Yes, the combination of innovation and ethics is good for the conscience.
But it is just as crucial for achieving the company’s goals.
Responsible innovation can increase growth because it boosts customer loyalty. 86% of consumers say they are more likely to remain loyal to a company that behaves ethically. (source)
Increase product quality
Companies that implement governance processes can gain competitive advantage through improved product quality.
Avoid reputational damage
Scandals can quickly lead to enormous economic damage. Prevention is important – taking the right action beforehand – and not sweeping up the pieces later.
Innovations that do not comply with the law can quickly be subject to heavy penalties. Sanctions for non-compliance with the EU-CI Regulation provide for up to €30,000,000 or up to 6% of total worldwide turnover.
Developing trustworthy products can significantly improve talent attraction, retention and engagement.
For modern people, the ethical behaviour of companies in which they invest is becoming increasingly important.