What is the Social Value Act?

Have you ever wondered what is the social value act is and what it might mean for your business?
Many businesses do not fully understand the social value act, but it could actually have a very significant impact on how you operate and the steps you take to deliver value for your communities.
Fortunately, our expert team is on hand to help you find out a little more about the social value act, including when it came into play, what the social value act is, and what social value means for your firm.
What is the Social Value Act?
Before we go any further, the most important thing to clarify here is, “what is the social value act?”
The social value act is otherwise known officially as the Public Services Act of 2012. It requires that firms strive to deliver value for communities through their work; however, there is no exact type of value that businesses need to provide.
When Was the Social Value Act Implemented?
While the social value act was created in 2012, it was not implemented immediately, giving businesses a chance to adapt to the new requirements. As such, the government implemented the social value / Public Services Act 2012 on January 31st 2013. This ruling came into force for businesses operating in the public sector, such as those providing services for public construction projects.
What Does the Social Value Act Require from Businesses?
In line with the requirements of the social value act, businesses must provide value to their communities through their work. There are numerous types of social value that your business could target. This allows businesses free reign to choose the most appropriate social value for their needs.
However, it’s important to consider that you will need to choose something that genuinely provides social value to your communities. If you’re not sure of the right approach in this regard, it could be worthwhile to consider what your local community needs most of all. Asking local customers and consumers what they would like to see from your business may be a good option in this regard.
How can my business deliver good social value?
If your firm is looking to deliver social value for your local communities, there are several options you could consider. However, most social value opportunities fall into one of three categories:
- Social value (i.e., delivering benefits for the local people in terms of happiness, such as investing in new attractions or sights)
- Economic value (i.e., boosting local communities’ economic opportunities by providing new shopping destinations, tourist attractions, etc.)
- Environmental value (i.e., in order to provide excellent environmental value, firms could invest in new wildflower displays or other environmentally-friendly changes)
These are just a few of the potential ways that your firm could provide social value for the community.
In addition, minimising the impacts of your business activities on the local community can also help bolster your social value goals. In turn, this may allow the community to view your business more favourably overall. Therefore, even if you don’t intend to work on public projects, looking for new social value opportunities could still be a good investment to make.
Final Thoughts
There’s always a lot for businesses to think about when it comes to their operations – and social value is just one factor here. Indeed, in many cases, social value can seem like an additional challenge for businesses to meet to stay compliant with the Social Value Act.
Nevertheless, while social value can seem frustrating, it can actually offer numerous benefits for your business, which is why striving for better social value in your firm is integral.
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