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Author: Eric Coorens, Senior Researcher, Avans University of Applied Sciences, Audencia
Original article: https://theconversation.com/leading-the-charge-how-regenerative-business-leadership-can-improve-social-environmental-and-economic-systems-244605
By restoring ecosystems, empowering communities, and driving sustainable economic growth, regenerative business practices create long-term value. But these shifts demand more than strategic tweaks; they require visionary leadership capable of steering organisations through systemic change.
At its core, regenerative leadership blends ecological, social, and economic value creation. For instance, a CEO might power operations with renewable energy (ecological), invest in green job training for local communities (social), and achieve profitability through reduced costs (economic). These leaders see beyond profits, acting as stewards of a better future.
Understanding a regenerative integrated approach
The RIFT (Regenerative Integrated Framework for Transformation model is a strategic approach designed to guide businesses and leaders in transitioning from traditional, often unsustainable practices, to regenerative ones – practices that actively improve social, environmental, and economic systems. For example, instead of simply reducing waste, a business might adopt circular economy principles to repurpose waste into new products (environmental benefit), create jobs in local recycling facilities (social benefit), and cut material costs (economic benefit).
The model identifies systemic barriers such as organisational resistance, lack of collaboration across value chains, and limited stakeholder engagement that hinder the shift to regeneration. It addresses these by fostering regenerative business capabilities like innovation, closed-loop value systems, and proactive partnerships, while strengthening leadership to champion these changes. This practical framework equips businesses with the tools and processes needed to make regeneration actionable and impactful.
There are five leadership dimensions required for regeneration
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Consciousness: CEOs must understand their business’s impact on interconnected ecological, social, and economic systems. A leader in the fashion industry, for instance, could champion regenerative agriculture, enhancing soil health (ecological), supporting farmers (social), and securing raw material supply chains (economic).
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Hallmarks: Regenerative leaders differ from traditional profit-first or sustainable leaders. They prioritise visionary ideas and systemic change. A hallmark initiative might involve slashing carbon emissions while creating green jobs, showing how authenticity inspires collective action.
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Engagement: Building trust across diverse stakeholders is critical. This could mean partnering with communities on renewable energy projects, delivering economic benefits, environmental improvements, and a shared sense of purpose.
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Morality: True leadership is grounded in ethics. CEOs act as moral agents, prioritising societal and ecological well-being over short-term gains.
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Preemptiveness: Proactive leaders anticipate challenges, fostering innovation and resilience. They don’t just react; they lead, ensuring their organisations thrive amid shifting landscapes.
A CEO-led regenerative transition
Consider the example of a mid-sized manufacturing company facing pressure to decarbonise. The CEO embraced the RIFT model, initiating an external audit to identify barriers to regenerative practices. Through visionary communication and engagement with employees and external stakeholders, the company shifted its value chain toward circularity and social inclusiveness. By proactively addressing environmental and social challenges, the CEO not only ensured compliance but also achieved competitive differentiation, increased employee satisfaction, and strengthened partnerships.
This success highlights the CEO’s pivotal role as a key change agent, navigating complexity with resilience and a long-term focus. The result was a thriving organisation contributing positively to societal and ecological systems – a testament to the transformative power of regenerative leadership.
The call to action
Leadership plays a critical role in the successful transition toward regenerative business. By addressing the systemic barriers and fostering a culture of regeneration through specific leadership aspects, CEOs can guide their organisations toward a sustainable and thriving future. The journey to regeneration requires visionary leaders who are committed to making a positive impact on society and the environment, ensuring long-term business success and resilience.
The future needs leaders who do not merely respond to change but actively shape it. CEOs must evolve into regenerative leaders who balance profit with purpose and short-term targets with long-term resilience.
Through the five dimensions of CEO leadership – consciousness, hallmarks, engagement, morality, and preemptiveness – leaders can cultivate an organisational culture that aligns economic success with ecological and social regeneration. This journey requires courage, innovation, and an unwavering commitment to societal well-being.
As business ecosystems evolve, the CEOs who embrace regeneration will not only redefine success but also lead the charge toward a more equitable and sustainable world.
This article was based on “A practice-based approach for businesses and their CEOs to become regenerative,” E. Coorens, DBA Thesis Audencia/Avans.