NAIROBI, Kenya, May 23 – UAP Old Mutual says it has set aside over Sh800 billion to drive its shared value projects across the continent.
The Shared Value Business Model focuses on maximizing the competitive value of solving social problems creating new customers and markets, cost savings and retaining talent.
It seeks to tackle the challenges facing society and the environment within which they operate taking on a philosophy that focuses on putting social needs first.
This approach applies the efforts of business towards people, planet and profits.
Speaking during the Shared Value Summit which is taking place in Nairobi this week, UAP Old Mutual’s East Africa Chief Executive Officer Peter Mwangi said the company is committed to creating Shared Value as part of the company’s responsible business approach which seeks to align operational business goals with the broader challenge of finding solutions to society’s challenges.
“Business can no longer be a passive observer to the multitude of socio-economic and environmental challenges that beset the world,” said Mwangi.
“Its long-term sustainability and growth depend upon its ability to embrace the concept of profit with a purpose by becoming an active participant in bringing about positive social change,” he added.
Shared Value Pioneer and Harvard Business School Professor Mark Kramer says that the shared value business model holds immense potential for SMEs to leverage on partnerships with large corporations to increase profitability and address the challenges facing the communities in which they operate.
“SMEs are essential to Africa’s economic growth of Africa and offer great opportunities to create shared value, we see that SMEs working in partnership with larger companies can create new initiatives, new products and opportunities that help meet social needs at a profit said Professor Kramer.
Over the last three years, the business has invested Sh40 million to upgrade three strategic hospitals in the region, Kenyatta National Hospital, Al Saabah Children’s Hospital and Uasin Gishu County Hospital which has improved access for millions of people in the process.
The 2019 Africa Shared Value Summit, which takes place from 23-24 May in Nairobi, Kenya, will focus on the importance of Shared Value ecosystems in driving Africa’s business growth.