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COMMITTED TO IMPROVING THE STATE OF THE WORLD
Annual Report 2009-2010
www.weforum.org Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 3
Contents
Executive Chairman’s Statement Page 2
Managing Board Statement Page 4
Shaping the Global Agenda: The Annual Meeting 2010 Page 6
Shaping the Global Agenda: Annual Meeting of the New Champions 2009 Page 8
Shaping the Regional Agenda Page 9
Shaping the Industry Agenda Page 10
Our Intellectual Backbone Page 11
Improving the State of the World through Multistakeholder Initiatives Page 14
Special Achievements 2009-2010 Page 15
Our Business and Non-Business Communities Page 17
Public Engagement Page 21
Our Organization Page 22
Our financial results Page 25 Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 1
World Economic Forum Annual Report 2009-2010
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The World Economic Forum is an independent international organization committed to improving the state of the world by engaging leaders in partnerships to shape global, regional and industry agendas. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 2
Executive Chairman’s Statement World Economic Forum Annual Report 2009-2010
2 Executive Chairman’s Statement
Professor Klaus Schwab Founder and Executive Chairman of the World Economic Forum
The global economic crisis continues to challenge “business, government, civil society organizations and individuals to cope with its roiling impact, adapt to new post-crisis realities and determine how to create fresh opportunities for growth and engagement in society. The financial emergency in Europe and turbulence in the markets underscore the need for constant vigilance and close cooperation to respond quickly to critical issues such as coordinating financial regulatory reform to prevent another meltdown or rebuilding Haiti following the devastating earthquake.
To serve our Partners, Members and challenges of the 21st century by both Through this comprehensive co-creative” constituents during the past year, the 40th tackling immediate problems and shaping process, the councils proposed numerous anniversary of the World Economic Forum solutions to global issues that require innovative recommendations, highlighting was a great opportunity and privilege for significant time and great care to new partnerships and systemic my colleagues and me as we pursued implement. The Global Redesign Initiative approaches to adapt and better prepare together our mission to improve the state (GRI), which was launched at the Annual the global system for contemporary of the world. Meeting 2009, convened all our challenges. This resulted in the publication communities and constituents to find of 58 concrete proposals in a report titled The international community must ways of improving international Everybody’s Business: Strengthening purposefully move ahead with approaches cooperation and restructuring institutions International Cooperation in a More to critical long-term priorities, such as and mechanisms of global governance. Interdependent World. These proposals fighting climate change, reforming The Forum’s more than 70 Global Agenda were discussed and debated at the Global education systems for globalization age Councils, a brain trust of over 1,500 Redesign Summit in Doha, Qatar, at the and dealing with persistent public health experts and thought leaders from end of May 2010. deficiencies and poverty, especially in business, government and civil society, developing regions. drove this landmark collaboration, with the The GRI is not an end in itself, but rather strong support of four patron the beginning of a sustained process in In the past year, the World Economic governments – Qatar, Singapore, which these proposals are further refined Forum has once again been privileged to Switzerland and Tanzania. and advanced into the various global, demonstrate that it is an organization regional and national political processes, uniquely suited to addressing the Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 3
Executive Chairman’s Statement World Economic Forum Annual Report 2009-2010
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including the preparations for the G20 In times of uncertainty and extreme participants enthusiastically supported the Summit that the Republic of Korea will volatility, there are of course opportunities. Forum’s efforts to marshal further its host in November and the critical United The Forum, as a respected and neutral intellectual resources and multistakeholder Nations Climate Change Conference in platform for addressing the world’s major membership. At the same time, they Mexico at the end of that same month. challenges, is more widely recognized and stressed the urgency of moving from The GRI has added a new dimension to embraced than ever. At Davos-Klosters in discussion to real action. the World Economic Forum: to be a highly January 2010, 2,500 leaders from over 90 welcomed partner of governments and countries participated under the theme Indeed, as we look ahead to the fourth international organizations when they “Improve the State of the World: Rethink, “Summer Davos” Annual Meeting of the reach out to all stakeholders in global Redesign, Rebuild”. The Annual Meeting is New Champions in Tianjin, People’s society to define optimal solutions for not only the world’s foremost business Republic of China, in September 2010 global problems. gathering, with 1,400 top executives and the next Annual Meeting in Davos- participating, it also offers unparalleled Klosters in January 2011, we must all Based on the work of the Global Agenda opportunities for corporate chiefs to focus on how to turn proposals into viable Councils, the GRI, WELCOM and all the interact with the most important political policies. All decision-makers today have to foundational elements established by the leaders, thought leaders, Young Global cope with tremendous time pressure and Forum over the last 40 years, our new Leaders, Women Leaders, Trade Union the ever-increasing complexity of issues. initiative, the Global Agenda Partnership, Leaders and heads of NGOs, all carefully Our role is to help to sort out priorities and represents a logical evolution. The core selected to make sure that all the to connect the relevant issues and actors idea behind it is to provide an interactive constituents of global society are in a world where much more cooperation platform for business and governments to represented and fully integrated in the is urgently required to master the face the critical challenge of agenda. transformational change that we clearly understanding the nature and drivers of need. systemic risks and the potential Our Partners, Members and all our vulnerabilities of their strategies and communities – from the Social The work of the past year has shown that policies. The Global Agenda Councils will Entrepreneurs to the Global University the efforts of all stakeholders are essential support a comprehensive effort to find Leaders, from the Technology Pioneers to to adapt the international system to our ways to avoid systemic shocks and the Faith Communities – have never been increasingly interconnected and mitigate risks. The aim is to create a more active and responsive. We could not interdependent world. The cross-cutting “Global Situation Space” for real-time risk have facilitated this unprecedented level of efforts of our undertakings have drawn on management based on the analysis of sincere collaboration without the nearly every aspect of our capabilities and worst-case scenarios and to establish the commitment of our dedicated and hard- inspired us to improve the state of the necessary partnerships for action among working team in our offices in Geneva, world with an even deeper sense of governments, business and experts. New York, Beijing and now Tokyo. They mission. My colleagues and I at the World reflect the great diversity of our Economic Forum remain dedicated to As we move to create the Global Agenda membership and our activities. cooperate with our Partners, Members Partnership, what is clear is that the and communities, whom I thank for their Forum must strengthen its already I am pleased to welcome Alois Zwinggi to engagement and loyalty over the past considerable role as a trusted aggregator the Managing Board who has joined us year. I am passionate about leading an and integrator of information, data and from the Holcim Group to lead our Human organization that has attracted so much insight relevant to our Partners, Members, Resources and Finance teams. Marisol talent committed to the spirit of communities and constituents. Argueta de Barrillas, the former Foreign entrepreneurship in the global public Minister of El Salvador, also joined us as a interest. We have to continue to venture to new Senior Director. I note that women now horizons, reflecting the world as it represent over 60% of Forum staff at the integrates new players. This year, the director level and above. Forum held regional meetings in three developing nations – Colombia, Tanzania Reflection on the 40th anniversary of the and Vietnam – all of which had never World Economic Forum has not given way before hosted a Forum event. This to complacency, but rather has served as demonstrated our commitment to a reminder of the continuing importance of ensuring that all voices are heard and that the principles on which the organization participation in all our activities is as was founded. At our recent meetings, representative as possible. including the World Economic Forum Annual Meeting in Davos-Klosters and the Global Redesign Summit in Doha, many Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 4
Managing Board Statement World Economic Forum Annual Report 2009-2010
4 Managing Board Statement
In living up to our motto of entrepreneurship in the global “ public interest, the World Economic Forum is more committed than ever to serving our Partners, Members and communities in innovative and effective ways. A central focus of our attention is on how to broaden and deepen the capacity of our staff to handle more complex and challenging responsibilities and to make the interactions with all Partners and stakeholders as productive as possible. ” The World Economic Forum began its Beyond increasing numbers, we have also Even as the Forum has reached out to 40th anniversary with its membership succeeded in broadening the geographic emerging regions and countries, our strong and growing, and its relevance as a and industry representation among the enduring relationships have remained solid vital multistakeholder institution greatly Forum’s Strategic Partners and Members. and have strengthened further. The enhanced. The robust engagement and Special efforts to bolster our presence in coming of age of the “Summer Davos” vigorous participation of our communities China, Japan and the US and to reflect meeting, the Annual Meeting of the New and constituents in all our activities during the growing importance of Asia and other Champions, which was held for the third a period of global economic stress and developing regions have yielded results. time in September 2009 in Dalian, financial constraint inspires and energizes Of our 100 Strategic Partners, 24 are from underscored the Forum’s long and us to redouble our abiding commitment to outside North America and Western productive partnership with the People’s improving the state of the world. Europe, while over one-half of our Global Republic of China. In November 2009, we Growth Companies are from emerging celebrated 25 years of ties with India with The Forum’s work is more important than economies. This year, the Forum amply record participation at the India Economic ever. This was demonstrated by our demonstrated its widening geographic Summit. In early May 2010, the 20th growth in 2009-2010. We reached our diversity by successfully holding regional World Economic Forum on Africa took cap of 100 Strategic Partners and meetings with record participation in place in Dar es Salaam, with the steadfast maintained the limit of 1,000 Members. Cartagena, Dar es Salaam and Ho Chi support of the government of Tanzania, Our vibrant Industry Partner community Minh City, dynamic cities in developing the participation of 11 African heads of expanded by 22% to 378, while the countries that had not previously hosted a state or government, and the vigorous membership of the dynamic Global Forum event. engagement of nearly 1,000 business, Growth Companies increased by 20% government and civil society leaders from toover 250, halfway to the long-term 85 countries. target of 500. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 5
Managing Board Statement World Economic Forum Annual Report 2009-2010
