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- Herausgeber: John Wiley & Sons
- Kategorie: Fachliteratur
- Sprache: Englisch
New York Times Bestseller How feminine values can solve our toughest problems and build a more prosperous future Among 64,000 people surveyed in thirteen nations, two thirds feel the world would be a better place if men thought more like women. This marks a global trend away from the winner-takes-all, masculine approach to getting things done. Drawing from interviews at innovative organizations in eighteen nations and at Fortune 500 boardrooms, the authors reveal how men and women alike are recognizing significant value in traits commonly associated with women, such as nurturing, cooperation, communication, and sharing. The Athena Doctrine shows why femininity is the operating system of 21st century prosperity. * Advocates a new way to solve today's toughest problems in business, education, government, and more * Based on a landmark survey and results from Young & Rubicam's respected Brand Asset Valuator's global survey, as well as on-the-ground interviews in 18 countries * From acclaimed social theorist, consumer expert, and bestselling author, John Gerzema, and award-winning author, Michael D'Antonio Brought to life through real world examples and backed by rigorous data,The Athena Doctrine shows how feminine traits are ascending--and bringing success to people and organizations around the world. By nurturing, listening, collaborating and sharing, women and men are solving problems, finding profits, and redefining success in every realm.
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Seitenzahl: 445
Veröffentlichungsjahr: 2013
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Table of Contents
Title Page
Copyright
Dedication
Introduction: The Athena Doctrine
Defining and Measuring Masculine and Feminine Traits
Examining the Impact of Feminine Traits
Implications for the Future of Women, Business, and Society
Decoding the Athena Values
Notes
Chapter 1: Great Britain
Notes
Chapter 2: Iceland
Notes
Chapter 3: Israel
Notes
Chapter 4: Japan
Notes
Chapter 5: Colombia and Peru
Notes
Chapter 6: Kenya
Notes
Chapter 7: India
Notes
Chapter 8: China
Notes
Chapter 9: Sweden, Germany, and Belgium
Notes
Chapter 10: Bhutan
Notes
Conclusion: The Age of Athena
The Implications and Applications of the Athena Doctrine
The Athena Doctrine and the Next Generation
Notes
More Information
Acknowledgments
About the Authors
Index
Copyright © 2013 by Young & Rubicam Brands. All rights reserved.
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Library of Congress Cataloging-in-Publication Data
Gerzema, John, 1961–
The Athena doctrine : how women (and the men who think like them) will rule the future / John Gerzema, Michael D'Antonio.— First edition.
pages cm
Includes bibliographical references and index.
ISBN 978-1-118-45295-0 (cloth); ISBN 978-1-118-59620-3 (ebk); ISBN 978-1-118-59642-5 (ebk); ISBN 978-1-118-59649-4 (ebk)
1. Women executives— Psychology. 2. Business women— Psychology. 3. Leadership in women. 4. Values. 5. Entrepreneurship. I. D'Antonio, Michael. II. Title.
HD6054.3.G39 2013
305.42— dc23
2012048455
Throughout the development of this book, we came across the theme of loss and hardship. On a large scale, there was our time in Japan. On an individual level, several people we'd interviewed had recently lost partners, spouses, parents, and grandparents. And just as we headed to Brussels, Michael's mother passed away. We dedicate this book in her memory. Through this book we also pay tribute to the memory of Simon Sylvester, John's good friend and longtime colleague at Young & Rubicam, whose enormous intellect was matched by his humility and constant good cheer. Finally, this book was inspired by the battle John's mom continues to fight with breast cancer. Keep fighting, Jan.
Introduction
The Athena Doctrine
“The world would be a better place if men thought more like women.” (66% agree)
—Authors' proprietary global survey of thirteen nations representing 65 percent of global GDP
During the year after we described America's transition to a “new normal” in our book Spend Shift (2010), we traveled the country and heard from many people who agreed with the thesis that a quiet revolution had taken place in “the way we buy, sell, and live” and applauded how individuals, families, businesses, and organizations were adapting to tougher economic conditions.1
We had stressed the theme of adaptation and not merely survival because we saw that the effects of the Great Recession that began in 2008 would not be reversed any time soon by a new bubble or boom. And as policymakers in Washington and other capitals struggled to resolve the crisis in various ways—low interest rates, government spending, government cutbacks, bank bailouts—full recovery seemed ever more elusive. Growth returned to the U.S. economy, but its pace was anemic, and high unemployment kept the squeeze on the middle class. Progress was even slower in the Eurozone and Britain, where recession returned at the start of 2012. Even China showed signs of trouble, which augured ill for our interconnected economies.
Considering the economic facts, it was clear that the crisis that started in 2008 would last longer than most analysts expected and could have an effect similar to the impact of the Great Depression of the 1930s. That earlier calamity shaped the social, political, and economic outlook of an entire generation. Some of these effects, such as an excess of caution and fear, were recognized as burdensome—but others proved beneficial. As historians William Strauss and Neil Howe have documented, people who came of age in the Depression tend to be practical rather than status oriented.2 This so-called Silent Generation showed a creative ability to find happiness with or without wealth or an abundance of possessions. In our studies for Spend Shift, we discovered similar traits for this group and noted that today's young adults seem to admire the “silents” for their flexibility.
Although the immediate insights offered in Spend Shift were clear, we learned more as we presented them to audiences around the world, who began to notice something we had not fully appreciated. As many pointed out to us, most of the traits exhibited by the successful entrepreneurs, leaders, organizers, and creators we profiled seemed to come from aspects of human nature that are widely regarded as feminine. This isn't to say that these innovators were mainly women (they were not) or that we believe that any human quality belongs primarily to one gender or the other (we don't). It was simply that, time and again, we heard people say that the skills required to thrive in today's world—such as honesty, empathy, communication, and collaboration—come more naturally to women.
