Social Value – The force that underscores everything we do
When you think of companies operating in construction and the built environment, you’ll be forgiven for not counting social value as one of their top agendas. But more and more, social value is becoming a bigger and bigger part of our industry.
Everything from the way we run our workforce to the positive impact we have on the communities we work in, social value is a force for good. What’s more, a demonstration of your social value impact is an integral part of your tender documents.
In this thought piece, we’ll look at the importance of social value, why it’s something we’re passionate about and what action we’re taking to build it into our work here at Mansell.
What is social value and who does it benefit?
Social value can refer to many different things, but broadly speaking it’s about providing tangible benefit to the communities connected to you and your business.
Digging a little deeper, it’s about the impacts of actions and policies you’re responsible for and how those actions contribute to the well-being and long-term sustainability of the communities you work in. It encompasses economic, environmental, and social impacts that are not traditionally captured in financial accounts but are increasingly considered vital to holistic business success.
Let’s be clear, social value creation is not just a matter of meeting minimum or statutory requirements, it involves going beyond the minimum legal requirements to positively impact society.
That’s a lot of fancy words isn’t it, but what does it all mean in real terms? Let’s have a look at some examples:
Community Health and Well-being: This can be about the output of the work we do as a specialist contractor. For us, that might mean delivering good quality, affordable homes that local people can enjoy. Likewise, a construction company might invest in creating green spaces within urban developments, providing residents with areas for recreation and relaxation, which can improve mental health and community cohesion.
Educational Opportunities: Companies might partner with local schools or colleges to provide educational programs or workshops. For instance, an engineering firm could sponsor STEM (science, technology, engineering, and mathematics) programs for local students, helping to cultivate a future workforce that is well-equipped with the necessary skills. Here at Mansell, we work closely with Build Salford and other colleges to support young people with training and employment opportunities.
Economic Development: By prioritising the hiring of local labour or sourcing materials from local suppliers, we contribute to the local economy. This not only helps in reducing unemployment but also supports small businesses and promotes economic stability within the community.
Environmental Sustainability: Implementing sustainable building practices that reduce waste, conserve natural resources, and lower carbon emissions is a significant form of social value. These practices ensure environmental protection and promote sustainability for future generations. Because a huge part of our work is offsite construction, by nature, the work we deliver is carbon-efficient.
Inclusive Employment Practices: Focusing on hiring a diverse workforce and providing equal opportunities for all, including those with disabilities or from disadvantaged backgrounds, promotes inclusivity and social equity. At Mansell, we pride ourselves on the diversity of our workforce with 44% of our employees being women in a traditionally male-dominated industry.
The business benefits of social value
Social value is a benefit in and of itself. So much so that you can’t put a monetary value on the long-lasting positive effects of a solid social value strategy. It changes lives, provides opportunity and enriches areas for the better. A happy side benefit of a well-thought-out social value strategy is that it’s a genuine boon for you and your business.
Let’s explore:
Reputation
When a company consistently demonstrates its dedication to social responsibility, it earns the trust of the community, which in turn builds deep loyalty. This trust is invaluable, often functioning as the starting point for quality partnerships as like-minded organisations and investors seek to align themselves with companies that have proven records of ethical operations and community involvement.
Regulatory Compliance
Emphasising social value is increasingly becoming a requirement if you want to work on certain contracts, particularly in conjunction with municipal or public offices.
Many authorities are integrating social value metrics into their regulatory frameworks, requiring companies to demonstrate how they contribute positively to society. This shouldn’t be seen as a tick-box exercise, it’s all about embracing the philosophy of social value.
This proactive approach can also influence industry standards and help shape the regulatory landscape. Who doesn’t want to establish themselves as a leader in the sector?
Competitive Edge
In industries where contracts are often awarded through tenders and bids, the ability to demonstrate a genuine commitment to social value can differentiate a company from its competitors.
Procurement processes increasingly consider not just the financial cost but also the social impact of the projects. A robust strategy in social value can win bids by meeting these broader criteria, securing business even in highly competitive markets.
As public awareness and demand for ethical business practices grow, having a recognised commitment to social value can sway public opinion and preference towards a company over its less conscientious competitors.
Employee Morale and Retention
Companies recognised for their commitment to social responsibility often enjoy higher levels of employee satisfaction and retention.
Employees are increasingly looking to work for organisations that reflect their values and contribute positively to society. Being part of such organisations can significantly enhance employee morale, making employees feel proud and valued.
High employee morale leads to greater productivity and innovation, while high retention rates reduce the costs and disruptions associated with frequent hiring and training of new staff.
Mansell’s approach to social value
Our approach to social value is to make it an absolute priority across the business. We recently brought in consultants Akerlof to help us examine our current impact while providing insight on what we can do now and in the future to keep our social value efforts relevant and effective.
The report we commissioned in 2023 showed we created £360,879 of social value
In 2024, we’ve set an ambitious target of creating £477,550 of social value across the business
In the year ahead, we’ve set the following targets for ourselves.
All staff to have volunteered for 12 hours each
Volunteering for community projects to equal 100 hours
Volunteering for homelessness projects to equal 100 hours)
To create 6 job opportunities for people not in employment or education
Raise £25,000 for charity
Donate £5000 to community and health projects
All staff to receive carbon literacy training
All directors to volunteer for 20 hours in schools, colleges or with job seekers
Provide 10 weeks of work experience to local schools, colleges and job seekers
10 site/factory visits for local community & schools
Reduce carbon footprint by 5%
What’s more, we have social value champions across the business who look to identify opportunities for Mansell and our staff to reach our social value targets and really make a difference in our local communities. This is part of a large commitment across the business to ensure all our staff are invested in our social value principles.
Social value DNA
Social value is embedded in our business on a fundamental level as it is with many of the organisations that we work with daily. By committing to its principles, we ensure that Mansell is a force for good and that we bring the communities along with us on our road to success.