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The uncertainty of the times, of course, November 2010. In June 2010, 50 Young In living up to our motto of has sparked some of the heightened Global Leaders (YGLs) launched the Paris entrepreneurship in the global public interest in the Forum as a platform for Initiative to brainstorm on proposals for interest, the World Economic Forum is addressing the major global challenges of the forthcoming French presidency of the more committed than ever to serving our the day. Rather than look inward, G20 in 2011. Partners, Members and communities in governments, businesses and civil society innovative and effective ways. A central organizations have seen the benefits of The Forum is regarded more and more focus of our attention is on how to international cooperation in dealing with widely as a trusted and neutral platform broaden and deepen the capacity of our this transformational crisis. Whether at for fostering public-private partnerships. staff to handle more complex and Davos or Dalian, more and more people Innovative programmes such as A New challenging responsibilities and to make want to participate by learning and Vision for Agriculture, the Global the interactions with all Partners and contributing. Education Initiative, the Partnering Against stakeholders as productive as possible. Corruption Initiative and the Mining & We believe, however, that the main factors Metals Industry Partnership for fair mineral Our organizational DNA must continuously that have drawn new Partners and development are some examples of how evolve to respond to the shifting global Members to join the Forum and motivated the Forum connects the various players economic, political and social landscape. existing Members to deepen their needed to act on a host of critical issues. We are always aiming to create more participation have been the relevance, At a time when multistakeholder value for our constituents. In this effort, we effectiveness and timeliness of our events, collaboration is essential to addressing are committed to improving the diversity initiatives and other activities. At the global problems effectively, our capacity to of our workforce. We are also taking steps Annual Meeting 2010, for example, the bring to the table – often at unpublicized to ensure that participation in all our highlight of the traditional Informal yet groundbreaking encounters – crucial events is more representative and that we Gathering of World Economic Leaders actors who may have been reluctant to are as inclusive as possible when (IGWEL) were sessions that brought come together in other formats has organizing meetings and shaping together key representatives from the secured the Forum’s credibility and agendas. political, banking and regulatory spheres trustworthiness. around the world in a collegial yet candid We thank our Partners, Members, all our exchange of ideas for moving forward with We at the Forum are especially proud of communities and colleagues for their critically needed financial regulatory the role we have played in marshalling profound and unwavering commitment to reform. multistakeholder collaboration for the Forum and their vital participation in coordinating relief for and the rebuilding of our activities. We look forward to Launched at the Annual Meeting 2009, Haiti after the serious earthquake in continuing to celebrate the Forum’s 40th the Global Redesign Initiative (GRI) led to January 2010, just days before the start of anniversary in 2011 by renewing our the release at the Global Redesign the Annual Meeting in Davos-Klosters. passion and dedication to our mission to Summit in Doha in late May 2010 of 58 The rapid and generous response of the improve the state of the world. proposals for strengthening international international community, particularly the cooperation. This engagement by the private sector, at the first major global Forum’s many communities, including the gathering after the disaster was especially 1,200 thought leaders who participate in gratifying. The continued focus on Haiti at The Managing Board of the World over 70 Global Agenda Councils, was a the World Economic Forum on Latin Economic Forum sterling example of how the Forum serves America in Cartagena three months later as a unique platform for multistakeholder demonstrated again the power of exchange and action, contributing not just multistakeholder cooperation. The Forum to the public debate over global issues but has served as a critical platform for also to the various national, regional and bringing together corporations, global policy-making processes to tackle governments and humanitarian them. Consider how the Forum and its organizations to create unprecedented communities are collaborating with the partnerships for tackling the Government of Mexico as it prepares to reconstruction challenges posed by this host the United Nations Climate Change unparalleled catastrophe. Conference in Cancún at the end of Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 6
Shaping the Global Agenda: World Economic Forum Annual Meeting 2010 World Economic Forum Annual Report 2009-2010
6 Shaping the Global Agenda: World Economic Forum Annual Meeting 2010
This year’s Annual Meeting in Davos-Klosters was the 40th “the World Economic Forum has convened. In his opening remarks, Founder and Executive Chairman Klaus Schwab expressed deep concern that 2010 could evolve into a year of social crisis, following the financial turmoil of 2008 and the economic downturn of 2009. Governments in particular risk becoming so overwhelmed by domestic concerns that their ability to contribute to the global stewardship that is desperately needed today would be curtailed. Such an outcome could set the stage for a generational crisis as fiscal burdens mount and political cynicism spreads among young people. ” The realization that assumptions about the In his opening address, President Nicolas Woods” and pledged that France would future are changing at every level of global Sarkozy of France underscored that global place the reform of the international society inspired the decision to organize economic imbalances had to be monetary system on the agenda when it the Annual Meeting under the theme addressed for the world to emerge from chairs both the G8 and G20 in 2011. “Improve the State of the World: Rethink, the global economic crisis and prevent Redesign, Rebuild”. This reflected the future meltdowns. “Countries with trade The leaders of Canada and the Republic collaborative work being done in the surpluses must consume more and of Korea, the incumbent chairs of the G8 Global Redesign Initiative (GRI), which the improve the living standards and social and the G20 respectively, aimed to use Forum launched at the Annual Meeting protection of their citizens,” he remarked. their presence at the Annual Meeting to 2009. The critical question on the minds “Countries with deficits must make an build support for the global agenda in of participants at this year’s 40th effort to consume a little less and repay 2010. “It is important that the G20 reach anniversary gathering: How can the their debts.” These twin challenges were out to those not taking part, listen to their international community make better the focus of much of the debate on the needs and reflect them in our decisions, take more effective action and economic landscape among participants. discussions,” said Lee Myung-Bak, realize more productive outcomes? Sarkozy argued for “a new Bretton President of the Republic of Korea, who is Annual_Report_2010_16Aug:Layout 1 17.08.10 08:07 Page 7
Shaping the Global Agenda: World Economic Forum Annual Meeting 2010 World Economic Forum Annual Report 2009-2010
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to host the G20 Summit in November organizations.” To this end, the World children in the next decade. Melinda 2010. “Otherwise, [the G20] will not be Economic Forum convened relevant Gates served as a Co-Chair of the Annual effective.” Prime Minister Stephen Harper policy-makers and experts from among its Meeting 2010. of Canada, who hosted G8 and G20 Global Agenda Councils for a Global Summits in June 2010, acknowledged Redesign Summit on 30-31 May 2010 in The “spirit of Davos” was also evident in that world leaders disagree over climate Doha, Qatar. The aim was to bring another celebration – South Africa’s World change, trade and measures to safeguard together experts from governments, Cup Kick-Off. In a colorful and rousing the global financial system. To square international organizations, universities rally, participants cheered the arrival of the national with global interests, countries and think tanks to examine gaps in world’s greatest sporting event on the have first to recognize the legitimacy of international cooperation and develop continent of Africa. the points of view of others. proposals to overcome these shortcomings. Harper had reminded participants why the Open Forum Davos 2010 international community failed to come to The Annual Meeting 2010 highlighted the an agreement on climate change at the strong unity of purpose in the international The Open Forum, organized in United Nations conference in Copenhagen community in responding to humanitarian cooperation with the Federation of Swiss in December 2009. “The negotiation-by- and development challenges. A major Protestant Churches, runs at the consensus mechanism is not working,” earthquake decimated Haiti just days sametime as the Annual Meeting. It offers President Felipe Calderón of Mexico before participants arrived in Davos- an open debate between members of the stressed at Davos. The next United Klosters. In a special session, former US public and participants in the Annual Nations Framework Convention on President and current UN Special Envoy Meeting. Climate Change Conference is to take to Haiti William J. Clinton called for place in Cancún at the end of November immediate aid and sustained investment The Open Forum 2010 attracted a wide 2010. “We cannot tackle [problems such to assist in rebuilding the Caribbean range of local people from all walks of life as climate change] with instruments that nation. While participants from business, with over 2,000 people participating in the were created in 1945,” Calderón government and civil society came different sessions of the Open Forum, remarked. “We need to create new together to pledge immediate relief and which were broadcasted by Swiss TV. instruments for a new era.” In this spirit, technical assistance, they also focused on the Forum released two reports in Davos – the long-term goal of increasing private Topics covered included Switzerland: Green Investing: Towards a Clean Energy sector involvement in rebuilding Haiti’s Misfit or Model?; After the Financial Crisis; Infrastructure and Green Investing 2010: economy. The need to integrate the Climate Change; Does Religion’s Claim to Policy Mechanisms to Bridge the private sector into reconstruction efforts Truth Lead to Violence?; The Ageing Financing Gap – to promote new solutions was the basis for the creation of a Society; "Yes We Can?"; and A World for government and industry to work partnership on Haiti among the Clinton without Nuclear Weapons. The Open together in partnership to address global Global Initiative, the United Nations and Forum included in-depth conversations warming. the World Economic Forum. and lively discussions between the public and participants of the Annual Meeting. Reflecting on the failure to conclude the The marking of the 10th anniversary of Doha Round of global trade negotiations when the idea for the Global Alliance for and the pervasive poverty affecting the Vaccines and Immunisation (GAVI) was majority of the world’s population, conceived in Davos reminded participants President Jacob G. Zuma of South Africa of the importance of long-term observed that “we have structures that development commitments. The GAVI were developed decades and decades Alliance has saved over 4 million lives and ago when circumstances were different.” immunized an additional 256 million He added: “In the end, the majority of the children in the world’s poorest countries. world does not have the right to take At the Annual Meeting in Davos, Bill and decisions for themselves. We have Melinda Gates, Co-Chairs of the Bill and reached a point today when it is time to Melinda Gates Foundation, a founding rethink and redesign, including decision- partner of the GAVI Alliance, pledged US$ making processes of existing 10 billion to vaccinate over 8 million Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 8
Shaping the Global Agenda: Annual Meeting of the New Champions 2009 World Economic Forum Annual Report 2009-2010
8 Shaping the Global Agenda: Annual Meeting of the New Champions 2009
The third Annual Meeting of the New Champions marked “ the return of the “Summer Davos” gathering to Dalian. The event was once again organized in close partnership with the People’s Republic of China. One year after the global financial crisis and in the midst of a “Great Recession”, over 1,000 leaders from business, government and civil society, representing more than 80 countries, focused their attention on how to ensure a sustainable global economic recovery. The theme of the Meeting – “Relaunching Growth” – was an important objective of the Forum’s community of Global Growth Companies.”
