You might be in business to make money, but that doesn’t mean it’s your primary objective at all costs. You might also value employee well-being, workplace diversity, the environment, and other important things that can sometimes be affected as business owners strive to run profitable ventures.
Many business owners struggle to balance profit with purpose and values, but it’s not as complicated as it seems. It can simply require you to take some of the following actions:
Determining What Your Purpose and Values Are
To balance profit with purpose and values, you first need to know your purpose and values. If you don’t know what they are, you can’t hope to prioritize them.
Think about what’s most important to you besides making money. For example, you might wish to enjoy a diverse and equitable workforce and sustainable work practices. You might also hope to start prioritizing employee wellness to enjoy a well-rounded and satisfied team. Once you know what your core values are, you can make decisions with them in mind.
Involving Other People
You might be one of the primary decision-makers in your business. Still, that doesn’t mean you can’t involve other people as you strive for more balance. Talk to stakeholders, customers, employees, and suppliers to find out what their expectations are. They may feel comfortable talking about their concerns, anything they’d like to change, and things they feel you can do better. Their feedback can sometimes be invaluable for fostering positive change.
Leading by Example
Business owners need their employees to be on board with any changes they make. If they aren’t, it can be harder to make those changes stick. You might also struggle to notice any meaningful differences in how your business operates once they’ve been implemented. After all, disengaged employees aren’t always motivated to stick with changes business owners implement or suggest.
However, they may be more likely to accept changes if you lead by example. Practice what you preach by following any new processes or procedures you’ve implemented and discussing the benefits as you do.
Exploring Sustainability Practices
Sustainability is among the most common values that business owners strive to incorporate into their businesses. They know how important it is to their customers and that it may result in more sales if they prioritize it. You can also enjoy a better reputation, which may broaden your target market.
When you’re on a mission to identify and work on your business’s values, start by exploring sustainability practices. There are many options worth considering, like investing in energy-efficient technologies, using renewable energy, conserving water in your manufacturing processes, and working on sustainable packaging initiatives.
Measuring the Impact
You can easily measure the impact of profit. A good profit margin means you can afford to invest more in your business, take home a higher wage, and pay your employees more. It can be harder to measure the impact of non-economic changes. Still, it’s worth doing all the same.
You can develop metrics for social and environmental outcomes and evaluate your progress toward them. When you notice positive outcomes, such as a smaller environmental impact, you may be more motivated to continue on this more purposeful path.
Balancing profits with purpose and values isn’t always easy when profits show the most obvious benefits. However, there can be value in this process when your business enjoys a more positive reputation. It can be as straightforward as involving your team, leading by example, exploring positive changes, and measuring their impact.