Why Businesses Succeed When They Invest in Their Local Community
Within the last decade, studies have progressively shown that businesses who invest in their local community are more likely to succeed. According to the recent The Boston College Center for Corporate Citizenship’s Community Involvement Study (2019), companies are increasingly adding community involvement as part of their strategic business plan, as it can “deepen employee engagement, retention and commitment, as well as contribute to a positive reputation.”
Of the 252 corporations that were surveyed, all of who are mostly U.S. – based medium and large sized companies, revealed that:
- Ninety-five percent of companies have a community involvement strategy (including giving, volunteering and/or both);
- Eighty percent offer employees a workplace giving program and 70% of those companies offer a matching program;
- More than 80% of respondents report that their companies align the social issues addressed in their community involvement efforts with their business priorities.
How does having a strategic approach to community involvement make businesses more successful?
- Improve employee retention rate and attract new talent. Employee retention rate is very important to keep businesses running smoothly and to avoid costly turnover rates. A study by America’s Charities revealed that “68% of employers report that their employees expect them to support volunteerism.” Allowing employees to be involved and/or volunteer in causes that matter to them, will help to increase employee morale and productivity, which in return will provide a healthier bottom line.
- Make the community a better place to live and work. Whether making donations, being a sponsor or volunteering time and resources, being involved in the community allows the opportunity to not only make your community a better place to live and work, but also shares awareness about the company. Giving back improves a company’s image in the eyes of community members and when businesses help improve the lives of people, those people tend to want to support the company in return.
- Form quality relationships. Business networking is to help increase business revenue – one way or another. Being involved in your community allows the opportunity for strategic relationships to form and grow. Forming these relationships can help identify prospects for joint ventures, partnerships, and/or areas of development.
The Ohio community and the environment are of utmost importance to Clean Water Environmental (CWE). Learn how CWE is dedicated to investing in their local community, by clicking here. To read the entire study conducted by The Boston College Center for Corporate Citizenship’s Community Involvement, click here.
Leave a Comment