In his opening remarks, Chinese Premier Participants focused on addressing five How are pressing societal needs Wen Jiabao captured best the spirit of this key questions: influencing the pace and profile of the Annual Meeting of the New Champions: How are business models changing future recovery? “The world economy is undergoing for global companies in the wake of How will government and industry profound changes and transition. The the “Great Recession”? meet rising expectations for greener future and destiny of all countries are more How prepared are Asian economies growth and a post-carbon economy? closely interconnected than at any time in for a long period of increased saving How will science and technology drive history. We should be more forward- and decreased consumption in the global competitiveness in the future? looking and more broad-minded.” West? Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 9
Shaping the Global Agenda World Economic Forum Annual Report 2009-2010
9 Shaping the Regional Agenda
Besides its two Annual Meetings, the World Economic Forum brought together “leaders in key regions of the world. Business, government, academia, civil society and media representatives participated in the regional events.
India Economic Summit “India looks to the future with confidence. We are confident 8-10 November 2009 of meeting the domestic and international” challenges to fast The World Economic Forum celebrated 25 years of collaboration and active and inclusive growth. We are also better placed than any engagement in India in 2009. The annual India Economic Summit has emerged as an institution in Indian business, policy and political circles. The 2009 Summit time in the recent past to push the reform process forward. I was a unique and historic opportunity to bring together key domestic and believe we have a bright future if we make use of strengths international stakeholders to explore the Indian economy in depth, and identify the and the opportunities that we get.” Manmohan Singh opportunities and challenges shaping the country’s future business environment. Prime Minister of India
World Economic Forum on Latin America “We have common roots. We all agree on strengthening 6-8 April 2010 our democratic institutions because what is at stake is our With the resolute support of the government of Colombia, the World Economic future. Integration is possible.” Forum on Latin America in Cartagena welcomed 550 global and regional Fernando Armindo Lugo Méndez leaders to construct “New Partnerships for a Sustainable Recovery”. President of Paraguay Participants from more than 40 countries representing business, government, academia and civil society addressed pressing issues.
World Economic Forum on Africa “Africa’s potential is immense in terms of human and 5-7 May 2010 natural resources. It’s a contradiction then that Africa The World Economic Forum celebrated 20 years of partnership and remains poor. These resources are under exploited. There engagement in Africa with a successful meeting in Dar es Salaam, Tanzania. are constraints of skills, technology and capital financial The meeting, held for the first time in East Africa, generated an unprecedented resources to develop these resources, as well as putting in level of participation as 12 heads of state and government and 100 public the right political and economic policies.” figures joined over 1,000 business and civil society leaders from 85 countries. Jakaya M. Kikwete President of Tanzania
World Economic Forum on Europe “We can make the case for these reforms. We need 10-11 May 2010 leadership at European and national levels. With this, we With the full support of the Belgian government and the new EU leadership, as can counter the trends of populism and narrow well as the Forum’s key Strategic Partners, the World Economic Forum on nationalism.” Europe convened 400 of the most prominent leaders from the European Union José Manuel Barroso and other parts of the world to outline the future of Europe and its role in the world. President, European Commission, Brussels
World Economic Forum on East Asia “The recent crisis has revealed the weaknesses and 6-7 June 2010 shortcomings of global governance. We need a more As chair of ASEAN in 2010 and one of the world’s fastest-growing economies, democratic world, and we need to touch upon the right Vietnam was the ideal location for leaders from East Asia, and those operating in role of the developing countries.” the region, to collaborate towards a sustainable economic recovery and ensure the Nguyen Tan Dung region’s future competitiveness. Asia must take a greater outward approach and Prime Minister of Vietnam; Chair, 2010 ASEAN leadership in global cooperation, while proactively addressing chronic challenges facing the region such as natural catastrophic risks, food security and talent.
World Economic Forum on the Middle East and North Africa “The World Economic Forum on the Middle East and North Marrakech, Morocco 26-28 October 2010 Africa will provide an exceptional platform to address Business leaders, policy-makers, intellectuals and opinion shapers from the challenges for the region. It will also provide an occasion region and globally will gather at the World Economic Forum on the Middle East to explore the perspectives of the future of European and and North Africa. Hosted by the government of Morocco, the meeting will provide Mediterranean cooperation and its implications for the a unique platform to collectively decode the post-crisis global reality for decision- region.” making at the national and regional levels. Abbas El Fassi Prime Minister of Morocco Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 10
Shaping the Industry Agenda World Economic Forum Annual Report 2009-2010
10 Shaping the Industry Agenda
In strong partnership with industry and other stakeholders, the “ World Economic Forum is engaged in shaping industry agendas, a role central to its mission. In 2009-2010, the Forum worked with Industry Partners on over 30 initiatives linked to their strategic interests and the Forum’s mission to improve the state of the world. Industry Partners have provided valuable contributions to the Global Redesign Initiative (GRI) and the Global Agenda Councils.
The Forum’s initiatives focus on global In all these cases, the active participation ” New York challenges that require multistakeholder of our Industry Partners in a engagement to address them fully. The multistakeholder process has been crucial Agriculture, Food & Beverage neutral platform that the Forum offers is to shaping the global industry agenda. Industry essential. On sustainability, the Forum is Automotive Industry engaged with industry, government and Industry Partnerships are managed from Aviation, Travel & Tourism Industry civil society to move beyond macro policy both the Geneva headquarters and the Banking & Capital Markets Industry discussions to look at practical ways New York office of the Forum’s affiliate, the Information Technology Industry forward. On financial system reform, the World Economic Forum USA. As of 30 Insurance & Asset Management Forum has promoted critical discussions June 2010, they cover the following Industry of all the key issues, particularly through sectors: Logistics & Transport Industry the GRI. Media, Entertainment & Information Industry These deliberations have led to the Private Investors Industry development of specific recommendations Geneva Retail & Consumer Goods Industry for action and the publication of a number Chemicals Industry Sovereign Funds Industry of insightful reports. In the health sector, Healthcare Industry Telecommunications Industry the Forum has provided a platform for Infrastructure & Urban Development discussion of important emerging issues Industry such as non-communicable diseases Mining & Metals Industry including diabetes and the appropriate Oil & Gas Industry management of health data. On food Professional Services Industry security, the Forum has brought together Renewable Energy Industry governments, businesses and key Utilities & Technology Industry international organizations to create a New Vision for Agriculture, an initiative to promote public-private partnerships for sustainable agriculture and food security. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 11
Our Intellectual Backbone World Economic Forum Annual Report 2009-2010
11 Our Intellectual Backbone
To shape the global, industry and regional agendas, the “ Forum must be not only community-driven but also constantly ahead of the curve, continuously on the lookout for challenging issues on the corporate horizon. The Forum’s strength is its capability to understand and assess the interrelationships among global, regional and industry issues.
