Date: 2024-05-14 Page is: DBtxt003.php txt00005563
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Corporate Social Responsibility CSR and Sustainable Development
What are the most effective incentives that drive corporate social responsibility? Are any of them altruistic?
Burgess COMMENTARY
Peter Burgess
Corporate Social Responsibility CSR and Sustainable Development ... 17,862 members
Dan Danner
What are the most effective incentives that drive corporate social responsibility? Are any of them altruistic?
Dan Danner
Director of Project Development at Innovative Media Productions
Like (5) Comment (13) Unfollow Reply Privately12 days ago Comments Senta Altenburger, Teresita Murillo and 3 others like this 13 comments
Rhonda Bannard Rhonda Rhonda Bannard Strategist - Relationship Development, PR, Social Responsibility, Events, Marketing, Nonprofit A mix of ingredients makes for the best recipe. Like (1) Reply privately Flag as inappropriate 7 days ago Dan D. likes this
Maria Camila Maria Camila villegas Intern at Oxfam America I think most of the incentives that drive CSR are related with reputation, social engagement, environmental pressures and economic development that derives in a competitive advantage. However, I also think that in some organizations there are real commitments with the society and the environment but this is not the rule is more the exception. Like (3) Reply privately Flag as inappropriate 6 days ago Veronica Br, Dan D. and 1 other like this
Dan Danner Dan Dan Danner Director of Project Development at Innovative Media Productions In my early years, my idealism was sorely tested when engaging organizations on matters of social responsibility. It turns out that what I was listening for and hoping to hear about ideals was very narrow. In a world with so many issues requiring attention, why would the issue I chose to champion necessarily present itself as compelling to an individual organization? My expectations have changed, my judgments moved into a back seat and my listening altered. Like Reply privately Flag as inappropriate 5 days ago
Rebecca Jackson Rebecca Rebecca Jackson Communications Representative at Speechmark Communications Limited Whilst a concern for others is a primary aim for a pursual of CSR, it must be questioned whether a corporation can stand to avoid their environmental and social responsibilities. Whilst competitors embrace CSR, and consumer voting contnues to rise, CSR is of great importance to eunsure visibility and protection of corporate image and reputation. Like (1) Reply privately Flag as inappropriate 4 days ago Dan D. likes this
Dan Danner Dan Dan Danner Director of Project Development at Innovative Media Productions So the incentives are primarily defensive in nature? Does the size of the organization play a role in the corporate stance related to CSR? What I'm reading so far seems to indicate that the primary incentive is competitive positioning rather than company values. Like Reply privately Flag as inappropriate 4 days ago Veronica Br Veronica Veronica Br Managing Director, Executive Coach, Sustainability & CSR Consultant Companies differ in their drivers for CSR as well as the initiatives they place under the CSR umbrella. While some companies take an approach that embeds CSR in core business, and it is/can be used as a tool to promote business competitiveness, for others it's about supporting local initiatives or specific issues. With the latter group, company values can play a strong role. However, there is the risk that with CSR as an added agenda item for the business, it may seem to be thinly-disguised PR and/or marketing initiatives. Despite the growth in reporting on CSR, application of Social Responsibility Indices (SRI)on stock/security exchanges in some countries, enactment of legislation to mandate companies to contribute a given percentage of profits to designated causes/local projects, it's more than likely that various drivers (internal and external) will continue to shape the CSR agenda of companies -global as well as local. Veronica Veronica Broomes CSR & Sustainability Consultant CSR survey: http://www.surveymonkey.com/s/5CDB5NP Like (2) Reply privately Flag as inappropriate 3 days ago Dan D., Katheryne M. like this
Peter Burgess Peter Burgess Founder/CEO at TrueValueMetrics
My position on this question is based entirely on my belief that metrics matter. Every sport, as far as I know has a system of keeping score, and the game is based on winning using that system of scoring.
In our modern society and economy the metrics that are in play are those that relate to money profit, stock prices and GDP growth. It is no wonder that the outcome is what we have ... massive income and wealth inequality, half the population of the planet poor and many hungry and lacking the basics, climate change merely an annoying diversion, and supply chains with totally unacceptable worker conditions, and so on.
CSR is a good idea ... but it gets in the way of achieving the simplistic goals described above.
I argue therefore that we absolutely have to reform metrics so that the core metrics become a comprehensive set that includes the money result (or profit), the people result (quality of life being improved for people) and the various planet results (resource consumption for raw materials and energy ... environmental degradation through solid waste, liquid waste and gaseous waste ... ecosytem stress and losing bio-diversity ... etc).
The results ... profit, people and planet all have to quantified in a single framework that is easy to talk about. Quantification is not easy, but it is not impossible. It can be done using 'standard values' rather like standard costs in cost accounting.
