The increasing attention from consumers, investors, employees & government has made sure that organizations are getting more and more environmentally & socially conscious. The rage for Sustainability has taken over the world by storm and ESG has become a top mandate in the Business Community, especially after the COP26 Glasgow Pact & a return to the Paris Rulebook.
How have corporations affected our society historically?
Since the advent of the Industrial Revolution & capitalist markets, profit has been the driving force for almost all enterprises. In the Industrial Age, we are aware of the many atrocities that the business leaders & factory owners hurled at their workers in terms of workplace safety, fair wages & health-related concerns. Through many years of disputes, strikes, policy-making & slow-paced progress, workers’ rights were attained. The labor standards were improved, a fair wages system was introduced, several social audits were enabled & a work-specific wage system was devised. For women, it was a long struggle that continues to this day.
From a recent social survey in America, it was found that almost 78% of the population believe that companies should have a higher purpose, they must impact society positively & should be responsible for its growth.
The Impact of Corporate Social Responsibility
Corporate policies are prone to evolve like business environments, a workspace culture is never static- a business that is growing is on a mission of expansion. In this context, it becomes all the more important that stakeholders are protected & can be relied upon. For example, the GDPR (General Data Protection Regulation) is now a mandatory component in any business operations. This change was expected as the Internet spread globally at a massive rate. It is important to understand that this transparency is important for investors’ credit as well, the investment becomes a risk if the numbers of a company are undetermined or shifty! There are hefty fines that are ascribed to companies that do not follow the fundamental guidelines of the ESG Rulebook.
Understand the relevance of Social Good
It is important to regularly assess the social responsibilities of a company- a company is made up of people & who are an integral part of society. A company’s relationship with its workforce & the community it is a part of determines the reputation of the company. Employee Motivation often leads to Employee Retention & long-term loyal employees often are at the heart of a company’s success. There is a growing list of investors who have made the Sustainability Index in Businesses a mandatory filter for their investment collaborations. It is not even a hefty task, if you are a company (which is inherently made of people!) then your workers should be treated as equals & should be ascribed to healthy & safe environments. They should have the space to relay discontent & grievances and also insurances of various kinds depending upon the nature of work. Also, a company’s involvement in the affairs of the community drives a respectable reputation & encourages brand loyalty. If you acquire easy mechanisms that make you a sustainable business (such as initiating the process of Sustainability Accounting for your company, have you done it?), the consumers are going to love you. As we stated in the stats above, every day the number of woke consumers is increasing & the new-age customers are getting conscious about what they are using & all that they are endorsing. There is constant scrutiny on social media too, and questions about sustainability are gaining center stage on the Internet!
Some initiatives that you as a company can take to initiate a culture of Sustainability at your workplace,
- Purchasing Green Bonds
- Initiating & investing in ESG Funds for the company
- Developing a Sustainability Team
- Making Sustainability a part of your Business Development Strategy
Positive Social Impact is a necessary impact
It is important to incorporate social welfare into your business model. It provides you with the necessary equipment to tackle employee & consumer issues. After the UN Conference on Climate Change in Glasgow last year, it has been made a business mandate that carbon tracking must be reported by all participating nations. This implies that Sustainability Accounting & Reporting is going to become a must in the near future.
Culture at Onlygood
At Onlygood, we strongly believe that we won’t be able to drive change & inculcate the spirit of strength towards achieving this change if we are not coherent as a collective on the inside. Social welfare is an important segment of our work & we are proud to say that the Culture Sustainability in Onlygood relates to every bit of the social good that we can provide for the society & people who are part of our system.