Corporate Social Responsibility (CSR) is still widely misunderstood. I will discuss what CSR is and, most importantly, what it is not. Then, I will elaborate on how to evaluate environmentally-sound behaviors. Lastly, I will suggest seven steps to develop a CSR strategy.
CSR is meant to benefit your business. It aims to improve your corporate image. It is a strategic way to communicate publicly what you do well in order to boost your brand reputation.
CSR is not:
1) Corporate philanthropy. It does fulfill YOUR altruistic needs.
2) Charity. It is not YOUR religious-type donation.
3) A tax-alleviating scheme. It does not help YOUR tax deductions.
4) An ethical dilemma. It is not about YOUR choosing to maximize profits ethically or YOUR shortcut to Heaven!
Before developing your CSR strategy, review all of your business processes. Are you listening to your internal and external clients? Are there any inherent potential negative social or environmental consequences to the way you are doing business now? How is your product being produced or business proposition being executed? What does it take to carry out your investment? Are your employees safe and are you preserving a safe environment? Have you reviewed your commodity supply chains?
Identify where your processes reflect your company’s values such as solidarity, environment consciousness, or contribution to humanity. Define your values. Spell out your company’s mission. Your vision will be reflected in your brand. Remember that we live in an interconnected society and that you want to let your customers know the good you are doing.
Promote your product or service while adapting to the needs of your audience, as needed. Take continued stock of practices that might affect your company’s operations adversely, maximize the efficiency and productivity of your resources, eliminate waste and emissions, mitigate damages and deficiencies, put in place SOPs to ensure clarity and compliance. It won’t matter how unique, flawless, different, incredible, better or state-of-the-art your offering might be if you mistreat your employees, harm the planet, or hire children to achieve your goals. Those wouldn’t be attractive selling attributes for any company!
Let your business partners, consumers, stakeholders (all your internal and external clients) know of your most admirable business practices. The Organization for Economic Cooperation and Development (OECD) has indicated that no international standard for corporate social reporting has been established. The OECD suggests to make consumers aware of your environmentally-conscious processes, eco-label programs (e.g., Blue Angel and Nordic Swan), corporate environmental reports (e.g., “social auditing”), general corporate mission or strategy to demonstrate your openness and environmental stewardship (e.g., Body Shop International, Ben & Jerry).**
Create positive brand awareness and drive revenue generation by aligning your CSR and marketing plans. If you are conscientious, or go the extra mile for your clients and our environment (it is also yours, by the way), exalt your good deeds. Remember, in the final analysis, CSR is a strategy to reinforce brand loyalty and evoke positive human values, underscore the benefit to the community we all live in. Multiply positive word-of-mouth by following these seven steps:
- Integrate your CSR and marketing strategy.
- Identify a LOCAL bona fide partner* to execute your strategy.
- Create awareness within your organization.
- Enthuse your external stakeholders, be transparent.
- Create public support for your organization.
- Work with the news media (public and private broadcasters) to support your efforts.
- Get public coverage from your partner(s) through traditional and non-traditional channels.
It behooves you to incorporate CSR to your marketing plan from the onset. It makes you look better. Marketing plays a crucial role to communicate your stewardship and achievements. Align both strategies. Make sure that you launch your product, investment or service along with your CSR project. CSR is a function of marketing!
In short, do good whenever possible. Tell me, what would you like your tombstone to say? If you tell me your epithet, I will tell you mine…write back to me and let me know! Bye for now. Wanda
* I would like to recommend two sound, potential bona fide associates overseas, depending on your needs. The Catholic Church runs the oldest, largest and most efficient non-governmental organization in the world called “Caritas.” The local American Chambers of Commerce are excellent points of contact for U.S. firms too. I will delve into what they do in more detail in future articles.
** OECD Experts Workshop on Information and Consumer-Decision Making for Environmental Consumption http://www.oecd.org/greengrowth/consumption-innovation/1895757.pdf
Suggested reading: Corporate Social Responsibility Assessments by Southern Pulse.
Images courtesy of corporatesocialmarketing.wordpress.com, Boing Boing, and iPerceptive.com.