B Corporations: a commitment to the planet, people and transparency 

In recent years, consumers' interest in learning about the social and environmental perspective of companies has grown significantly, increasingly influencing their purchasing decisions. 

In parallel, many companies have made the decision to measure and reduce our impact on the ecosystem, and to deepen a socially responsible vision. 

This context, certifying ourselves as a B Company, allowed us to combine profit objectives with a social or environmental purposeIn this article we will analyze what this process consists of, its importance and impact.

What does it mean to be a B Corporation?

B Companies are companies certified by the non-profit organization B Lab.

This certification allows compliance with Strict verified standards of social and environmental performance, transparency and accountability.

The companies that are certified as Company B We are committed to continuous improvement and place our socio-environmental business purpose at the heart of our business model. 

We are companies legally required to consider the impact of our decisions on employees, the community, the environment and our shareholders.

As explained from B SystemsB Companies are characterized by being committed to an economic system that benefits the planet and all people.

We measure our social and environmental impact and we commit ourselves personally, institutionally and legally to making decisions that consider the long-term consequences of our actions on the community and the environment. 

Likewise, we assume with responsibility and pride to belong to a global movement of companies that want to make a change. 

We use market power to solve social and environmental problems and build a new, more sustainable and inclusive economy.

Furthermore, we are committed to a continuous development plan, which moves from the logic of mitigating negative impacts to a new logic of generating positive impacts. 

The key elements of a B Company are four:

• He purpose, which motivates us to create a positive impact on society and the environment.
• He legal requirement, which expands the fiduciary duty of shareholders and managers to include non-financial interests
• The Certification, which involves our evaluation and commitment to improve management and transparency standards.
• The interdependence, being part of a global community.

In short, B Companies seek to be better for the planet and redefine the meaning of success, obtaining a collective brand as a market identity.

Number of B Companies in the world and Latin America

Worldwide, 8,382 companies from 162 industries in 96 countries have already been certified, with a direct impact on 767,990 workers. Meanwhile, the number of companies that make their triple impact transparent amounts to 29,000.

Meanwhile, in Latin America, there are currently 1,174 B Companies, including IT Patagonia. 

If we take into account that in 2020 there were 3,735 B companies in the world, the growth that has occurred in recent years could be considered exponential.

In this sense, Capital Group reported that in 2023 901% of global investors considered ESG (environmental, social and governance) criteria in their investment decisions.

He model powered by B Lab helps companies balance profit with purpose, transforming the global economy into a system that benefits everyone. 

This is a new model that moves from concentrating wealth and power to guaranteeing equity; from extraction to generation, and from prioritizing individualism to embracing interdependence.

How to become a Certified B Corporation?

The Companies seeking certification in the B system They must be willing to measure and analyze the five most relevant areas of their company: Government, Workers, Clients, Community and Environment. 

This analysis involves a detailed review of the aspects mentioned above, in order to identify possible points of improvement and opportunities to be an agent of change in the economy, protecting the mission and enhancing the triple impact.

They must also be willing to undergo a comprehensive sustainability assessment, including certification and recertification, and making amendments to their legal governance tools.

In addition, they must commit to complying with the legal requirement of B Corporations and to do so when applicable, according to their certification process.

The important thing is that any for-profit company with at least one year of operations in a competitive market can apply for certification as a B Corporation, regardless of its size. 

The following guide allows you to know the certification requirements.

On the other hand, it must be taken into account - as we mentioned before - that the B Company certification is delivered by B Lab, a United States non-profit organization.

To start the process it is necessary to contact the network B Global Network, a unified group of global, regional and national organizations, driving the B Corp movement at the local level. 

In Argentina, Brazil, Central America, Chile, Colombia, Ecuador, Mexico, Paraguay, Peru and Uruguay, the corresponding non-profit organization is System B.

What is the certification process?

The length of the process varies depending on the size and complexity of the company seeking certification. 

For example, according to Sistema B, for companies with a turnover of up to US$$50 MM, the process usually takes between 6 and 12 months. However, large companies can take more than a year to become certified.

The certification process begins with the completion of the Impact Assessment B, a confidential, online and free tool developed by B Lab, which analyzes the 5 dimensions of an organization: Governance, Employees, Environment, Community and Customers. 

By completing the 100% of this questionnaire, if the company exceeds 80 points out of a possible 200, it is eligible to begin the certification process with B Lab Standards Trust.

As part of the certification process, a Disclosure and Controversial Industries Questionnaire.

The audit and validation stage of the information that follows below varies according to the size of the company interested in being certified, involving the areas of institutional relations, human resources, purchasing, supply chain and sustainability, among others.

Additionally, you must commit to complying with the legal requirements established in the country in which you are established and carry out your operations.

Finally, to maintain B Corp Certification, a company must update its B Impact Assessment every 3 years, and enter the recertification process.

Why were we interested in becoming a B Corporation?

One of the reasons that prompted us to go through the certification process is the possibility of being part of a global movement, committed to a economic system that benefits the planet and all people.

In parallel, the B certification is a tool for continuous improvement, which allows us permanently increase our positive impact.

At the transparency level, the B Impact Assessment and certification are tools to show the world how we operate internally and throughout our value chain.

On the other hand, B Companies have the opportunity to generate greater and better commercial and collaborative alliances with other companies, and we become attractive companies for impact investors.

B Companies also acquire through certification characteristics that allow us to differentiate ourselves and stand out in the media, mass events, forums and seminars.

In this regard, Suntae Kim, Matthew J. Karlesky, Christopher G. Myers and Todd Schifeling point out in Harvard Business Review that having a clear identity can help companies communicate their values to customers. Something that “is especially beneficial when they claim to have an identity that is different from the industry norm,” they say.

In addition, B Companies We attract professionals with high added value, by improving our perception as an employer brand. 

In relation to the ability to retain talent and generate healthy work ecosystems, from The Terrace They believe that the B Corp assessment uncovers opportunities to improve employee engagement and satisfaction, as well as diversity and inclusion in the workplace.

Actions that identify us as a B Company

At IT Patagonia we consider ourselves an agent of social transformation that promotes the generation of training opportunities in technology, focused on the generation of quality and sustainable employment for people.

Sustainability is at the heart of our business. 

We are aware of the place we occupy and the local, regional and global context in which we are living. Therefore, we consider that It is time to regenerate the system and be part of a new way of doing business.

We use the strength of our business to bring more people into the world of technology, with high-quality jobs, through training and mentoring to help them enter the industry. 

With our volunteer team we seek to generate a positive impact on people, helping them channel their social vocation and increasing their commitment to community development and care for the planet.

Each Patagonian adds value to what we do. That's why we work to create a space where each member of our team can generate their best version. We are partners of Pride Connection, of PEERS and the City Government certified us as a company committed to diversity.

As a certified B Company and in the face of the climate crisis we are experiencing, we are committed to an environmental agenda that establishes impact reduction goals for 2030 and 2040, and we act focused on solving the problems of the climate crisis.

Our environmental policy is expressed in the measurement of carbon footprint, efficient energy consumption and comprehensive waste management. 

Likewise, in training and raising awareness with interest groups, the mitigation strategy and compensation of environmental impact. In addition, in our interest in incorporating suppliers with the same vision into our value chain.

Being a B Corp means meeting the highest standards of verified social and environmental performance, public transparency, and legal accountability, to balance profit and purpose. We invite you to learn more how we do it.