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There are tons of reasons for a business to want to give back in some way. In the past, businesses have chosen charities for tax breaks, credibility, or to be recognized as a “good corporate citizen.” While all these reasons are valid, and you may want to consider them when choosing a charity, the best option is a strategic choice. This can be an opportunity to do more than just give money or write checks: it can be an opportunity to get closer with your audience while making an impact on something that matters greatly to you.
Figure Out What Matters To Your Brand
Consider your mission and values. When selecting a cause to support, consider what you stand for as a company—or personally, as the founder. What is the mission of your organization? Who are your customers? Is there an issue or cause that speaks to one of those two components? If it feels authentic, it will resonate with your audience. Think about your company’s founding story? Was it born out of a frustration or heartfelt need to make something better? Looking closely at why your company does what it does will help you see what causes your brand could work with strategically.
Close examination aligns your brand’s giving efforts with your mission and values. If there isn’t a connection between the cause you’ve chosen and what you stand for as a company—or what you stand for personally—it won’t feel authentic when communicating about the partnership on social media or in other promotional channels. The public is very good at sniffing out insincere efforts, so authenticity is key. Your audience will see right through any attempt at “cause marketing” that doesn’t come from genuine passion on behalf of its founders or leadership team.
Some examples of strategically aligned giving could be a woman-owned tech company giving to the nonprofit Girls Who Code. Being a successful woman in a male-dominated industry aligns perfectly with wanting to help close the gender gap in technology and to change the image of what it is to be a woman in tech. Another example is a bottled water company helping to bring clean water to developing countries by supporting the building of wells. The connection does not always have to be as direct as these examples but it does need to be authentic.
As part of this process, also think about what issues are important to both you and your audience. Do they love animals? Are they concerned with environmental issues? Is education important? Which causes are the most innovative right now and receiving funding from other sources? To find a strategically aligned charity, spend most of your time selecting a cause. The organization you choose will be driven by the cause in which it believes, so if you’re not passionate about that cause, it’s unlikely to be a good fit for your business.
Are There Any Downsides?
Once you’ve identified an issue or a specific charity that aligns with your brand values and mission, decide if there is any potential risk associated with supporting this particular cause. Does the cause or organization have any bad press surrounding it or anything that might negatively affect your marketing efforts? This does not mean you should only give to nonprofits that lack controversy, but rather do some research into the charity before committing to make sure there aren’t any major pitfalls associated with giving time, resources, or money to them.
For example, supporting Planned Parenthood could be considered controversial by those who are pro-life. This could alienate customers who believe in pro-life values and may choose not to support a business that supports Planned Parenthood simply because they hold different beliefs on women’s reproductive rights than the company owner does, even though they might love everything else about the product.
In controversial cases, you must decide if you are willing to forgo possible profit for this cause. Lots of companies have taken a stand on an issue and come out stronger for it but you should certainly weigh the pros and cons beforehand.
Reach Out To The Charity
Different organizations have different needs. The best way to see how you can help is to talk with the charity about any specific needs they have or gaps that you can fill for them by becoming involved as a corporate supporter. Make sure the charity has room for more support from businesses like yours. Not all charities and nonprofits are created equal, so be sure that your chosen charity is a bona fide 501(c)(3) organization to qualify for deductions; consult your tax professional for specifics. Working with the charity to provide the help they need most, while still ensuring that your company can maximize any tax incentives is still important to the bottom line.
The only thing left to do once you have completed the three steps above is to bring your audience into your giving story through your social channels and marketing efforts. Show your customers how supporting you supports others. Show them that they can feel good about buying from you. When customers know that your giving efforts are authentic and driven from a place of generosity they find a connection with your brand.
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Organizations have a plethora of data and need to collect and transform it into information and actionable reporting. The business wants relevant, accurate, and timely information for decision-making, problem-solving, and continuous improvements.
For example, information may show trends or identify issues that need improvement or attention to improve performance. And when there is a continuous feedback mechanism, the information can be used to measure the effectiveness of improvement efforts and make data-driven adjustments as needed to achieve better outcomes.
Some organizations are taking it one step further and using artificial intelligence (AI) such as ChatGPT and Bard for additional insights. Organizations have been using chatbots for customer service inquiries and are automating tasks and generating various types of content saving time. Organizations are also using data to analyze performance metrics, identify areas of inefficiency, and even analyze historical data to make predictions about future trends.
AI models can utilize historical data to make predictions, providing valuable insights. Make sure you have a corporate governance policy for AI for responsible and ethical use and minimizing risks. This includes items such as use cases of what it can (and canât) be used for, where (public AI v. private instance), data confidentiality, etc.
Data Quality
As a result, data quality has become more important than ever. Making sure your data is as clean as possible is a critical step! Some signs you have dirty data are:
- Data entry errors â individuals sometimes make errors such as misspellings, transposed digits, or other inconsistent formatting;
- Missing data;
- Duplicate data; and
- Data source discrepancies â data from different sources that have inconsistent or conflicting data.
For AI, if your data is inaccurate, incomplete, or contains errors, the output may be misleading. Good data quality contributes to the model’s ability to handle various inputs and scenarios effectively. Also, ensuring that your data is diverse and free from biases is essential to creating AI solutions that are fair and inclusive. Otherwise, you may introduce bias resulting in unfair or unintended results.
How do you know you may have a problem? If you get comments from end users that the data seems incomplete or outdated (lagging), you should investigate. Or if you get complaints from external customers about their account information. Collaborate with the data owners or subject matter experts (SMEs) to help identify discrepancies/anomalies and how to correct the data both present and ongoing.
Also, if your organization is the victim of a security breach or unauthorized access, make sure the data hasnât been changed, corrupted, or contaminated. Take the time to ensure the data is still accurate and reliable.
Data Governance Framework
It starts by having a comprehensive data governance framework and should be an ongoing process because data quality is not âone and done.â This includes, but is not limited to:
- Data governance framework â have policies and procedures to establish and enforce data quality standards and data ownership within the organization;
- Data security â the data owner should determine who should have access to specific data fields. For example, only a small handful of people should be able to access salary/payroll information;
- Standardize data collection â create a process to minimize data errors and inconsistencies;
- Data validation â validate data being entered to prevent incomplete or inaccurate data from being entered into the system. For example, making key fields required, having valid values and date formats;
- Data cleaning â identify and correct any errors such as missing values, outliers, or duplicate records; and
- Data quality metrics â continually monitor and report on the quality of the data identifying any areas that need improvement.
Otherwise, you may be a victim of the expression âgarbage in, garbage outâ which will affect your reporting. You want to make sure your information is relevant, accurate, and timely so that the business has actionable reporting that is reliable and can be trusted.
For more information on the importance of good quality data for actionable reporting and AI, follow me on LinkedIn!
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