27 Sep 2023
Corporate Responsibility: How To Do Your Bit
Accountability and reputation: these are two major facets of corporate social responsibility (CSR). It’s a way for businesses to wave a hand in the air and say ‘Hey! We’re doing good over here’, but are actually doing good things. There are numerous benefits of corporate social responsibility initiatives, but put simply, it exists to make sure an organisation is having a positive impact in society as well as helping the image of your brand.Whether you’re saving the bees, reducing your carbon footprint, or turning trash into treasure, the impact of corporate social responsibility stretches far and wide. It’s the handshake between a business’ purpose and values and its social and environmental activities. To make sure your efforts are authentic, it's important to delve into the core principles of your organisation and ask, "What do we truly stand for, and how can we genuinely express these values?" For example, choosing to collaborate with the national association for hunting might seem peculiar if you're an animal rights charity, and will send very conflicting messages about your mission and beliefs to your target audience. What is corporate social responsibility and who does it benefit? Well, it isn’t simply a consumer-driven demand. Potential and existing employees also care that you carry out socially and environmentally conscious practices. It matters to them as it highlights a company's values, which they want to align with their own. CSR programmes will therefore also help to retain talent. A company is more attractive if they’re able to offer personal fulfilment; employees want an environment which is able to develop valuable skills and enhance their own professional reputation. So, it's not just about how you look to others on the outside; it's about how you look to your employees on the inside and what you can offer in terms of values and personal growth.
Understanding Corporate Responsibility
Corporate responsibility challenges the idea that businesses exist to deliver a profit to their owners or shareholders. It emphasises a different model of what success looks like for organisations; one that isn’t just based on profit margins. This is the idea of the stakeholder approach. It means that a business model must focus on the idea that the social responsibility for organisations is to create value for customers, suppliers, employees, investors, communities and others who have a stake in the organisation, not just to create profits for shareholders. Think of economic responsibility as the sponge of a cake; the foundation of a business, whereas ethical, social and philanthropic responsibility is the tasty icing that covers it. Without the icing, people may never be enticed to discover what your organisation offers in that sponge, such as your financial strategy or fiscal approach.
Environmental Sustainability
A key aspect of corporate social responsibility focuses on mitigating an organisation's environmental impact, which can be interpreted in diverse ways by different businesses. Some organisations undertake comprehensive transformations in their systems and practices to minimise their carbon footprints. Others may see swapping to paper straws as enough to be seen as an environmentally friendly organisation - but that’s a bit like trying to put out a raging wildfire with a squirty water pistol.Adding environmental responsibility practices into your business has numerous benefits. It can lower business risks, boost your reputation, and open doors for saving money. Practising basic energy-efficient steps can save you money and have a positive impact on your business. Paying attention to your organisation’s energy consumption, water usage, waste handling, and emissions isn't just about appearances anymore; it's an essential aspect of today's business environment. We are at a critical point where organisations have to step up their efforts to combat climate change.The first step is to measure and analyse your greenhouse gas emissions. It’s then easier to identify where your highest pollutants are and consider the best solutions to change them. Textbook measures like turning off the lights at night, having more plant-based options on the canteen menu or getting rid of all disposable cups and cutlery can actually go a long way. Equally, sustainable sourcing is when an organisation ensures that they are sourcing their products and services ethically and sustainably through each stage of the supply chain. Incorporating sustainable sourcing into environmental CSR is essential because it aligns a business with ethical standards, safeguards its reputation, mitigates risks, enhances cost efficiency, ensures access to emerging markets, promotes resilience in the face of environmental uncertainties, and aids in regulatory compliance. Ultimately, it secures long-term viability in a marketplace where sustainability is a key driver of success.
Community Engagement and Development
Getting involved with the local community and supporting charitable initiatives might be seen as the dusting of icing sugar on top of the cake; nice to have but not entirely necessary. It’s likely that when you think of community engagement and development, images of employees in matching branded t-shirts might come to mind, posing for a carefully staged photo op while doing a minimal amount of work in a heavily publicised event. But let’s reconfigure this image to be a little less cynical. Community engagement can be supporting a local charity with financial contributions, employee volunteer programs, or investing in local infrastructure development projects. It's showing your face and humanising your organisation. It's building healthy relationships with local authorities. It's creating a legacy. Just make sure you avoid cheesy photo ops; nobody wants to see the CEO in a superhero costume saving the day (unless, of course, it's a costume party).
Case Studies – Companies Leading the Way
To gain insight into how businesses have made a positive impact on their communities and beyond, we've curated a collection of corporate social responsibility examples. Dive in to discover the companies that are setting the benchmark as stellar CSR businesses, showcasing their successful endeavours.
1. Google
The first one on our list of CSR examples is Google, the tech giant known for its innovations, who have made noteworthy strides in being socially and environmentally responsible. A prime example is their Google Green initiative, which resulted in the company reducing energy costs by up to 50% in their data centers.Their approach is refreshingly straightforward. They didn’t need a group of mad scientists to write a long and incomprehensible CSR plan. They simply began conserving energy by turning off lights in unused areas, utilising renewable energy sources where feasible, and promoting recycling among their employees.This practical strategy not only helped Google's public image but also generated cost savings, allowing them to allocate resources to other areas of their business.You don’t have to be a corporate titan to make these changes; smaller companies can likewise embrace social responsibility in various ways, such as introducing recycling initiatives, adopting energy-efficient practices, and responsibly managing heating and cooling systems. These efforts, while not on the scale of Google, can make a meaningful difference in communities.
