{"id":1883,"date":"2021-11-09T15:32:43","date_gmt":"2021-11-09T15:32:43","guid":{"rendered":"https:\/\/symposium.org\/?p=1883"},"modified":"2021-12-02T08:13:53","modified_gmt":"2021-12-02T08:13:53","slug":"executive-summary-49th-st-gallen-symposium","status":"publish","type":"post","link":"https:\/\/symposium.org\/executive-summary-49th-st-gallen-symposium\/","title":{"rendered":"Executive Summary 49th St. Gallen Symposium"},"content":{"rendered":"\n
Every year for nearly half a century, the St. Gallen Symposium has gathered hundreds of participants \u2013 titans of industry, top politicians, entrepreneurs and scholars, students and activists \u2013 to discuss an important topic. In recent years, attendees have discussed disruption, growth, and the future of work.<\/h5>\n\n\n\n

When it was first proposed, this year\u2019s theme seemed limited, even unimaginative: What could be more predictable than a conference on capital held in one of the richest countries on earth?<\/p>\n\n\n\n

But as guests gathered in St. Gallen, it became clear that they were there not to celebrate the status quo, but to challenge it. Over the course of three days they questioned the very nature of the system that has organised our economies and preoccupied our politicians for centuries. From its first moments, the symposium\u2019s debates concerned nothing less than the uncertain and precarious future of our world. In the face of profound, existential threats, they agreed, we must make profound changes.<\/p>\n\n\n\n

\u2018Young people are not the future.\u2019<\/strong><\/p>\n\n\n\n

In one of the last sessions of the symposium, Bobby Jones, a New York-based marketing guru who has worked extensively with today\u2019s youth, challenged the very premise that \u201cLeaders of Tomorrow\u201d should wait their turn. \u201cWe tell young people, \u2018you\u2019re going to be great someday\u2019,\u201d Jones said. \u201cBut young people are ready to change the world, and they\u2019re doing it \u2013 right now. This idea that young people are the future is a lie. Young people are not the future. They are our most powerful resource for cultural and systemic change.\u201d<\/p>\n\n\n\n

Capital \u2013 and Questions<\/h5>\n\n\n\n

The topic of the 49th St. Gallen Symposium was \u201cCapital for Purpose.\u201d But another theme emerged over the course of three days: developing uncertainty. As faith in capitalism across the world rapidly erodes, the present and future leaders gathered at the symposium asked each other some crucial questions: Are we living through the beginning of the end of capitalism? And if so, what other forces might fill the vacuum left behind?<\/p>\n\n\n\n

Few people at the symposium were willing to completely abandon a system that has, successfully for the most part, fulfilled its purpose for centuries. But everyone acknowledged some difficult truths. If capitalism is to survive, it must be reshaped to alleviate crises like inequality and climate change. To do so, we must get businesses to redefine their purpose and change direction.<\/p>\n\n\n\n

In their welcome address, symposium chairmen Dominic Barton, McKinsey & Company Global Managing Partner Emeritus, and Goldman Sachs Vice-Chairman Lord Griffiths of Fforestfach touched on these themes, setting the tone for discussions to come.<\/p>\n\n\n\n

For Lord Griffiths, the key questions we need to ask ourselves couldn\u2019t be more basic: \u201cWhy do I exist? And how do I integrate the purpose of my life into my business?\u201d<\/p>\n\n\n\n

Barton, on the other hand, delivered a full-throated defense of capitalism, a system he argued we need more than ever even as public confidence in it has slipped. \u201cIt is the source of solving issues [like] climate change,\u201d he said. \u201cBut … trust and confidence in capitalism has dropped.\u201d<\/p>\n\n\n\n

With such complex questions about the future at its heart, it was fitting that the symposium started with a speaker who tried to draw lessons from the past. Niall Ferguson, Senior Fellow at Stanford University\u2019s Hoover Institution, said many young people are only superficially aware of the history of capitalism and socialism \u2013 and often confuse socialism with social democracy.<\/p>\n\n\n\n

From Ferguson\u2019s long-term perspective, capitalism carries an inevitable cost with it. \u201cThe choice is clear: one has to decide whether one wants to go for growth and innovation and accept a greater level of inequality, or whether one wants to have a more egalitarian society,\u201d he said. \u201cThat\u2019s the central trade off, and democracy is the way we make that decision.\u201d<\/p>\n\n\n\n

“One has to decide whether one wants to go for growth and innovation and accept a greater level of inequality, or whether one wants a more egalitarian society.”
\u2014 Niall Ferguson<\/strong><\/p>\n\n\n\n

Evolution or Revolution<\/h5>\n\n\n\n

As participants launched into two days of intense debate and exchange, that assertion was questioned over and over again. Participants suggested capitalism must adapt to survive, incorporating more social responsibility. Decision makers clashed over the best way to ensure capitalism remains the correct model for addressing society\u2019s evolving needs. During the \u2018Bridging capital and purpose: the way forward\u2019 discussion, top executives laid out competing visions of capitalism.<\/p>\n\n\n\n

Tracy Blackwell, Chief Executive Officer of the UK-based Pension Insurance Corporation, cautioned the symposium against radical action in the quest to realign capitalism\u2019s social compass. \u201cWe all talk about what doesn\u2019t work,\u201d she said. \u201cWe spend very little time talking about what does. Billions of people have been lifted out of poverty because of the allocation of capital.\u201d<\/p>\n\n\n\n

This more cautious stance was echoed by Credit Suisse\u2019s International Wealth Management division CEO, Iqbal Khan. \u201cWe need to keep in mind that if you want to have capital and purpose align and combine, it has to be sustainable \u2013 it has to have a rate of return that is acceptable to the investors,\u201d Khan said.<\/p>\n\n\n\n

In contrast, some envisioned a more radical path. Tom Kibasi, Director of the Institute for Public Policy Research (IPPR), advocated harnessing capitalism\u2019s power to tackle major social and environmental issues. \u201cCapitalism and democracy exist to serve society, not the other way around,\u201d Kibasi reminded the audience.<\/p>\n\n\n\n

The existential threats of climate change and environmental destruction, recurring themes throughout the symposium, merited immediate utilisation of capital. Kibasi said: \u201cWe need to put the global economy on a war footing to tackle this challenge.\u201d<\/p>\n\n\n\n

Healthy Friction<\/h5>\n\n\n\n

The action at the symposium was often offstage: Dozens of small group sessions fostered intense exchange. Such intergenerational conversations, which Credit Suisse Global Marketing and Brand Communications head Steven Althaus called \u201chealthy friction,\u201d set the symposium apart from other forums. It wasn\u2019t just top leaders who had lessons to teach. The Leaders of Tomorrow had a message too. \u201cMaking money is not how we envision purpose,\u201d said Anand Ankit, an Indian filmmaker based in Zurich. \u201cWe want to see an impact in society.\u201d Two days of debate forced everyone to think more deeply. One thing was quite clear: Over the course of three days, people formed new bonds, expanded their networks, and began a conversation that will keep the spirit of the symposium alive long after the last guests leave.<\/p>\n\n\n\n

In case you missed it<\/h5>\n\n\n\n