Social value creation, an opportunity of a lifetime | Dan Iversen | TEDxVicenza
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0:16 - 0:18I have a confession to make:
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0:20 - 0:22most of my adult life
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0:22 - 0:27I have been working because of money
and because of prestige. -
0:27 - 0:33It was not about high moral standards
or creating social value. -
0:33 - 0:35It was about money
and it was about prestige. -
0:35 - 0:38The more money, the better.
The more prestige, the better. -
0:39 - 0:41It's a bit sad, but that's the truth.
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0:41 - 0:45But I want so much more
than money and prestige. -
0:45 - 0:46I want to make a difference.
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0:47 - 0:50Think about it.
We are born as human beings. -
0:50 - 0:54We are born, we grow up,
we live our lives, and we die. -
0:55 - 0:57The same cycle
you could apply to companies. -
0:59 - 1:01They are created,
they start, they develop, -
1:01 - 1:03and eventually, many of them die.
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1:04 - 1:08So what is the meaning about all of this?
What is the meaning about our work life? -
1:08 - 1:10And what is the meaning
about the companies, -
1:10 - 1:13more than just giving a profit?
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1:15 - 1:19Some of you here have
not even started your working life, -
1:19 - 1:22and some of you have, just like me,
been working for decades. -
1:22 - 1:24And what's the purpose of that,
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1:24 - 1:27and how's that actually link
to creating social value? -
1:29 - 1:31What is also the purpose of the companies?
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1:31 - 1:34I think, so far, we have talked
about creating social value -
1:34 - 1:37as something nonprofit
organizations are doing. -
1:37 - 1:41I think we need to change that model.
We need to think in a different way. -
1:42 - 1:46And I think this is important and leads
to some very interesting questions. -
1:46 - 1:50Think about it, we are working
more than we have ever done before. -
1:51 - 1:52For what purpose?
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1:52 - 1:57And the markets are flooded
with services and products. -
1:57 - 1:58For what purpose?
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1:58 - 2:00How can you build a company that can last?
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2:01 - 2:04I think one of the answers here
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2:04 - 2:07is that we are more clear
about our purpose. -
2:07 - 2:10It's all about for us -
as individuals and also the companies - -
2:10 - 2:14creating economic and social value.
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2:14 - 2:17And if you think about it,
creating economic value -
2:17 - 2:19is probably, you know,
it's pretty obvious for us. -
2:19 - 2:23As individuals, we need to survive,
we need to pay our mortgages, -
2:23 - 2:26have a vacation
once in a while, and so on. -
2:26 - 2:29And the companies all also need profit.
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2:29 - 2:33They need to invest in employees,
they need to invest in products, -
2:33 - 2:35and also give something
back to the owners. -
2:36 - 2:40Well, we need to create a new model,
and I see that because of two reasons: -
2:41 - 2:43first of all is reason number one,
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2:43 - 2:46and that is we are facing
some major challenges in the world. -
2:47 - 2:51According to the
World Health Organization, -
2:51 - 2:572.1 billion people lack access
to safe, reliable water every day. -
2:58 - 3:01Think about it: 2.1 billion people.
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3:01 - 3:074.5 billion people lack access
to safely managed sanitation. -
3:07 - 3:12So when Greta Thunberg,
the 16-year-old Swedish climate activist, -
3:12 - 3:14says to the World Economic Forum,
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3:14 - 3:17"I don't want your hope,
I want you to act," -
3:17 - 3:20I see that as a proof
that our model has to change, -
3:21 - 3:22it has to transition.
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3:24 - 3:27The reason number two
is divided between two things: -
3:27 - 3:31one thing is the individual part
and the other thing is the company part. -
3:31 - 3:34What you see here on the screen,
you know, that is proven for us, -
3:34 - 3:37that is things that
are actually given to us -
3:37 - 3:40when we are helping and giving to others.
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3:40 - 3:45We know from studies
that it activates parts of the brain -
3:45 - 3:48that are associated with pressure
when we are helping and giving. -
3:49 - 3:52We know when we give back,
we are more likely, -
3:52 - 3:55and when we give something,
we are more likely to get it back. -
3:56 - 3:57We know also
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3:57 - 4:02when we do social value creation,
we build stronger social connection, -
4:02 - 4:06and that's one of the things that's proven
to give us a happy and long life, -
4:06 - 4:07more than anything else.
