Social Impact in numerous forms has been around for a long time. It has long been part of a company’s Corporate Social Responsibility (CSR) strategy and used to promote the good that they bring as part of their day-to-day operations. Most recently, however a Social Impact strategy is essential for any business, particularly those in the nuclear industry. This has been cemented by the increase in apportionment of the scoring criteria as part of the tendering process.
Social Value, Social Mobility and Diversity, Equity and Inclusivity (DEI) are now part of the fabric of daily conversation. This has been intensified during 2020 with Black Lives Matter which made the conversations mainstream on TV, social media, newspapers and online. With this renewed zero tolerance, businesses ignore social impact at their peril. Furthermore, it is no longer enough to say the right things and donate to a local education facility. A company needs to act.
KEY TAKEAWAYS
- Social Impact is the outcome as a result of the delivery of a project.
- Social Impact strategy is essential for any business, particularly those in the nuclear industry.
- The purpose of social responsibility is a mutual effort to create an environment of respect in the workplace, in the supply chain and in the community where the company is operating.
- Social Impact has seen an increase in apportionment of the scoring criteria as part of the tendering process.How do you measure social impact?
What is Social Impact?
Social Impact is the outcome as part the delivery of a project. This includes the external impacts such as the physical deliverables (e.g., a motorway, bridge, nuclear power plant) and the social value (positive and negative) that it brings as a result (e.g., shorter commutes to decent jobs, a robust local supply chain, secure energy supply). This also includes internal impacts such as gender equality, employee motivation, diversity, the culture, and value of the business.
The social impact of a company is intricately linked with business ethics, impact on communities where the company operates, impact on human rights and labour relations. Also, the way employees are trained, promoted, and managed. The social impact covers a vast area of issues from ensuring gender equality to zero tolerance of all forms of discrimination. The purpose of social responsibility is a mutual effort to create an environment of respect in the workplace, in the supply chain and in the community where the company is operating.
Internally, social impact of a business often refers to practices related to employees and employment with the business. These include ensuring diversity in recruitment, complying with country specific employee rights and laws, and not exploiting them, because it is the right thing to do. In addition, the internal social impact refers to increasing women in leadership positions and aiming to gender equality in the organisation.
Externally, a sustainable business is responsible that the companies in its supply chain own the same culture and the same values as they do. Therefore, the business wants to make sure the materials and products they purchase are sustainably and ethically produced. In other words, a socially responsible business will make sure that all pieces of material are not produced using child labour or produced in unsuitable working conditions that violate any human rights laws.
