Corporate kindness is all about the impact an organisation has on the world. Kind companies are engaged in responsible practices that benefit society as a whole – including their customers, employees, and the communities they operate in. Kindness can increase parity and enable collaboration, fostering openness around performance and giving people the support they need to improve.
This article is part of our series on the Economics of Kindness. Find out how we're changing the way that business sees kindness in the workplace.

For employees, kindness also provides psychological safety. If the business has a clear purpose and a joint goal that everyone is working towards, and every person knows the role they’ll play to get there, there’s more of a sense of inclusion and belonging – which has been proven1 to increase productivity.

It also impacts innovation. When people know they’re not going to get pulled up in an unkind way, that any feedback will be constructive and performance-focused, and that they have the same tools and opportunities as their colleagues, they have the freedom to be more confident, creative and innovative in their decisions.
That’s how we work at Baringa – and kindness is delivering strong commercial outcomes. For example, teams are full of people who are not only technically strong but genuinely kind. And, because they collaborate, share best practice and support each other, client delivery is of consistently high quality.

We also promote a culture of kind – rather than ‘nice’ – feedback. That means having difficult conversations around performance, but doing so in a constructive, supportive way. We won’t assume the cause of someone’s behaviour, and will try to help them unlock whatever’s holding them back by asking questions, being curious, and of course being kind.
In a sense, that makes being kind the more difficult option. It’s far easier to avoid tough situations, but we’re committed to helping our people develop by making sure they hear what they need – and get the resources and support required – so they can be the best version of themselves.

Hybrid working demands new leadership skills
Kind leaders balance IQ with EQ. They relate to employees’ experiences and emotions, and take time to listen, support, guide and coach their teams. The most successful focus on organisational outcomes, but do so with compassion and understanding, and engage people on an emotional level. But being a leader today is arguably more challenging than ever. The world is changing at breakneck speed, and leaders are having to adapt to a constantly transforming world.
"The world is changing at breakneck speed, and leaders are having to adapt to a constantly transforming world."
One major shift we’ve all seen in recent years was the move to hybrid working. According to research by LinkedIn, more than a third of UK employees would quit their job2 if threatened with a full time return to the office – while 52% of women surveyed said they’d already left, or were considering leaving roles that lacked flexibility. It’s safe to say hybrid is here to stay.
Hybrid working adds complexity when it comes to building strong relationships at work however, and we’re seeing the ‘middle manager squeeze’ impacting organisations across sectors. Middle managers are still responsible for everything they’ve always done, but they’re also now expected to manage in a hybrid way, without necessarily being taught the skills to do so.
Perhaps most significantly, middle managers have become the internal face of many companies. Garner3 found that ‘60% of hybrid employees say their direct manager is the most influential person they interact with in terms of connecting to their company’s culture’. If that culture is portrayed through the wrong lens such as micro-management, there is more risk of loss of talent.
"For middle managers to have the empathy to spot what might really be going on at the other end of a phone call or Zoom meeting requires a whole new set of skills."
For middle managers to have the empathy to spot what might really be going on at the other end of a phone call or Zoom meeting requires a whole new set of skills. That applies to inclusion and belonging too. How do you help someone remote feel part of things, if their colleagues are all in the office together? But these are skills managers are having to learn and grow on the job and may be critical to the retention of key talent.

Kindness never needs to take a back-seat
Tough decisions will inevitably need to be made at some point in a people manager’s career. For example, many organisations are currently managing redundancy programmes, which can be an unpleasant process for everyone involved, but that doesn’t mean kindness has to take a back-seat. If employees see their exiting colleagues being treated fairly and appropriately, they’re much more likely to remain motivated, productive and to stay with the business. Kindness in approach makes a huge difference, whilst the reverse can really knock those who are displaced, perhaps even impacting on their confidence to gain their next role.
Don’t forget, those people leaving the business might also be future customers, or even alumni who one day return, so a positive experience in that moment can have an impact for years to come. Hall and Partners’ Kindness in Leadership survey4 found organisations that practise corporate kindness come through crises more successfully. Kindness is a value that builds resilience, and that’s something all companies should be striving for.
A ‘shared’ workforce may be the future
Despite the market dipping and many companies announcing redundancies, we continue to have a war for ‘hot’ skills in the UK. Indeed and Glassdoor5 predict a drop of ‘prime age population’ in the UK from 38% to 35.8% by 2050. To complicate this further, the strive for digital transformation means that tech and data skills will be in even hotter demand. Where hybrid working caused the last big workplace disruption, how organisations attract and retain hot skills will trigger the next. Skills shortages may usher in a completely new approach to employment, where talent is shared across businesses.
With hot skills hard to find, companies may be pressed to share resources, or ‘borrow’ them from other businesses. As a result, the competitive landscape could become more of a skills marketplace, where individuals are able to have far more varied careers and experiences.
And kindness, of course, plays a role in that future. Those ‘shared’ workers will still decide where they want to go, and organisations entering this hot skills economy will need aligned values if they’re collaborating with others in this space.
Customers and employees will always be drawn to companies with a clear sense of purpose and values. They want to support organisations that impact the environment and society in positive ways – and to work for leaders who weave kindness throughout everything they do.
Join the #EconomicsOfKindness discussion on LinkedIn here.
1. https://www.gartner.com/smarterwithgartner/build-a-sense-of-belonging-in-the-workplace
2. https://www.theguardian.com/business/2023/mar/15/uk-workers-office-return-linkedin
3. https://emtemp.gcom.cloud/ngw/globalassets/en/human-resources/documents/trends/hr-toolkit-tackling-2023-future-of-work-trends.pdf
4. https://hallandpartners.com/thinking/report/kind-leadership-during-a-crisis-and-beyond
5. https://uk.indeed.com/lead/indeed-glassdoor-hiring-and-workplace-trends-report-2023
About the author

