16 September 2024 (UK): Work has begun on the development of a new International Standard for corporate purpose designed to help organizations go beyond a profit-first mindset.
The new ISO (International Organization for Standardization) Standard will be created to provide global solutions to support organizations in becoming purpose-driven and aligning corporate purpose for the long-term well-being of people and the planet. It follows the publication of a BSI standard on Purpose-Driven Organizations (view more information on PAS 808 here) in January 2022, and will build on BSI’s work to convert this for a global corporate audience.
The announcement comes as new research from BSI reveals nearly two-thirds of people globally (63%) and 55% in the UK say they consider a company’s social and environmental purpose when making purchasing decisions. In 2022 this stood at 47% for the UK. Nearly two-thirds globally (63%) also say they would abandon a product or business acting inconsistently with its purpose.
The development of the International Standard over the next 48 months will see the conversion of PAS 808 through the ISO process and involve an international committee of experts from all over the world, supported by national delegations representing a wide range of stakeholders across more than 170 countries, with an anticipated launch in early 2027.
This global effort and the opportunity this creates for widespread adoption and use of the new ISO Standard will help create a shared framework to ensure consistency and authenticity in purpose-driven practices to contribute to a sustainable future and address societal challenges.
PAS 808 has been adopted by Anglian Water while several other companies have used it to inform the creation of their purpose framework. BSI has developed a maturity assessment service against the standard and this will be launched in October 2024.
John Hirst, Chairman, BSI, said: “As our research shows, customers, investors and regulators want to know if organizations are part of the solution to society’s challenges and working to accelerate progress towards a fair society and a sustainable future. When organizations invest in their purpose, they can make the shift from the traditional profit-first mindset to one where financial success is an outcome of focusing on innovating for societal and environmental impact.
“An International Standard on corporate purpose offers the opportunity to help organizations and their global supply chains to embed public trust that they are genuinely committed to doing the right thing. This is an exciting moment and BSI is proud to be playing a leading role. The future of business is purpose-driven, and the time to act is now.”
An event will be held to mark the launch of the ISO Standard development process, hosted by BSI and Clarasys Consulting in Central London on 16 September 2024. It will explore how leading organizations are already embracing the challenge of becoming truly purpose-driven and the impact an international version of PAS 808 will have.
