Alex McKay: How can businesses benefit from corporate social responsibility?
2 min read
You’ve probably heard the term ‘Corporate Social Responsibility’ mentioned time and time again amongst businesses – but why exactly should it matter to your organisation? Alex McKay from Anthesis Group explains three ways you can benefit from CSR.
Investor reassurance
CSR seems almost unavoidable. There’s a growing list of stakeholders demanding greater transparency around Environmental, Social and Governance (ESG) issues. This is strengthened by legislation such as the EU Non-Financial Reporting Directive; the UK’s new Streamlined Energy and Carbon Reporting; and Gender Pay Gap reporting. Increased investor focus on non-financial performance has driven interest in CSR all the way up to C-suite executives for many organisations. There’s also a growing mandate for investors to evaluate companies based on their ‘green’ credentials.
Employee engagement and improved data collection
Many of the companies we work for often find that CSR and sustainability reporting gives employees the chance to cross-collaborate, with departments such as facilities, marketing and HR etc. all playing a role. This is a huge benefit in terms of employee engagement, as it gives them an opportunity to step outside their day-to-day role, as well actively feel like they’re making a positive impact.
It also improves processes around data, and gets employees used to monthly, quarterly or annually data collection; CSR requires businesses to monitor and report on energy and waste.
Easy to communicate
With information moving from print to online channels, it’s as easy as it’s ever been for you to communicate your CSR initiatives. Aside from the obvious benefit of the reduction in costs and reducing environmental impacts, there are clear advantages to moving content online such as being able to monitor who it is who actually reads your report. For companies looking to measure ROI from CSR, knowing the readership of your content and what kind of information specific stakeholders are seeking means information can be targeted more accurately. CSR activities also offer opportunities to connect with customers (business or consumer) via social media.
The world has changed, and businesses are increasingly being asked to explain their positive role in society by stakeholders and consumers alike. Business as usual is not an option anymore, so understanding how you create sustainable value is an indicator of your relevance and effectiveness, and something it’s vital you communicate.
By Alex McKay
About the Author
Alex is a sustainability specialist and Principal Consultant at Anthesis Group, with over 10 years’ experience in sustainability strategy development and communications. She has worked with Brother UK, Yearsley, MCFC and IPF on their community investment strategies and activities. She has helped many organisations manage their approach to sustainability – delivering an integrated, ISO 14001 accredited Social and Environmental Management System. She also has experience in the pharmaceutical industry having previously worked at AstraZeneca.
