We all know that companies out there claim to be socially responsible. But how can you tell if a company is genuinely socially responsible and not engaged in activities such as greenwashing? Here are three ways to measure whether a company is living up to its social responsibility claims and benefiting humankind.
1 – How They Treat Their Customers
One way to measure whether a company is genuinely socially responsible is how they treat its customers. A socially responsible company will treat its customers fairly and with respect. This means providing good customer service, not overcharging for products or services, and ensuring customers are happy with their purchases.
Customer Service Is Key To A Company’s Success
Customer service is one of the most important aspects of any business. It’s the first point of contact between the company and the customer, and it’s an opportunity to make a good impression. If a customer has a good experience with customer service, they’re more likely to do business with the company again. On the other hand, if a customer has a bad experience with customer service, they’re likely to take their business elsewhere.
It’s not just about making a sale—it’s about building relationships. When you develop positive relationships with your customers, you create loyalty and brand advocates. And that’s something that every socially responsible company should strive for.
Socially responsible companies care about more than just making a profit—they care about their customers and employees and are working to impact society positively. So, when you invest in these companies, it’s essential to pay close attention to how they treat customers.
2 – The Way They Treat Their Employees
Another way to determine whether or not a company is truly socially responsible and benefiting humankind is by how they treat employees. Socially responsible companies will treat their employees fairly and with respect. This means providing good working conditions, paying employees a livable wage, and respecting their employees’ rights. A company that only focuses on making a profit without caring for its employees is not socially responsible.
The Cost of Not Being Socially Responsible to Employees
When companies mistreat their employees, it can cost them dearly. There are a few reasons for this:
- It creates an unhappy workforce. Unhappy employees are less productive and are more likely to leave the company in search of greener pastures. This high turnover rate can be very costly for a company, as they constantly train new hires to replace those who have left.
- Social media has made it easy for unhappy employees to spread the word about how a company mistreats its staff. This can lead to bad publicity and a loss of customers.
On the other hand, when a company is socially responsible to its employees, it creates a happy and productive workforce. Employees treated well are more likely to stay with the company and be loyal to it. They will also go above and beyond to help the company succeed. In addition, word-of-mouth about a company will be positive, leading to more customers.
Being socially responsible towards employees is vital for any company that wants to succeed in the long term. Investors should note how companies treat their employees when considering whether or not to invest in them.
3 – How They Treat Members Of Society
Lastly, a socially responsible company will treat members of society fairly and with respect. This means benefiting humankind by giving back to the community, being environmentally friendly, and being a good corporate citizen. A company that mistreats members of society is not being socially responsible.
Invest In Socially Responsible Companies To Benefit Humankind
So, how can you tell if a company is truly socially-responsible and benefiting humankind? There are several ways to measure this, and we’ve outlined three in this article. It takes some digging, but it’s worth it to ensure the companies you support are doing good in the world. Thanks for reading.