Global Redesign Initiative Each of the patron governments hosted a The Summit in Doha offered numerous ” country hearing on a specific priority for opportunities for key stakeholders to Sponsored by the governments of Qatar, global redesign. provide vital feedback on the proposals in Singapore, Switzerland and Tanzania, the an effort to refine them further and move Global Redesign Initiative (GRI) has Released at the Global Redesign Summit them forward into the various global, generated unprecedented global in Doha, Qatar, at the end of May 2010, regional and national policy processes, multistakeholder engagement on the most the report entitled Everybody’s Business: including preparations for the G20 pressing global issues and the Strengthening International Cooperation in summits and the United Nations global international cooperation needed to a More Interdependent World, which was conference on climate change at the end address them more effectively. developed with a team of rapporteurs and of 2010. leading authorities, captured the findings www.weforum.org/gri Over a year and a half of discussion and of the GRI in a systemic overview of each debate since the GRI’s launch at the of the themes of the investigation. It World Economic Forum’s Annual Meeting detailed 58 proposals that emerged from 2009 in Davos-Klosters, over 1,200 the discussions. experts developed redesign proposals in more than 50 thematic areas. Among them: a central data repository for early indications of systemic financial An estimated 3,000 leaders from all of the stress, ways to attract more private Forum’s industry, governmental, civil finance into low-carbon investment, the society, academic and media creation of a Global Energy Forum, a new communities, and from The Forum of framework for cyber security, new Young Global Leaders contributed to this approaches to ocean management and process through task forces and the development of a health footprint for interactive sessions at the “Summer improved comparability and tracking in Davos” Annual Meeting of the New the healthcare sector. Champions 2009 in Dalian, this year’s Annual Meeting and various regional meetings. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 12
Our Intellectual Backbone World Economic Forum Annual Report 2009-2010
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The Network of Global Agenda Councils communities are now working together and provide invaluable insights into the through various policy-making channels to policies, institutions and factors that The World Economic Forum’s Network of turn proposals into viable and appropriate enable economic development. In 2009- Global Agenda Councils comprises policies to address critical global issues 2010, in addition to The Global interdisciplinary, multistakeholder groups and improve the performance of Competitiveness Report 2009-2010, the of experts on major challenges facing the institutions and mechanisms of Network published The Global Information world. This year, some 1,200 leading international cooperation. Technology Report 2009-2010 (with authorities from academia, government, INSEAD), The Global Enabling Trade business and other fields joined together By actively collaborating to monitor key Report 2010, The India Competitiveness in 76 councils to capture the best trends, identify global risks, map Review 2009, The Lisbon Review 2010, knowledge and insights on key issues and interrelationships, address knowledge and a report on Enabling Trade in the integrating them into various global gaps and develop solutions, the Network Greater ASEAN Region. mechanisms for collaboration and of Global Agenda Councils has become www.weforum.org/gcr decision-making. the Forum’s vital intellectual backbone.
As part of the Forum’s Global Redesign The Forum is moving ahead with plans to Global Risk Network Initiative (GRI), Global Agenda Council forge a new Global Agenda Partnership members worked to identify gaps and that will serve as an interactive platform for The Global Risk Network tracks a core set deficiencies in international cooperation business and governments to face the of risks that are global in nature and and shape proposals for addressing them. critical challenge of understanding the impact, assessing their likely evolution and The councils became the critical drivers of nature and drivers of systemic risks and highlighting how their interconnectIons the GRI process, which was launched at potential vulnerabilities of their policies and require a multistakeholder approach if they the Annual Meeting 2009. strategies. are to be successfully mitigated.
They discussed and debated their ideas at The Global Agenda Councils will provide In recent years, economic risks have the Summit on the Global Agenda in essential support for this comprehensive dominated the global risk landscape as Dubai on 20-22 November 2009, where effort to find ways to avoid systemic successive crises, ranging from food price members of each council had the shocks and mitigate risks. The aim is to spikes to asset price collapses and the opportunity to exchange and collaborate develop mechanisms for real-time risk ensuing fiscal turmoil, have shaken the with councils on related issues. management based on the analysis of global economy and have undermined worst-case scenarios and to establish the confidence in the institutions and The proposals that emerged from the necessary multistakeholder partnerships mechanisms of international cooperation. Summit went forward to the Annual for action. Meeting 2010 in Davos-Klosters, where www.weforum.org/gac Bringing together leaders from business, government leaders, heads of government, civil society institutions and international organizations, CEOs, trade academia, the network convenes expert meetings throughout the year to examine union and NGO chiefs, academics and The Global Competitiveness Network others helped to sharpen and refine them. these and other pressing issues on the Councils also conducted sessions at With over 30 years of developing its global risk landscape in the medium to regional events and virtually, through the expertise, the Global Competitiveness long term and to consider innovative Forum’s WELCOM network. Network stands out as one of the leading means to improve how they are managed. centres for assessing and analysing At the Global Redesign Summit in Doha, competitiveness through the publication of The insights that are captured are fed into Qatar, on 30-31 May 2010, the Forum its flagship Global Competitiveness Report the preparation of the annual Global Risks published 58 proposals, a majority and other topical and regional reports. Report, the latest edition of which was developed by the Global Agenda released in January 2010 prior to the Councils, in a GRI report, which it These products continue to offer business Annual Meeting in Davos-Klosters. presented to government, industry and executives, policy-makers, academia and www.weforum.org/globalrisks civil society leaders. The Forum and its civil society valuable benchmarking tools Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 13
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Scenario Planning WELCOM WELCOM is an exclusive social communications network, in which In 2009-2010, the Scenario Planning team With Strategic Partners including members are co-developers. The worked with the World Economic Forum’s Accenture, Adobe, BT, Thomson Reuters Forum’s Partners, Members and Industry Partners on three major cross- and TIBCO, the World Economic Forum constituents can make their own industry projects, engaging leaders in has developed the World Economic contributions to the system. As more numerous highly interactive and thought- Leaders COMmunity, or WELCOM, the members use the platform and provoking workshops and processes. world’s foremost virtual community of contribute insights and feedback to it, global discussion-makers. The Forum the flexibility and interactivity of The Forum’s Mining & Metals community opened the network to all participants at WELCOM will allow it to evolve in engaged in a Scenario Planning project, the Annual Meeting 2010. Membership ways that meet the needs of its users. deepening insight into the sector’s has been growing consistently. complex operational context by bringing WELCOM could serve as a platform together multidisciplinary and Participants at the Annual Meeting of the for creating new value for Partners, multistakeholder perspectives. The project New Champions 2010, the “Summer Members and constituents. For provided useful tools to improve strategic Davos”, in Tianjin, People’s Republic of example, the system could support decision-making and identify strategies for China, are all to have access. virtual advisory boards to governments collaborative action. and crisis management processes. By The Forum has designed WELCOM to be tapping the synergy and serendipity Partnering with Information Technology its collaborative platform for top global that comes from the interaction of its Industry Partners, the Future of Cloud decision-makers from business, members, WELCOM will be a hub for Computing project explored the potential government, civil society and all other multistakeholder engagement and the of cloud computing, its benefits and risks stakeholder communities. The activities of generation of ideas and insights. to businesses, society and the global Forum teams and other interaction among www.welcom.org economy, and the barriers that may Forum communities and constituents are impede its deployment and adoption rate. gradually moving onto WELCOM. A second phase of the project will focus on how to overcome obstacles through These factors are driving the development highly interactive multistakeholder of WELCOM : collaboration. The Forum is strengthening and The Scenario Planning Team was also expanding its role as the leading involved in the Forum’s Driving knowledge aggregator, providing Sustainable Consumption initiative, secure and trusted access to broad collaboratively building an ideal vision for and in-depth insights sourced the future of sustainable consumption, internally through all its communities, facilitating workshops and helping to initiatives and events, and externally structure the final publication, which laid from leading knowledge providers. out strategic options for realizing that vision. WELCOM is becoming a virtual extension of everything the Forum is These forward-looking projects, together undertaking, providing continuous with the team’s previous work, provide an interaction and community-building excellent basis for fostering dialogue and opportunities. The platform will developing new strategic insights within support the work of the Global the Industry Partnership programme and Agenda Partnership and the Global at the Annual Meeting and regional Agenda Councils, the preparation of meetings. agendas for events, the follow-up after www.weforum.org/scenarios sessions and the conduct of virtual meetings. The aim is to foster knowledge building and exchange, and allow members to extend their networks and brainstorm continuously. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 14
Improving the State of the World through Multistakeholder Initiatives World Economic Forum Annual Report 2009-2010
14 Improving the State of the World through Multistakeholder Initiatives
The World Economic Forum conducts much of its work with “ Members and Partners alongside governments, academics and civil society groups on important programmes and initiatives to tackle a host of major global issues and challenges in all spheres.
