Why Your Business Should Care About Social Responsibility

Published on: 25 October 2017 Last Updated on: 03 September 2024
social responsibility of business

You’ve got enough to worry about trying to make your business a success without having to worry about saving the world as well, right? Wrong.

Research shows that incorporating socially responsible policies into your business model can help your business to thrive. From inspiring customer loyalty to attracting investment, social responsibility has huge business benefits. Plus, you can’t beat that warm, fuzzy feeling you get from doing your bit to help the world.

In our modern digital society – where consumers have access to both company records and the fast-moving social media grapevine – social responsibility matters more than ever before. Not only do many consumers prefer to buy from ethical companies, they often insist on it. And this demand is going nowhere. Brands need to embrace social responsibility and put it at the heart of their business to have any chance of earning the kind of reputation today’s consumers want.

Read on to find out exactly why your business should care about social responsibility.

What are the benefits?

Making social responsibility a key part of your corporate citizenship policy can have far-reaching effects for your business. Commit to better environmental practices and you’re likely to cut costs as you reduce your waste and save on energy bills. Devote time to helping a charity and you’ll create no end of positive press and PR opportunities. The list goes on and on.

Other top benefits include:

  • Better marketing and brand recognition
  • More credibility and customer loyalty
  • More satisfied employees (and that makes for increased productivity)
  • Facilitation of innovation and development through collaboration
  • Increased sales and a boost in profits
  • More opportunities to secure external investment
  • Easier regulatory relationships with local authorities and the law
  • A great reputation and business longevity
  • The chance to leave a meaningful legacy and inspire the next generation

How can my business be more socially responsibility?

When creating your corporate social responsibility policy, you need to start by identifying the values that are important to your business. Think about your purpose and what you believe in. You should also think about what means the most to your customers.

Your policy should cover a range of issues from the environment to charitable donations and, crucially, include an implementation and reporting plan. You could have the best policy in the world but if you don’t carry it out, it’s meaningless. You’ll find loads of useful information on the GRI website. They empower businesses around the world to create socially responsible and sustainable business models.

Key policy areas to consider include:

Charitable giving

Social responsibility often involves working to support a charity or worthy cause. Ideally, you should choose a cause that aligns well with your business and that your stakeholders and employees will be enthusiastic about.

Take shoe brand, TOMS. Their One for One campaign helps provide shoes to people in need. For every pair of shoes purchased, they donate a pair – over 75 million at the last count. A great example of a charitable cause that has meaningful synergy with a brand.

Collaborative brand partnerships

Putting competition aside and partnering up with another brand to work collaboratively can have a huge impact. By sharing resources and expertise, partnered brands can achieve far more than they would alone. And all sides stand to gain when the collaboration has charitable aims.

The pre-competitive partnership between luxury online retailer Yoox and fashion brand We Are Handsome is a prime example. Their Yoox Loves the Reef project sees them team up to produce and sell an exclusive line of swimwear and activewear to support the conservation work of the Great Barrier Reef Foundation.

Carbon emissions

In the face of climate change, more and more businesses are looking to play their part and reduce their carbon footprint. Brands like L’Oréal have even committed to going fully carbon neutral and the hope for the future is that other businesses will follow suit.

Begin by identifying your carbon emissions and then look at ways of reducing them. This could include boosting the energy efficiency of your operations, reducing travel miles in your supply chain, investing in sustainable packaging, and offsetting unavoidable emissions.  A wide range of brands from IKEA to Unilever are collaborating to fight climate change in the We Mean Business coalition.

Human rights

Socially responsible businesses should, at the very least, make sure that no part of their supply chain uses unethical labor practices, wherever that might be in the world. On top of that, the most socially conscious brands take active steps to improve the lives of their workers. Sourcing Fair Trade goods, investing in sustainable solutions for local communities, and treating workers fairly and with respect are of vital importance to consumers nowadays. And they’re willing to pay more to shop from a brand with great human rights credentials.

M&S are one brand leading the way here, with a range of projects designed to ensure they have a positive impact on human rights and wellbeing. The M&S Global Community Programme aims to help one million people from their supply chain communities build livelihoods and conserve the environment over the next seven years.

Read More :

  1. Influencer Marketing Tool To Move From Local To Global Market
  2. Top 4 Reasons To Outsource White Label PPC For Your Business
  3. How To Choose Best VOIP For Small Business
  4. 5 Marketing Tips To Help Grow Your Business On Instagram
  5. Investing In Machinery For A More Productive Business

Content Rally wrapped around an online publication where you can publish your own intellectuals. It is a publishing platform designed to make great stories by content creators. This is your era, your place to be online. So come forward share your views, thoughts and ideas via Content Rally.

