Want to Build a Long-Term Business? Follow These Steps to Be a Good Business Neighbor

As someone in the data center industry, I never thought that planting trees and tending an orchard would be part of the job description.

But this Earth Day, my company launched a partnership with a non-profit organization to restore areas damaged by wildfires near our campuses. We also work with a growing foundation in many of our US markets, with the goal of providing fruit to local food banks.

Does this all sound good? Of course. But it also makes good business sense.

In my industry, being a good neighbor is not an aspirational, box-ticking exercise. It is necessary – not only to reach out to the communities in which we do business but also to ensure that we retain local workers and protect our investments. This is important for data center providers, who typically build facilities that will last 30 to 40 years.

That physical presence and long-term horizon make our industry somewhat unique. But no matter what your company does, the benefits of building strong relationships with local stakeholders are many, often far outweighing the costs. In fact, businesses that practice social responsibility can increase market value by up to 6% and revenue by 20%.

Here’s why being a good neighbor is important and how it can set up a company for long-term success.

What makes a good neighbor?

Think of a neighbor who wants to live next door. They take care of their property, and they are considerate and considerate of the community. When it comes to being a corporate neighbor, the same principles apply.

Over the past ten years, my company has established stores in nearly 20 communities. We don’t just deliver good, well-paying jobs, we use local workers whenever possible. We also strive to bring an attitude of respect.

Another way is to ensure that the campuses we build improve the community rather than harm it. Many are built on long-abandoned brownfield sites that we are renovating and living up to our commitment to sustainability. Designed for quiet and clean operation, our campuses are attractive buildings with attractive borders.

Are you not building a new facility? Things like noise and aesthetics still affect your neighbors, whether you’re setting up a new office space or moving into a shared space.

Listen — and deliver value where it matters

One of the most effective ways to build good relationships? Listen. Rather than pretending to have all the answers, go out and ask the community what is important to them. Companies like ours will offer special teams to communicate with stakeholders to find out what is most beneficial.

Follow the news here. In our experience, people don’t ask for a month. For example, if a community tells us that it doesn’t have a green space, we might modify our landscape to double as a park.

Look for local organizations to partner with

Another way to be a good neighbor: Find partners in the nonprofit sector who align with your business values. Research shows that consumers and employees want to engage with the community. Nearly nine out of 10 Americans think that companies should address social and environmental issues, while the same share of workers believe that businesses that sponsor volunteer activities provide a better place to work.

Encouraging team members to support their chosen strategies can be a powerful motivator. Take software giant Atlassian, which gives its employees five days of paid time off each year to volunteer for causes they care about. Or Nike, which runs a Global Community Impact Fund that allows local groups to apply for grants, and volunteers who do the research.

At each of our data centers, everyone aims to give back once a quarter, whether that’s organizing gardens to improve the bee population in Virginia or working with a school in an underserved Phoenix neighborhood to sponsor a teacher’s day and collect donations for families in need.

While large organizations may seem to have more money and resources to do their part, small businesses can also have a big impact. About three-quarters say they give their employees the opportunity to volunteer or do community service.

Don’t overlook academic collaboration

Finally, academic partnerships can have a significant impact, creating a valuable recruitment pipeline for organizations facing talent shortages while broadening the horizons of local students.

We’ve recently seen the impact of this firsthand, by working with high school employees in one of our markets to support their vocational program, and meeting the foundation of an introduction to jobs in the data center industry and beyond.

The ROI of being a good neighbor

When you show the community that you are willing to work with them to meet their needs, good things happen.

For one thing, it’s easier to hire and retain employees. Many people want to work for a company that cares about society. When employees are proud to be part of that business – and when other members of the community praise its efforts – they tend to stick around. Six in ten employees say their employer’s mission is one of the main reasons they stay, and employees are 12 times more likely to recommend a company with a mission to others.

The result is a virtuous circle. Happier employees and higher retention mean better results for customers, which improves shareholder returns and increases the host’s tax base. In our case, it also opens the door to further expansion and innovation in that market.

For businesses with an anchor presence, there may be a bottom line effect, too. Think of Starbucks or Whole Foods coming to town. We’ve found that the campus revitalizes the surrounding region, attracting local businesses that want to be close. More local jobs and tax revenue follow.

In fact, the economic recovery in our sector is huge. For every direct job in the US, data centers support more than six others. Most of that work is in places like Virginia, where the total employment impact of data centers grew 32% from 2017-21, to 86,000 jobs.

The halo effect with customers is another advantage. Many of our customers are socially conscious, and want to know that we go the extra mile to do good for the community. Singles: Nearly eight out of 10 consumers prefer to buy from companies that aim to make the world a better place.

At first glance, it may seem that being a good neighbor doesn’t have an immediate impact on a company’s balance sheet. But failing to respect and listen to the local community will cost the business time, money, employees, or customers, compared to driving investment in the things that lay the foundation for long-term success.

Ultimately, everyone wants to feel good where they work. But the real reward for being a good neighbor? Building a business that will last as long as the trees we plant.