Corporate social responsibility is about the integration of social, environmental, and economic considerations into the decision-making structures and processes of business. It is about using innovation to find creative and value-added solutions to societal and environmental challenges. It is about engaging shareholders and other stakeholders and collaborating with them to more effectively manage potential risks and build credibility and trust in society. It is about not only complying with the law in a due diligent way but also about taking account of society’s needs and finding more effective ways to satisfy existing and anticipated demands in order to build more sustainable businesses.
Ultimately, it is about delivering improved shareholder and debtholder value, providing enhanced goods and services for customers, building trust and credibility in the society in which the business operates, and becoming more sustainable over the longer term. Is there a business case for CSR , and if so, what is it?
While there are different ways to frame the benefits because they are interrelated, they generally include the following:
- * stronger financial performance and profitability through operational efficiency gains.
- * improved relations with the investment community and better access to capital
- * enhanced employee relations that yield better results respecting recruitment, motivation, retention, learning and innovation, and productivity
- * stronger relationships with communities and enhanced licence to operateM
- * improved reputation and branding