More than 100 businesses around the world are using the Poverty Stoplight
Apr 30, 2018
Since 2013, the Poverty Stoplight has broadened its horizons and has positioned itself in a new scenario; it has suited up and prepared its resume to enter the business world, due to the potential that companies have in society and the experts that report that "social and economic wellbeing depends mainly on companies." Data from the Global Justice Now Foundation shows that in 2016, among the 100 largest entities in the world, 69 were businesses. The role of the government in creating a society that fosters the development of human potential, is now becoming the role of enterprises. The latter must take the lead and commit to being more responsible with their workforce if we are to live in a sustainable and balanced world. Additionally, their directors must embrace the fact that the well-being of their labor force actually brings benefits to their businesses, in that they would be able to provide their full potential to grow and innovate.
Signing of agreement with the Paraguayan Labor Ministry.
The Poverty Stoplight tool provides a practical solution to businesses that allows companies to identify the most urgent and important needs of their workers. The data gathered provides a diagnostic of the workers and their level of poverty, classified in 3 colors and in 50 indicators. Watch this video of how the Poverty Stoplight is working with businesses!
**"Information is power and what is not measured cannot be managed". **
Poverty Stoplight allows for simplified strategic decision making and permits corporate social responsibility initiative to become more effective. Years of experience were necessary to enhance the methodology and nowadays, it can be said with pride and excitement, that more than 100 businesses in Paraguay have utilized the Poverty Stoplight, benefitting more than 18,000 employees. In the past five years, the amount of green indicators has been increased by 5% and the amount of reds and yellows has decreased by 3 % and 2%.
Enterprises using the Poverty Stoplight has become global. The Poverty Stoplight in South Africa has been working with companies such as supermarkets, who use the survey with their staff, for the last couple of years. The Social Union of Mexican Entrepreneurs (USEM in Spanish), a Poverty Stoplight Hub in Mexico, has facilitated more than 2,300 surveys to workers of different businesses, including Gentera, an institution working for financial inclusion. Moreover, last year an alliance with Geco, an organization that supports business managements and innovation, was established. Geco, the Poverty Stoplight Hub in Chile, will continue to expand the benefits of the Stoplight to different businesses in that country.
Signing of agreement with the company Perfecta Automotores.
Reaching 100 businesses in Paraguay is a milestone. A point in time that brings the opportunity to look to the future, but also to the past, when people had to fight for a piece of land. It was the imagination of man and the strength of the machine that enabled to experience economic growth. Unfortunately, the production model that brought so many benefits to society, has created throughout history.
According to Oxfam, the 8 richest people in the world have the same amount of wealth than half of the world's population. And the gap continues to grow: since 2010, the same report mentioned that there is a 13% annual growth in fortune of the extremely wealthy while ordinary worker’s only grow by 2%. For the data that has been collected from businesses in Paraguay, one can see how 80% of participants don’t have a savings culture, 70% don’t have a budget, 35% don’t have a low self-stem, 20% are poor and 5% are extremely poor. These numbers can be intimidating, however, they allow analysts to look forward with clarity and objectivity. Now it is up to us to the business sector to take advantage of the resources they have available and determine the actions to take in order to face this reality head-on. Poverty Stoplight moves people towards green. A green of hope, where companies are a source of life and there is a sustainable cohesion between the production of capital and global well-being.