View all posts

Leave a Reply

Your email address will not be published. Required fields are marked *

Related

Lifting Gantry

Choosing The Best Lifting Gantry For Your Factory Needs

If you are working in a factory or the construction business, having the proper equipment is key to the efficiency of the business and the safety of your employees. Not only will having the right lifting equipment help you with the speed of your daily tasks, but it will help keep yourself and your workers safe. Just think about it - if you are taking your workers lifting heavy objects repeatedly, there is a higher chance of injury to their muscles, repetitive joint injuries, accident possibilities, and physical stress. Not to mention, some loads are just too heavy for workers to carry and lift off of the ground - if you find that you are having trouble completing your daily tasks in a factory due to the inability to lift heavy items, then you might find it beneficial to use a lifting gantry. But how can you choose the best lifting gantry for factories? What is the best lifting gantry to lift heavy objects from your factory? By understanding the different types of lifting gantries, how you can choose the best one, and the different characteristics of lifting gantries, you can choose the top option for your factory. Let's see more information about what a lifting gantry is, why you need one, and how to choose! Need help with your factory? Use a lifting gantry to lift heavy objects! If you are new to the factory or construction world, then finding out how to choose the best lifting gantry is key to being able to safely and effectively complete your daily factory tasks. Portable lifting gantry (adjustable) - If you need to move the lifting gantry between various spots in your factory, using an adjustable lifting gantry is an absolute must! If you are using your portable lifting gantry in a workshop, factory, or business and you frequently need to lift heavy objects in multiple places, then using the adjustable lifting gantry is a must. Use the adjustable lifting gantry to change the height so you can accommodate various shapes and weights of objects! Adjustable lifting gantry with a thicker beam - If you are looking to lift heavier objects and need a less portable lifting gantry, using one that has a thicker middle beam is a must to lift weights that are between 120kg and 175kg. Using the stronger aluminum lifting gantry is the best way that you can avoid using multiple workers in your business to lift excessively heavy objects. External trolley - Another way that you can choose the lifting gantry for your needs is to be able to accessorize and customize the gantry. For some factories, you might need to use an external trolley to work in tandem with your aluminum lifting gantry to add extra versatility, movability, and transportability. Parking jacks - Another accessory that you can use with your lifting gantry is parking jacks - these stabilizers are ideal for helping keep your loads steady and avoid any mishaps. Bigger gantry cranes Another option you can consider using for your factory is a bigger gantry crane. Although these are typically used in a shipyard and outdoor spaces, if you have a big factory you can use the oversized gantry cranes to lift heavy and unwieldy objects, like big shipping containers and multi-ton objects. Full gantry crane - If you need to use a gantry crane to lift extremely heavy objects, consider using a full gantry crane to lift ships, big pieces of equipment, and heavy objects that cannot be moved with portable lifting gantries. Some of the biggest gantry cranes are as long as 140 meters! Rubber tired gantry crane - Smaller gantry cranes are another option for smaller factories that still need to lift heavy objects in outdoor spaces, such as containers and big pieces of equipment. Typically, you'll find that small rubber tire gantry cranes are straddle cranes that can effectively lift containers with ease. Portable gantry crane - As we mentioned before, portable gantry cranes are usually the best idea for those who are running factories. These portable gantry cranes are used to move small items that are usually less than 10 tons in weight. Used frequently in the construction and machinery businesses, you will find that using a portable gantry crane is the best way that you can lift heavy objects with the added versatility of being portable and customizable Benefits of lifting gantry So why should you use a lifting gantry crane for your business? There are many reasons why it will help your effectiveness, flexibility, and safety in the workplace. Mobility - Lifting gantries are more movable and contain more flexibility than other options. Instead of being stuck in one place where you cannot move the loads, or being tied down in one location, the flexible moving gantry lets you wheel the apparatus around your factory. This way, you can lift various objects between locations without having to worry about the safety of your workers or other equipment Capacity - The majority of mobile lifting gantries are very sturdy and durable. Typically, you will find that the lifting gantry options that are used for factories can lift up to 5 tons with ease. If you need stronger lifting gantries for your factory, consider using a full gantry crane for your outdoor spaces. Custom height and accessories - The last reason that you should consider using a lifting gantry for your factory is that you can customize the height of the gantry to work with various shapes of boats that you are lifting. Not to mention, you can add accessories to make your lifting gantry more versatile, easier to maneuver, and more stable. Conclusion Are you working in the faucet or construction industry? If so, using a construction lifting gantry crane is ideal to be able to lift heavy loads, keep your workers safe, and increase the flexibility of your workplace. By having portable lifting gantries, you can lift heavy objects between locations in your factory without worrying about the safety and health of your employees - not to mention, you will increase the efficiency and productivity of your workplace! Read Also: How To Operate A High Lift Jack Safely And Effectively All You Must Know About Construction Business Management Software 5 Ways Construction Businesses Can Gain New Clients Having Business in Foreigner Country, Advantages and Disadvantages Commercial Construction After COVID-19: How Developers Can Adapt

