Jo Davis, Director at Solve was asked recently “how can we meet our social value targets through developments and construction projects without significantly increasing development costs?”.
Jo responded: “It’s a great question—and one that points to an opportunity to rethink how we should all, as an industry, approach social value. The focus on “cost” is natural in business, but I would challenge us to shift our mindset: instead of asking, “How much is social value going to cost us?”, let’s ask, “How much are we prepared to invest in social value?”
In our consultancy work at Solve with suppliers, especially SMEs, we always emphasise the importance of embedding social value into financial and business planning from the start. When bidding, this means incorporating social value early in the procurement and tendering process. While ‘cost’ often comes up as a factor—whether it’s for people’s time, buying local, donations, or other ways of delivering social value to communities— we challenge the traditional view of cost and where we believe there needs to be a culture shift.
The reality is social value is not just an additional cost, it is an investment in both the community and the business itself. By framing social value as an investment, we can better justify its long-term benefits, not only in terms of community impact but also in business growth and reputation.
Here’s why:
At its core, social value is about making a tangible difference in communities. But investing in social value also has practical, measurable returns.
- Strengthening Your Team: Social value delivery offers opportunities for your teams to grow their skill sets. There’s a clear link between the engagement in social value initiatives and the development of employees who feel more purpose-driven and fulfilled in their work. It leads to greater satisfaction and retention, which ultimately benefits the business.
- Marketing and Reputation: Companies that perform well often see their efforts reflected in their marketing and communications. When you invest in social value, you can proudly promote the positive impact your projects are making. This builds your brand reputation and enhances your credibility—leading to more business opportunities.
- Winning More Work: Investing in social value processes, systems and resources enabling you to demonstrate a strong commitment to social responsibility will by default strengthen how you respond to social value questions within quality bids, leading to more work and long-term success.
- Attracting Talent: Especially for Generation Z, who are increasingly seeking employers with strong values and a commitment to social good, this investment can be a key factor in recruitment and retention.
- Customer Satisfaction: Meeting the social value aspirations of contracting organisations and helping them to achieve their objectives in a positive and proactive manner will lead to a happy customer and potentially repeat business.
Investing in social value shouldn’t solely be the responsibility of suppliers. Buyers and contracting authorities also have a crucial role to play in investing in social value, not only for the reasons we’ve mentioned above but also to foster collaboration within their supply chains.
Rather than simply passing the responsibility down the line, consider the greater impact of working together with your suppliers. Collaborative efforts can lead to more successful outcomes, and in turn, suppliers will likely be more committed and motivated to support future projects and initiatives.
But beyond all these tangible benefits, there is a fundamental reason we should all be investing in social value: to provide equal opportunities and improve the lives of everyone in society. If that’s not at the heart of what we’re doing, then what is it all about?
