Social Compliance will allow you to operate in countries with poor social compliance records by establishing best practices. After doing so your company will gain prestigious acceptance as a socially-conscious company even in countries where abuses can be common.
Your branding is important in the global marketplace. Untoward attention surrounding your brands can have a devastating effect on sales and even affect market valuation. There have been instances where human rights activists seek out well-known brands and look for ways of leveraging that brand to further their agendas. A social compliance certification will strengthen your position and will also build stronger consumer loyalty and confidence.
Investors are becoming savvier about the companies in which they invest. Companies that are revealed to have a poor social compliance records have had share prices plummet as a result. Social Compliance Certification will help towards protecting your share prices from these negative perceptions. Similarly, many mutual fund directors look for companies that have social compliance policies and certification. Inclusion in these funds can help with share price as well as provide third-party validation of your policies.
It is becoming more common for large companies to require suppliers to conform to socially accepted behavior. Social Compliance Certifications in global and industry initiatives (BSCI, FLA, SA8000, Sedex, WRAP, etc.) will provide your company the potential to market and work with these companies.
It costs time and mone0y to hire and train personnel. A best practices policy in addition to Social Compliance Certification will allow you to retain the employees in which you invest via training and development. Personnel that have a greater sense of dignity will have better morale and loyalty to the company they work for, thereby increasing employee retention. A higher retention rate will increase productivity and quality through enhanced performance. There will also be greater efficiency, less waste, fewer defects and a reduction in accidents.
Invest in your management by providing them training and knowledge of best practices. This will help you to define their responsibilities which will lead to stronger management.
Companies that receive negative media attention for social compliance infractions end up spending more time and money attempting to overcome the lost business than they would have by getting the certification in the first place. Some even incur significant fines. The larger your company the larger the exposure and the more you stand to lose. Your company's reputation can be a significant part of your overall value, and protecting that reputation can be as simple as obtaining a Social Compliance Certification. You will also want to protect your personal exposure to derivative lawsuits.
As a Socially Compliant company you will be able to leverage your certification and differentiate yourself from your competitors. You will be able to use your new certification to attract new, positive attention to your company and brand thereby attracting new customers and markets. You will also improve current customer loyalty and confidence.
Human Rights Compliance is provided by the Integrated Consulting Group
IG-Group 2916 Bayside Walk San Diego, CA 92109