You can lead your organization to a new level of performance by incorporating social responsibility into your company’s corporate culture.
A growing number of organizational leaders recognize that corporate social responsibility (CSR) is not just good for business – but also for the world. Across nearly every field and vertical, executives are putting communities first.
Today, business leaders get excited when they talk about commerce and doing good. The following are five tips that can help you join the CSR conversation.
- Take Responsibility for Your Community
85% of S&P 500 enterprises publish a corporate social responsibility report, according to the Governance & Accountability Institute (G&A). Corporate social responsibility (CSR) is the work that accompanied us to support social responsibility.
When practicing CSR, enterprises ensure that their business practices have a positive impact on the community. Today, CSR is an important part of daily operations for many top enterprises. Furthermore, investors want to partner with companies that pursue opportunities to create a positive impact on the environment and society. Now, many leading enterprises are overcoming the challenges of launching CSR strategies – and reaping phenomenal rewards.
- Make Corporate Social Responsibility Your Company Mission
Historically, human resources and operations have functioned independently within most enterprises. Today, however, these functions have merged.
It’s not so much that the functions have become one. It’s more so about the fact that the world has changed.
Today, executive leaders must learn to align corporate social responsibility with the company business strategy. Resultantly, you must make a connection between your business’s core value and purpose in the strategies that drive your mission-critical initiatives.
Corporate social responsibility starts at the top of an organization and trickles down. To make CSR a reality, business leaders must get the entire team on board – including the CEO, Senior leaders, legal counselors, C-Suite execs and even the board room.
It’s important to ensure buy-in for corporate social responsibility before launching your initiative. Once you have received buy-in from top organizational leaders, it opens the door for engagement with the rest of the organization. This rapport will make your initiative more meaningful and help staff members to understand how CSR contributes to helping the organization meet its objectives.
- Put Your Money Where Your Mouth Is
McKenzie & Company forecasts that sustainable, responsible, and impact investing (SRI) will eclipse $300 billion in 2020. The firm defines impact investing as funneling capital to enterprises that promote environmental and social benefits.
Mainstream investors may be wary about channeling funds into socially responsible instruments. However, their fears are often unfounded.
By now, it’s no secret that corporate citizenship makes brands look good. 87% of consumers will buy from a company that supports a positive environmental or social issue, according to the 2017 Cone Communications CSR Study.
Today, consumers reward socially responsible brands with their loyalty. They make donations, support charities and buy products that promote social good. Now, more consumers are exercising their buying power and exerting their influence to punish companies who are socially irresponsible, for example, through boycotts or negative social media feedback.
- Build a CSR Initiative That Your Staff Members Can Get Behind
Leading companies also leverage CSR initiatives to promote employee development. 67% of millennials consider a company’s commitment to SRI when deciding where to launch a career. 64% will not take a job if the employer doesn’t maintain a strong corporate social responsibility program.
It’s always been a good idea to earn a reputation as a good employer. Now, however, the status yields undeniably positive business benefits.
Transform Your Company’s Culture
In the past, companies have worked to reduce their carbon footprint, increase giving and get behind socially responsible marketing campaigns. These actions have typically defined corporate responsibility. According to the Cone study, consumers consider several key corporate social responsibility characteristics important, including:
- Employer reputation
- International involvement
- Operational practices
- Product quality
Most importantly, socially conscious consumers want to support businesses that back social justice issues. CSR can help your business grow, but only if you do it right.
By aligning your enterprise with socially responsible causes, you can generate revenue and promote sustainable operations. Today, CSR is about more than doing good. You must demonstrate value to consumers, employees, shareholders and the community to prove that your organization is truly a responsible corporate citizen.