READ MOREDetails
Sales Velocity

How To Measure Sales Velocity

Sales velocity is a vital metric that sheds light on the efficiency of your sales process. It helps you understand how quickly potential leads are converted into paying customers. Greater sales velocity means an organization is generating revenue faster, a positive indicator of healthy sales kinetics. However, measuring sales velocity involves an intricate understanding of individual parameters like the number of open opportunities, average deal size, win rate, and sales length. In this article, we delve into the labyrinth of sales velocity and reveal the processes to measure it accurately. Keep reading to empower your business with this substantial metric. Understanding the Concept of Sales Velocity Sales velocity demonstrates how swiftly a qualified lead converts into a closed deal. Understanding this idea is fundamental for companies wishing to increase revenue growth. It allows sales teams to identify bottlenecks within their process and address them efficiently. Increasing sales velocity can dramatically enhance your sales output and revenue generation. To give an insight into the concept of sales velocity, consider it the speed of your sales cycle. The quicker your leads move through this cycle, the higher your sales velocity. This concept provides insightful information about your sales pipeline and helps identify areas for improvement. It forms the foundation of sales forecasting, helping to create accurate sales predictions for future quarters. Accurately understanding sales velocity is not merely about measuring the speed of closing a deal. It includes a comprehensive analysis of your sales routine—from lead generation to sealing the deal. The concept gauges the efficiency of your sales process and can offer remedial measures for any shortcomings. Interpreting the Elements of Sales Velocity Four essential components determine your sales velocity: the number of opportunities, average deal size, win rate, and length of the sales cycle. These parameters collectively provide an accurate depiction of your sales velocity. The number of opportunities refers to the count of leads or prospects your sales team is working with. These open opportunities are the potential contributors to your revenue. On the other hand, the average deal size is the average value of each deal your team closes. It sheds light on the financial adequacy of your deals. Both components directly influence your sales velocity: the higher these values, the greater your sales velocity. The win rate is the percentage of opportunities that convert into actual sales. It directly correlates with the efficiency of your sales team. A higher win rate means your team is successfully persuading a majority of leads. The sales cycle length refers to the span between the first contact with a lead and closing the deal. This is inversely proportional to the sales velocity—the longer this duration, the lower will be the sales velocity. Precise Measurement of Sales Velocity To measure sales velocity, you need to calculate and analyze all four components, multiply the number of opportunities, average deal size, and win rate, and then divide the result by the length of the sales cycle. While this formula may seem complex, it yields a powerful insight into your sales dynamics. Calculating each component accurately is crucial for an exact sales velocity measurement. All these parameters are interconnected and contribute collectively to your sales velocity. Increasing one factor can compensate for a decrease in another, maintaining the overall sales velocity. Optimize Your Sales Velocity Understanding your sales velocity is one thing, but optimizing it is another. It requires strategic thinking and implementation. The first step is to conduct regular reviews of your sales velocity. Frequent auditing will spot changes in your sales velocity and allow immediate rectifications. Moreover, refining each contributing factor can lead to an optimized sales velocity. Effective marketing, lead generation, or referral programs can increase the number of opportunities. Raising the average deal size may involve upselling to existing customers or offering premium products to new customers. Understanding and measuring sales velocity can significantly boost your revenue generation. By mastering this art, you can spin the wheel of your sales pipeline in your favor, steering your business toward sustainable and substantial growth. Read Also: Types Of Objections In Sales And How To Overcome Them With An Email Delivery Test? 5 Ways To Help Your Sales Team In Door To Door Selling Top 9 Reasons Your Sales Training Isn’t Working