The initiatives take two principal forms: and industry” agendas, facilitating dialogue makers from around the world and Strategic insight and policy-oriented among key decision-makers and fostering produced 58 specific proposals and nine projects that combine the collaborative action through thematic essays by some of the perspectives and expertise of the multistakeholder initiatives. international community’s leading public and private sectors with insights authorities on international economic, from leading experts to develop new In addition, the World Economic Forum environmental and security cooperation. or improved responses to pressing developed and published – together with business and societal challenges Partners, governments, academics and The GRI process has served as an public bodies – a broad range of critical informal working laboratory or Action-oriented projects that combine reports, including Green Investing 2010 - marketplace for a number of good policy the core competencies of Forum Policy Mechanisms to Bridge the ideas and partnership opportunities that Partner companies with those of other Financing Gap, Low Carbon Prosperity governments, international organizations, organizations such as governments, Task Force Recommendations to G20 companies and other institutions may international agencies, NGOs or Leaders, Mining & Metals Scenarios to wish to consider incorporating into their foundations to advance progress on 2030, Redesigning Business Value – A own initiatives. Its aim has been to critical global or regional problems Roadmap for Sustainable Consumption, stimulate greater engagement by all The Future of Pensions and Healthcare in countries and stakeholders in an effort to The Forum’s portfolio of programmes is a Rapidly Ageing World – Opportunities update and upgrade international dynamic, reflecting major global shifts and and Collaborative Strategies, The Global cooperative structures so that they are developments. In 2009-2010, 16 initiatives Information Technology Report 2009- more fully in line with the realities of the were successfully completed and 19 new 2010. 21st century. ones launched. Examples of new initiatives include: Fair Mineral In 2009-2010, the Forum also undertook Development, ICT and Eco-Sustainability, a special initiative in which it challenged all Innovative Healthcare Delivery, Long-term of its communities to develop concrete Investing, Open Borders, Repowering proposals for improvements in Transport and Carbon Neutral Skies, international cooperation and governance Smart Grid and Energy Efficiency, in their respective areas of expertise. Sustainable Credit and Towards a Global Organized under the patronage of the Charter for Health Data. governments of Qatar, Singapore, Switzerland and Tanzania, the Global Together with Partners, Members and Redesign Initiative (GRI) has engaged over other constituents, the Forum remains 1,200 academic, business, governmental committed to shaping the global, regional and civil society experts and decision- Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 15
Improving the State of the World through Multistakeholder Initiatives World Economic Forum Annual Report 2009-2010
15 Special Achievements 2009-2010
Climate Change Water Initiative The Global Education Initiative
In 2009, at the invitation of Prime Minister National and state governments must In 2009-2010, the Global Education Gordon Brown of the United Kingdom, address the critical challenge of meeting Initiative (GEI) continued its pioneering whose government chaired the G20 that the growing and competing demands for work in collaboration with UNESCO on the year, the Task Force on Low-Carbon fresh water from the food and agriculture, Partnerships for Education (PfE) Economic Prosperity devised a set of energy and industrial sectors, and the programme to promote multistakeholder practical, transformative proposals for burgeoning populations of urban areas. partnerships for education (MSPE) to major economies on how to build an They must do so in sustainable and achieve global education objectives international low-carbon economy quickly environmentally responsible ways, making including the goal of Education for All and to scale, especially in developing necessary trade-offs in allotting resources. (EFA). countries. These recommendations were delivered to Prime Minister Brown in The World Economic Forum Water Building on its successes to date in September 2009. The task force involved Initiative is focused on these challenges. In mobilizing over US$ 100 million to improve over 75 Strategic and Industry Partners of 2009-2010, the Forum completed an conditions for 1.8 million students and the World Economic Forum, over 35 important book that draws together teachers in Jordan, Egypt, the Palestinian international organizations, universities contributions from Industry Partners, Territories and the Indian state of and think tanks, and extensive interaction government officials and Global Agenda Rajasthan, the GEI focused in the past with the experts in the Forum’s Network of Council experts. To be published in the year on underscoring the importance of Global Agenda Councils. It employed the autumn of 2010, it provides sobering education and the need to improve its Forum’s interactive WELCOM platform to forecasts of what may happen by 2030 if quality. conduct much of its discussions. the world does not change its business- as-usual approach to water management. Activities included a series of regional In absence of a global deal at the workshops on entrepreneurship education December 2009 United Nations At the Annual Meeting of the New in Latin America, the Middle East, Africa, Conference in Copenhagen, the Climate Champions 2009 in Dalian and the Annual Europe and India. With UNESCO, the GEI Change Initiative brought together Meeting 2010 in Davos-Klosters, as well released a Manual for Monitoring and business, government and expert as at regional events in India, Jordan and Evaluating Education Partnerships. In representatives at the Annual Meeting Tanzania, the Forum held discussions on 2010-2011, the GEI will continue to 2010 in Davos-Klosters. The aim of the current water problems and how to support entrepreneurship education with gathering was to advance the global respond to them. All stakeholders policy roundtables in Europe, the Middle climate agenda by building a practical recognize that action at both the national East and Latin America. framework of action around key building and global level is required and that new www.weforum.org/gei blocks of the low-carbon economy, based kinds of progressive alliances and on the recommendations from the Task coalitions are needed to support Force on Low-Carbon Economic governments in water management Global Health Initiative Prosperity and the Global Agenda reform. Councils in the network’s Sustainability While infectious diseases continue to Cluster. As part of the Global Redesign Initiative, a affect severely millions of individuals, the proposal for action was drafted to bring World Economic Forum’s Global Health In 2010, the Forum’s initiative on Climate together the Water Resources Group led Initiative has proven successful in its Change is engaging Partners and experts by the International Finance Corporation original mission to bring health issues to in the following key areas: scaling up and the Forum’s Water Initiative to create the top of the world’s agenda and private institutional capital into low-carbon a global public-private platform of experts demonstrate the business case for infrastructure and low-carbon aimed at analysing water conditions, engaging in this important effort. technologies including those that promote building coalitions and promoting reform. energy efficiency in developing countries, The alliance is to be launched by the end The emergence of new organizations financing sustainable land use and policies of 2010 and will be the next chapter in the engaged in this fight is evidence of that for accelerating the commercialization of Forum’s Water Initiative. achievement. Through the Health@the carbon capture and storage (CCS). www.weforum.org/water Forum programme, the Forum is now www.weforum.org/climatechange focusing its efforts on other global health challenges. To address the rise of chronic Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 16
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diseases, it launched the Wellness Alliance Global Risk Network As part of continuing industry-specific for Workplace Health at the Annual anti-corruption dialogues, the PACI Meeting 2010. The Global Risk Network tracks a core set launched an initiative focused on of risks that are global in nature and mobilizing action within the logistics and The Forum is promoting the critical need impact, assessing their likely evolution and transportation industry to enhance in a time of resource constraints to identify highlighting how their interconnectIons transparency in national customs and shape innovative, affordable and require a multistakeholder approach if they administrations. Launching similar high- sustainable models for delivering care that are to be successfully mitigated. Bringing impact projects will be a key goal in 2010- can be scaled up or replicated. The Forum together leaders from business, 2011. is also facilitating the engagement of key government, civil society institutions and www.weforum.org/paci stakeholders aiming to develop a “Global academia, the Network convenes expert Charter for Health Data” based on the meetings throughout the year to evaluate principle that the availability and the most pressing issues on the global accessibility of accurate data are a risk landscape in the medium to long term prerequisite to improving the performance and to consider means to improve how of health systems. they are managed. www.weforum.org/globalhealth The insights that are captured are feed into the preparation of the annual Global Workplace Wellness and Chronic Risks Report, the latest edition of which Disease Prevention Initiative was released in January 2010 prior to the Annual Meeting in Davos-Klosters. The World Health Organization (WHO) www.weforum.org/globalrisks predicts that non-communicable diseases (NCDs) will account for two-thirds of all deaths over the next 25 years, the Partnering Against Corruption Initiative majority in low- and middle-income countries. The World Economic Forum is Bringing together over 155 companies actively engaged in finding solutions to from a wide range of industries around the turning the tide of this growing epidemic. world to fight bribery and corruption, the World Economic Forum’s Partnering The focus is both on employers who can Against Corruption Initiative (PACI) is the contribute to mitigating the health and leading, action-oriented global anti- financial toll of NCDs through the corruption initiative driven by the private development of comprehensive workplace sector. wellness programmes and on businesses as providers of products and services that The number of PACI signatory companies can contribute to healthier lifestyles and to increased by 11% in 2009-2010, the prevention of NCDs. The Forum also demonstrating continued momentum and supports the WHO-led NCDnet initiative commitment to fighting corruption. At the and the Partners’ Forum for Action on Annual Meeting 2010 in Davos-Klosters, Chronic Disease of the Pan American regional meetings and PACI meetings in Health Organization (PAHO), the WHO’s Qatar and Vietnam, business, government regional office for the Americas. and civil society leaders engaged in several anti-corruption discussions, At the Annual Meeting 2010 in Davos- offering unparalleled opportunities for Klosters, the Forum launched the signatories to connect with peers from Wellness Alliance for Workplace Health to around the world and across industries. raise awareness of the business case for engaging in NCD prevention, develop The PACI also continued making progress economic models and tools to address in developing tools for signatories to make the problem of NCDs, and highlight good use of the initiative’s management companies with strong employee health system framework. programmes and healthy workplace environments. www.weforum.org/wellness Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 17
Our Business and Non-Business Communities World Economic Forum Annual Report 2009-2010
17 Our Business and Non-Business Communities
The World Economic Forum strives to be the global “ multistakeholder organization to integrate business and non business communities into partnerships.
