How to identify a company with impact

Impact Companies not only seek economic benefits, but are also committed to creating a positive impact on society and the environment while carrying out their activities. Key tools to identify companies that adhere to these principles are certifications and verifications.

In a world where sustainability and social responsibility are becoming essential for consumers and businesses, the term "Impact Company" has gained prominence. These companies not only seek economic success but are also committed to generating a positive impact on the planet and people. One way to identify these companies is through internationally recognized certifications and verifications that validate their sustainable and responsible practices.

Each certification and verification has principles and requirements that allow companies to identify themselves under each one and generate a sense of belonging with other companies that share their values. These are provided by independent organizations and are recognized by seals awarded to companies that undergo validation or evaluation processes and, in many cases, audits, which ensure compliance with the stated standards.

Each of them usually has an identifying mark, a seal, or logo, which in most cases is transferred to the products and gives consumers the ability to easily identify whether or not the product is impactful.

Some of the most internationally recognized certification and verification brands are:

B Corp: Awarded to Triple Impact Companies, it certifies companies that meet standards of social and environmental performance, transparency, and accountability. It evaluates aspects such as governance, community impact, environmental impact, and employee impact. It proposes a path of continuous improvement accessible to companies from different sectors and sizes. Several multinational companies are beginning to integrate impact policies and initiatives by undergoing the B Corp certification process. For example, Danone has earned B Corp certification. It measures its carbon footprint, monitors water use to minimize consumption, collects recyclable materials with worker cooperatives, maps regenerative agriculture and animal welfare practices at its milk suppliers, and implements initiatives to prevent food loss and waste.

People and Planet First: This verification was launched in October 2023 and is coming

Growing substantially thanks to the support and partnerships with leading social enterprise organizations around the world, such as WFTO, Social Enterprise UK, Yunus Social Business, and the Fair Trade Federation, among others. It seeks to certify organizations that put the well-being of people and the planet before profit-making. It is designed to recognize companies of various types, such as cooperatives, non-profit organizations, social enterprises, and regenerative businesses, among others, that meet five key standards: having a social and/or environmental purpose, prioritizing people and the planet in their operations, having a self-sustaining revenue model, reinvesting the majority of their profits in their mission, and choosing legal structures that ensure their long-term purpose. EKHOS is the Argentine organization partnering to extend verification to Latin America. Those who want to be part of this verification can create their free profile at this link , and we will contact them with more information.

WFTO (World Fair Trade Organization): Certifies companies and organizations that comply with the 10 Fair Trade Principles, which include the creation of opportunities for disadvantaged producers, equity in trade relations, and respect for the environment. It promotes a trade model that prioritizes equity, justice, and sustainable development, providing consumers with assurance that companies' practices are aligned with Fair Trade values. It also offers member training initiatives, market access, public policy advocacy, and the development of alliances among its members. This certification typically groups organizations that produce artisanal products and integrate minorities or disadvantaged groups into their value chain. For example, Manos del Uruguay is a Social Enterprise that specializes in the ethical creation of a wide range of high-quality garments and yarns. Its production methods are artisanal, with an emphasis on hand-dyeing, hand-weaving, and traditional loom weaving, using materials such as wool, leather, and wood.

Fairtrade International: Guarantees that products and production processes meet ethical standards, supporting farmers and workers in terms of fair wages, working conditions, and environmental sustainability. Unlike WFTO, which certifies Fairtrade practices across the organization, Fairtrade focuses on specific product lines. This is why it is possible to find Fairtrade-certified products from large-scale multinational brands, alongside other brands from the same companies that are not certified. In turn, organizations such as La Riojana, in Argentina, which produces olive oils and wines, are certified, and thanks to the financial support these organizations receive from selling their certified products, they have managed to create a first-class agricultural college, a leader in the province. Commonly, Fairtrade-certified products include coffee, cocoa, bananas, honey, oils, and flowers, among others.

Rainforest Alliance: Certifies products and companies that c

They meet environmental and social sustainability criteria, with a particular focus on protecting biodiversity and promoting sustainable agricultural practices. It ensures that companies contribute to environmental preservation and promote responsible practices in their supply chains. For example, Hershey's chocolates, which can be easily found in kiosks and health food stores in Argentina and many other countries, have this certification, which ensures that the cocoa comes from crops that follow sustainable practices.

In addition to those listed, there are many other entities that issue certifications and verifications. While each organization has its own criteria for validating an organization's impact, they all seek to recognize and identify companies that are not only interested in creating economic value but also in positively impacting people and the planet. EKHOS supports the verification process for Social Enterprises seeking to become part of People and Planet First, and also advises those seeking to identify which type of badge is appropriate for their organizational purpose, business model, and the type of impact they generate.

NOTE https://www.eleco.com.ar/empresa-con-impacto/como-identificador-a-una-empresa-con-impacto