READ MOREDetails
Employee Retention Credit

How to Apply for and Get Employee Retention Credit (ERC)

The Employee Retention Credit (ERC) is a tax credit that was introduced as part of the CARES Act in 2020 to help small businesses retain their employees during the COVID-19 pandemic. For wages given to qualified employees between March 13, 2020, and December 31, 2021, employers who participate in the ERC are entitled to receive a refundable tax credit of up to $5,000 per worker. The credit has since been extended and expanded under subsequent legislation, making it an important resource for small businesses that have struggled with the economic impact of the pandemic. As a small business owner, you may be wondering if you are eligible for the ERC and how to go about claiming it. This guide will walk you through the eligibility requirements, calculation, and application process for the ERC. We'll also answer some common questions about credit and provide tips for maximizing your benefit. If you're a small business owner looking for ways to retain your employees and stay afloat during these challenging times, read on to learn how the ERC can help. Eligibility Requirements The eligibility requirements for the ERC are determined by the IRS and are based on several factors, including the size of the business, the impact of the pandemic on the business, and the number of wages paid to employees during the qualifying period. Employers who had a significant drop in gross receipts compared to the same quarter in 2019 were considered eligible for assistance under the CARES Act. This condition was determined by two factors: first, whether the employer had a whole or partial suspension of activities as a result of a government order linked to COVID-19, and second, whether the firm had had a considerable decrease in gross receipts. Subsequent legislation has expanded eligibility to include employers that experienced a decline in gross receipts of at least 20% in any quarter of 2020 or 2021 compared to the same quarter in 2019, among other criteria. It is important for small businesses to carefully review the eligibility requirements for the ERC to determine if they qualify for the credit. This will help ensure that they can maximize their benefits and receive the financial support they need to retain their employees and stay afloat during these challenging times. ERC Calculation The ERC is calculated as a percentage of qualified wages paid to employees during the eligible period. The credit rate is 50% of qualified wages for the first half of 2021 and 70% of qualified wages for the second half of 2021. The maximum amount of qualified wages that can be taken into account for each employee is $10,000 per quarter, which means the maximum credit per employee is $5,000 for the full year. The maximum amount of the ERC is $5,000 per employee for the full year. This means that if an eligible employer pays qualified wages of $10,000 to an employee during the eligible period, they can claim a credit of $5,000 for that employee. To claim the ERC, eligible employers can reduce their federal employment tax deposits or request an advance payment from the IRS. If the credit exceeds the employer's federal employment tax liability, they can request a refund for the excess amount. It's important to note that employers cannot claim the ERC and the same wages for other relief programs like the Paycheck Protection Program (PPP). How To Apply For The ERC?   To apply for the ERC, eligible employers can claim the credit on their federal employment tax returns, including Form 941 or Form 943, for the eligible quarters. They can also request an advance payment of the credit by filing Form 7200 with the IRS. Eligible employers should consult with their tax advisor or accountant to determine the best method for applying for credit. Documentation Required To support their claim for the ERC, eligible employers must maintain documentation that shows the number of employees and the number of qualified wages paid to them during the eligible period. The documentation should also show the impact of the pandemic on the business, such as government orders or significant declines in gross receipts. Deadline To Apply The deadline to apply for the ERC is generally three years from the date the federal employment tax return is filed or two years from the date the tax is paid, whichever is later. Eligible employers should file their employment tax returns and claim the ERC as soon as possible to maximize their benefits. It is important for small businesses to understand the application process for the ERC, including the documentation required and the deadline to apply. Conclusion The Employee Retention Credit (ERC) is a valuable financial relief option for eligible small businesses impacted by the COVID-19 pandemic. To successfully apply for and receive the ERC, small businesses must meet the eligibility requirements, understand how to calculate the credit, and follow the application process, including providing the necessary documentation. The ERC can provide small businesses with much-needed financial support to retain their employees and sustain their operations during these challenging times. It is important for eligible businesses to take advantage of this program and consult with their tax advisor or accountant for guidance on how to maximize their benefits. By following the guidelines outlined in this guide on how to apply for and get the Employee Retention Credit (ERC) for small businesses, eligible employers can receive the necessary financial support to navigate the pandemic and emerge stronger in the future. Additionals: Understanding How Employee Recognition Can Aid Your Consulting Firm Things to Consider When Sourcing Employees for Manufacturing Plants 5 ways employee perks can dramatically enhance your personal life

READ MOREDetails