With what we heard in mind, we began looking for signs that some set of traditionally feminine values and traits might be ascendant among effective leaders in business, politics, government, or community organizations. This was, of course, easier said than done. One of the very first interviews for this book, conducted over breakfast at an east London café, was with Ann Danylkiw, who writes about economics, gender, and other issues. Ann, whose digital handle is “Ann Lytical,” was a doctoral candidate at Goldsmiths College. We asked her opinion about the possibility that traditionally feminine traits and characteristics were gaining in value and respect.
As we sketched out our project, Ann squirmed and scrunched up her face like a professor listening to a student offer a terrible answer to an oral exam question. When we finished, she drew a deep breath and said, “I object to you calling these things feminine.”3
It was not the best start. And in the tetchy conversation that ensued, we discovered that Ann didn't agree with us on anything that had to do with definitions of “masculine” or “feminine.” When we spoke about traits that “many people traditionally associate with gender,” she voiced strong doubts about our views of “traditions” and asked us to define the “people” we had in mind. By the time we were finished, we wondered if it was possible for two sincere but decidedly male and middle-aged men to meaningfully explore issues of masculinity and femininity. If this was the kind of response we got from someone who agreed to help us, what would our critics say?
Clearly, it was a nonstarter for us to decide in advance which approaches are “feminine” and which are “masculine.” Instead, we needed to conduct research to discover how people in various parts of the world define traditionally masculine and feminine traits. Then we had to discover if the feminine qualities were more highly valued. If the answer turned out to be yes, then we could search for case studies to show the trend at work in the real world. Relying on our skills as researchers and storytellers, we began work in the summer of 2011.
John manages the largest survey panel in the world, BrandAsset® Valuator, which has conducted studies on more than one-and-a-half million people and fifty-one thousand companies in fifty countries since 1993. We set upon the challenge of discovering if—due to the economy, technology, generational influences, globalization, or other factors—people in general might be placing more value on the feminine side of human nature. We constructed a special survey of sixty-four thousand people chosen to mirror the populations in thirteen countries that represent 65 percent of the world's gross domestic product. The countries we surveyed—Brazil, Canada, Chile, China, France, Germany, India, Indonesia, Japan, Mexico, South Korea, the United Kingdom, and the United States—reflect a wide range of cultural, geographical, political, religious, and economic diversity.
First, we wanted to understand how people gauge the times we live in. Were they optimistic or pessimistic, secure or vulnerable? The respondents to our survey talked as if they lived in an age of extended anxiety. Most rejected the idea that their children will have better lives than their own, and great majorities expressed worries about society's basic fairness. (See Figures I.1, I.2, I.3, and I.4.)
Figure I.1.
Figure I.2.
Figure I.3.
Figure I.4.
These big-picture anxieties seem consistent with the tenor of our times. In every country, press headlines remind us that we face big problems—job scarcity, economic stagnation, global warming, and so on—while our leaders and institutions seem continually mired in scandal and failure. Big banks that were once considered stable have collapsed. WikiLeaks exposes the skeletons closeted by national governments. Grand jury reports show clergymen to be serial abusers. Our survey revealed that since the financial crisis, people trust only one in four companies on average—a 50 percent drop from precrisis trust levels.
When we delved into the drivers of this turmoil, we found dissatisfaction not only with government and the economy but with the behavior of men in general (see Figure I.5).
Figure I.5.
A clear majority of people around the world are unhappy with the conduct of men, including 79 percent of people in Japan and South Korea and two-thirds of people in the United States, Indonesia, and Mexico—and the rate of dissatisfaction is nearly equal among men and women. Canadian men must be doing something right, but they are the anomaly in our data. Interestingly, Millennials have a fundamentally stronger appreciation of femininity and the role of women in their society. Three-quarters of Japanese and South Korean youth are critical of male behavior, and two-thirds of global Millennials. There is a double-digit generation gap between Millennials and men in Germany, South Korea, and India.
Universally, it seemed that people had grown frustrated by a world dominated by codes of what they saw as traditionally masculine thinking and behavior: codes of control, competition, aggression, and black-and-white thinking that have contributed to many of the problems we face today, from wars and income inequality to reckless risk-taking and scandal.
But as we pored through the data, one particular set of numbers caught our eye, as illustrated in Figure I.6. Nearly two-thirds of people around the world—including the majority of men—feel that the world would be a better place if men thought more like women. This includes 79 percent of Japanese men, 76 percent of people in France and Brazil, and 70 percent of people in Germany. This belief was shared regardless of age, income, or nation. Again, Millennials in highly masculine societies—China, Japan, South Korea, and India—agree even more than women. In Spend Shift, we found that these young adults were less focused on money and status and more interested in human connection and community. More adaptable and flexible, this generation places a premium on friendships, ethical behavior, and diversity. This orientation, we found, helps them live with hope and find happiness despite financial hardships.
Figure I.6.
Defining and Measuring Masculine and Feminine Traits
Next, we needed to define masculine and feminine traits in an understandable way and then measure the public's attitudes about these traits. We're talking here not about the most modern, politically sensitive definitions but rather about the beliefs people hold based on their subjective interpretations. To do this, we conducted two separate studies. In the first study, we asked half our global sample (thirty-two thousand people) to classify 125 different human behavioral traits as either masculine, feminine, or neither. (See Figure I.7.) We chose words like selfless, trustworthy, curious, and kind from previous empirical studies on behavioral psychology and gender-related research. Overall, there was strong consistency across countries in what was perceived as feminine, masculine, or neither.
