JEP Foundation promotes the philosophies of Humanistic Capitalism to create a kinder, gentler economic approach. The principles of Just Enough Profit® (JEP) are used by companies to define what they stand for, how they treat their customers and employees, and how they serve humanity. We believe prevailing market forces will encourage companies to voluntarily adopt these standards as part of a grassroots desire for corporations to be more responsible with the allocation and distribution of their profits.
Just Enough Profit is a Humanistic approach to Capitalism
JEP is defined as:
- profit that is gained honorably, respectfully, and preserves human dignity;
- the purposeful distribution of a company’s profits to: promote a higher standard of living for employees, create fulfilling jobs, reduce prices, encourage shareholder philanthropy, and spawn other types of pro bono contributions to society. It also promotes financial openness and transparency.
JEP Maturity Levels
- Level 0 – Massive exploitation. Company provides no benefit to mankind whatsoever. Purely predatory and exploitive, may promote death and destruction (e.g., slave labor, etc.).
- Level 1 – Significant predation. Company’s predatory actions may result in financial ruin of others but the product or service may not be detrimental to mankind.
- Level 2 – Mildly predatory. Company has some redeeming value but profits are funneled to a select few.
- Level 3 – Somewhat humanistic. Company is interested in doing the right thing, but is caught up in mainstream capitalistic structure and protocol.
- Level 4 – Very humanistic. Company has a nice blend of beneficial products and services and demonstrates a propensity to share the wealth.
- Level 5 – Completely humanistic. Company exists only for the benefit of mankind. It is altruistic, philanthropic, promotes the general welfare, and makes just enough profit to innovate while serving its customers and employees.
- Level 5+ – The company is Level 5 with full financial transparency.
A fundamental premise of Humanistic Capitalism is that there’s enough to go around for everyone. We don’t need to have the “Haves” and “Have-Nots” anymore.
Just Enough Profit is an appropriate blend of each of these key components:
- Rebates to paying customers in the form of reduced prices
- Distributions to employees in terms of increased pay, benefits, and bonuses
- Limited executive bonuses and distributions to shareholders
- Use of retained earnings to continually innovate and improve customer products and services
- Increased cash reserves to dampen unforeseen market fluctuations and remain debt-free
- Company involvement in community service
- Participation in philanthropic initiatives that promote honesty, decency, and human dignity; may include investments in other companies who practice JEP principles
With Just Enough Profit, there’s an appropriate balance between three components: consumers and customers come first, employees are second, and the owners and shareholders come last. With this model, everyone wins—customers receive a better product at a lower price, employees receive a fulfilling and rewarding place to work, and shareholders lift humanity and make the world a better place to live. Just Enough Profit is inclusive of others and is mindful of their needs and contributions. Want to know more?
Just Enough Profit and Where Capitalism Meets Humanism are registered trademarks of JEP Foundation, Inc.