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4:08 - 4:09So that's, you know,
-
4:09 - 4:12from an individual perspective,
why we should do this. -
4:12 - 4:16If you look from a company perspective,
the business case is very, very good. -
4:16 - 4:18We need here - a company needs a mission.
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4:18 - 4:19Why are we here?
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4:19 - 4:21And that needs to go beyond profit.
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4:22 - 4:24And we need that mission
to spark a purpose, -
4:25 - 4:29and that purpose, as I said before,
is so important because the purpose, -
4:29 - 4:32that's where employees
and customers will buy into. -
4:32 - 4:34And also talent.
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4:35 - 4:39Young people today
don't want money and prestige only. -
4:39 - 4:42They also want to make
a difference in the world. -
4:42 - 4:45That purpose will create
engagement in your workforce. -
4:45 - 4:49That engagement
will give more productivity. -
4:49 - 4:52More productivity is equal to profit.
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4:53 - 4:57So it's a very good business case
in creating social value. -
4:57 - 5:01And the Edelman Trust Barometer,
they confirm that. -
5:01 - 5:04They say that 73% of us believe
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5:04 - 5:05that we would rather be in a company
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5:05 - 5:08that creates both social
and economic value. -
5:10 - 5:13Before I get too carried away about this,
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5:13 - 5:16I just want to give
everybody here a word of warning. -
5:17 - 5:21If you were to hear a TED Talk
about social value creation, -
5:22 - 5:26or you think this is the new Black
and you want to do this as a leader -
5:26 - 5:27and you're not really engaged,
-
5:28 - 5:29you will fail.
-
5:29 - 5:34In order to do so, you need to be sincere,
you need to be honest, -
5:34 - 5:37and this needs to be delivered
with integrity; -
5:37 - 5:41otherwise, both your employees
and your customers will see you're a fake. -
5:41 - 5:46I would like to give you an example
that we have tried in real life. -
5:46 - 5:48It's Xylem Watermark.
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5:49 - 5:52I come from a company
where we have 17,000 people. -
5:53 - 5:56We are dedicated to solve
the world's water challenges. -
5:56 - 5:59We do that by producing solutions
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5:59 - 6:03to transport, to treat, to analyze,
and to data [manage] water - -
6:03 - 6:07so where we can get
what we call "smart water" moving -
6:07 - 6:08to solve the challenges we have.
-
6:09 - 6:12In 2008, we started
a program called Watermark, -
6:13 - 6:17and so far, we have supported
3.5 million people in 55 countries. -
6:18 - 6:22So what we do here
is that we go to countries. -
6:22 - 6:27We make water towers to make sure
that people have access to clean water. -
6:28 - 6:32When we had the situation
in Thailand with the cave, -
6:32 - 6:34where the 12 boys
were there with their coach, -
6:34 - 6:36we were one of the companies
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6:36 - 6:38that supported the team there
to get the boys out. -
6:39 - 6:42But we also do things
on a smaller scale, -
6:42 - 6:44so in the office where I am, you know,
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6:44 - 6:49we bake cakes and we sell them,
and the money we donate to Watermark. -
6:49 - 6:51We wash the cars of the neighbors,
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6:51 - 6:54and the money for that,
we donate to Watermark. -
6:54 - 6:56Or we do a football tournament,
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6:56 - 6:59and we take 10 euros
from each person participating, -
6:59 - 7:02and we donate these monies to Watermark.
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7:04 - 7:07All of this is small stuff.