Figure I.7.
Next, we presented that same list of words to the other half of our sample, only this time there was no attribution of gender to any of the words. We simply asked people to rate the importance of the traits to certain virtues: leadership, success, morality, and happiness—words that captured the essence of what human beings commonly mean when they talk about a good life for themselves and society.
By comparing the two samples, we could now statistically model how masculine and feminine traits relate to solving today's challenges. When all the data from the thirteen countries came back in, we could see that across age, gender, and culture, people around the world feel that feminine traits correlate more strongly with making the world a better place.
Examining the Impact of Feminine Traits
Leadership
As illustrated in Figure I.8, our data show that many of the qualities of an ideal modern leader are considered feminine. Most important, the responses show that we seek a more expressive style of leader, one who shares feelings and emotions more openly and honestly. In other words, across the globe, society wants those in power to connect more personally—an understandable response to the hidden agendas and tightly wound power circles often associated with men. Our survey responses indicate that people generally believe that patience is a more important virtue in leadership and that we seek a leader who can break gridlock through reason rather than ideology. People also feel that an ideal leader must be a long-term thinker who plans for the future to bring about sustainable solutions, rather than posturing for expediency. The qualities of being decisive and resilient (identified as more masculine) are both important, but our data highlights that the definition of “winning” is changing—it is becoming a more inclusive construct, rather than a zero-sum game. In a highly interconnected and interdependent economy, masculine traits like aggression and control (which are largely seen as “independent”) are considered less effective than the feminine values of collaboration and sharing credit.
Figure I.8.
We also saw that being cause focused (rather than self-focused) is a more valued leadership trait. Perhaps this is why our sample indicated that being loyal (feminine) is more important than being proud (masculine). We want our leaders to be more intuitive, more understanding of others' feelings, and more able to assess various angles of a problem—or consequences of an action—before taking action. Finally, we found that being flexible is an essential modern skill: it permits people to listen, learn, and build consensus in order to get things done.
Success
Many of the survey questions we asked were intended to gauge how people imagined success. (See Figure I.9.) Over 80 percent of our respondents said that relationships and the respect of others count more toward success than money. Slightly more than 50 percent agreed that “nice people are more apt to thrive today than people who are aggressive and controlling.” Among the other responses, we saw lots of people favoring collaboration, kindness, and empathy. With no previous studies to compare, we cannot say that the way people view success is changing. But we can say that a snapshot view taken in 2012 finds a solid majority, male and female, endorsing traditionally feminine traits as essential to the definition of a successful life.
Figure I.9.
Morality
When we explored the concept of morality, we expected to see many different pathways and definitions as defined by custom, religion, and culture. Yet our statistical correlations show that across the world, morality is strongly associated with loyalty, reason, empathy, and selflessness—all feminine traits. (See Figure I.10.) The value placed on these traits reflects society's outrage over the greed, corruption, and self-interest of our times. Societal structures and economic markets alike depend on codes of morality and on trust, which are perceived to be feminine, indicating that greater respect for the feminine in culture is essential to improved social structures as well as market recovery around the world.
Figure I.10.
Happiness
In every country, the survey respondents were most in agreement when it came to linking feminine traits and values to happiness. Again, many of the same virtues, such as patience, loyalty, reason, and flexibility, underscored the emphasis on adapting to a new world. (See Figure I.11.) Here we see a shift away from a focus on affluence, as new forms of currency—such as knowledge and influence—replace traditional materialistic status symbols driven by masculine concepts of power and esteem.
Figure I.11.
By contrast, none of the most highly masculine traits (rugged, aggressive, dominant, brave, arrogant) were among the most valued when it comes to being either a great leader or a more moral or happy person. Those masculine attributes that did register as important to leadership, morality, or happiness—decisive and confident—fell toward the bottom of the rankings for “What does it mean to be masculine?”
Implications for the Future of Women, Business, and Society
With our survey results and analysis in hand, we looked for a few experts who might know more about values, gender, work, and leadership. Janet Walkow and Christine Jacobs of the organization Leading Women told us that they suspected that women inspire more trust (in consumers, coworkers, and investors) because they seem to listen more carefully and empathize with others. People with this ability, male and female, would succeed in times of crisis when the public has lost confidence in institutions. And given recent financial meltdowns, political upheavals, and natural disasters, confidence is in short supply.
“I guess you could say that things have to get really, really bad before they put women in charge,” quipped Janet.4 Said Christine, “I like to think that people know women, or men who can think like us, are wiser risk-takers.”
