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Regenerative Enterprises: The 5 Principles for Reinventing Success

In the previous article, Niels de Fragueir, author of the book “The Regenerative Enterprise, explored the shift from damage minimization to regeneration. We have thus learned about the different stages in the development of business practices and how “regenerative and equitable” enterprises stand out for their life-affirming approach. They embrace systems thinking and climate justice. Now, however, let us continue with Niels’ narrative, on our journey to discover the fundamental principles that guide these pioneering enterprises. Later, we will also see how these principles translate into concrete actions.

 

From business as usual to regenerative enterprises

 

The destructive paradigm of business as usual, with its exclusive focus on profit, has been widely recognized as psychopathic and a significant driver of the polycrisis of our time. It is therefore clear that this destructive mindset must be left in the past to make way for the rise of regenerative enterprises.

In an unprecedented movement, a growing wave of leaders is joining forces to embody a global reset and unleash their creativity to bring forth new business practices that place the well-being of people and the planet at the center. As a result, these companies are paving the way for a future-oriented enterprise on the path of regeneration. In short, they are reinventing the very concept of success.

By working alongside many of these pioneering leaders, we have identified the emerging patterns of this new field. Therefore, we have distilled five core principles as key ingredients for regenerative and equitable practices, summarized in “The Compass for Regenerative Business:

 

The compass for regenerative enterprises

Regeneration_The Regenerative Enterprise

1. PURPOSE OF REGENERATIVE ENTERPRISES

Mission at the core: how does your mission contribute to creating a better world?

When regenerative enterprises embrace a transformative purpose, they evolve beyond their narrow focus and obsession with revenue growth. Instead, this purpose motivates, guides, and inspires them. These enterprises are driven to lead change and tackle humanity’s and the planet’s most pressing challenges. By embedding a solid mission, governance, and culture aligned with life’s greatest needs, these companies make a meaningful contribution, while remaining aware that their presence is temporary.

 

 

A concrete example: Faith in Nature is a family-run beauty company with an unwavering commitment to producing cruelty-free, vegan, naturally sourced, and ethical products for all. Guided by its purpose, Faith in Nature became the first company in the UK to integrate a legal representative of “Nature” on its board of directors. “Nature” is appointed as a non-executive board member, represented by at least one human acting as the ‘Nature Guardian,’ with equal speaking and voting rights as all other board members. To support any position taken by the “Nature Guardian“, their representative has the right to convene an expert committee to assist in decision-making. Beyond the legal recognition, however, this role offers an opportunity: it allows someone to speak on behalf of nature and advocate for its interests in corporate decisions.

2. PLANET

Right relationship with nature: how does your work enable living systems to thrive?

Regenerative enterprises recognize the importance of being in harmony with nature and respecting the limits of natural resources. They prioritize the health of ecosystems, positively contributing to their resilience and nurturing their relationship with the environment. In other words, these companies maintain a right relationship with nature. They value the natural world beyond human interests, acknowledging the contributions and needs of non-human life. Ultimately, these enterprises give back more than they take, prioritizing the well-being of all life.

 

A concrete example: Pakka is a compostable tableware manufacturer based in Pakistan. The company creates regenerative packaging from bagasse or sugarcane waste, fully compostable. Pakka produces single-use catering items and egg trays for storage and transport. All raw materials and fuels come from local sources within a 200-kilometer radius of the factory and are powered by self-generated biomass energy. The company collaborates with neighboring villages to improve education, sanitation, and employment opportunities. Additionally, the teams are self-managed, with daily meetings, a non-hierarchical structure, and a communal dining area with no role distinctions.

3. PEOPLE

Elevating human potential: how can you enable your teams to reach their full potential?

Regenerative enterprises foster strong cultures through responsible engagement, distributed decision-making, and a focus on employee well-being. They create space for intrapreneurship. By leveraging “new power” methods, these companies adopt improved governance models and give employees room to unleash their creativity. In doing so, moving away from a paradigm of exploitation and control, they embrace mutual understanding and openness. This promotes better dialogue, transparency, and vulnerability. In short, these companies recognize themselves as living entities, functioning as organisms that support the health of the organization.

