Business has an impact that reaches far beyond the bottom line.
When a business thinks about impact, it’s often its contribution to its local economy which it considers first. Our recent survey asking businesses for their views on which of the Sustainable Development Goals they currently made the greatest contribution to highlighted SDG 8 Decent Work and Economic Growth.
Looking forward, a business’ strategic choices can influence how the local economy will grow. Understanding the impact of its decisions is important to being able to make the right decision from both the perspective of both the business and the community. Further, being able to evidence its contribution to the local economy can support dialogue with government and help secure and sustain the ‘licence to operate’.
But, how do you measure the impact of a business on the local economy? Typically this is done by looking at the contribution to the economy in terms of either Gross Value Added (GVA) or employment. As part of our Total Impact Measurement & Management framework, we typically quantify and value economic impact not only of the business directly, but also through its influence on the supply chain that supports it and the customers it services.
Find out more about economic impact assessment.