Ihe Pacte law (action plan for the growth and transformation of companies), adopted in May 2019, created the status of company with a mission allowing companies that so wish to set themselves a “raison d’être” and to aim , in addition to economic performance, a positive social and environmental impact assessed by an external body.
Four years later, more than a thousand French companies, including Danone, La Poste, Crédit Mutuel, Arkéa and MAIF, have opted for this status.
After a timid start, this number knows, according to the Barometer of the observatory of companies with a mission from March 2023, steady progress, especially since, in a context of shortage of young talent, this status is proving to be an asset for recruiting and retaining. Nearly three-quarters of young graduates say they are attracted to these mission-driven companies (“Career beginnings of young graduates from the Grandes Ecoles”NewGen Talent Center, Edhec, 2023).
A certain success therefore seems to be at the rendezvous. But the reconciliation between financial objectives on the one hand and mission on the other hand is however not simple. The search for economic performance easily takes precedence over the mission which, for its part, sometimes requires sunk investment. The law says little about these managerial challenges.
Communicate internally
However, if this status must accompany the transformation of capitalism, it is urgent to reflect on the concrete methods of its implementation. Our research has enabled us to identify four levers of action for companies concerned with aligning their practices and their discourse in favor of more sustainable development.
Communicating widely internally on the mission pursued and translating it into concrete and measurable objectives is first of all essential, by acquiring the human and technical resources necessary to measure them. Therefore, it becomes possible to change the incentive systems within the company to promote social and environmental performance alongside financial performance. A necessary condition if we want to prevent the raison d’être displayed by the company from falling by the wayside in times of difficulty.
The structuring of the company must also be considered. Should all teams be responsible for activities related to both the pursuit of profit and societal impact? Or should these activities be divided between different teams? And how to deal with the tensions that will inevitably emerge? The answers may vary from one company to another, but these questions should not be avoided, otherwise part of the objectives may be overlooked.
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