Dan Ioschpe: Speed and complexity require more care with reputation

Perhaps the lifespan of organizations as we have become accustomed to seeing it will not be the same in the future. This does not mean that there will not be long-lasting companies, but there is another avenue of shorter and very upward cycles, which spread quickly. The dynamics are much more competitive due to speed and complexity, the result of technology, as technological leaps are accelerated; of money, which the generation of wealth makes available for projects; and people, because there was progress in education and personal development. So, with more chips, more money, more people, you can develop developments never before imagined, at a very large acceleration curve. And that is the challenge of managing companies.

“If you are missing legs, look for alternatives to preserve sustainability”

The question of long term versus immediate results is historical and will always be raised. Now, when it comes to the sustainability of a company – which is also a key factor in reputation, because if the company is not sustainable, it ends –, you need to think this way. If you don't have the legs and lungs to do everything at a given moment in sustainability, you need to do it according to your own condition. If this leg size, if this air in the lung is too small and the steps to be taken are also not sustainable, it is necessary to go back within the board, possibly even with a group of shareholders, and check if there are alternatives so that sustainability be preserved. It's not necessarily about doing more short or long term. It is necessary to think about achieving the objectives, as this deployment, this launch of actions on a time map that is neither much smaller nor much greater than what sustainability demands.

Without going into specific cases of accounting fraud, I understand that companies have councils, shareholders, and that the fiscal council, the board of directors, committees, external entities, auditors, banks, creditors can also be involved – let alone the instruments and the checks and balances bodies are working, the more unlikely it is that there will be major surprises. It is necessary to do this and update these mechanisms constantly.

How do we work with physical distancing and culture? Councils and management are focused on this. So, on the one hand, there is economy, enormous functionality in remote systems. On the other hand, there are stories in which cultural dissemination within the company lost out to virtual compared to in-person. The companies that are doing the best at this are working both ways. A little rule in the sense of saying: look, let's have flexibility, show the good side, but, unfortunately, those who are opposed to any type of face-to-face, may end up having to review their position in the organization. If we conclude that some in-person activity is essential for the dissemination of culture, and the dissemination of culture is fundamental for the sustainability and reputation of the company, what will you do? Are you going to say: are we going to live with this risk? It is difficult. People, in general, understand this, but it has to be done well.

“Emissions (of carbon) are a key topic in the very near future”

Emissions (of carbon) are a key topic in the near future. It's a super sophisticated topic, full of opportunities and threats that companies have to address. I'm not an expert in the area, but I read a lot about environmental issues and global warming. If I were to list just one, I would say that this is a very strong issue for the next three years, the next five years, until we reach a situation where we can look and say: wow, apparently, we are on a more controlled trajectory to avoid a big disaster.

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