Let's try to see how it works. -
7:07 - 7:08(Video)
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7:08 - 7:10Narrator: Because this
same spirit of respect, -
7:10 - 7:15responsibility, integrity, and creativity
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7:15 - 7:17that makes us invaluable to our customers
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7:17 - 7:21is even more valuable
to communities in need around the world -
7:21 - 7:24and knows where we live
and work every day. -
7:25 - 7:28To our corporate citizenship initiative,
Xylem Watermark, -
7:29 - 7:31we provide safe water resources
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7:31 - 7:34to remote villages
in the Philippines and India, -
7:34 - 7:38protect water resources
in the rural areas of China and Brazil, -
7:38 - 7:42educate children from Cambodia
to Columbia about water, -
7:43 - 7:47and work with local nonprofits and NGOs
to help solve local water issues. -
7:48 - 7:51We do all of this so people everywhere
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7:51 - 7:55have a better chance at living
healthy, prosperous and sustainable lives. -
7:56 - 7:59But none of these profound changes
happen on their own. -
7:59 - 8:03First, it requires great partners,
and we have the best, -
8:04 - 8:06but the most vital component
in making a difference -
8:06 - 8:08is the collective action of our people.
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8:10 - 8:11The power and passion
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8:11 - 8:16of more than 16,500 employees
is enough to change the world. -
8:17 - 8:20So when we volunteered to put our hands
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8:20 - 8:24and our feet and our hearts
and our minds into action, -
8:24 - 8:31we helped Haiti, Houston,
and Puerto Rico recover. -
8:35 - 8:38We make rivers in Germany
and North Carolina cleaner -
8:38 - 8:40and our neighbors wiser.
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8:40 - 8:43We give children
a chance at a better future. -
8:44 - 8:48And we come to understand
why it is we do what we do. -
8:49 - 8:50Woman: Thanks to this donation,
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8:50 - 8:53our community is going
to be able to have water. -
8:53 - 8:55Man: It's very difficult to comprehend.
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8:55 - 8:58It's massive for these guys.
It's massive for them. -
8:58 - 9:02Narrator: In 2016,
we made a bold proclamation: -
9:02 - 9:05Xylem colleagues would dedicate
100,000 hours of time -
9:05 - 9:10to water-related volunteer activities
by the end of 2018, -
9:10 - 9:13and we're well on our way
to meeting that goal. -
9:13 - 9:15Xylem. Let's solve water.
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9:16 - 9:17(Video ends)
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9:18 - 9:21(Applause)
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9:28 - 9:29Dan Iversen: Thank you too.
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9:29 - 9:32If you're sitting now and saying,
"How do we start this?" -
9:32 - 9:35you know, when something new starts,
it's always a bit vulnerable, -
9:35 - 9:39and that was also the case
when we started this in the company. -
9:40 - 9:41I was doubting myself.
-
9:42 - 9:43I remember some of my colleagues said,
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9:43 - 9:47"Well, this will go over.
It's a virus, you know, it will go away," -
9:47 - 9:52but it didn't, and like many other things,
it was dependent on leadership. -
9:53 - 9:59In 2014, we had a new CEO,
and he started to change our look at this, -
9:59 - 10:01and he said to us as leaders
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10:01 - 10:04that he looked a bit on Watermark
like a business unit. -
10:04 - 10:06So he gave us individual targets.
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10:06 - 10:09I had to do that many individual hours,
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10:09 - 10:10volunteer hours.
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10:10 - 10:14So, he also did that
for the business unit I was leading, -
10:14 - 10:15and that changed that.
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10:16 - 10:18And more important than everything else,
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10:18 - 10:22he had and he has a really honest desire
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10:22 - 10:25to make a difference in the world
with the company. -
10:26 - 10:29The big difference
for myself came in 2015. -
10:30 - 10:34We, Watermark, had until then been
internal for us as colleagues. -
10:35 - 10:37We now decided to spread
this more around the world, -
10:37 - 10:42so we invited 12 customers to build
four water towers in the Philippines. -
10:42 - 10:45It was an idea. It was a test.
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10:45 - 10:49We didn't know it would work,
but the result was quite amazing. -
10:50 - 10:53I remember, in the evening,
after building the water towers, -
10:53 - 10:56I took my phone,
and I recorded the customers. -
10:57 - 11:02And I asked them this simple question,
"How has the day been for you?" -
11:02 - 11:05And they answered that question,
and they started to cry, -
11:05 - 11:09and then I started to cry -
that's not the goal in itself, -
11:09 - 11:13but it just showed that something here
was truly, truly amazing. -
11:13 - 11:17I think that's one of the formulas here
in creating social value. -
11:17 - 11:20We shouldn't talk so much about it.
We should actually go and do it. -
11:21 - 11:23And remember, this is so rewarding.