 

A concrete example: Vivobarefoot aims to reconnect people with nature by creating footwear that promotes natural health. The company places people at the heart of its culture: new members are onboarded through the “Nature Home” program and regenerative leadership coaching days, fostering personal transformation. Employees receive a £2,000 contribution for personal and professional development, as well as four days per year for volunteering or outdoor activities. Teams participate in the “Evolution Council”, which reviews and decides financial rewards to ensure fairness and transparency. Vivobarefoot holds quarterly meetings with staff, distributors, and ambassadors to connect, celebrate, and align the company’s direction. The company does not use job titles, only “lead roles” for specific areas, to facilitate deeper collaboration. Commitment to people is central to Vivobarefoot’s philosophy.

4. PARTNERS

Recognizing value for all: how does your company treat ecosystem partners?

Regenerative enterprises, operating from a position of wholeness, cultivate collaborative relationships with partners, customers, and communities, fostering an environment of co-creation. Companies establish mutually beneficial partnerships that advance their mission and transcend the exploitative mindset of the old economic paradigm. By considering the surrounding ecosystem—which includes other organizations, the planet, people, and the places they impact, these enterprises design their products and services holistically, while maintaining a redistributive approach in their relationships with partners.

 

A concrete example: Slow Forest is a coffee company with a social purpose that provides fair and redistributive working conditions for farmers. The company pays fair prices, shares the risk of crop failures, and educates farmers on improved agricultural techniques. A local team of over 30 experts is always on the ground to support farmers in cultivation, community engagement, and forestry. Slow Forest purchases large volumes of different beans and guarantees a fixed minimum price, ensuring fair incomes. To ensure financial stability, it advances 40% of the harvest payment. The company helps farmers obtain EU organic certification, enabling access to higher prices. It supports diversification with fruit trees and honey production to increase income per hectare. Each farmer is treated as a micro-entrepreneur and owner. Slow Forest ensures transparency and secure payments, tracking every sack back to the producer.

5. PLACES OF REGENERATIVE ENTERPRISES

Strengthening communities: how are you helping your local community thrive?

Regenerative enterprise recognize the importance of place, thinking globally and acting locally. These companies understand that true sustainability and regeneration are achieved only through a strong commitment to their local territory. They honor their place as part of a broader network of local life. Such enterprises acknowledge and integrate the unique history, culture, and heritage of the areas in which they operate. They welcome every interaction with local communities. Moreover, they live in reciprocity with the local community, responding to its ecological, economic, and cultural needs.

 

A concrete example: ADUNA is a London-based superfood brand that has specialized for over 10 years in superfood-based nutrition and sustainable sourcing. The company supports rural communities in West Africa by collaborating with them to create new sustainable value chains for regenerative superfoods such as baobab, moringa, and fonio, which it sells to UK retailers including Holland & Barrett and Ocado. Aduna sources from over 3,000 women across 100 cooperatives. In collaboration with ORGIIS, an environmental conservation charity in northern Ghana, it has planted over 35,000 baobab trees. Aduna is an official partner of The Great Green Wall, a land restoration project in the Sahel region, supporting the brand’s positioning with the slogan “Healthier you, healthier world”.

Keep discovering  the Regenerative Enterprise

 

In the next article, we will continue the journey on regenerative enterprises, diving deeper into the details of regenerative business and presenting practical tools for its implementation, including a book and a dynamic tool developed with Kumu. These tools help understand business connections, identify critical issues, create holistic strategies, and track progress toward regenerative practices. A mapping of the Compass will be shown, highlighting the opportunities it offers. This serves to build a sustainable future in harmony with life.

 

Niels de Fraguier

 

Explore the principles of regenerative enterprises in my book “The Regenerative Enterprise” and follow me on LinkedIn to stay updated on the topic.

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