There's much support for Christine's argument. In 2009, an outfit called Hedge Fund Research reported that funds run by women had for nine years straight significantly outperformed those run by men.5 A 2012 study by Credit Suisse revealed that over a six-year period, shares of large companies (those with a market capitalization over $10 billion) with women board members outperformed comparable companies with all-male boards by 26 percent.6
Other statistics highlight the success of the feminine style and its importance for both women and men. In America, more women than men now enroll in college and graduate with bachelor's and advanced degrees. Even as women continue to fight the professional glass ceiling, four in ten wives out-earned their husbands in 2012, an increase of 50 percent from twenty years ago.7 Meanwhile, men who see the decline in manufacturing jobs are becoming nurses, elementary school teachers, receptionists, and school counselors at significantly higher rates.8 This change has coincided with men's greater involvement in housekeeping and child rearing at home. (One estimate from U.S. Census data shows that the number of stay-at-home dads has doubled over the past decade.9)
We also heard about nonprofit enterprises with feminine-leaning ideals, blossoming in America and abroad. The Roberts Enterprise Development Fund of San Francisco reported that its investments in more than fifty local nonprofit organizations had created hundreds of jobs and generated more than $100 million in economic activity annually.10 Seattle-based Pioneer Human Services has created more than a thousand jobs, and funds almost all of its $70 million budget with profits from its businesses.11 In Spain, the Mondragon network of cooperative, worker-owned enterprises has grown to employ more than one hundred thousand people.12 As reported in 2011 by the German journal Analyse and Kritik, 10 percent of the network's revenues must go to education, and 20 percent must be held in reserves.13
Considering the traits our survey respondents described as most feminine, we would say that much of the nonprofit sector is feminine in style and focus. More balanced in their pursuit of goals (profit is not the only measure of success), nonprofit leaders are typically responsive to human needs, inclusive in their decision making, and sensitive to the ripple effects of their actions. They are also becoming more creative and successful in the pursuit of growth and development. This view is supported by the Stanford Social Innovation Review, which reported a boom in the nonprofit sector in the first decade of the twenty-first century: “There was a proliferation of high-profile social entrepreneurs, an emergence of ‘big bettor’ philanthropists, and an increase in funding to the sector. Taken together, these trends fueled tremendous growth in the number and sheer size of nonprofits.”14
Of course, nonprofit organizations also depend on lots of masculine energy to get things done, and it's easy to find feminine traits driving for-profit enterprises. Adelaide Lancaster, who advises female entrepreneurs in New York City, gave us many solid reasons why women can be great at managing business start-ups, and all of them had to do with attitudes and aptitudes that are traditionally linked to women. These strengths, including a more calculated approach to risk and superior multitasking abilities, seem perfect for the modern business environment. “What if gender difference made women even better business owners?” she asks. “It's not hard to make a compelling case.”15
Beyond America, the rise of women into leadership positions appears to signal improvements in both social and economic development. When Brazil's president, Dilma Rousseff, opened the 2011 UN General Assembly, she argued that the “feminine voice” is also the voice of democracy and equality. Noting that her native Portuguese language considers the words for courage, sincerity, life, and hope to be feminine, Rousseff predicted a “century of women” that will bring peace and prosperity.16 Indeed, many studies have found that as women gain in education, employment, and wealth, a nation's well-being rises too.
Decoding the Athena Values
The stories and data that point to feminine success give us just a partial view of a more complex world. Some of the growth in income for women comes from the fact that high-paying jobs for unskilled men are in decline. According to the U.S. Bureau of Labor Statistics, women are still paid an average of 80 percent of the salaries paid to men for the same job.17 And even though the number of women with six-figure incomes is rising at twice the rate of men, they are still grossly underrepresented in executive suites. According to the think tank Catalyst, women held just 16.1 percent of board seats at Fortune 500 companies in 2011.18 In politics, business, and even the arts, the top decision makers are still more likely to be male, just as all but three of the twenty richest people on the Forbes list of billionaires are men.19
Although women still haven't achieved parity, their steady progress points to the value of feminine traits in the modern economy. Patience, sensitivity, and the ability to understand others are extremely valuable traits in a fast-paced and interconnected world. In our surveys, 78 percent of people said that “today's times require we be more kind and empathetic”; another 79 percent affirmed that “a successful career today requires collaborating and sharing credit with others.” These numbers affirm that “feminine” kindness and collaboration are essential values in the workplace as well as in the larger society.
Although this book is mainly concerned with leadership, we couldn't help but notice that feminine traits were essential in every corner of life. The vast majority of people agree that a good life is defined by a decent job, meaningful connections, and a modicum of security. Here again the traits most people associate with a good life are drawn mainly from the feminine side of the ledger. This is as true for men as it is for women.
Not only do the people we surveyed think that a mix of masculine and feminine are key to personal success, but 65 percent of people around the world believe that more female leadership in government would prompt a rise in trust and fairness and a decline in wars and scandal. The type of feminine leadership they described is not soft and squishy but wise and quietly strong. Boiled down to a manageable number, the keys to success, as our sixty-four thousand respondents saw it, were
These traits all seem like timeless virtues to us. They reflect a strength of character that is both admirable and noble. Candor, flexibility, humility, and balance all require true integrity and confidence. To be both vulnerable and connected to others, you must be courageous.
Gathered together, the qualities most favored in our study resembled, in our minds, the character of the Greek goddess Athena. Venerated for her intelligence, skill, civilizing influence, and fairness, Athena was a goddess of industry, arts, and crafts. It is Athena who gave the Greeks the olive tree, which sustained their economy and culture. When conflicts arose, she responded with clever strategy and wise tactics, whereas her brother Ares acted in violence.
If Athena is the personification of the qualities that suit our times, then the ideals she represents can be considered a kind of doctrine, guiding us toward effective leadership and success in our work, our communities, and our personal lives. Mainly feminine in a traditional sense, the Athena model is nevertheless available and essential for men who hope to thrive in an era of constant change.
The negative assessment of males—62 percent are dissatisfied with their conduct—and the positive appraisal of feminine solutions to contemporary problems show that people understand, perhaps intuitively, that a change is already under way. Despite the many obstacles that women still face across the world, people—regardless of geography or gender—feel that girls today have an opportunity to thrive that's equal to if not greater than that of boys.
