🔍 Is your ethics approach outdated?

Too many businesses treat ethics as an add-on feature. Here's why it should be your foundation instead.

Author

Mario Peshev
April 01, 2025

Welcome to Legacy Beyond Profits, where we explore what it really means to build a business that leaves a mark for the right reasons.

What was once the corporate equivalent of eating your vegetables has become the main course – and forward-thinking companies are feasting on the opportunities presented by ethical business practices.

đź“° Purpose Spotlight

Companies Playing Hide-and-Seek with Their Green Initiatives

Companies are quietly continuing their ESG work while zipping their lips about it publicly. Why? Political backlash and legal headaches have turned green bragging rights into potential liabilities. Think of it as stealth mode for sustainability. The carbon footprint shrinks, but the press releases never come.

Purpose Now Outranks Profit

A whopping 82% of employees believe businesses should have a purpose, according to McKinsey. Nearly 3 in 4 think purpose deserves more attention than profit. Companies are scrambling to stitch meaningful missions into their corporate DNA faster than you can say "values statement."

Meaning at Work: No Longer Just for Philosophers

The great meaning migration is underway. Workers aren't just chasing paychecks anymore—they're hunting for purpose. Smart leaders are redesigning workplaces around three basic human needs: community (belonging), contribution (impact), and challenge (growth). The 9-to-5 is transforming from "time served" into something that actually matters.

Hooters Hands Over the Reins (and Wings)

Hooters is getting out of the restaurant-running business to focus on what they do best – being Hooters. The company's shifting to a pure franchise model, betting that local entrepreneurs can better preserve their, ahem, assets in the cutthroat casual dining world. It's like letting the children run the household while the parents collect rent. Bold strategy for a 40-year-old brand looking to secure its legacy.

🏛️ When Ethics Becomes Your Operating System, Not Just an App

I like to think of tomorrow's ethical business practices as the operating system of a company, not just another app you can download when convenient. Too many businesses still treat ethics as an add-on feature – something to be bolted onto existing operations.

đź”± Three Forces Reshaping the Ethical Business Landscape

Imagine standing at the confluence of three powerful rivers – technology, consumer values, and regulation. That's where today's business leaders find themselves.

The Technology Imperative

AI is transforming how companies approach ethical decisions. Rather than relying on periodic audits, AI systems can continuously analyze patterns to identify potential ethics issues before they escalate. Meanwhile, blockchain is creating unprecedented transparency – like installing glass walls throughout your entire operation.

The Consumer Values Revolution

Today's consumers, especially younger generations, evaluate companies based on alignment with their personal values. When a consumer connects with a company's ethics, they become passionate advocates. The relationship transforms from transactional to emotional.

The Regulatory Tidal Wave

We're witnessing a sea change in how governments approach corporate ethics. The EU's sustainability directives represent a fundamental shift from voluntary reporting to mandatory disclosure. In the US, we're seeing focused regulatory attention on data privacy, AI ethics, and ESG reporting.

đź“š Quick Win: Ethics Technology Assessment

Book Recommendation:

"Regenerative Leadership" by Hutchins and Storm.

Think of this as your field guide to building organizations that act more like forests than factories. Instead of depleting resources, these companies create abundance in their wake. It's less about sustainability (maintaining) and more about regeneration (improving).

Action Step:

Ask your team one simple question today: "What's one thing we do that takes more than it gives back?" 

Meet for just 15 minutes. Have everyone write their answers on sticky notes. Look for patterns. Pick the most mentioned issue. Then flip the script with a follow-up: "How could we redesign this to create more value than it consumes?"

The magic happens when people realize regeneration isn't some distant hippie dream—it's practical business innovation hiding in plain sight. One company found their shipping waste could become another's packaging material. Suddenly, a cost center became a revenue stream.

🦅 Your Legacy Starts Today

The transition to a more sustainable, equitable economy isn't someone else's responsibility—it's yours. And it doesn't begin next quarter or next year. It starts with today's decisions.

This week, identify one area where your business model could create greater value for all stakeholders. Is there a waste stream that could become a resource? A community need that aligns with your expertise? A technology that could reduce your environmental footprint?

The possibilities for innovation explode when we expand our definition of success beyond the quarterly report. Your legacy isn't something you leave behind—it's something you build daily, decision by decision.