Members and Partners an active role at the Annual Meeting of the The International Business Council New Champions 2009 in Dalian, People’s” The World Economic Forum provides a Republic of China, and in the World The International Business Council (IBC) of unique opportunity for companies, as key Economic Forum’s regional meetings, the World Economic Forum held its global stakeholders, to engage with other where they showcased their dynamism Summer Meeting 2009, the first of the enterprises and with governments and and contributed to discussions. The community’s biannual peer exchanges, in civil society groups around the world. community has actively leveraged the Montreux, Switzerland. The focus was on Forum’s WELCOM platform to foster the outlook for the global economy and Membership: Limited to 1,000, Members closer ties with senior leaders, including the efforts by governments and regulators include the foremost global corporations conducting sessions in Chinese and to strengthen it. Council members committed to improving the state of the Russian to integrate a broader range of discussed the actions taken by policy- world In 2009-2010, the Forum welcomed participants. makers to manage the crisis and the 117 new members, more than half from www.weforum.org/ggc repercussions for business. They also had outside North America and Western an insightful conversation with Margaret Europe. Chan, the Director-General of the World Technology Pioneers Health Organization, on scenarios for a Industry Partners: Many Members elect potential global pandemic. to become more deeply involved in the The Technology Pioneers is a group of Forum’s activities through the Industry highly innovative companies, usually start- At the Winter Meeting during the Forum’s Partnership Programme, now in its fourth ups or enterprises in the early rounds of Annual Meeting 2010 in Davos-Klosters, year. In 2009-2010, the number of raising capital that are involved in the Juan Somavia, Director-General of the Industry Partnerships grew by 21% to a design, development and implementation International Labour Organization (ILO), record 375. of groundbreaking technologies. and Pascal Lamy, Director-General of the World Trade Organization (WTO), joined Strategic Partners: The most committed A committee of some of the world’s most participants for a discussion on how to Members, Strategic Partners provide respected academics, media leaders, deal with the social and political essential support for the Forum’s mission. technologists and venture capitalists consequences of the recession. In 2009-2010, the number of Strategic convened by the World Economic Forum Partners reached 100, which is the current annually selects new members of this They reflected on the implications of rising limit. community. unemployment, the future of relations www.weforum.org/partners between business and government, Fully integrated into the Forum’s financial sector reforms, and the threat of programmes and initiatives, these protectionism and economic nationalism. Global Growth Companies champion companies play a pivotal role in IBC members also had the opportunity to driving forward technological innovation engage with Li Keqiang, Executive Vice- Formed in 2007 to engage dynamic high- geared towards improving the state of the Premier of the People’s Republic of China, growth companies that have the potential world. In 2010, the Forum recognized 26 and Lee Myung-Bak, President of the to be future industry leaders, the enterprises as Technology Pioneers, Republic of Korea. Community of Global Growth Companies operating in the fields of information (GGCs) has expanded 20% to over 250 technology and telecommunications, members from 59 countries, with 70% in clean technology and life sciences. developing economies. Members played www.weforum.org/techpioneers Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 18
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They also heard a strong appeal by former Faith Communities The Global Agenda Council on Faith, a US President Bill Clinton, UN Special multistakeholder group of experts Envoy to Haiti, for the private sector to Recognizing the immense importance of including business, academic and contribute to the relief and reconstruction communities of faith around the world and religious leaders, focused its work over of the Caribbean nation following the the relevance of faith to the global the last year on the importance of a moral earthquake. economy, politics, society and individuals, economy. The council reiterated the need the World Economic Forum has integrated to give priority to values such as A number of IBC members served as the voices of faith leaders into a broad compassion, human dignity and mentors to participants at the Annual range of topics relevant to the global responsibility, and for leaders to align their Meeting of the New Champions 2009 in agenda over the last year, including actions with these principles to foster the Dalian, People’s Republic of China. interfaith understanding, values and global cooperation necessary to confront ethics, the environment, the interface contemporary challenges in an effective, between religion and science, education inclusive and sustainable way. The International Media Council and health, and the role of religion in www.weforum.org/faith development. At their Winter Meeting during the Annual Meeting 2010 in Davos-Klosters, Influential religious leaders from multiple Women Leaders and Gender International Media Council (IMC) faiths as well as faith-based organizations Parity Programme members met with David Cameron, then shared their expertise through their the Leader of the Opposition in the United integration at the Annual Meeting and In 2009-2010, the Women Leaders and Kingdom (United Kingdom Prime Minister regional meetings. In light of the recent Gender Parity communities of the World since May 2010); Li Keqiang, Executive global economic crisis, much emphasis Economic Forum made important Vice-Premier of the People’s Republic of was placed on the role of values in advances. The Global Gender Parity China; and Lee Myung-Bak, President of rebuilding stronger foundations for the Group and the regional groups in Latin the Republic of Korea. global economic system. America and Africa held their third annual meetings, taking an in-depth look at the Other highlights included in-depth The second edition of Faith and the Global solutions that have been successfully discussions on social networking and its Agenda was released in January 2010, implemented to close gender gaps and impact on the nation state and a joint shortly before the Annual Meeting in designing methods for replicating and session with the Media, Entertainment and Davos-Klosters, under the theme “Values scaling up these solutions. Information Industry Partners on creative for the Post-Crisis Economy”. leadership and the changing environment The Global Agenda Council on the Gender for media companies. The report sought to examine and Gap developed a proposal to redesign understand public opinion on the topic of international cooperation, calling for the IMC members also met at the Annual values and to take an in-depth look at the creation of a virtual platform to consolidate Meeting of the New Champions 2009 in experience and expertise of various solutions from companies and countries Dalian, participating in cross-community religions in this area. A unique public that have already had success in reducing discussions with the IBC Technology opinion poll of over 100,000 people from gender gaps and disseminating this Pioneers, and Social Entrepreneurs on the 10 major economies was conducted information to organizations that seek to “Asian Century” and how technology and through Facebook. adopt and learn from such tested social innovation are shaping Asia’s global practices and policies. influence. Among other findings, the survey revealed a trust deficit of values in the business Parallel to the work it is doing with this The IMC’s biannual informal lunches in world. The report also compiled editorials broad network of stakeholders, the Forum New York with Klaus Schwab, Founder from over 15 global religious leaders and expanded its efforts on quantitative and Executive Chairman of the World faith organizations on ethics and the analysis for benchmarking the gender Economic Forum, have become a economy, revealing remarkable agreement gap. The Global Gender Gap Report tradition. among various religions on the need for 2009, the fourth edition of the series, was values as an underlying base for released in October 2009. economic systems. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 19
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By providing a comprehensive framework In April 2010, the Forum announced a The Forum of Young Global Leaders for benchmarking global gender gaps, the new internal policy on the participation of Global Gender Gap Index featured in the its Strategic Partners at the Annual The Forum of Young Global Leaders report ranks 134 countries on how they Meeting in Davos-Klosters: A minimum of (YGLs), which has its own structure are dividing resources equitably between one executive out of every five participants autonomous of the World Economic women and men, regardless of their level must be female. Strategic Partners widely Forum, includes exceptional leaders under of resources. The report serves as a welcomed this decision, which will apply the age of 40 who share a commitment to reference for policy-makers, academics to the Annual Meeting 2011. shaping a more positive future. One of the and business, and has been widely www.weforum.org/womenleaders most diverse multistakeholder groups featured in the media. within the World Economic Forum, it has 767 active members in nearly a hundred At the India Economic Summit in Schwab Foundation for Social countries from business, politics, November 2009, the Forum released the Entrepreneurship academia, arts and culture, media, civil India Gender Gap Review. This report society and social entrepreneurship. provided a comparative perspective on Since 2000, in close collaboration with the About 30% are women. India’s performance in closing the gender Schwab Foundation for Social gap in relation to economies in the region Entrepreneurship, the World Economic In 2009-2010, YGLs gathered at several as well as other emerging markets. It also Forum has been promoting the innovative World Economic Forum global and served as the basis for discussion at the and pragmatic models developed by the regional events, providing opportunities for Summit among several business leaders world’s leading social entrepreneurs. Members to expand contacts with peers and policy-makers on girls’ education and Social entrepreneurs drive social and work on substantive initiatives and women’s economic empowerment in innovation and transformation in various task forces. India. fields including education, health, environment and enterprise development. In addition to highly successful existing On International Women’s Day, 8 March They pursue poverty alleviation goals with initiatives such as Deworm the World, 2010, the Forum released The Corporate entrepreneurial zeal, business methods which last year implemented school- Gender Gap Report 2010. The first study and the courage to innovate and based treatment of parasitic worms for of its kind, it surveys 600 of the world’s overcome traditional practices. A social more than 20 million children, allowing biggest employers in 20 major economies, entrepreneur, similar to a business them to stay in school and get the assessing companies on representation of entrepreneur, builds strong and education they deserve, and Table for women within their establishments and sustainable organizations, which are set Two, which tackles obesity and lifestyle- the use of gender equality practices such up as either not-for-profit organizations or related diseases in industrialized countries as measurement and target setting, work- for-profit companies. and hunger and malnutrition in developing life balance policies and mentorship and countries, YGLs launched a number of training. The Forum invites social entrepreneurs to new initiatives under the Forum’s Global participate actively in the Annual Meeting Redesign Initiative (GRI). The report provides detailed analysis by in Davos-Klosters and regional meetings country and industry on these measures around the world. They contribute to all Led by a steering group chaired by H.R.H. and also contains a qualitative section Forum initiatives and task forces, including Crown Prince Haakon of Norway, YGLs exploring the opinions of human resources the meetings on shaping the future developed innovative approaches to directors on the potential effects of the agendas of industries and the global challenges. These include: economic downturn on women’s deliberations of the Global Agenda employment. Councils. Tackling the lack of progress in food security, clean water and health In 2009-2010, the Schwab Foundation among the very poor, by developing a selected 28 of the world’s outstanding global responsibility license (GRL) to social entrepreneurs to join its network, encourage companies to make recognizing them as “Social Entrepreneurs intellectual property (IP) available for of the Year” in their respective country or development uses such as food region. Today, the Foundation represents distribution and disaster relief, while 184 social entrepreneurs from 167 preserving protection for commercial organizations in 50 countries. uses and managing institutional risk. www.schwabfound.org Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 20
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Unlocking IP across multiple private and civil society sectors have technology sectors will foster blurred and the key solutions to global innovation and kick-start the design, challenges are much more likely to development and deployment of emerge through a blended, integrated technologies. Combined with technical approach. Following the journeys, YGLs and legal support to ensure the participated in sessions and workshops license’s terms are tailored to the on innovation, entrepreneurship, technologies and organizations measuring impact and empowering involved, the GRL has the potential to change. bring down barriers faced by current patent commons initiatives and foster For more information, please visit the new partnerships on a previously yglvoices channel on YouTube unachievable scale. (http://www.youtube.com/yglvoices) or Twitter (http://twitter.com/yglvoices) or Empowering citizens to ensure that follow the YGL Blog their right to free and fair elections is (http://www.forumblog.org/ygl/). respected. Based on the experiences www.younggloballeaders.org of YGLs in Argentina, Mozambique www.weforum.org/ygl and Venezuela, the Civic Eyes initiative is engaged in three activities. First, it is adapting existing crowd-sourcing technology for elections. Second, it is providing training and technical support for adapting and deploying this technology to local NGOs. Third, it is aggregating best practices and regularly updating the methods it employs. As a result of these efforts, the group expects to see mass participation in election monitoring become the norm and, in so doing, enhance accountability, transparency and citizen engagement.