Considering the big gap between how people felt about the world in general (negative) and how they regarded their own prospects (positive), it seemed obvious that our survey respondents felt that they knew there were ways to find success, happiness, and hope for themselves. Social scientists report that when it comes to the economy, people typically feel best when society offers them a fair shot at financial success in a “sustainable” system that can function well over the long run. As we analyzed the answers to our questions about gender and success, it became clear that a strong majority of people already recognized, at least subconsciously, the importance of Athena virtues, believing that men and women needed to meet the challenges of life with a predominantly feminine sets of skills, traits, and attitudes. It was also clear that the people who were more optimistic and confident about the future were already embracing and deploying their feminine thinking.
We looked at the data once again to see if there was a difference in terms of economic development between countries whose citizens think in a feminine way and those whose citizens think in a more masculine way. We found that more developed and established countries are more neutral in their thinking, embracing more feminine values, whereas emerging economies are still more masculine in their orientation.
Moreover, the countries with higher levels of feminine thinking and behavior also have higher per capita GDP and higher reported quality of life. (See Figures I.12 and I.13.)
Figure I.12.
Sources: Gallup World Poll 2011. “Quality of Life: Thriving Index.” 2011. https://worldview.gallup.com/default.aspx; World Bank. “GDP Per Capita PPP.” 2012. http://data.worldbank.org/indicator/NY.GDP.PCAP.PP.KD
Figure I.13.
Sources: Gallup World Poll 2011. “Quality of Life: Thriving Index.” 2011. https://worldview.gallup.com/default.aspx; World Bank. “GDP Per Capita PPP.” 2012. http://data.worldbank.org/indicator/NY.GDP.PCAP.PP.KD
In our surveys, we found that people around the world who think in a more feminine way are nearly twice as happy and optimistic about the future as those who think in a more masculine way.
With people around the world telling us through their survey responses that they favored the Athena style (although they didn't use the term), we set out to document this shift toward feminine virtues. We visited the crowded neighborhoods of Lima, Peru, and the windswept landscape of Iceland. We've traversed mountain passes to reach the city of Medellin, Colombia, and white-knuckled our way to the Himalayan nation of Bhutan. In 150,000 miles of exploration, we found the Athena Doctrine at work in government, business, and nonprofit enterprises. Some of the examples we found, such as the revision of Iceland's constitution, were grand undertakings. Most, however, such as the car-sharing service in London called WhipCar, were small and even experimental. But in every case, we saw people seeking a flexible and sustainable way of living and leading.
This book reveals the insights garnered from our global survey and the stories of people all over the world who struggle with economic adversity, rapidly changing technology, and stubborn social problems. Their Athena-style values didn't guarantee any of them eventual success. But the sincerity, energy, curiosity, and creativity they brought to bear in the pursuit of sustainable solutions were extremely inspiring, and gave us reason to hope that successful inclusive and humane initiatives will emerge from the current state of crisis. If necessity is indeed the mother of invention, we need her now.
Notes
1 Gerzema, J., and D'Antonio, M. Spend Shift. San Francisco: Jossey-Bass, 2010.
2 Howe, N., and Strauss, W. Generations: The History of America's Future, 1584 to 2069. Washington DC: Quill, 1992.
3 Ann Danylkiw, author, personal interview with John Gerzema, Nov. 2011.
4 Janet Walkow and Christine Jacobs, Leading Women, personal interview with John Gerzema and Michael D'Antonio, Nov. 2011.
5 Arterian Chang, S. “Outsiders and Outperformers: Women in Fund Management.” Finance Professionals' Post, Apr. 5, 2010. http://post.nyssa.org/nyssa-news/2010/04/outsiders-and-outperformers-women-in-fund-management.html.
6 Curtis, M., Schmid, C., and Struber, M. “Gender Diversity and Corporate Performance.” Credit Suisse, Aug. 2012. https://infocus.credit-suisse.com/data/_product_documents/_shop/360145/csri_gender_diversity_and_corporate_performance.pdf.
7 U. S. Bureau of Labor Statistics. “Wives Who Earn More Than Their Husbands, 1987–2011.” Labor Force Statistics from the Current Population Survey. Washington DC: U.S. Department of Labor, May 2012. http://www.bls.gov/cps/wives_earn_more.htm.
8 Dewan, S., and Gebeloff, R. “More Men Enter Fields Dominated by Women.” New York Times, May 20, 2012. http://www.nytimes.com/2012/05/21/business/increasingly-men-seek-success-in-jobs-dominated-by-women.html?nl=todaysheadlines&pagewanted=all&_r=0.
9 Lofquist, D., Lugaila, T., O'Connell, M., and Feliz, S. Households and Families: 2010. 2010 Census Briefs. Washington DC: U.S. Bureau of the Census, Apr. 2010. http://www.census.gov/prod/cen2010/briefs/c2010br-14.pdf.
10 Roberts Enterprise Development Fund of San Francisco. “About REDF.” 2011. http://www.redf.org/about-redf#accomplishments.
11 Pioneer Human Services. A Chance for Change: Annual Report 2011. Seattle: Pioneer Human Services, 2012.
12 Mondragon Corporation. “Corporate Profile 2012.” Mondragón, Spain: Mondragon Corporation, 2012.
13 Flecha, R., and Santa Cruz, I. “Cooperation and Efficiency in Economic Contexts.” Analyse and Kritik, 2011, 33, 157–170.
14 Kim, P., and Bradach, J. “Why More Nonprofits Are Getting Bigger.” Stanford Social Innovation Review, Spring 2012. http://www.ssireview.org/articles/entry/why_more_nonprofits_are_getting_bigger.
