In other words, natural capitalism assigns an economic value to stewardship of the planet. We can create new jobs, restore our environment, and promote social stability. In this paradigm for the economy, three leading business visionaries explain how the world is on the verge of a new industrial revolution, one that promises to transform our fundamental notions about commerce and its role in shaping our future. Natural capitalism assumes that goods and services have a value apart from their potential sale price on the. Ncs shows how to restore and further enhance the natural and human capital while increasing prosperity and quality of life. Natural capitalism natural capitalism is based on respecting and learning from the natural order of things. Not all companies can profit from the shift of the business model. Natural capitalism solutions inc guidestar profile. Natural capitalism solutions home natural capitalism. Hunter lovins, cofounders of the rocky mountain institute, a nonprofit resource policy center and consulting firm. Named a time magazine 2000 hero of the planet and called by newsweek the green business icon, l. Hawkenlovins do not recognize social capitalinstitutions explicitly but focus on four forms of.
The solutions are creative, practical, and profitable. Creating the next industrial revolution is a 1999 book on environmental economics coauthored by paul hawken, amory lovins and hunter lovins. This provocative but flawed book predicts a coming technological revolution. No one would run a business without accounting for its capital outlays. Forests, topsoil, grasslands, wetlands, oceans, coral reefs, the atmosphere, aquifers, tundra and biodiversity are limiting factrs the natural capital on which. What are the four guiding principles for the redesign of business according to the natural capitalism model by hawken, lovins and lovins. In the next industrial revolution already under way we will have abundant people and scarce nature, not. Seeing the elements of natural capitalism as a system as a foundation for strategic thinking, what is most important about natural capitalism is the imperative to pursue all four basic shifts. Natural capitalism also redesigns industry on biological models that result in zero waste, shifts the economy from the episodic acquisition of goods to the continual flow of value and service, and.
The end of the cold war and the fall of commu nism was the. A school of capitalist thought that seeks to reward efficiencies and remove artificial market alterations, such as professional standards and regulations. Capitalism is a social system based on the recognition of individual rights, including property rights, in which all property is privately owned. The basics of natural capitalism natural capitalism what our economic system would look like if the ecosystem services were truly valued entails four basic shifts in business practice. The productivity of natural resources can be increased. In just 14 months, two hurricanes have forced us to evacuate neighborhoods something our city government had never done bef\. Paul hawken has written seven books published in over 50 countries in 29 languages including four national bestsellers, the next economy, growing a business, and the ecology of. Yet most companies overlook one major capital componentthe value of the earths ecosystem services. The first industrial revolution inaugurated 200 years of unparalleled material development for humankind. Hunter lovins is president and founder of natural capitalism solutions and.
With a more determined line of argument hawken, lovins, and lovins do not only forecast the next industrial revolution but simultaneously initiate it by publishing this book. Indeed, what are called labor and environmental problems in. Lovins, lovins, and hawken are the coauthors of natural capitalism. A renowned author and champion of sustainable development for over 35 years, hunter has consulted on business, economic development, sustainable agriculture, energy, water, security, and climate policies for scores of governments, communities, and companies worldwide. Chapter 1 the next industrial revolution natural capitalism.
Natural refers to the idea that removing regulations creates a natural state in which the markets can perform efficiently. From the rocky mountain institutes page on the related book, written in 1999 by paul hawken, amory b. Hunter lovins to outline the principals of natural capitalism, an ethos by which the resources of the natural world are as highly valued as financial resources have been in previous human history. However, natural capitalism is even more and bigger when it comes to its statements about the future of the industrial world. The ear th s ability to sustain life, and therefore eco. Lovins is active in crafting policy around the world in the fields of energy, resource, environmental development, and. Paul hawken and amory and hunter lovins write that in the next century, cars will get 200 miles per gallon without compromising safety and power, manufacturers will relentlessly recycle.
Natural capitalism financial definition of natural capitalism. The origin of capitalism the damage, as many millions of people have often suffered from the cure as from the disease. Last week at the rocky mountain institute 2009 conference, michael potts, rmis ceo moderated a panel of luminaries celebrating the tenth anniversary of natural capitalism, the seminal work by. Creating the next industrial revolution hawken, lovins and lovins, 1999. Amory lovins is interviewed by satish kumar in this article from the januaryfebruary 2000 issue of resurgence. I just skimmed this book to find the essence of its argument and pick out excerpts for my jensen tutorial. A road map for natural capitalism downloadable pdf. Hunter lovins is the author of factor four and natural capitalism. Creating the next industrial revolution ebook pdf, epub, mobi, prc. By paul hawken marchapril 1997 issue somewhere along the way to freemarket capitalism, the united states became the most wasteful society on the planet. Natural capitalism many of the ideas of the sustainability model have been put in economic terms in natural capitalism.
