attempt to explore the intersection of philosophy and business (for my own edification if nothing else) by looking at the moral dilemmas posed by a rapidly changing world.
So how do we collectively step-up and lead ourselves through these tectonic shifts?
Some of the best answers, I strongly suspect, are to be found in both ancient, enlightenment, and modern thinking can provide clarity and direction. As we embark on this path, I invite you to reflect: What kind of future are we building, and is it one we’d all want to live in?
Thanks for coming on the journey with me!