15 Adelaide Lancaster, cofounder, In Good Company Workplaces, personal interview with John Gerzema, Nov. 2011.
16 “Transcript of Dilma Rousseff's Opening Speech at the United Nations General Assembly.” Sept. 2011. http://brazilportal.wordpress.com/2011/09/22/transcript-of-dilma-rousseffs-opening-speech-at-the-united-nations-general-assembly/.
17 U.S. Bureau of Labor Statistics. “Women's Earnings as a Percent of Men's in 2010.” Editor's Desk. Washington DC: U.S. Department of Labor, Jan. 2012. http://www.bls.gov/opub/ted/2012/ted_20120110.htm.
18 Catalyst. “Women on Boards.” 2012. http://www.catalyst.org/file/725/qt_women_on_boards.pdf.
19 Forbes. “The Forbes 400: The Richest People in America.” Sept. 2012. http://www.forbes.com/forbes-400/.
Chapter 1
Great Britain
“In a world with less money, close personal relationships are more important.”
(82.1% agree)
Fixed to trees and streetlights, the handmade posters were decorated with arrows and the words “Sea of Rage This Way.” They pointed toward the student union building at the University of London. There, on the morning of November 9, 2011, a crowd grew larger by the minute beneath a sky of unbroken clouds. At noon, the scene resembled a street fair. An elderly man in an orange kilt danced a jig to music from a boom box that he had placed on the street. A few yards away, hip-hop beats poured out of a portable loudspeaker strapped to the back of a bicycle. These sounds echoed off the brick and stone walls of city buildings, mingling with chants of “No education cuts!”
At about 12:40 pm, more than two thousand men and women, a number equal to three brigades of the British Army, stepped off toward Trafalgar Square. They walked behind a banner—Occupy Everything, Take London—that stretched from sidewalk to sidewalk. They were accompanied by hundreds of London police officers dressed in florescent yellow jackets and helmets with clear plastic face shields. Drummers pounded on instruments strapped around their necks. Overhead, a police helicopter pounded the air with its whirling blades and provided observers the best possible view of unfolding events.
Motivated by a sense that the economic system no longer works for them, the protesters vented their frustration with chants and by jeering at the helmeted riot police. Some covered their faces to avoid being identified by surveillance cameras. The scene illustrated the loss of trust between the younger generation and society's leaders, and it echoed similar protests occurring around the world. It seemed as if people everywhere were struggling to find hope and a sense of agency. In the personal realm, they sought new definitions of happiness and new ways to achieve it. As political actors, they voiced their dissatisfaction with gridlocked politics and stale policies. In 2011, no social development was more significant than the rise of this “Occupy” protest movement, which was a loosely organized effort that allowed people to express their thoughts and feelings in a time of great uncertainty.
Beginning with the “indignados” who marched in Spain, people in dozens of countries took to the streets to show their anger over banking scandals, unemployment, political stalemate, and the growing disparity between rich and poor. In America, the anger became focused on the wealthy and powerful—referred to as the “1 percent”—and on the plight of the “99 percent” who feared the decline of the middle class. Parks and city squares became encampments as thousands of people tried to show their distress by literally occupying public spaces. These demonstrations were the largest and most widespread since the antinuclear protests of the 1980s, but they targeted problems so complex that no simple No Nukes–type of slogan quite hit the target. Solving the global economic crisis couldn't be as simple as banning the bomb.
In London, the Occupy activists built tent cities in the districts of Islington and Hackney and at St. Paul's Cathedral. They intended to focus public attention on their opposition to bailouts for banks and cuts to government spending on education and social programs. This austerity agenda, adopted by Britain and the Eurozone countries, differed from the American response to the Great Recession, which had included a large federal spending program to stimulate economic activity. In the United States, the mixed approach had been followed by improvements in employment and growth that were painfully slow but nevertheless real. In the United Kingdom and Europe, the pain of austerity had not brought consistent gain. Instead, unemployment bounced back up, and growth sputtered and then stalled.
With politicians failing to deliver progress, and austerity making daily life tougher, ordinary citizens became impatient and then angry. But while they forcefully declared the current system “unsustainable,” the London protesters did not offer a considered second step toward reform or improvements in “the system.” With no further outlet for the energy of the movement, it became mainly a matter of outcry, rather than action. Everyone in London knew what was upsetting the young occupiers—but structural solutions were no closer at hand.
However, at scattered locations around the city, inspired individuals and groups were quietly working on their own alternatives. Although we happened to arrive just in time for the noisy protest, we had come to London to meet a number of revolutionaries who were both quieter and more deliberate. Here we would find women and men who were practicing business, community activism, and crafts with a true Athena spirit. In every case, they stressed the power of connection—to individual customers, colleagues, and communities—to multiply the effect of their efforts and produce innovative solutions to common problems.
A quarter mile from the route of the November 9 march, Vinay Gupta and Tom Wright sat in a small office and tapped away at computer keyboards. When they paused, the two young men heard the thwacking helicopter, but they felt no urge to go watch the scene on the street, let alone join it. Not that they weren't sympathetic. Young enough to fit right in with the protesters, they understood that millions of their countrymen felt aggrieved by the Great Recession and the austerity program their government had adopted in response. Traditional pathways to work and security were disappearing, and it was easy to feel unsteady. Unless you were blazing a new path.