2. Xerox
Another example of corporate social responsibility is Xerox, who have done a great job at getting employees involved in its social responsibility efforts through their Community Involvement Program, an initiative that the company started in 1974. Through this programme, Xerox employees are given the opportunity to actively participate in the development of their communities by taking part in initiatives that they deem important.In fact, Xerox went as far as putting aside $1.3 million to ensure the success of this programme, and resultingly, the company not only increased their brand visibility but also improved the morale and productivity of their employees, who now felt that they were working for an organisation that they could be proud of.You don't need to break the bank with a $1.3 million budget to emulate Xerox's example. It's as easy as dedicating a set number of billable hours for your employees each year to make a positive impact in their local community. With this time on your side, your team can come together to enhance your community in various ways. Whether it's tidying up the local beach, lending a hand at a nearby soup kitchen or children's home, or even orchestrating awareness events to gather funds for organisations in need, the possibilities are boundless.
3. Starbucks
Many caffeine enthusiasts may not be aware of the significant role that CSR has played in shaping the global coffee giant we know today. Starbucks has ingrained the principles of social responsibility into its core values since its inception. One notable example is the C.A.F.E program, which serves as a compass guiding the company's commitment to social and economic responsibility throughout its operations.But Starbucks didn't stop there. They also teamed up with Ethos Water to make a splash in the world of corporate philanthropy, aiming to provide clean drinking water to over 1 billion people in need.So, what sets Starbucks apart from its competitors? It's not just the quality of their beverages; it's their unwavering dedication to their community responsibilities. It's about more than just serving coffee; it's about serving a purpose, one cup at a time.
4. Lego
Lego, as a mass producer of plastic toys, might not be the first name that pops into your head when you think of companies deeply committed to environmental Corporate Social Responsibility. However, they have earned their stripes. Lego received top honors from the Reputation Institute of the United States last year for their outstanding social responsibility initiatives, edging out giants like Microsoft and Google.How? Well, firstly, they take sourcing seriously - a core aspect of CSR. Lego insists that all suppliers adhere to their responsible business principles, ensuring that all their supply chains align with ethical and sustainable practices. This commitment not only promotes environmental responsibility but also helps build trust with consumers.Lego is also breaking new ground by introducing plant-based plastic bricks sourced from sugar cane, a significant step toward their goal of using sustainable materials in all their core products by 2030. This move demonstrates their dedication to reducing their environmental footprint, another crucial element of CSR.They’ve also become the world's first toy company to partner with the World Wildlife Fund as a climate savers partner, pledging to reduce their carbon footprint. This partnership is a testament to their commitment to not only minimising their environmental impact but also actively contributing to environmental conservation.In a move that's both eco-friendly and practical, Lego managed to shrink its packaging by 14% in 2013 and 2014, saving 7,000 tons of cardboard. This reduction in packaging waste not only aligns with environmental sustainability but also showcases their CSR efforts in waste reduction. They're also on a mission to eliminate all single-use plastic packaging from their materials by 2025. But that's not all – Lego is investing $164 million into its Sustainable Materials Center. Here, researchers are hard at work experimenting with bio-based materials that can revolutionise their production process. This investment highlights their commitment to research and innovation, with the ultimate goal of making their products more sustainable.So, while Lego's core might be plastic, their comprehensive approach to CSR is evident in their commitment to ethical sourcing, sustainable materials, environmental conservation, waste reduction, and ongoing innovation. Their CSR efforts go beyond just making toys; they are building a more responsible and sustainable future. We also worked with Greenpeace on part of their ‘Save the Arctic’ global campaign to make 'Everything is NOT Awesome', which resulted in Lego ending its $250m partnership with Shell.
5. Salesforce
To complete our list of socially responsible companies, we must look at Salesforce, the cloud computing powerhouse. They boast a renowned CSR approach – the 1-1-1 model, which has changed the game of corporate social responsibility. They donate 1% of their products, 1% of their equity, and 1% of their employees' time to communities in need. A triple play that hits all the right chords. Salesforce's employees take centre stage in driving this altruistic mission forward, as the company grants them the opportunity of six paid volunteer days per year. Moreover, Salesforce's commitment to giving back extends to providing substantial grants to nonprofit organisations, empowering them to make a lasting impact in their communities. Since their founding back in 1999, Salesforce has been nothing short of a force for good. They've dished out over $240 million in grants, clocked more than 3.5 million hours of community service, and sent product donations to over 39,000 nonprofits and educational institutions. Many communities all over are consequently reaping the benefits. But here's the cherry on top – Salesforce's 1-1-1 model has helped inspire a global movement. Over 8,500 companies in 100 countries have joined the Pledge 1% commitment, like a ripple effect of generosity.
Key Takeaways
Looking ahead, the message is clear: businesses must put corporate responsibility front and center of its agenda. The evolving landscape of commerce demands a greater focus on sustainability, social impact, and ethical practices. Whether you're a global tech giant or a local family-owned store, embracing corporate responsibility isn't just a trend; it's a necessity for long-term success. It involves not only caring for the environment and communities but also fostering a workplace culture that values diversity, equality, and ethical conduct. In the future, businesses that prioritise corporate responsibility will not only thrive but also will help build a better, more sustainable world for generations to come.Want to learn more about corporate social responsibility? Luckily for you we’ve got a heap of information on it across our blog:
- The Four Types of Corporate Social Responsibility
- The Importance Of Corporate Social Responsibility In Business
- What Are The Benefits Of Corporate Social Responsibility?
Feel you’re ready to take the initiative and start improving on creating CSR initiatives within your business? Get in contact with us and we will guide you through it. Or alternatively, read more about the work we do here.
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