Columnists
Businesses should partner with communities to create social value
Friday July 14 2023
Can you imagine a world where business is all about making profit without caring about people and the Planet? PHOTO | SHUTTERSTOCK
Can you imagine a world where business is all about making profit without caring about people and the Planet? Without positive social value, enterprises would be like a boat floating on a lake that is slowly drying up. Eventually, the boat cannot sail.
Therefore, businesses must go beyond profit. While creating value for shareholders remains an important goal, promoting social good is equally critical, as it guarantees the goodwill every firm needs to remain profitable and sustainable in the long run.
By working with stakeholders at the grassroots level to deliver social, economic and environmental benefits, companies enable communities to grow and prosper, creating the conditions for them (companies) to generate the financial rewards their investors desire but in a sustainable manner.
The social value must directly impact the daily lives of the beneficiaries.
Take the case of a group of young people who came together to build a digital library in the village or neighbourhood with the goal of enhancing learning experiences and enabling talented young individuals to advance their artistic talents.
An initiative like this addresses the twin problems of lack of valuable skills and youth unemployment, both real problems afflicting millions of young people in Kenya.
Yet this is exactly what a group called, Little Deep Voice Within, operating in Nairobi’s Kariobangi informal settlement, did with support from LG Electronics.
The success of the community project is testimony that private firms can play a catalytic role in building social enterprises that transform lives and communities.
Gender-based violence (GBV) is a real problem in many families today. A group of courageous Kenyan women rallied those around them to combat this menace through public awareness campaigns.
LG supported this initiative by equipping a full-fledged training centre to empower community members with the skills and knowledge to fight GBV.
Such participatory approaches to creating social value contribute to the global inclusion agenda as captured in the UN Sustainable Development Goal number 16 on the establishment of peaceful and inclusive societies.
Dong Won Lee is the Managing Director of LG East Africa.