As they worked their computers, Tom and Vinay were in fact acting as pioneers of the new economy, turning an idea into an asset. Their small company, WhipCar, allowed anyone with a safe and reliable automobile to rent it by the hour, day, or week to a neighbor who needed one. In a flash, their service could turn a ton of metal at rest by the curb into handy transport for the renter and a clutch of cash for the owner. The car, and the transaction, would be secured by WhipCar and its insurers. The service would take a small slice of the transaction, but charge no membership fees.
When we caught up with the founders of WhipCar, they were adding more than a hundred vehicles to their listings every day, and each week saw an uptick in the number of rentals they had facilitated. Soon to exceed fifteen thousand vehicles, the fleet of cars available through WhipCar was worth in excess of $20 million and would rank the service among the largest rental outfits in the market. This resource was marshaled not with a bank loan or stock offering but on the basis of a simple but courageous idea: people are essentially honest.
“The basic service we provide is building trust between the owners and the drivers,” explained Vinay as he sipped tea in a quiet corner of the Hospital Club on Endell Street in Covent Garden.1 (Occupying an old hospital building, the club caters to young entrepreneurs who use it as a social and business hub.) “We provide both the insurance for the car and the assurance that a driver has been vetted and the car is in good condition,” said Vinay. “After that, the parties are in control of their own destiny.”
A slimly built thirty-four year-old from New York, Vinay flashes a smile when he hears a question about the breakthrough thoughts that made WhipCar work. Perhaps the most important, he recalls, was the realization that most private cars spend far more time resting at curbside than they do working at transporting people. All this idle time—roughly twenty-three hours every day—represents lost value for owners who spend, on average, $10,000 per year per car on insurance, repairs, and lease or loan payments. “It's the second most expensive thing most people ever buy, after a home, and it just sits there, losing value. We thought that if we could help people turn that value into cash, they would take the chance.”
Previous efforts at car-sharing projects had foundered because owners were wary of how renters might abuse their vehicles, and the services lacked the technology to quickly pair owners with renters. The spread of broadband Internet services and a well-engineered website solved the technology problems. WhipCar's site is so powerful that it can track thousands of vehicles and provide renters with instant maps showing the locations of many cars that fit their needs. (Most will be within a ten-minute walk of the renter's location.) The rules allow for drivers to bid for the car of their choice and require owners to accept or reject an offer within one hour.
With effective technology and rules in place, Vinay and Tom turned to the question of trust. According to one study, more than half the owners in the United Kingdom give names to their four-wheeled babies. How would they relate to perfect strangers arriving at their doorsteps and asking for the keys? More important, how would renters treat the vehicles they pick up on the street?
As it turned out, drivers who actually met the individuals who owned the cars they rented drove more carefully than Vinay or Tom expected. “We think that the human element actually reduced risk,” noted Tom. With WhipCar, “you are in someone's car. It's not a faceless car owned by some corporation. Everyone is acutely aware that they have to bring the car back to someone who owns it. It's not like you say, ‘I'm renting a car and driving to Scotland, and I don't care how I drive.’ This is a human marketplace, and that human aspect brings out the best in people.”2
Among car owners, the human aspect leads them to accept lower bids from frequent renters, who become like friends. Among renters, it leads to a sense of duty and even attachment. In almost two years of operation, WhipCar's founders had yet to see a serious dispute over the condition of a car that had been hired, and disputes over gasoline—drivers are expected to replace what they burn—could be counted on one hand. In the meantime, the service's most devoted car owners earned as much as $800 per month letting other people use their vehicles. Some actually consulted Vinay and Tom for advice before replacing their cars because they wanted to get one that renters preferred.
Beyond the benefits to WhipCar members, the founders count the financial and ecological payoffs that come with the more efficient use of thousands of cars. By various estimates, the manufacture of a single, medium-size car results in the production of more carbon dioxide that it will emit in a lifetime of operation. A WhipCar regular who chooses not to buy a car actually saves the planet the burden of roughly fifteen tons of manufacturing emissions. Driver payments to owners also convert the wealth frozen inside parked cars into cash that circulates in the economy. This resource is especially valuable, noted Tom, to “retirees who are on a fixed budget and hardly drive their cars at all[. They] really benefit from the extra income.”
By keeping costs low, Vinay and Tom managed to steer WhipCar toward profitability at a faster pace than their business plan predicted. They are being helped by a change in the way people relate to cars as status symbols. In the United States, “the percentage of sixteen-year-olds with a license declined from 44 percent in 1988 to 30 percent in 2008,” explained Vinay. “A similar thing is happening all over Europe. And owning a car just doesn't represent the same status that it once had.” In fact, in recent years the United States has seen a decline in car ownership for the first time ever. This trend, and a drop in the number of miles logged by younger drivers, suggests that cars are losing their magic as a status symbol.
In a time of economic stress, owning a car when it's obviously cheaper to rent might be seen as a sign of bad judgment, if not a character flaw. Considering their peers—adults in their twenties and thirties—Tom and Vinay argue that flexibility, creativity, and independence are the new markers of a kind of success that is less ostentatious and more sustainable. “If you look at technology and the economy, you can see that we are going through a great disruption,” added Vinay, who worked in telecommunications before becoming an entrepreneur. “I didn't own a mobile phone until I was twenty-two. Now five-year-olds carry them, and two-year-olds know how to use an iPad. It's completely understandable that people are upset by all the changes.”
The shifts in employment and the popping of the real estate bubble have left many people with a sense of dislocation and anxiety, added Vinay. The antidote, he argues, can be found in new definitions of what makes a good life and in a creative response to the economy. He believes that the world holds endless possibilities for those who can improve a business or a service to give more people access to something of value.
