Phillippa Lennox-King
Head of Responsible Business Strategy, Business in the Community
A truly responsible business stays ahead of the curve on the things that matter. Why should businesses demonstrate their commitment to responsibility?
The business landscape is evolving, with a growing number of employers recognising the commercial imperative of building more responsible organisations, continuously looking for ways to make their organisations more responsible. From prioritising employee wellbeing to accelerating climate action, companies are rethinking how they operate to better support their people, communities and the planet.
What is a ‘responsible business’?
A responsible business delivers long-term value for all stakeholders by minimising any negative impact and maximising its positive impact on society and the environment.1 Nearly half of CEOs cite the ethical case for action as a key driver behind adopting responsible practices.2
Responsible businesses are led by purposeful leaders who embrace change, address societal challenges and integrate long-term thinking into their decision-making. A clear strategy enables them to embed responsibility into every part of the organisation, ensuring it is not a standalone initiative but a core business priority.
Eight in 10 CEOs see the net zero
transition and climate change as one
of the top three workplace challenges.
Healthy businesses create healthy communities
Responsible business doesn’t end at the office door. Organisations must extend their impact into local communities and the wider environment. Eight in 10 CEOs see the net zero transition and climate change as one of the top three workplace challenges, yet many struggle to take action against their targets.2 Supporting, engaging with and upskilling local communities, while addressing broader environmental challenges, helps secure a company’s long-term licence to operate.
Benefits of being a responsible business
Eight in 10 CEOs now cite stakeholder expectations and business growth as central reasons for adopting responsible practices.2 These businesses are often viewed as leaders in employee wellbeing, diversity and inclusion and environmental action.
The benefits of responsible business are tangible: greater employee engagement, increased customer loyalty, enhanced brand reputation and improved talent attraction and retention. According to an IBM survey, 67% of respondents said they are more likely to apply for and accept positions at companies committed to sustainability.3
The message is clear: in a rapidly changing business environment, the need for responsible business practices is no longer a ‘nice-to-have’ — it is essential for long-term success and resilience.
[1] Responsible Business Health Check – Business in the Community
[2] Lifting up the UK: State of the Nation 2024 – Business in the Community
[3] Position Green. 2024. Beyond the bottom line: how ESG reporting builds employee loyalty.
