What does it mean to practice Conscious Capitalism?
Businesses that engage as a partner with the community, particularly ones that financially support local causes or encourage their workers to volunteer, are often described as “good corporate citizens.”
At Quality Connections, we are working to take being good corporate citizens to the next level by embracing a philosophy called conscious capitalism.
You might be wondering “What is that?”
Simply put, it’s taking the impulses of being good corporate citizens, but then expanding them to all facets of our day-to-day operations.
We sincerely believe that business is a force for good; it allows us to create value, it creates jobs, it can even lift people out of poverty. But making money just for the sake of making money isn’t enough; businesses do better for everyone if they are tied to a high purpose.
At Quality Connections, we are proud of running a competitive office supply business, but our higher purpose is our education and workforce training programs for those with disabilities that are made possible because of those profits.
In addition to a higher purpose, conscious capitalism asks companies to be aware of their impact on society and the natural environment. It’s often expressed as having a triple bottom line of “Profits, People and Planet.”
Here are the four main principals of conscious capitalism:
1. Have a higher purpose: Profits are great (and necessary) but they are a tool, not a source of inspiration. The deeper purpose of a business is what truly engages people.
2. Stakeholder orientation: Understand your business has an “ecosystem” that includes customers, employees, suppliers, investors, shareholders, communities, and the environment. They are interconnected and they all are important to your business.
3. Conscious leadership: It’s essential to have leadership that keeps your company’s higher purpose front and center.
Conscious culture: All of these elements ultimately create a conscious culture that builds trust, care and cooperation and fosters accountability, transparency, integrity, and fairness.
Studies show that conscious capitalism is just good business; companies that work towards these principles enjoy increased harmony between employers and employees, better customer satisfaction and loyalty, and more community engagement.