Our society gives some pretty awesome rewards to entrepreneurs who find what people need and want to provide it. Those who are reaping the rewards of their achieving their goals and bringing their passions to life are often those who most want to give back to others.
Companies that participate in their communities and encourage their employees to join in, set themselves apart from their competitors and reap the benefits – including loyal customers and happier employees. Nielson published a report in 2015 on Global Corporate Sustainability that shows 66% of consumers are willing to spend more on a product if it comes from a sustainable brand – a socially responsible company.
Customers really want to know that the organization they are supporting is also supporting the community – both locally and as far reaching as they can go.
From the organization’s perspective, finding a cause to be passionate about gives the employees a way to identify with the mission and helps the organization to better incorporate their giving back efforts in their message.
A recent report shows that one of the ‘value-boosters’ in building a business is measuring impact. What has been revealed is that impact – or the good a company does – directly increases a company’s economic results and indirectly influences its long-term viability.
Charitable acts are performed without the expectation of direct financial gain, but they certainly are not without reward.
There are 4 major ways that successful businesses can benefit by giving back.
1. Building respect and a good reputation in the community.
When businesses help other people, those people tend to want to support the company in return. Building a reserve of goodwill in your community means there will be people there to back you up and speak up on your behalf in the future. There are also relationships between prominent leaders in charity organizations and the donating or serving company that can be developed and result in future value.
2. Making your community a better place to live.
An organization that gives back is more trusted by its community. Their actions result in improving the place where everyone lives and works. Organizations that give to environmental causes, or green initiatives, are helping to provide a healthier and more beautiful environment in the immediate area.
3. Employees respect leaders who do good.
It can be unfortunate just how little business owners or administrators address employee happiness. Many team leaders go through the daily motions without a thought on how to build greater employee cohesion or job satisfaction in general. Organizations who give back also are better at focusing on employee happiness. Working to be a positive force in the community can improve employee regard for their organization’s leaders, resulting in good morale which is an essential element in a successful business.
4. Connections and networking.
Those who give back in a major way are also very powerful business people. Becoming a part of this world puts you on the playing field with them and those connections can be invaluable resources for your own business. You have a common thread on which you can begin to develop a mutual trust and respect for one another, which are essential factors in doing business.
All companies should make giving back a central part of their business model. But how do you find the time to do it when your days are filled to their limit now? You’re struggling with work-life balance and – although giving back is a part of achieving that balance – you just don’t see how you can fit it in between department meetings and family time (also part of achieving a work-life balance).
Ready to give back but need a place to start? Check out our post on incorporating philanthropy into your business.