Bokani Tsidzu from Vertigo Ventures discusses why businesses are looking to understand their social impact:
Businesses have for some time been under pressure to measure and control their impact on the environment. The result has been regulation for the largest companies and efforts by small and medium enterprises to reduce negative impact on the environment. Social impact has usually been left as the preserve of CSR programmes through community donations and volunteering. With a small, but growing, number of investors showing an interest in social impact, beyond this narrow definition, companies are starting to make an effort to better understand their social impact. Companies are recognising that social factors pose significant risks to continued operations and present opportunities for their future business success. In the short-term social factors can cause delays to production through strikes and in the long-term lack of planning can lead to the skills shortages which can be seen in the
energy sector. The VV-Good Index which we recently launched, has a section on social impact and answered a demand to quantify the social impact of companies. More needs to be done in the sector and we identified the following areas in which social impact analysts can contribute their skills continue>>
The above is an excerpt from a guest post on the SIAA blog which you can read here. To find out more about the VV-Good Index visit the Vertigo Ventures website here.
