In this article, Dirk Schoenmaker en Willem Schramade from RSM discuss how the CFO can manage on integral value.
We face major social and environmental challenges. At the same time, society expects companies to actively participate in the solutions instead of perpetuating inequality or pollution. The key word here is 'value creation', or to be more precise: financial and social value creation in the long term.
In the old world, sustainability costs money and the CFO often acts as a barrier to sustainable investments. In the new thinking model, companies put sustainability and transitions at the heart of their business strategy to improve their competitive position. Internalization of impact ensures that impact and (future) cash flows are increasingly interrelated. The modern CFO is responding to this. We want to show how the CFO can focus on integral value (financial, social and ecological value in conjunction) instead of just financial value. To generate both impact and cash flows, values need to be better measured and understood.