Robert Strand’s Post

"Denmark 🇩🇰 has been home to the top-performing Global 100 company five times in the ranking’s 20-year history, surpassing any other nation. Chr. Hansen, Novo Nordisk, Ørsted, and Vestas (two times) have donned the moniker “world’s most sustainable company.” With a GDP and population comparable to that of an average-sized U.S. state, like Wisconsin or Minnesota, Denmark is a small nation with a giant global sustainability presence. The same can be said about the overall Nordic cluster: The Nordics are a small region with an outsized sustainability presence in the world, worthy of benchmarking attention." Dan Vermeer & Kristjan Jespersen: I thought you might take an interest in leveraging within your "Climate and Sustainability in the Nordics" course!

"Yvon Chouinard’s 2022 decision to donate U.S.-based Patagonia to an environmental nonprofit, placing its voting stock into a trust, mirrors the industrial foundation model prevalent in the Nordic region. He had learned about the Carlsberg Foundation, the first Danish industrial foundation established in 1876, during a 2019 visit to Patagonia’s headquarters in Ventura, California, by Carlsberg Group’s Simon Boas Hoffmeyer. Chouinard followed the path of Carlsberg founder J.C. Jacobsen, who willed Carlsberg to the Carlsberg Foundation in 1887, ensuring its profits support scientific research and societal advancement. The Carlsberg Foundation retains majority voting rights in the Carlsberg Group, safeguarding its long-term focus and preventing takeovers while directing profits toward a social good."

"The Nordic corporate landscape is characterized by distinct structures that encourage long-termism. One of these is the industrial foundation model, prevalent in the Nordic context in renowned firms like Novo Nordisk and Carlsberg Group. In this model, an associated industrial foundation holds the majority of voting rights in perpetuity. Such a configuration provides insulation against the short-term pressures of financial markets, enabling companies to prioritize long-term strategies and sustainable practices. A study by Steen Thomsen et al. revealed that industrial foundation-owned companies in Denmark have notably stable ownership and showcase a consistent commitment to long-term decision-making. These companies exhibit conservative capital structures, prioritize long-term investments, and demonstrate enhanced longevity in the market." (Rich Lyons: These are the structures we were discussing while in Denmark & Sweden, including: Novo Nordisk Foundation, Carlsberg Foundation, Rambøll Fonden / Ramboll Foundation, etc.)

"Ørsted CEO Mads Nipper stated a people-positive approach must become the standard for the [energy] industry, whereby local job creation and upskilling, and ensuring people from marginalized groups have equitable access to the opportunities and shared benefits of clean energy, becomes the standard of doing business. 'Our industry needs dialogue with community groups and nongovernmental organizations (NGOs) to define common standards for a people-positive energy transition. We also invite our industry peers to work together to find the best ways to integrate people-positive measures into the buildout.'

"R. Edward Freeman, a pioneering figure in stakeholder theory, underscored the importance of engaging with stakeholders to create value together, connecting the company with competencies and ideas beneficial to all involved while listening to critics. With every critique lies an opportunity for improvement. As Freeman suggests, effective stakeholder engagement means genuinely engaging with diverse viewpoints and working with stakeholders who challenge the status quo. Engaging with stakeholders, including those critical of the company, also better ensures the company will be held to account to take action in important matters of sustainability. Nordic firms are frequently cited as exemplars of effective stakeholder engagement. Freeman and Robert Strand introduced the term “Nordic cooperative advantage” to describe the predominant strategic posture of Nordic firms toward stakeholder cooperation. They defined Nordic cooperative advantage as the “general tendency for companies in a Nordic context to implement a value-creating strategy based on cooperating with their stakeholders that results in robust value creation for the companies and their stakeholders.”"

"Nordic Cultural and Structural Factors: Organizational scholar Jennifer Chatman’s body of research underscores the idea that culture can be actively managed with direct results on organizational performance. Chatman describes organizational culture as a system of shared values, norms, and practices that shape the behaviors of its members. Through deliberate attention and strategic interventions, organizational culture can be transformed to help achieve the company’s strategic objectives. Aiming to improve the company’s sustainability performance is an example of a strategic objective, and a company aiming for a strategic shift toward sustainability needs to nurture a culture that promotes cooperation and stakeholder engagement. Structural factors, typically enacted through legislation, include critical elements like tax policies, social programs, and guidelines for corporate structuring."

Tagging folks involved in “Sweden in the Bay Talks” launch by Consulate General of Sweden in San Francisco: Denise Persson Damra M. Tove Andersson Mats Andersson Viveka Rydell-Anderson JD, MSc SWEA San Francisco Andrea Tegstam Nordic Innovation House - Silicon Valley SACC-USA (Swedish-American Chambers of Commerce) The Swedish-American Chamber of Commerce in San Francisco & Silicon Valley Silicon Vikings Business Sweden Inger Gustafsson Vlad Månsson Sandy Sandhu Minna Sandberg Andreas Netz Marcus Rönngren Liu Anna Lekvall Gabriella Veitch Dubell Elena Fersman Paul Pettersson Caroline Törnemo Anna Delin Vinnova

"The strong and cooperative relationship between labor unions and employers is central to the Nordic model’s success. An astounding 70%-80% of Nordic employees are members of labor unions, an indicator of the deep-seated culture of collective bargaining and workers’ rights. Unlike many other regions like the United States, where labor relations can be contentious, the Nordic approach is characterized by continuous dialogue, collaboration, and mutual respect between unions and employers. This harmonious dynamic ensures that prosperity is more equitably shared rather than just accumulated by the most powerful actors. Furthermore, these unions play a pivotal role in lifelong learning and skills development, ensuring workers remain agile and adaptable in a rapidly evolving global economy. This proactive approach to workforce development safeguards employees against economic uncertainties and reinforces the region’s commitment to SDG #8, decent work for all and economic growth, and SDG #10, reduced inequalities." @Peggy Hessen Følsvik The Norwegian Confederation of Trade Unions (LO) Maria Bjerre Ole Erik Almlid Jan Christian Vestre Fagbevægelsens Hovedorganisation Steven Raphael Institute for Research on Labor & Employment (IRLE)

"The Nordic nations as a whole, including a majority of their business elites, have arrived at a simple formula: Capitalism works better if employees get paid decent wages and are supported by high-quality, democratically accountable public services that enable everyone to live healthy, dignified lives and to enjoy real equality of opportunity for themselves and their children.” -- included quote from Anu Partanen & Trevor Corson

Tagging folks from Team Norway in California April 2024 visit: Innovation Norway | Norwegian Ministry of Trade, Industry and Fisheries | Digitaliserings- og forvaltningsdepartementet | Norwegian Ministry of Energy | California Energy Commission | Water Emergency Transportation Authority | California Air Resources Board | SHACK15 | Norwegian Energy Partners (NORWEP) | Startuplab| IKT-Norge | Norwegian Seafood Council | Abelia | Corvus Energy | NCE Maritime CleanTech | David Hochschild | Håkon Haugli | Jessica Alba, TDM-CP | Liane Randolph | Tor-Gunnar Hovig | Ada Martine Jakobsen Norwegian Embassy in Washington, D.C. Royal Norwegian Consulate General in San Francisco