Details on these and many more initiatives may be found on the Young Global Leaders public discussion forum www.redesignourworld.org.
The Forum of Young Global Leaders continued its successful global public policy education module with the Harvard Kennedy School of Government. It also hosted its largest ever Summit of Young Global Leaders in Dar es Salaam, Tanzania, in May 2010. YGLs visited more than 20 Tanzanian government, civil society and private sector organizations to collaborate on their challenges, innovations and models for social change. The premise of these “Impact Journeys” is that the boundaries between the public, Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 21
Public Engagement World Economic Forum Annual Report 2009-2010
21 Public Engagement
Among the other activities of the Forum, the release of three “ Forum reports – The Global Competitiveness Report, The Global Information Technology Report and The Global Gender Gap Report – attracted especially strong interest.
In all its events and initiatives, the World Also generating significant media LinkedIn and MySpace, as ”well as a Economic Forum is committed to coverage during the year were the Annual Twitter account with over 1.5 million transparency and openness. In 2009- Meeting of the New Champions 2009 in followers. The Forum ran a microblog in 2010, the Forum achieved an Dalian, the India Economic Summit 2010 Chinese during the Annual Meeting on unprecedented level of engagement with and the World Economic Forum on Latin Sina.com. An increasing number of the public by reaching out to both America 2010 in Cartagena, Colombia. participants are covering Forum events mainstream news and social media. Among the other activities of the Forum, and initiatives on their blogs or through the release of three Forum reports – The services such as Twitter. Two members of The exceptional media participation in the Global Competitiveness Report, The the MySpace and YouTube communities World Economic Forum Annual Meeting Global Information Technology Report and were selected to participate in the Annual 2010 in Davos-Klosters included a record The Global Gender Gap Report – Meeting in Davos-Klosters. 10 live-to-tape debates that were attracted especially strong interest. integrated into the programme and broadcast by CNN (USA), CNBC (USA), The Forum recognizes the growing BBC World (United Kingdom), CCTV importance of engaging the public through (People’s Republic of China), NHK the Internet and social media. Efforts are (Japan), Al Arabiya (United Arab Emirates), being made to improve the Forum website NDTV (India) and Associated Press to provide timely and comprehensive Television News (APTN), which distributed coverage of all events, including webcasts the closing session to over 550 of key sessions at the Annual Meeting in broadcasters around the world. The Davos-Klosters and all regional meetings. potential audience for the debates was 1.5 billion people. The Forum has used its YouTube channel and the Davos Debates programme to To coincide with the Annual Meeting, The stimulate virtual public participation in the Wall Street Journal published an opinion Annual Meeting in Davos and other essay by Klaus Schwab, Founder and events, allowing the YouTube community Executive Chairman of the World to pose questions to world leaders. Economic Forum, on “Bank Bonuses and the Communitarian Spirit”. The Forum maintains pages on Facebook,
The Forum opened its doors to CBS News of the US which did an inside look at the Annual Meeting for its flagship 60 Minutes programme. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 22
Our Organization World Economic Forum Annual Report 2009-2010
22 Our Organization
An organization is only as strong as its leadership. The “World Economic Forum is guided by a Foundation Board of exceptional individuals, who act as guardians of its mission and values, and ensure strong corporate governance.
The Foundation Board Carlos Ghosn Ernesto Zedillo Ponce De Leon Chairman and Chief Executive Officer, Director, Yale Center” for the Study of Klaus Schwab* Renault-Nissan Alliance, (France and Globalization, Yale University, USA; Chairman of the Foundation Board Japan), France President of Mexico (1994-2000)
Josef Ackermann* Rajat K. Gupta* Chairman of the Management Board and Senior Partner Emeritus, McKinsey & * Members of the Executive Committee the Group Executive Committee, Company, USA ** Members of the Audit Committee Deutsche Bank, Germany; Vice- Chairman of the Foundation Board of the Susan Hockfield For more information about the World Economic Forum President, Massachusetts Institute of Foundation Board, visit Technology, USA www.weforum.org/foundationboard Kurt Alig* Chairman, Arcadia Treuhand, Christine Lagarde Switzerland; Secretary of the Foundation Minister of Economy, Finance and Board Employment of France Managing Board
Kofi Annan Maurice Levy Robert Greenhill Secretary-General, United Nations (1997- Chairman and Chief Executive Officer, Managing Director, Chief Business Officer 2006) Publicis Group, France Rick Samans Tony Blair Indra Nooyi Managing Director, Institutional Initiatives Prime Minister of the United Kingdom Chairman and Chief Executive Officer, (1997-2007) PepsiCo, USA André Schneider Managing Director, Chief Operating Peter Brabeck-Letmathe Ivan Pictet** Officer Chairman of the Board, Nestlé, Senior Managing Partner, Pictet & Cie Switzerland Private Bankers, Switzerland Klaus Schwab Executive Chairman Victor L. L. Chu* H.M. Queen Rania Al Abdullah of the Chairman and Chief Executive Officer, Hashemite Kingdom of Jordan Alois Zwinggi First Eastern Investment Group, Hong Managing Director, Resources and Kong SAR Joseph P. Schoendorf Processes Partner, Accel Partners, USA Michael S. Dell For more information about the Chairman and Chief Executive Officer, Peter D. Sutherland** Managing Board, visit Dell, USA Chairman, Goldman Sachs International; www.weforum.org/leadershipteam Chairman, BP, United Kingdom; Director- Niall FitzGerald General, GATT and WTO (1993-1995), Deputy Chairman, Thomson Reuters, Geneva United Kingdom as of 1 July 2010 Heizo Takenaka** Orit Gadiesh Director, Global Security Research Chairman, Bain & Company, USA Institute, Keio University, Japan; Economic Minister of Japan (2001-2006) Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 23
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Our offices in Geneva, Beijing and New York share one “ culture and one mission. ” Our People During their first two years in the The World Economic Forum USA is programme, Fellows follow executive overseen by a Board of Directors, which On 30 June 2010, the World Economic education modules delivered by academic actively guides its strategic direction. The Forum employed 313 staff, only eight partners including INSEAD, Columbia Board comprises: more people than a year before. (This University, London Business School and does not include staff of the World the Wharton School of the University of Board of Directors Economic Forum USA or employees in Pennsylvania. In addition, the Fellows Jean-Pierre Rosso (Chairman) the Beijing and Tokyo offices.) During hone their personal skills such as public Alfred Berkeley 2009-2010, the Forum nevertheless speaking and communications, Samuel DiPiazza successfully expanded the number of its negotiation, teamwork and leadership. William George constituents and activities across all areas Robert Greenhill by improving efficiency and enhancing In 2010, 50 Fellows took part in a Rajat Gupta cooperation among teams and staff. weeklong residency at Columbia’s School Joseph Schoendorf of Arts, which focused on the importance Kevin Steinberg (Corporate Secretary) The Forum staff includes people of 56 of the arts in fostering future leaders in an nationalities, with an average age of 36. ever-more interconnected world. The Executive Leadership* About 60% are female. The World residency provided the Fellows the Jean-Pierre Rosso, Chairman Economic Forum remains the employer of opportunity to work with Columbia’s Kevin Steinberg, Chief Operating Officer choice for many highly skilled and distinguished and renowned theatre motivated talents from around the world faculty. Following the Columbia The World Economic Forum USA’s 2009- who are driven by a passion to achieve programme, the group participated in 2010 Annual Report is available at results and serve our constituents to the workshops on globalization and on www.weforum.org/usa/ar best of their abilities. leadership and personal skills at the Wharton School. World Economic Forum China Global Leadership Fellows World Economic Forum USA The World Economic