Why healthy people means healthy business?

                                                                        

Many times we think that each person's health is its own responsibility but have you thought about the consequences of the person falling ill?

Here's a short fictional case study for you ....

ABC company makes its employees overwork, PQR Co produces harmful products like alcohol & tobacco and then there's XYZ co. not thinking about the smoke coming from it's machines going inside the lungs of its workers.

What effect do you think it will have?

ABC & XYZ companies will have high employee turnover & high attrition rate. PQR Co will get consumers but many of which will die or cannot use the products because of bankruptcy (overspending and not being able to work) or illness like cancer (tobacco) or liver failure (alcohol) due to overdose & addiction (many would suggest that a particular age group will always buy the harmful products and the newer generation will also fall prey when it reaches that age group, which is sad but true but that does mean that the harmful products have to be continuously marketed and advertised to attract newer generation unaware of them)

What should they do?

• ABC & XYZ needs to pay attention to their workplace safety, hygiene and working hours. Proactive and employee friendly strong HR policies can not only help retain talent but also increase the reputation of the firm in the industry as well as among the potential employees.
• While, PQR company is only making harmful products, perhaps it should start thinking about entering into other products which are equally profitable yet not harmful. Also, it should promote moderate use of its harmful products so that it can keep its business running while it makes a transition from being in harmful products sector to non-harmful products. 
• Conducting CSR (Corporate Social Responsibility) activities will benefit all three companies in the long term regarding reputation building.

The profit orientation should be complimented by welfare motive, otherwise the profits earned will be only for the short term and the company wouldn't be able to sustain in the long term, many of which would go bankrupt because the recruitment  (ABC & XYZ) and marketing costs (PQR) -besides the normal operational costs- would be more than the sales.

Thus, there needs to be a long term approach to get the maximum and sustainable revenue for our business. This is a part of what strategic management does for the business.

( DISCLAIMER: The above imaginary case study is created by me which has no connection to any real life company or events, if any resemblance is there, please consider it as just a coincidence. I do not endorse or promote indulging in harmful products. For research and educational purpose only. None of this can be a substitute for formal business consulting and legal advise. I am not liable for any harm or loss arising from following the advise in this blog.)

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