Apec 2021: Matter of trust and aspiration

Barbara Chapman with Prime Minister Jacinda Ardern and Premier Partner CEOs: Miles Hurrell, Vanessa Sorenson, Mark Averill, David McLean and Mike Fuge. Photo / Supplied

Businesses around the world are increasingly being challenged by stakeholders and customers on matters concerning trust.

Barbara Chapman, appointed by PM Jacinda Ardern to chair the Apec CEO Summit, said there will be many great and inspirational conversations, but one she is looking forward to is the discussion about the business of trust and accountability.

A high-profile professional director, Chapman said trust is an emerging environmental, social and governance (ESG) topic but "in my experience it's not discussed a lot around the board table.

"Providing more thought on this and leading to a conversation about why trust is important will be a unique and interesting topic amongst all the others at the summit," she said.

Public relations trailblazer, American Richard Edelman, will be first up on the second day of the summit speaking on "The Primacy of Trust." This will be followed by a panel discussion involving Auckland-based McKinsey & Company senior partner Andrew Grant, Sustainable Business Council NZ chairperson and Westpac NZ's Karen Silk, and Sydney-based PwC partner Kristin Stubbins.

Edelman, who developed the annual Edelman Trust Barometer, will explain how businesses must factor in culture, purpose and society to build trust as these are increasingly important among stakeholders, employees, customers and investors.

"From vaccine-hesitancy and racism to automation and infodemic, CEOs are being asked to stand up and speak up on societal issues. Businesses have the opportunity to become a force for community good — not merely to make money," Edelman believes.

Chapman said companies have to think long term about the role of their businesses and what customers are telling them — consumers can shift loyalty easily if companies lose that trust. The companies need to consider the impact of the Me Too and Black Lives Matter movements on their employees and customers. The Banking Royal Commission in Australia shone the spotlight on information breaches and public trust.

Data protection, digital accessibility, and diversity and inclusion expectations are all actions demanding a response from businesses as they increase their trust and relationship with customers, Chapman said.

The themes at the summit are inter-related. "We have built content around trade, sustainability, energy and digital disruption — areas that investors and shareholders are talking to CEOs and boards about — and people around the Asia-Pacific region can bring their different perspectives. My role as chair has been to set the aspirations high for the conversations — we in New Zealand only do this once every 21 years. We have a brilliant line-up of speakers including political leaders."

Chapman describes the online summit as similar to a television broadcast with plenty of opportunity for interaction through the hangout portal. "I'd really like New Zealand business leaders to be part of the conversation and to use the portal to meet others from the around the region and discuss opportunities and risks."

The former chief executive and managing director of ASB Bank, Chapman is the chair of NZME, publisher of the New Zealand Herald; chair of Genesis Energy, a director of Fletcher Building and deputy chair of The New Zealand Initiative think tank.

Awarded a Companion of the New Zealand Order of Merit (CNZM) in 2019, Chapman is a former chair of Oxfam New Zealand, former director of IAG New Zealand, has served on the Board of Supervisors for Oxfam International, and was a previous chair of the New Zealand Equal Opportunities Trust.

She was named the Herald's Business Leader of the Year in 2017 and the inaugural Institute of Finance Professionals New Zealand Diversity and Inclusion Leader in 2018.

Her advisory group for the summit has been NZ INC. managing director and NZME Head of Business Fran O'Sullivan; NZ Māori Tourism chief executive Pania Tyson-Nathan; NZ Initiative chairman Roger Partridge; Microsoft New Zealand Government Affairs lead Maciej Surowiec; PwC New Zealand chief executive Mark Averill; Contact Energy chief executive Mike Fuge; Fonterra chief executive Miles Hurrell; Westpac NZ acting chief executive Simon Power and Fonterra director global stakeholder affairs Simon Tucker; and Westpac NZ director of external relations Sue Foley.

For the past 12 weeks Chapman has been "stuck" in Arrowtown, having left Auckland just before the lockdown in mid-August. She received approval from the Ministry of Business, Innovation and Employment (Mbie) last Friday to come back to Auckland for the event.

Chapman will present the welcoming remarks then hand over to Ardern for the opening address.

"We've set up a satellite studio in Wellington in case the Prime Minister can't make it to Auckland."

That's the wonderful thing about latest technology and still being connected. Chapman also delivers the closing address before handing over to the 2022 host Thailand.

"I'd like to think the conversations and aspirations shared in New Zealand can be continued at the next summit in Thailand. We have wanted to raise the bar. Following our summit, the policymakers from the Apec Business Advisory Council can come to agreement and develop the regional policy," she said.
B23: PwC's Annabell Chartres — Building trust through strategic ESG.

• CEO Summit Chair Barbara Chapman with Prime Minister Jacinda Ardern and Premier Partner CEOs: Miles Hurrell, Fonterra; Vanessa Sorenson, Microsoft NZ; Mark Averill, PwC; David McLean, former CEO Westpac NZ; Mike Fuge, Contact Energy.

The summit has been preceded by a five-part Apec 2021 Live with Business series of panel events, hosted from NZ and available to global audiences online.

These sessions have looked at the future of business and the way that business can work with government. Discussions focused on recovering sustainably, food safety, renewable energy transfer, inclusive business and a digital future of work.