SHUBHAM BAJPAI

15BCL0037
DIGITAL ASSIGNMENT 9
B.TECH (CIVIL)

SOCIO ECONOMIC IMPLICATIONS FOR OUR START UP

 Benefits of measuring socio-economic impact

There are a variety of reasons, ranging from reducing cost and risk to creating and
capturing new opportunities, which underpin a company's decision to measure its
socio-economic impacts.

 Obtaining or maintaining a license to operate

Very clearly, measuring socio-economic impact can help companies show

stakeholders that their activities benefit the economies and societies in which they
operate. It can also help them better understand if they are fulfilling their
commitments and stakeholder expectations or if there is a gap between their impacts
and what stakeholders think.

 Improving the business enabling environment

Measuring socio-economic impact is also a powerful way for companies to show

policymakers how their business activities are contributing to public policy goals –
thus helping to develop the right mix of rules, incentives, and public services needed
to maximise business contributions.

 Strengthening value chains

By assessing their socio-economic impact, companies are better equipped to predict

the loyalty, performance, stability, and capacity for growth of their suppliers,
distributors, and retail partners – identifying vulnerabilities and opportunities to
address them.

 Fueling product and service innovation

Measuring socio-economic impact can help companies better understand the needs,
aspirations, resources, and incentives of their customers – enabling them to develop
new products and services and improve existing offerings.
 Yet, to effectively create value for the business and its stakeholders, measuring must
be aligned with a company's strategy, and integrated into ongoing business
performance management and reporting. As challenging as it sounds, this means
redesigning the scope of corporate strategy and processes across measurement,
management, and reporting.

Integrating socio-economic measurement is important to highlight the strategic

drivers of a company's socio-economic impact. As long as it is considered a separate,
stand-alone, communications exercise, socio-economic impact measurement will not
generate the value companies and their stakeholders hope to see.

SOME KEY POINTS:

 Investing in products and services people need.

 Providing employment opportunities.
 Commerce and regional economic integration.
 New technologies promote efficiency.
 Addressing environmental challenges.
 Innovation impacts socio-economic objectives.
 Innovation happens where there is competition.