Corporate Social Responsibility and Community Engagement Defined
Corporate Social Responsibility Programs
Corporate social responsibility (CSR) is a form of corporate self-regulation integrated into a business model. The corporation mitigates the impact of its activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere. Furthermore, CSR promotes the public interest by encouraging community growth and development, and voluntarily eliminating practices that harm the public sphere. CSR is the deliberate inclusion of public interest into corporate decision-making.
CSR encompasses retailer strategies towards climate change, natural resource sustainability, ethical sourcing, community engagement and corporate governance, among other issues.
CSR is also part of functional business strategies to achieve business objectives. Examples of this are leveraging CSR activities as part of HR strategies to: a) attract and retain talent, b) develop hard and soft skills among emerging leadership within the company, c) improve individual performance, and d) enhance overall workplace engagement.
CSR is also tied to PR/Marketing and therefore, brand reputation. CSR isn’t Philanthropy. It is a vital business strategy that reduces costs and increases productivity. Done well, it creates meaningful partnerships with both vendors and customers and offers unique differentiation - even alongside other business’ CSR platforms.
-Excerpts from interview with Chris Jarvis, Senior Consultant, Realized Worth
Cause Marketing is marketing involving the cooperative efforts of a for-profit business and a non-profit organization for mutual benefit. Cause marketing differs from corporate giving (philanthropy) as the latter generally involves a specific donation while cause marketing is a marketing relationship generally not based on a donation.
-Excerpt from Beth Kanter and Kami Huyse
(See Cause Marketing Forum for more.)
Philanthropy is a one-way street. Give without expectation of reciprocation. It’s deeply rooted in altruism, though there are financial tax benefits as well. Some give out of obligation or guilt, some give because they truly care. Great philanthropists earn deep respect because they not only know how to monetize, they believe in sharing the wealth.
-Megan Strand, May 2010, Is Your Brand A Philanthropist of a Cause Crusader?
Lethal Generosity is when a corporation applies its core competencies to advance social change in a way that contributes to business results and gives it a competitive advantage. It could be called a hybrid between cause marketing and Corporate Social Responsibility Programs.
-Term first coined by Shel Israel; excerpts from Beth Kanter and Kami Huyse
Examples:
Molson Coors Canada uses generosity as a key part of its branding and social media strategy. Its corporate social responsibility program invests more in responsible drinking education than on alcohol-centered events. Molson reaches out to the community to find ways to spread the responsible drinking message, including supporting the TaxiGuy program and covering the cost of free public transit on New Year's eve.
During the holiday season of 2008, when the city of Toronto Transit Authority canceled its New Year's eve free-ride transportation due to budget pressures, Molson launched a campaign to replace the public funding with private sector donations, starting with its own $20K donation. Molson publicly invited competitor Labatt Breweries to join the campaign.
Cause Crusading is when the core values of the company align in perfect symmetry with some cause out in the world and companies see the connection, grab it and run. Money is likely donated, but they weave the cause into the fabric of what they’re about. They involve employees in volunteering their time and talents to help further the cause and the organization becomes stronger for it. They talk about the cause with their customers and raise awareness in addition to money. Their passion for the business is fueled by the passion for the cause because they’re one in the same. The trick here is that the organization must know definitively, without a doubt, what it is they’re about. What is the “Why“ of your business? It goes beyond your product or service.
-Megan Strand, May 2010, Is Your Brand A Philanthropist of a Cause Crusader?
Shared Responsibility is a business strategy that addresses critical business needs, while meeting the expectations and needs of stakeholders and society. It’s a collaborative approach to between business and consumers/stakeholders in providing a unique value, role and stake in solving today’s complex social and environmental challenges.
Cone LLC, May 2010
2010 Cone Shared Responsibility Study Findings
Slacktivism: Slacker + activism = slacktivism and it's usually not meant as a compliment. It refers to doing good without having to do much at all. It's inch-deep activism that you can do from the comfort of your own couch, whether that's clicking for good or texting to save the world. One of the earliest forms of slacktivism was wearing one of those rubber wristbands that, for a while, were so ubiquitous -- doesn't cost much money and takes even less effort. The problem that many people have with slacktivism is that low input frequently means low impact. Many slacktivist efforts have no perceptible value, monetary or otherwise. Some do.
– Nancy Lublin, May 2010, Slacktivism: Helping Humanity With a Click of the Mouse
Ex: The FreeRice game, a slacktivist pioneer, has added up to real value. Begun in October 2007 by Web developer John Breen, the game (freerice.com) asks you to answer questions -- you get smarter! -- and for every correct answer, 10 grains of rice are donated to the UN World Food Program. As of March 15, 76 billion grains of rice -- roughly 22 million bowls -- have gone to feed the hungry, thanks to FreeRice.
After the Haiti earthquake in January, for instance, U.S. phone companies were receiving up to 10,000 "Haiti" texts per second. So far, those $10 pledges by text have amounted to $38 million for the American Red Cross alone.
Sustainability
Sustainability is the capacity to endure. In ecology the word describes how biological systems remain diverse and productive over time. For humans it is the potential for long-term maintenance of wellbeing, which in turn depends on the wellbeing of the natural world and the responsible use of natural resources. -Wikipedia
Sustainable business, or green business, is enterprise that has no negative impact on the global or local environment, community, society, or economy—a business that strives to meet the triple bottom line. Often, sustainable businesses have progressive environmental and human rights policies. In general, business is described as green if it matches the following four criteria:
1. It incorporates principles of sustainability into each of its business decisions.
2. It supplies environmentally friendly products or services that replaces demand for nongreen products and/or services.
3. It is greener than traditional competition.
4. It has made an enduring commitment to environmental principles in its business operations.
A sustainable business is any organization that participates in environmentally-friendly or green activities to ensure that all processes, products, and manufacturing activities adequately address current environmental concerns while maintaining a profit. In other words, it is a business that “meets the needs of the present world without compromising the ability of the future generations to meet their own needs.” It is the process of assessing how to design products that will take advantage of the current environmental situation and how well a company’s products perform with renewable resources.
The Brundtland Report emphasized that sustainability is a three-legged stool of people, planet, and profit. Sustainable businesses with the supply chain try to balance all three through the triple-bottom-line concept—using sustainable development and sustainable distribution to impact the environment, business growth, and the society.
Everyone affects the sustainability of the marketplace and the planet in some way. Sustainable development within a business can create value for customers, investors, and the environment. A sustainable business must meet customer needs while, at the same time, treating the environment well.
-Wikipedia
"A sustainable society considers the interconnectedness of environmental, economic, and social systems; reconciles the planet's environmental needs with development needs over the long term; and avoids irreversible commitments that constrain future generations."
-Global Institute of Sustainability
"Development that meets the needs of the present without compromising the ability of future generations to meet their own needs."
-Brundtland Report 1987
"Sustainability is a way to grow and prosper while reducing the stress on the planet."
-Arizona State University President Michael Crow
"If you get right down to it, sustainability is really the study of the interconnectedness of all things."
- Barbara Lither, US Environmental Protection Agency
Be Inspired. Be Connected
Inspired Connections works with clients to authentically practice CSR and ISR strategies to achieve a triple bottom line success: People, Profit, Planet. We’ll work with you to create programs, nurture mutually beneficial community partnerships and develop marketing plans and events that support your goals. Call us today to learn more about how we can help you develop and execute your CSR and ISR strategies at 602.370.3560 or send us an email.