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11:23 - 11:26When you see a child that's learning
something new in school -
11:26 - 11:29or you see a child that sees
clean water for the first time -
11:29 - 11:32or the customer crying
in front of you, it's so rewarding. -
11:32 - 11:33It's contagious.
-
11:34 - 11:36I've seen some funny stuff on these trips.
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11:36 - 11:41I will show you now a clip
that was done last year in Cambodia. -
11:42 - 11:48I was there with customers from UK
and from France, in Siem Reap Province. -
11:48 - 11:49(Video)
-
11:49 - 11:51DI: Hey.
-
11:51 - 11:55So now we have put up the tower
here with our customers. -
11:55 - 12:00It took us around a couple hours,
and we're almost ready to fill in water, -
12:00 - 12:02and what we're doing over here
-
12:02 - 12:05is that some of the customers
and my colleagues -
12:05 - 12:11are actually training the kids
in how to have a high level of hygiene. -
12:11 - 12:13So we tell them how to wash their hands
-
12:13 - 12:15and these things they're doing right now.
-
12:15 - 12:17As you can see, they are having
a lot of fun over here, -
12:18 - 12:23so we're almost there
and in, I think, half an hour, -
12:23 - 12:26we'll finalize
and put water in the system. -
12:26 - 12:27I'll be back.
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12:27 - 12:28(Video ends)
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12:29 - 12:32(Applause)
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12:36 - 12:39DI: Thank you very much, and you know,
think about it, this is contagious. -
12:39 - 12:41And why is this contagious?
-
12:41 - 12:43I think it's contagious
because it goes away -
12:43 - 12:46from the rational stats
about the challenges we have. -
12:46 - 12:48We all know about that.
-
12:48 - 12:52Then it goes into the personal reaction
you see when you help people -
12:52 - 12:55and the personal gain we have ourselves
when we are helping others. -
12:58 - 12:59Well, we have to change the model.
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12:59 - 13:03That means, we also, as leaders,
have to change the way we're doing things. -
13:03 - 13:06In 2016, I took a decision as a leader.
-
13:07 - 13:08I took the decision,
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13:08 - 13:10a bit tough, but I took the decision:
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13:10 - 13:12You cannot be in my part
of the organization -
13:12 - 13:17if you don't buy into the idea
of social value creation. -
13:18 - 13:21I don't care how talented
you are, how good you are. -
13:21 - 13:22If you don't buy into that idea,
-
13:22 - 13:26you must strive, grow,
perform, and be happy -
13:26 - 13:28in another organization, not with me.
-
13:30 - 13:35So in the end, I don't think
we really have a choice. -
13:35 - 13:38As individuals and as companies,
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13:38 - 13:42we need to create
both social and economic value. -
13:42 - 13:43It's pretty simple.
-
13:44 - 13:45So I'm asking you,
-
13:46 - 13:49what will you do to make
a difference in the world? -
13:50 - 13:52What gives you a purpose?
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13:53 - 13:56What gives your life
personal growth and learning? -
13:57 - 14:01And remember, it doesn't have
to be big and fancy and [overt]. -
14:02 - 14:05It just has to bring value
to someone and to yourself. -
14:06 - 14:08Good luck in making
a difference in the world. -
14:08 - 14:09Thank you.
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14:09 - 14:12(Applause)
- Title:
- Social value creation, an opportunity of a lifetime | Dan Iversen | TEDxVicenza
- Description:
-
Every drop matters and has the power to make change happen. Dan Iversen talks about the importance of companies using their influence for both economic and social advancement, and how through Watermark, the social investment program of Xylem specializing in water resources, positive change has been brought about in the world.
In his job at Xylem, Dan Iversen has created an innovative program of social responsibility to increase awareness of water usage as a collective resource. Dan is the founder of Aqua Semper, a nonprofit organization that supports international companies to support social investment projects. The last five years of his life have been completely dedicated to solving water challenges, and to building towers and water intake systems in the Philippines and Cambodia.
This talk was given at a TEDx event using the TED conference format but independently organized by a local community. Learn more at http://ted.com/tedx
- Video Language:
- English
- Team:
- closed TED
- Project:
- TEDxTalks
- Duration:
- 14:15