6 minute read
BALANCING PURPOSE AND PROFIT
In May 2021 we held our first Sustainability Insight Group, a session which brought together entrepreneurs to discuss how they can harness their businesses for good, balancing purpose and profit to achieve more.
Robson Laidler accountants and business advisors announced it was the first business in the region to receive certification as a B Corporation (or B Corp) back in July 2021.
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As part of the session, we welcomed James Ghaffari (B-Corp UK) who delved deeper into the details of B-Corp certification and shared how businesses within the region can become certified.
James explored the B-Corp criteria, adding, “People want to work for, buy from, and invest in businesses they believe in.
“Certified B Corporations are a new kind of business that balances purpose and profit. They are legally required to consider the impact of their decisions on their workers, customers, suppliers, community, and the environment.
“This is a community of leaders, driving a global movement of people using business as a force for good.” To become B-Corp certified, businesses must meet achieve 80-points or more in the B-Corp Impact Assessment which measures the impact of both a company’s day-to-day operations and their business model.
But the advantages of B-Corp are clear. Not only is a commitment to the environment and society now on everyone’s agenda, but many stakeholders look for Environmental, Social and Governance (ESG) when researching a company.
For some, it is a key element in company statements, while for others, it is an opportunity to achieve competitive advantage, as well as benefiting the wider world.
BECOMING B CORP
Managing Director and Forum member Graham Purvis was appointed Robson Laidler’s MD in 2016 and works with the Robson Laidler team to ensure the company’s vision and strategy is met, while continually improving the Robson Laidler service offering.
Graham said, “Our purpose is to make a positive difference to people’s lives and this spans across all our stakeholders, from our clients to our people and community and this is engrained in everything we do. “We set out to become a B Corp two years ago and during this time we have undergone the rigorous assessment to meet the standards and procedures that are so very rightly set out in this certification.”
With offices in Newcastle and Durham, Robson Laidler joined 4,000 businesses globally and 400 in the UK who have certified as B Corps reinventing business by pursuing purpose as well as profit.
“WE HOPE THAT OUR COMMITMENT TO DOING BUSINESS DIFFERENTLY WILL BE AN INSPIRATION TO “Being a positive, passionate role model OTHERS AND REALLY HELP SPREAD THE IDEA THAT WE CAN at work is vital to REDEFINE SUCCESS ensure that the IN BUSINESS TO BE AS team are behind MUCH ABOUT PEOPLE you and supporting AND PLANET AS IT IS your vision” ABOUT PROFIT.”
Graham said, “Back in 2016 the firm had set out on a five-year business transformation plan to take us up to our 100th anniversary. This plan included investing in our people, premises, software, training and community.
“I first heard about B Corps in a book called The Business of Good and, after working on defining our purpose as a business, becoming a B Corp fell naturally as one of steps to demonstrate that purpose.”
Graham notes that B Corp Certification is the only certification that measures a company’s entire social and environmental performance, scoring the business in areas of Governance, Workers, Community, Environment and Customers.
He continued, “We scored better in some areas than others due to certain initiatives we had already implemented in the business but going through the assessment process helps you identify the parts where improvement is needed.”
For Robson Laidler, this meant reviewing current practices, building upon existing initiatives and in some cases, implementing change throughout the business.
“Certified B Corporations are legally required to consider the impact of their decisions on all their stakeholders,” Graham adds, “So we changed our governing documents at Companies House to include a commitment to a ‘triple bottom line’ approach (People, Planet, Profit) to business. “Our Articles have also been amended so that, when making decisions, a range of ‘stakeholder interests’ – including shareholders, employees, suppliers, society and the environment – will be considered.”
In addition to governance, Graham also reviewed B-Corp’s ‘workers’ section which included the financial security, health, wellness and safety, career development, engagement and satisfaction of the Robson Laidler team.
Graham continued, “We defined career pathways to give our people guidance and transparency on the key competencies, behaviours, and technical abilities they should possess if they wish to develop with their careers.
“We also developed our Better Health at Work awards with health and wellness initiatives and introduced an overarching Wellbeing Policy for the Business.”
Within B Corp great focus is given on community-based business, and in particular, those businesses that serve their local economy.
“We are proud ambassadors for our wonderful region and giving back to the North East, through economic impact, community engagement and giving, is high on our agenda.
“Our next 5-year plan has double digit growth to provide more jobs for local people using local suppliers whilst continuing to have more than 85% of the people we serve based in the North East of England. We will continue to evolve our local community giving from our £180k contribution over the last 5 years to introducing our own Community Foundation.”
In addition to the local communities in which they operate, all B-Corps must sign a Declaration of Interdependence stating the belief, “That all business ought to be conducted as if people and place mattered [...] and thus we are responsible for each other and future generations”.
Graham adds, “We have committed to be net zero by 2030 and as such we have plans to limit, measure, offset and reduce our carbon footprint. “We are working with one of our clients to increase our wastepaper recycling and offset our offices’ current monthly carbon footprint by planting 72 trees, rescuing 8kg of food, and providing 2 months of access to a solar lamp to families in need.
“We will be looking at our procurement policy and supply chain to review how we work with other businesses that fit in with the B Corp ethos including sustainability.”
Finally, the Robson Laidler team looked at the last B-Corp category: customers.
“Because of the business we are in, this is fundamentally geared around customer engagement, feedback and quality of service. I am exploring more “out-of-the-box” solutions for the bigger picture of how what we do can address a social or economic problem for our customers.
Graham added, “We hope that our commitment to doing business differently will be an inspiration to others and really help spread the idea that we can redefine success in business to be as much about people and planet as it is about profit.
“I am happy to talk to any business leader who would like to find out more about how their organisation can become part of this movement.”