The data should have utility in summary form, but also be structured so that there is an ability to have granular information at any decision point in life ... both the little daily purchases and those that are done just a few times in a lifetime.
Finally .. the system of metrics should function not only from the perspective of the corporate insider, but from other viewpoints as well. The three main views are (1) the organization; (2) the place ... community; and, (3) the product.
Double entry accounting goes back more than 400 years. Modern capitalism goes back to Adam Smith more than 250 years ago. GDP as a metric is more than 70 years old. Seems that some serious reform of the metrics is overdue.
Peter Burgess TrueValueMetrics
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Veronica Br Veronica Veronica Br Managing Director, Executive Coach, Sustainability & CSR Consultant Peter, You've set out clearly one approach that many may find useful; and reminded us that 'what gets measured, gets done'. Companies/organisations may have preferred practices for measurements (quantitative and qualitative); it's likely also that metrics selected are consistent with professional bodies or industry Best Practice as appropriate. Veronica Broomes CSR & Sustainability Consultant CSR survey: http://www.surveymonkey.com/s/5CDB5NP Like (2) Reply privately Flag as inappropriate 1 day ago Stephen Elliott-Wetmore, Dan D. like this
Katheryne Molina Medina Katheryne Katheryne Molina Medina CSR, Reputation, Citizenship & Stakeholders Engagement
We all approach this matter based from experience. And it all depends on the Ethos of the company, like Veronica said there are different drivers. For me the key issue stands on how well You combine them.
It doesn't have to be purely altruistic or utilitary, we are some how summerge in sometimes an sterile discussion, looking for which actions are more pure (almost saint) and which aren't.
I think about this phrase: sustainably profitable, why not? Companies can have great core responsible values, even altruisitic ones, that doesnt mean the financian ones are aside, in fact they can be combine. And the key factor for it as Peter said is to meassure, meassure benefits for the company as well for the society, that way the CSR initiatives can be alligned to the business and viceversa.
When something has value for the company and various stakeholders and is measureable it's more likely to have Internal and external support, to be embrace by sales and marketing not overtake by them, to do good without appearing
Like (1) Reply privately Flag as inappropriate 1 day ago Dan D. likes this
Katheryne Molina Medina Katheryne Katheryne Molina Medina CSR, Reputation, Citizenship & Stakeholders Engagement (hit the button by error) ... APPEARING 'mother Theresa', then CSR departments start to be seen as add value and not spents... To be cut off when crisis arrive. Regards! Kat Like Reply privately Flag as inappropriate 1 day ago
Katheryne Molina Medina Katheryne Katheryne Molina Medina CSR, Reputation, Citizenship & Stakeholders Engagement
Oh! Forgot to say:
I rather have companies with CSR business allignment than altruitic ones, which end up doing philantropy (and writting checks) and not really getting involved in promoting sustainable development from insideout their value chain.
Like (2) Reply privately Flag as inappropriate 22 hours ago Dan D., Veronica Br like this
Dan Danner Dan Dan Danner Director of Project Development at Innovative Media Productions Couldn't agree more Peter. Beautifully thought out and articulated. Like Reply privately Flag as inappropriate 18 hours ago
Joseph Morrell Joseph Joseph Morrell Manager at Involve. I work to enable employees to access volunteering opportunities (supported by their company) - one avenue that CSR/ corporate citizenship can lead to. This means that I am in daily contact with CSR professionals and with regular employees from CEO to administrators all of whom undertake volunteering. I find that individually, their motivations are altruistic and that there is a deep desire to feel part of the wider community. If CSR provides the framework for interaction with society then i'm all for it. I agree with Katheryne. Companies with CSR aligned to business values is far better for society that sporadic philanthropy/engagement. My only worry is that (sometimes) the business case for CSR can 'cloud' the original purpose for undertaking such activities. Yes, yes - employee retention, competitive advantage, reputation etc... Those good people in CSR roles got into this because they new that the power/reach of their company could help effect social change; much like their predecessors, the Victorian philanthropists. Metrics are important - we need to know that a companies' social efforts in the global community are valuable and actually making a difference. CSR costs money and much like any business function, it must be able to prove it's worth. Once proven, it's more likely to be adopted across the business Sorry for the ramble... To conclude, I think that the main incentive for undertaking CSR should be the consideration that employees cannot partake in community/charitable activities themselves, partly due to their work/life balance (although some still find the time). An employees will look to his/her employer to meet today's green and ethical challenges. Despite those who profess a mercenary approach to their employment; most people would rather head home in the evening feeling that they have made a contribution to society. Are we dehumanizing (Corporate) Social Responsibility in order to justify it's place in an organization? Did we forget why we set out on this path? Like Reply privately Flag as inappropriate 2 hours ago