Part 2: Conscious capitalism and the transformation of the leadership mindset

In my last post, I had a discussion with Raj Sisodia , the founder of the Conscious Capitalism movement and the Conscious Business Leadership Academy (CBLA), a BDO-backed program offering formal training to leaders interested in the conscious capitalism approach. We talked about the principles of conscious capitalism, and why it’s so timely and valuable now.

In this post, I’ll focus on a few of the practical shifts that leaders can take to fully embrace conscious capitalism and make it come alive in their organizations. For many of us, it’s a journey of self-discovery and awareness that will change and elevate our approach to leadership. It certainly was for me, as an early participant in the CEO track.

Recently, I connected with Neha Sangwan, M.D. , co-founder and lead executive coach of CBLA. I also sat down with two BDO executives who recently completed the C-suite track alongside the entire BDO executive team – Catherine Moy , our chief people officer, and Matthew Becker , our national managing partner of tax. We had a chance to debrief on their experience and how it has influenced them since. What follows is an edited version of our conversation.

WB: Neha, why are the principles of conscious capitalism resonating with so many leaders right now?

NS: Our world prior to 2020 focused on maximizing productivity and efficiency. But we’ve gone so far in this direction that we’ve lost our effectiveness. As a result, many employees found themselves in a toxic work environment, disconnected from each other and their purpose. This led to the Great Rethink or the Great Resignation – whatever you’d like to call the mass exit of the workforce in 2021.

This jolted forward-thinking leaders into paying attention to the needs of their employees, realizing it was not enough to entice them only with physical benefits such as a raise, foosball tables, and free food. The next generation wants to be part of organizations that care about their mental and emotional health, will educate them on how to avoid burnout and communicate effectively, and want them to have work-life balance. The organizations that will excel in the future are the ones that invest in their people, creating conscious and caring cultures.

Our external world has been accelerating for decades. But we haven’t focused nearly enough on preparing our mind, body, and spirit to interact with the demands on our time, energy, and resources. To put it in technological terms: We need to upgrade our internal software to meet and navigate the speed and complexity of our lives. That will help us not only meet productivity goals; it will help us address the many different types of challenges leaders today are facing, such as burnout, miscommunication, and conflict.

WB: As you know, business leaders are very outcome oriented. When we invest our time or resources in something, we want to know: What is the return on this investment? So, I’ll put that question to you about conscious capitalism training. What are the tangible benefits?

NS: Each year, you ask your teams to do more with less, right? By giving them new tools and expanding their perspective, you’re making them more resourceful. This helps them make better, quicker decisions and ultimately helps them collaborate and innovate in new ways.

Every leader comes to this mindset in their own way and in their own timeframe. What if I told you that slowing down will actually speed you up as an organization? When you increase your awareness, your ability to respond rather than react, and can recognize early signs of burnout in yourself and in those you lead, you have a distinct advantage in the workplace. Also, what conscious capitalism teaches is how to make better, more effective decisions, ones that take into account all stakeholders. When leaders can use their body, heart, mind, and purpose, they quickly gain a broader perspective and become more empathetic. That’s better for business.

WB: Let’s come back to the process. It’s clear to me this is a journey. I can’t imagine anyone absorbing and implementing this concept immediately. But is it possible to describe how an individual leader can embrace this concept and then pass it on to the rest of the organization?

NS: You’re right that it’s a journey. And the good news is that it usually follows a fairly predictable pattern. It starts with the process of self-discovery through curiosity and awareness. What kind of leader am I? Am I interested in developing myself to the next level? Step two is to take ownership. Seek to understand how what you said or did affected an outcome.

With this new level of awareness, you can embark on step three – brainstorming new ways to respond to an issue or tackle a problem. Step four is to gain clarity on which option to pursue. Step five is to take action. This will undoubtedly elicit feedback, which often brings new awareness. I tell leaders that it’s fantastic to be in this process on an ongoing basis – almost like being a self-cleaning oven!

If you do this, you become a natural role model for your team. They, in turn, recognize that it’s okay to make mistakes and are willing to be transparent in order to grow. Creating a culture of trust is what promotes innovation. And the name of the game in today’s world is being able to be agile and innovate.

This all takes time, but the cascading effect can change and eventually transform an entire organization – especially when it is modeled and reinforced by leadership.

WB: Thank you, Neha.

Cathy and Matt: You’ve both completed the CBLA C-suite training. Cathy, what is your most memorable takeaway? What stays with you?

CM: One thing that stays with me is how quickly we can strengthen relationships and thereby our collective effectiveness when we have the courage to participate in candid conversations with an open mind and positive intent.

WB: Matt, what if anything surprised you about the experience?

MB: I was surprised by the willingness of other participants in the program to share the totality of their experiences – the good and the bad.

WB: Cathy, now that you’ve had some time to think about the program in the context of your work, how is it impacting your role – what you do every day?

CM: It has reinforced and re-energized my confidence and commitment to leaning into challenge with candor.

WB: Same question for you, Matt.

MB: I have always recognized the importance of considering all of our stakeholders when making strategic and operational decisions. The program solidifies and advocates for this approach. This energized me.

WB: Final question, for both of you: Is it making you a better leader?

MB: The group and one-on-one coaching in the program is most certainly making me a better leader. Becoming a great leader isn’t a destination, it’s a journey. CBLA embraces this principle in a deep and meaningful way.

CM: I believe leaders who choose a growth mindset embrace every opportunity to find their growth edge, receive feedback as a gift, and know each day we can evolve. CBLA delivers on these principles for willing, open-minded, authentic leaders.

WB: Thank you – each of you – for sharing your perspectives and experiences. It has been an incredible journey with Raj and Neha so far, and I’m excited to see how conscious capitalism furthers our strategic vision of a sustainable and stakeholder-oriented business in the months and years ahead.