Corporations have driven life-changing innovation and the greatest creation of wealth in history. Yet this wealth—and the power and influence it confers—has accrued almost entirely to a tiny fraction of our population, leaving those who have contributed as much (if not more) with little to show for it. More than that, a resolute focus on maximizing profit and shareholder returns has pushed US jobs abroad, suppressed wages, stifled economic mobility, and degraded our natural environment, leaving a third of our population barely able to afford even basics like groceries and rent. More than half of people who live in economic insecurity are people of color, but they are not alone; nearly a quarter of all white people also live in economic insecurity.

If this disregard for people and our planet is fraying the fabric of our society and our democracy, it’s more than a moral issue: it is a historic opportunity for corporations to re-envision their purpose, their guardrails, and the value they deliver to all stakeholders—workers, customers, communities, shareholders, and our planet alike. Amid epic inequality and attacks on the legitimacy of democracy, this is the moment for companies to step forward as stewards of our society, for their own benefit as well. A healthy, skilled labor force, an economically secure consumer base, and stable democratic systems are essential for robust markets and business growth. If businesses are to thrive for generations to come, the definition of business must change. It must mean to be a responsible steward of thriving communities, a healthy planet, an equitable economy, and a flourishing multiracial democracy in service to the needs of all.

There are many concrete actions that companies can take to have a significant positive impact on some of the toughest challenges facing the nation and the world. Here are just three ways the new standards point to this, with examples of how some companies are already leading to make a difference.

  1. Formalize positive social impact in the governance of the business.
  2. Ensure the entire workforce receives fair compensation and benefits that support worker and family health.
  3. Protect the fundamentals of our democracy and ensure it works in service of all people and a healthy planet.

Read the full article about corporate social responsibility by Mahlet Getachew at Stanford Social Innovation Review.