Creating the next industrial revolution paul hawken, author, l. Hunter lovins is the president and founder of natural capitalism solutionsncs, a nonprofit formed in 2002 in longmont, co. It deals only with money and goods, not also with people and nature. Natural capitalism solutions is a 501c3 nonprofit organization. Industrial capitalism is a temporary aberration, not because it is capitalist but because it defies its own logic by liquidating, without valuing, its largest source of capital. Natural capitalism may not guarantee particular outcomes, but it will ensure that economic systems more closely mimic biological systems, which have successfully adapted to dynamic changes over. Hunter lovins previous industrial revolutions made people 100 times more productive when low percapita output was limiting progress in exploiting a seemingly boundless natural world. But the costs and the consequences are now everywhere evermore apparent. Service and flow economy is the third principle of natural capitalism. Natural capitalism recognizes the critical interdependency between the production and use of humanmade capital and the maintenance 26476 01 p001169 r4ah 91099 5.
A service and flow economy model as a new business model has shifted a business from a traditional manufacturing of selling goods to the one which delivering a flow of service. Creating the next industrial revolution little, brown, 1999. Natural capitalism is a system of four interlinking principles, where business and environmental interests overlap, and in which businesses can better satisfy their customers needs, increase. Creating the next industrial revolution by paul hawken, amory b. Creating the next industrial revolution paul hawken, amory lovins, l. In partnership with leading thinkers and groups, natural capitalism solutions creates innovative, practical tools and implementation strategies for companies, communities and countries. This whiteboard animation video presents the concept of natural capitalism.
Your donation will help us build a future we can all live and prosper within, giving humankind a sustainable place. The increasingly transparent weaknesses and contradictions in the capitalist system may eventually convince even some of its more uncritical supporters that an. Natural capitalism is a proposed business and social development driven by the rocky mountain institute rmi us and developed by experts paul hawken and amory lovins. This article is about operations management follow this topic. An excerpt from natural capitalism by paul hawken, amory lovins, and l. Natural capital refers to the natural resources and ecosystem services that make possible all economic activity, indeed all life. Hawken lovins do not recognize social capitalinstitutions explicitly but focus on four forms of. Income from natural capital includes yield from trees and plants.
Review of natural capitalism by paul hawken, hunter lovins. Amory lovins is chairman and chief scientist, rocky mountain institute. In natural capitalism, three top strategists show how leadingedge companies are practicing a new type of industrialism that is more efficient and profitable while saving the environment and creating jobs. The basic driver for natural capitalism is the limited availability of natural resources. Ncs mission is to educate senior decisionmakers in business, government and civil society about the principles of sustainability. What are the four principles of natural capitalism. Natural capitalism is a cooperative effort of paul hawken, amory lovins and l. The main thesis is that natural capitalism can do things better for people and the planet in the long term. An excerpt from natural capitalism by paul hawken, amory. When i say capitalism, i mean a full, pure, uncontrolled, unregulated laissezfaire capitalismwith. Chapter 1 the next industrial revolution emerging possibilities a new type of industrialism the loss of living systems valuing natural capital the industrial mindset the emerging pattern of scarcity four strategies of natural capital ism radical resource productivity putting the. Failure to grasp this can not only lead firms and industries to fail to realize important synergies but to inadvertently worsen the natural environment. This video interview was conducted on 28 july 2008 by dr wayne visser, senior associate, cambridge.
Peter senge, don seville, amory lovins and chris lotspeich, systems thinking primer for natural capitalism. Natural capitalism solutions shows how to restore and further enhance natural and human capital while increasing prosperity and quality of life. The premises of natural capitalism are of course intuitive and appealing. Amory lovins is the author of a new dynamic effective business in a circular economy 4. Natural capitalism was coauthored by paul hawken who has proposed similar ideas in the ecology of commerce and growing a business and amory and l. Your donation will help us build a future we can all live and prosper within, giving humankind a sustainable place on a verdant and healing planet. Creating the next industrial revolution ebook pdf, epub, mobi, prc about the author paul hawken has written seven books published in over 50 countries in 29 languages including four national bestsellers, the next economy, growing a business, and the ecology of commerce, and blessed unrest.