By Arthur A. Burley 
My grandfather wrote me a welcome letter the day after my birth to say that I was a new world citizen. He wrote that “you will need courage and optimism to tackle the many challenges you will face in life – the courage to dream and use your talents and explore new solutions; and optimism that we will all benefit from each other’s solutions.”
What does it take to be a global citizen in these uncertain times? With climate change, trade tensions and uncertain prospects for the world economy, what does it look like to be a global citizen? It means looking at the long-term and taking responsibility for the well-being of the planet’s inhabitants and others.
First, I believe that human capital, or people, is the key to solving most of the world’s problems. It should be possible for a more productive, inclusive, and healthier society to be realized if there are the right investments in education, training, and health.
These insights are being applied in my native country, the Netherlands, through NL2025 – a collaboration platform created by leaders from the cultural, sports and business worlds to work together towards shaping a better tomorrow.
We use our network, knowledge and expertise to scale up a wide range of initiatives that help people and ideas connect. They are based on the principle of “pay-it forward” – recompense others for good deeds instead of the original benefactor.
Businesses have a significant role in solving global problems, which I also believe is true. Philips has been committed to sustainable business since its inception in 1891. Our “North Star” approach is our fixed, guiding vision to make the world more sustainable and healthier through innovation. We aim to improve the lives of 3 million people each year by 2022. We embrace sustainability principles because we see them as a way to drive innovation and value.
The “Healthy People, Sustainable Planet” program allows us to fulfill that promise by creating value for customers through sustainable products and services, leading sustainable operations and driving sustainability through our supply chains.
Our work aligns with three United Nations Sustainable Development Goals (SDGs), namely, Health and well-being of all (SDG3), Sustainable consumption and production(SDG 12), and Climate Action (SDG13). These goals provide a great lens to bring stakeholders and shareholders together in a long-term strategy.
All people can have health and well-being
It is essential to ensure sustainable growth through social inclusion. It is well-known that economic growth is linked with good health. All countries must address the fundamental challenges of expanding access to healthcare and allowing people to live a healthy lifestyle.
According to the World Health Organization, more than half of the world’s population still does not have access to basic health services. Universal Health Coverage is not just a problem in emerging countries but also in developed countries, where patients can experience different levels of care due to affordability and geographical remoteness.
A shift from fee-based to value-based healthcare is also being driven by the need for affordable and efficient healthcare delivery. This system aims to improve access and patient outcomes while keeping costs down. Technology is fundamental to value-based healthcare. It can be an informatics infrastructure that allows us to track outcomes and costs or telehealth platforms to bring care closer to patients, no matter where they live.
Philips has a 45-year relationship with the US Department of Veterans Affairs. Over 50% of VA medical centers and clinics use our healthcare solutions. With 700,000 Veterans receiving telehealth services in 2017, the VA has the largest telehealth program in the country.
We recently announced a joint program where veterans can interact with healthcare professionals in 10 remote and rural locations throughout the US. This will allow them to improve their experience and reach more people at lower costs.
Also, digitally-enabled solutions can be used to meet healthcare access requirements in developing countries. The Philips Community Life Center platform is one example. It takes a community-driven holistic approach to strengthen primary health care. Philips is working closely with Amref Health, a key partner on the African continent, to improve healthcare access for Makueni County’s 20,000 residents.
We are shaping the future for healthcare in both emerging and developed economies to allow people to live healthier lives and get the care they need.
Sustainable consumption and production: From a linear model to a circular one
The transition from a linear economy to a circular one is crucial for a sustainable and healthy world. To accelerate “circular” thinking adoption, we work closely with customers, suppliers, peers, government and non-governmental organizations, and other stakeholders. We move from the linear Take>make>dispose of the model to a circular Make>use>return model.
Last year, at the World Economic Forum Annual Meeting, I reinforced Philips’ commitment to the circular economy by promising to take back and reuse all large medical systems our customers are willing to return to me. We are open to the trade-in and repurposing of equipment, such as MRIs, CTs and interventional X-ray systems.
A growing number of industry leaders, including ASML and Cisco, HP, KPN and Mitsubishi Elevators, have begun to take responsibility for the recycling, reusing fully, and refurbishing the capital equipment they sell in just one year. This will encourage prolonging the product’s life and stopping the waste at the end. It will also capture the economic value of the materials.
Social impact is achieved by aligning corporate purpose with long-term strategic plans
As Philips’ CEO, I see a clear opportunity to encourage the private sector and make meaningful, quantifiable progress toward global goals. To ensure that no one is left behind, it is crucial to have a positive relationship between the private sector, local communities and customers. I support WEF Compact to Responsive Leadership, a vision statement that promotes overall stakeholder management within the societies we serve.
My grandfather was right to tell me that it’s all about optimism and courage. Courageous leaders must be able to make complex dynamics and other issues of transformation accessible openly and engagingly. This means not just focusing on the financials.
Focusing on relevance and aligning corporate strategy and purpose behind social impact will ensure that we can all be competitive while unlocking sustainable value-inclusive growth for our generation and our children and grandchildren.