One of the best decisions starting entrepreneurs can make is to create social responsibility within their organizations. Along with a better reputation, it will also benefit their bottom line.
Four examples include providing the right information, volunteering, being environmentally conscious, and engaging in fair labor practices.
The Value of Information
Your company’s responsibility towards its employees is not only about paying them their salary and benefits. It also includes providing them with the necessary information to have better, more productive lives.
It might not be required by law. Yet, it shows staff within your organization that you care for them and their well-being. And when workers feel that they are valued by management, they are more motivated. As a result, they work with more efficiency, which leads to greater outputs and better results.
But what kind of information should you give those working for you? There are several examples. For instance, if one of your employees is thinking about buying a home, you could inform him on mortgage alternatives or how quotes for condominium insurance are calculated. You could also teach those interested in retirement investments about 401k options, mutual funds, and stocks.
As an entrepreneur, you probably know a lot more than your staff about a wide variety of topics. The more help you provide them, the greater your return will be.
Community Volunteering
There are many benefits to community volunteering. First, it provides the less fortunate members of cities and local neighborhoods with food, opportunities for education, and employment. Second, it creates a sense of social awareness within the organization. Third, it creates bonds between company employees as they are working together for a greater cause.
Volunteering is an excellent team-building activity within any organization. The question, thus, lies in convincing employees to take part. People work very hard during the week. They put in long hours so that they can take time off and relax on weekends. The last thing they want to do is be involved in yet another company activity, especially an unpaid one.
Still, there are ways in which enterprises can motivate their staff to participate. For example, the manager himself could also take part. If workers see their leaders taking the initiative, they are more likely to follow.
Another example is providing staff with non-monetary benefits for their efforts. For instance, they could be given a few extra paid days off in the future or food and shopping coupons.
Finally, team managers and CEOs can convince employees to volunteer by highlighting the value of community activities on a resume.
Environmental Consciousness
Most of us know about the importance of environmental protection. Issues like global warming, greenhouse gases, carbon footprint, and CO2 emissions continue to be in the news. Yet, most enterprises do not put in place mechanisms that allow for this to happen. Instead, they settle for paying lip service and making plans.
But why does this happen? Why do businesses continue doing what they are doing even if they know the damage it is causing the world? The answer is quite simple. They are not aware that engaging in environmentally-conscious practices helps the organization. If they did, they would most certainly do it.
From this perspective, it is the job of the CEO and upper management to have adequate information on all aspects of corporate environmental policies. And once they do, they should implement the necessary measures. Some examples include recycling policies, in-house competitions between departments to see which one uses resources most efficiently, and working together with other firms in garbage collection and segregation practices.
Fair Labor Practices
Fair labor practices are not only about paying employees what they deserve and having them work a proper number of hours. It’s also about creating a work environment that fosters impartiality and friendly competition. Every good employee deserves to be in line for a promotion, not only those that management likes the most. Both women and men should be treated as equals.
Another aspect of fair labor practices deals with hiring, providing benefits, and even layoffs. Companies should engage in adequate recruitment practices and provide healthcare and social insurance. They should also give employees enough time to find another job if the organization is planning to downsize.
Corporate social responsibility is a somewhat recent addition to company policy. Only a few years ago, the sole purpose of an organization was to make money, regardless of how this process affected its staff and society as a whole.
As times change and businesses realize that what they do has a greater effect on the whole, they are starting to change their practices. They are starting to also focus on the consequences of their actions.
Sure, there are still problems to iron out. Still, the future looks brighter than ever before.