“Houses are a good example,” he said. “Home ownership used to be the definition of success. It doesn't mean the same thing anymore. Now we know that the housing boom was artificial and it's far more economical not to own a property. I don't own a house. I don't have a car. And I'm not sure I ever will. But I can buy access to a place to live and a car to use, and I have loads of experiences that make life richer.”
A good example of this “access” approach to living is the Hospital Club, where we met. Set in a beautiful and expensive neighborhood, the club provides graceful spaces that many members could not otherwise afford to enjoy. Like WhipCar, the club allows those who need something expensive, but only on a short-term basis, to add it to their life. “Today, the thing people need is access to an experience, not necessarily ownership,” observed Vinay. “And we can arrange that by relating to each other more personally.”
The personal quality of the WhipCar formula prompts many people to add a little handwritten promise—“I'll be careful”—to the more formal commitment they make as they sign a rental agreement. The words are stronger than ink on paper because they help bind the buyer and seller in a relationship. In this, the WhipCar model stands out against the global trend toward an impersonal marketplace. Commerce conducted online and at scan-it-yourself checkout counters may be efficient, but it comes without the sense of security and connection we get when we can see, hear, and come to know the person on the other side of the transaction.
Much studied and much lamented, the alienation of modern life flows, at least in part, from the feeling that we don't know enough about how our world works. As technologies become more dazzling and our jobs become more specialized, we know less and less about how objects are imagined, designed, produced, and delivered. The feeling that we are isolated from the origins of things is relieved when we see a cook toss dough into the air at our local pizzeria or meet the owner of an orchard at the farmers market.
The basic human desire for connection inspired Katie Mowat to found a service that pairs consumers with knitters who make bespoke hats, scarves, and other winter woolens that they can design themselves online. The twist is that the knitters are actual grandmothers—and you get to pick your own granny! More than a dozen “grans” are featured on Katie's website, and customers are encouraged to communicate directly with the knitter they pick, working through preferences on shape, colors, and stitching. The finished goods are shipped with labels, stitched inside, that are addressed to the buyer and signed by the granny.
On the night we met her for dinner on the South Bank of the Thames, twenty-eight-year-old Katie arrived wearing a long fuchsia scarf, happy to report that a cold front was finally bringing a chill to the season. Autumn was arriving late to London, not good for a business that depends on people shivering when the wind cuts through their clothes. Grannies Inc. might be a playfully creative enterprise, Katie noted, but it is also a real business that provides income for knitters and needs revenues to keep humming.
“In my first year I made a mistake by pricing everything too low,” recalls Katie. “I had to learn that for premium products you charge a premium price. Our knitters are really extraordinary, and the quality of what they make is so high you could wear it for years and years.”3
The emotional premium in a Grannies Inc. purchase is delivered first as a buyer reads biographies of the grannies. “I didn't have grandparents on either side of my family when I was a child,” recalled Katie. “The grannies we have are surrogates for me, and I think it works that way for a lot of people who use the site. But then you get invested in the design of the item and the collaboration. Finally, when you get that package with something in it that has been handmade specifically for you, it's a wonderful experience. A lot of people have never received a package like that in their lives.”
Of course the thrill of receiving a granny-made hat, vest, or scarf would fade quickly if it were poorly made. Here, Katie's own experience as an avid knitter comes into play. As a college student studying in America during a knitting craze that began in 2001, Katie took up the craft and became extremely proficient. Knitting and the community of women who did it gave Katie both a creative outlet and a deep appreciation for social networks. Knitters, it turns out, are happy to share their secrets and encourage each other with great enthusiasm.
With Grannies Inc., Katie recreated her college knitting circle on a scale so grand that it reaches across the English countryside to include hundreds of highly skilled older women. The day after we met Katie, we hopped a Chiltern Railways train to the Oxfordshire town of Banbury. There, Holly, a tall, straight-backed woman with gray hair piled on her head, met us at the end of a long gravel driveway and walked us to the door of her house. Inside, she kicked off her shoes and led us to a cozy room warmed by a potbellied stove. A basket filled with wool and knitting needles rested beside the chair she sank into. The view from her window included a few dozen sheep grazing on a grassy hillside. In the distance, the sun met the horizon.
“I had a very, very good marriage, but when my husband died in 2006, I learned that the world isn't going to come up your drive and say, ‘Please, can Holly come out to play,’” said Holly. “I realized that I had to make life work for myself.”4
As she made her life, Holly pursued sailing and wound up in the Mediterranean, the Caribbean, and the choppy waters off the Orkney Islands. She became a devoted volunteer at the hospice center that helped her husband. This work reinforced her Buddhist sensibilities. “I appreciate how transient and fragile life is,” she explained. In the quiet hours, needlework and knitting aid her in meditation and reflection.
“I learned to knit a long, long time ago,” recalled Holly. With the rationing of World War II, skill with a needle made it possible for sweaters and hats to be repaired and remain in service. Knitting and sewing circles brought women together when their husbands were at war. The craft also made a young girl proud that she could do her part.
When Holly read a newspaper article about Grannies Inc., she emailed Katie to wish her well. Katie answered with a question: “Would you like to knit a sample beanie?” After Holly said yes, she received a package containing the yarn, needles, and pattern she was to use. The beanie was almost perfect, and Holly became an official Grannies Inc. knitter. A faster and more ambitious knitter than most, Holly has accepted big jobs, including an order for dozens of beanies placed by a European TV network. “I was really chuffed,” she recalled, “when my children were watching TV and they called me because the commentators were wearing beanies I had knitted.”
