Hawthorne is a restaurant in Toronto that embodies the concept of creating shared value. Started in 2012, the business aims to provide customers with high quality dining while at the same time providing real training and work experience to those who are experiencing difficulty in finding employment. People like refuges and homeless people can undergo professional training in the culinary and hospitality department. Furthermore, Hawthorne creates partnerships with other restaurants and local hotels with the intent of supplying struggling workers with real professional employment from these partners. The result of this practice is a significant yield in economic return, as well as sustainable solution for Toronto citizens who undergo unfortunate circumstances. The phenomenal results benefit from three major practices: make training relevant by matching it with market demand, incorporate the social mission into day-to-day work, and be creative in growing training opportunities. The result of these actions is 40 fully trained employees and revenue that has doubled every month since startup.
Hawthorne’s practices are a remarkable example of creating shared value, and in turn, they have implemented a long-term sustainable solution for unemployment in Toronto. Many might classify this example as an operation of charity, but I believe that it represents much more. A charity would merely offer money as a solution and leave these people to figure out their lives on their own. This solution, although beneficial, only works to an extent. The unemployed people may have money, but without the proper guidance, that money would last only for a limited period of time. In the end, the charitable organization would be losing money, the unemployed people would not be gaining any income, and Toronto would have lost a potentially valuable addition to their work force. However, what Hawthorne is doing is creating long-term sustainable change that not only benefits the people their helping, but is profitable for the business as well. Hiring employees, although inexperienced, benefits Hawthorne by expanding their human resources. This same manual labor is beneficial for the workers because the experience is valuable for seeking out future employment. The change is still beneficial even after the workers leave Hawthorne, because they can then offer their quality employment to another company, hence contributing to the large-scale economy. Hawthorne has created a win-win situation for themselves, their workers, and society. It takes real creativity to do what Hawthorne has done, but it goes to show that the old-school belief that social awareness loses profit is no longer relevant, and business should look for innovative ways to satisfy as many stakeholders as possible.
Citation
The Globe and Mail. 20 Oct 2014. Toronto Restaurant Balances Social Mission With Economic Return. Retrieved from http://www.theglobeandmail.com/report-on-business/small-business/sb-growth/sustainability/toronto-restaurant-balances-social-mission-with-economic-return/article21125089/