56- Yancey Strickler ex-CEO @Kickstarter - Towards more generous capitalism
May 4, 2021
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Yancey Strickler, co-founder and ex-CEO of Kickstarter, discusses his vision for more generous capitalism. He emphasizes the need to shift from profit maximization to integrating non-financial values in business. Strickler introduces the Bento method, a framework bridging emotional intuition in design with data-driven decision-making. He also explores the transition to public benefit corporations and shares strategies for fostering change in traditionally profit-focused organizations, empowering designers to elevate their roles within companies.
The podcast discusses the importance of shifting the focus from profit maximization to a more inclusive decision-making philosophy that considers broader values.
Yancey Strickler introduces the Bento Method as a framework for balancing immediate needs and long-term responsibilities in business decisions.
Deep dives
The Shift Towards Profit Maximization
The idea that profit maximization has become the dominant decision-making philosophy in businesses is explored, with an emphasis on how financial value is often the only rational value companies recognize. This perspective developed over the last century, as businesses sought measurable outcomes to justify decisions. However, this narrow focus on financial gain overshadows the potential positive impacts and possibilities that could emerge from considering a broader set of values. The challenge lies in articulating a more inclusive argument that can compete with the prevalent financial rationale in corporate environments.
The Bento Method: A Framework for Decision Making
The Bento Method is introduced as a tool that helps individuals and organizations make decisions that account for both immediate needs and long-term responsibilities. It comprises four quadrants: 'Now Me,' 'Future Me,' 'Now Us,' and 'Future Us,' allowing users to evaluate the implications of their choices from multiple perspectives. By encouraging a balance between self-interest and communal considerations, this framework aims to foster more thoughtful decision-making. It empowers individuals to integrate the needs of themselves, their immediate community, and the larger society into their rationale.
Embedding Values Through Public Benefit Corporations
The concept of a Public Benefit Corporation (PBC) is highlighted as a structural approach for businesses to legally balance shareholder profits with societal good. Kickstarter's transition to a PBC exemplifies how such an organization is held accountable to its public charter, which mandates actions that advocate for artists and reinforce ethical business practices. This legal designation fosters a commitment to social impact, ensuring that decisions are made with consideration for broader societal responsibilities. The establishment of explicit values within a PBC empowers employees to more effectively advocate for the company's mission and to push for decisions that prioritize public good alongside profit.
Navigating Change Within Corporations
The discussion addresses the complexities of instigating change within profit-driven companies, suggesting that significant shifts often require collective employee pressure or a transformative realization from leadership. Employees are encouraged to use their insights and influence judiciously, framing arguments in terms of stakeholder benefits and long-term vision rather than solely ethical concerns. Effective communication that maintains respect for existing organizational structures can enable constructive dialogues about values and priorities. Ultimately, individuals striving for change should leverage shared language and principles to demystify their proposals, promoting collaboration between emotional and financial perspectives.
Yancey Strickler is the cofounder and ex-CEO of Kickstarter, which revolutionized the field of early-stage investments with the crowdfunding model. The company has helped raise over $5 billion for more than 200,000 projects.
After leaving Kickstarter, Yancey became an author and wrote a beautiful book titled This Could Be Our Future: A Manifesto for a More Generous World. In this book, Yancey lays out how we got to the world where making money became the main and only goal for companies and how we can change that culture through the Bento method.
In this podcast, we go deep into how designers can use the Bento method to raise the quality of their arguments in business conversations.
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