Forum China Now entering its sixth year, the Global Representative Office is the first Leadership Fellows programme draws The World Economic Forum USA was international foundation legally recognized talented young professionals from around incorporated in December 2005 as a non- and registered in the People’s Republic of the world. Over 2,000 individuals applied profit business league based in New York. China. Incorporated as a non-profit for the 25 places in the 2009 cohort. The It is impartial and tied to no political, organization, it is impartial and tied to no programme aims to develop leaders who partisan or national interests. As an affiliate political, partisan or national interests. are highly competent in both the public but legally independent of the World With 13 full-time staff members, the office and private sectors and well versed in Economic Forum, its relationship is is integrated into the Forum’s operations in global, regional and industry issues. governed by an affiliation agreement, a Geneva, New York and Tokyo under the Fellows are full-time World Economic contractual agreement under which the leadership of Christophe Weber, the Forum employees for three years, while Forum USA coordinates with the Forum Director and Chief Representative. simultaneously taking executive master’s when conducting its activities. The World degree courses. Economic Forum USA is a non-profit The China team continues to diversify and organization under section 501(c) 6 of the expand its China-based membership with Internal Revenue Service Code of the a record participation of Chinese United States. members and partners in the Annual www.weforum.org/USA Meeting in Davos-Klosters and the Annual Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 24
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Meeting of the New Champions, which Managing Directors (non- members Sarita Nayyar has become known as the “Summer of the Managing Board) Senior Director, Head of Consumer Industries Davos”. The office is deepening its Lee Howell Paul Smyke relations with the Chinese central and Managing Director, Head of Programming Senior Adviser to the Chairman provincial governments, expanding Adrian Monck collaboration with a wide range of Managing Director, Head of Communication Directors, Geneva ministries and senior government officials. and Media Grant McKibbin Chinese Premier Wen Jiabao participated Gilbert Probst Guy-Serge Baer for the third time in the Annual Meeting of Managing Director and Dean, Global Carine Benetti the New Champions 2009 in Dalian, while Leadership Fellows Programme Pratik Bhatnagar Executive Vice-Premier Li Keqiang led the Jennifer Blanke Senior Directors, Geneva Chinese delegation to the Annual Meeting Jean-Loup Denereaz David Aikman 2010 in Davos-Klosters. Laurent Desnoux Senior Director, Head of Young Global Margareta Drzeniek Hanouz Leaders The China team is improving its outreach Diana El-Azar Roberto Bocca to Chinese stakeholders and expanding Martina Gmür Senior Director, Head of Energy Industries its many communities including Media Guy Goodwin Denise Burnet Leaders, Young Global Leaders and Julianne Jammers Thomas Senior Director, Events (as of July 2010) Social Entrepreneurs. The office has Stéphanie Janet Renggli Piers Cumberlege enhanced its media presence and Stephen Kinnock Senior Director, Head of Partnership communications material and has Randall Krantz Elaine Dezenski Rodolfo Lara developed a Chinese-language website. Senior Director, Global Situation Space (as of Carina Larsfälten July 2010) Helena Leurent Cook The World Economic Forum China Sherif El-Diwany Emma Loades Representative Office will relocate to new Senior Director, Head of Middle East (as of Massimo Marino premises in the Beijing Central Business July 2010) Fon Mathuros District in December 2010. Malte Godbersen Irene Mia www.weforum.org/cn Senior Director, Head of Information Michele Petochi Technology Sushant Rao Jeremy Jürgens Melanie Rogers World Economic Forum Japan Senior Director, Global Growth Companies Logan Stanton Olivier Raynaud Olivier Schwab In September 2009, with the strong Senior Director, Healthcare Initiative and Sheana Tambourgi support of the Japan Davos community, Healthcare Katherine Tweedie the World Economic Forum inaugurated Mirjam Schöning Kristel Van der Elst an office in Tokyo, the second Senior Director, Schwab Foundation Regula Waltenspuel representative office set up by the Forum Carsten Sudhoff Saadia Zahidi outside Geneva. Klaus Schwab, Founder Senior Director, Chief Human Resources and Executive Chairman of the Forum, Officer Directors, Beijing officially announced the launch at the Dominic Waughray Christophe Weber opening plenary of the Japan Meeting. Senior Director, Head of Environmental Jerry Yu Initiatives Li Zhang Participating in the session were Yukio Alex Wong Senior Director, Head of Centre for Global Hatoyama, Head of the Democratic Party Directors, New York* of Japan (DPJ) and a member of the Industries Geneva Giancarlo Bruno Davos Caucus in the Japanese Diet, and Lisa Dreier 150 senior Japanese business, Senior Directors, New York* Emilio Lozoya government and civil society leaders. The Marisol Argueta Max von Bismarck aim of the Japan office is to facilitate the Senior Director, Head of Latin America Tiffany West Forum’s communication and cooperation Alan Marcus, Senior Director, Information with Japanese multistakeholder Technology and Telecommunications * employees of the World Economic Forum USA communities to enhance Japan’s role in Industries shaping the global, regional and industry John Moavenzadeh agendas. Senior Director, Head of Mobility Industries Annual_Report_2010_16Aug:Layout 1 17.08.10 08:08 Page 25
Our financial results World Economic Forum Annual Report 2009-2010
25 Our financial results
The most notable revenue drivers continue to Financial policy Auditors be the growing number of Forum Members The World Economic Forum’s financial policy The World Economic Forum’s financial results who have become Partners and participate in states that membership fees in principle should are audited by PricewaterhouseCoopers, who our activities. In total, this trend added cover operational costs, events are funded examine the balance sheet and accounts. The CHF 1’014’724 to our reserves. This figure was through cost contributions and projects are Annual Report, as well as all institutional also due to important cost reductions and supported by income from Partnership documents, is submitted to the Swiss Federal efficiencies we introduced during the year. In contracts. The Forum may accept grants, Government, which in law acts as the finance, as throughout our organization, we aim donations, legacies and other contributions or supervisory body for the Foundation. for excellence and the most efficient use of the subsidies that are consistent with its purpose of funds received. “integrating leaders from business, politics and society at large into a community for global action committed to improving the state of the world and the well-being and prosperity of human society”. The World Economic Forum makes no payments to political personalities, parties or other organizations and avoids involvement in national politics.
Year 2005/2006 2006/2007 2007/2008 2008/2009 2009/2010
Total income 104'766'543 114'574'874 135'658'953 139'218'416 143’407’241 out of which members' fees 26'410'294 27'763'750 34'507'970 34'853'240 36’769’181 participation fees 27'063'138 30'160'303 33'760'750 32'276'553 30’874’638 partnership 44'668'943 50'881'934 58'701'386 60'572'903 62’149’264
Total expenditure 102'735'578 111'805'027 133'270'705 137'867'514 142’392’517 out of which personnel costs 40'035'452 47'887'856 52'046'876 56'243'901 59’428’694 office costs 12'537'175 11'884'632 14'679'276 26'356'814 26’041’288 activity related costs 42'732'347 52'032'539 66'544'553 55'266'799 56’922’535
Surplus to be added to the Foundation capital 2'030'965 2'769'846 2'388'248 1'350'902 1’014’724
Foundation capital 17'150'381 19'920'227 22'308'475 23'659'377 24’675’300
TOTAL STAFF Full time 204 239 266 304 319 out of which are seconded by Forum members 7 8 11 9 6 Part time 25 30 31 38 42
The World Economic Forum USA, a legally independent organization affiliated with the World Economic Forum, generated income of US$ 35,148,935 and expenditure of US$ 33,241,256. These financial figures are not consolidated with the financial results of the World Economic Forum and currently not yet audited. Annual_Report_2010_16Aug:Layout 1 17.08.10 08:06 Page 1
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ISBN-10: 92-95044-46-0 ISBN-13: 978-92-95044-46-3