Katharine Henley
Katharine Henley is captivated by the future of work. Known at Baringa for her caring people focus, she set up our people consulting team and helps clients align their people capabilities and structures with their business strategy.
Learn more about KatharineOur Insights

Introducing the Economics of Kindness
At Baringa we’re convinced that, no matter the macroeconomic backdrop, kindness in business really does pay. That’s why we’re taking this opportunity to explore the economics of kindness across four pillars: people, business, leadership and investors.
Read more
People – planet – profit, in that order
The notion of a ‘triple’ bottom line – people first, then planet, then profit – is reshaping how organisations around the world do business. They’re bringing corporate kindness to the fore as we enter a new type of economy, and the businesses that organise themselves in this way will be the ones that succeed.
Read more
Why being community-focused is essential for survival
Why wouldn’t businesses be community-focused? Especially if you consider your communities as customers? Andrew Reaney shares his personal experiences of why being community-focused is essential for survival
Read more
Building brands through kindness
Does employee welfare and personal happiness lead to increased productivity and profit? Baringa and Ella’s Kitchen discuss the role of kindness in its rapid growth and how companies can help overcome the rise in loneliness.
Read more
Consumers confirm: kindness pays
To get the public's view on the economics of kindness, Baringa commissioned a global survey to understand how perceptions of kindness affect purchasing decisions.
Read more
Is kindness authentic?
We talk to four leading commercial semioticians to understand more about kindness and what businesses should do about it.
Read more
Redefining kindness in the workplace
Corporate kindness is all about the impact an organisation has on the world, engaging in responsible practices that benefit their customers, employees, and the communities they operate in.
Read more
Kindness can help you make decisions
Consumers vote with their wallets by choosing what they buy and who they spend with. Businesses can choose their suppliers, who they work with, and which markets they serve. Employees can choose who to work for and which career path to take.
Read more
Clarity and self-accountability: The cornerstones of kind leadership
How do you break the circle of artificial harmony and of avoiding honesty? Leadership coach Jeremy Sweeney explores how to humanise organisations, the power of accountability, and whether kindness pays.
Read more
The bank of goodwill
The bank of goodwill: kindness as a commodity? Anya Davis explores how kindness improves workplace relationships and how reciprocal kindness pays with behavioural psychologist Annie Hazlerigg.
Read more
Kinship fuels growth – a view from technology businesses
What drives innovation and growth? Supportive comments or complete honesty? If you’re a high growth tech business, it’s kinship. Startup advisory Sapphire & Steel share their views on the economics of kindness.
Read more
Firms considered “kind” are more likely to be successful
Our research indicates that kindness isn’t simply a matter of ethics – it’s a no-nonsense business issue too. If your firm is considered “kind”, it is likely to have stronger growth than a firm considered unkind.
Read more
Bringing kindness back to the top of the leadership agenda
Should kindness be back at the top of the leadership agenda? Managing Partner Adrian Bettridge discusses how when we lead with kindness, we generate lasting success for ourselves, our clients and our businesses.
Read more
How to balance kindness and profitability
We discuss why employers need to support their people beyond pay packet alone, the benefits of doing so, and the perils of short-term thinking.
Read more
The challenges of being a kind leader
In this conversation, Mike Lewis (previous CEO of E.ON) shares his experiences, what kindness means to him, and how being kind helped him navigate the most unprecedented challenge of recent history.
Read more