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G O O D B U S I N E S S S E N S E - W W W . G B S E N S E . C O M
CORPORATE SOCIAL RESPONSIBILITY- CRACKING THE CODE
OUR HOPES FROM THIS SESSION
• That You begin to see CSR in a new light.
• That you look at random campaigns passed off as CSR
and question their legitimacy.
• That you understand the logic and need for CSR as a
business discipline.
• That you can tell the difference between good CSR and
bad CSR (yes there is bad CSR).
2www.gbsense.com
THE CASE FOR CSR.
3
Profit for a company is like oxygen for a person. If
you don’t have enough of it, you’re out of the
game. But if you think your life is about breathing,
you’re really missing something.
Peter Drucker
www.gbsense.com
WHAT ONE WORD FIRST COMES TO MIND
WHEN YOU THINK OF CSR?
4
100 MOST RESPONSIBLE COMPANIES (TOP 25)
http://www.thecro.com/files/100Best2012_List_3.8.pdf
CHARITY, MARKETING OR CSR?
$88.1 million to humanitarian
organizations.
Computer donations worth $95 million
through its global KidSmart Early Learning
program.
$300 million in software products To
NGOs.
6www.gbsense.com
CSR AS A PROFESSION: DEMAND IS SET TO
RISE FURTHER..
7www.gbsense.com
SALARIES CONTINUE TO RISE
So how much do CSR professionals make?
Average salaries are defying economic uncertainties and
continuing to rise. If we look at average salaries, the highest paid
region is the rest of Europe (i.e., Europe excluding the UK) with an
average salary of $109,500, followed by North America
($108,000), the rest of the world ($106,000) and finally the UK
($89,500).
8
http://www.triplepundit.com/2012/07/money-csr-professionals-make/
www.gbsense.com
CSR PEOPLE ARE HAPPY PEOPLE
The survey ends with another optimistic piece of information – CSR
professionals overwhelmingly remain happy with their work (80
percent are satisfied), feel that their job security has improved or
remained the same over the past 12 months (80 percent) and would
recommend a career in the sector (94 percent).
Can it get any better than this?
9
http://www.triplepundit.com/2012/07/money-csr-professionals-make/
www.gbsense.com
10
SO WHAT IS THIS CSR THING
ANYWAY?
HINT: PREPARE TO BE SURPRISED (A LITTLE)
www.gbsense.com
A WORD WITH A THOSAND NAMES
Corporat
e Ethics
Sustainability
Social
Accounting
Corporate
(Social)
Responsibility
Corporate
Citizenship
Business In
Society
Triple
Bottom
Line
Corporate
Accountability
Responsible
Business
Practice
11
DEFINING CSR
12
Archie B. Carroll: The social responsibility of business encompasses the economic, legal,
ethical and discretionary expectations that a society has of organizations at a given
point in time.
Harvard Business School: Corporate social responsibility encompasses not only what
companies do with their profits, but also how they make them. It goes beyond philanthropy
and compliance and addresses how companies manage their economic, social, and
environmental impacts, as well as their relationships in all key spheres of influence: the
workplace, the marketplace, the supply chain, the community, and the public policy realm.
The World Business Council for Sustainable Development (WBCSD): ”Corporate Social
Responsibility is the continuing commitment by business to behave ethically and
contribute to economic development while improving the quality of life of the workforce
and their families as well as of the local community and society at large
www.gbsense.com
HOW WE DEFINE CSR?
CSR means to incorporate elements in your overall business
strategy that ensures that business meets its objectives while
addressing its responsibility towards key stakeholders in a way
that maximizes value for all.
1. Aligned with Core Business Strengths
2. Ties in with Overall Business Strategy
3. Addresses a real social need
4. Maximizes value for all (People, Planet, Profit)
13www.gbsense.com
THE BEST CASE SCENARIO
14
CISCO Supplier
Initiative
Nestle Farmer
support programs
Google “ Do
Cool Things that
Matter”
GE
Ecomagination
www.gbsense.com
15
CSR: THE GOOD, THE BAD &
THE UGLY
AND WH Y “KILLING PEOPLE NICELY” JUST DOESN’T CUT IT!
www.gbsense.com
HAAGEN-DAZS HONEY BEE CAMPAIGN
16www.gbsense.com
SUPPORTING & FUNDING RESEARCH
17
ISSUE AWARENESS & EDUCATION
18www.gbsense.com
ISSUE AWARENESS & EDUCATION
www.gbsense.com 19
IS IT GOOD CSR?
Elements of Strategic CSR Yes/No
Aligned with Core Business
Strengths
Yes- Honey bees are responsible for pollinating one-third of
all the foods, including many of the ingredients that define
HD ice creams, sorbets, frozen yogurt and bars. HD is one of
the best global food supply chain.
Addresses a Real Social Need Yes. Honeybees are disappearing at an alarming rate —
and that’s bad news for the global food chain
Ties in with the bigger picture Yes- Supports the company philosophy to find the purest
and finest ingredients in the
world and craft them into the best ice cream, sorbet, and
frozen yogurt.
Maximizes Value for Business Yes- Establishes HD as a brand that has a strong focus on
an all-natural supply chain. #HelpHoneyBees hashtag,
raised $7,000 in two days last November and (“BeeBuzz
generated 643,748 tweets).
Maximizes Value for Society Yes- Helps raise awareness and funds which would ensure
the sustainability of human life in the future.
20www.gbsense.com
GOOGLE ORG- TECHNOLOGY FOR SOCIAL
CHANGE
21www.gbsense.com
GOOGLE FLU TRENDS
22www.gbsense.com
IS IT GOOD CSR?
Elements of Strategic CSR Yes/No
Aligned with Core Business
Strengths
Yes
Addresses a Real Social
Need
Yes. Projects are tailor-made to the needs
facing the world and that can be addressed
through Google search database.
Ties in with the bigger
picture
Yes- Google Org. has been set up to enhance
the search capabilities of Google as well as
strengthen its position as the strongest search
engine.
Maximizes Value for
Business
Yes- Establishes Google is THE place to find
ANY information.
Maximizes Value for Society Yes
23www.gbsense.com
THE ETHICAL DILEMMA OF CSR
24
Can You be
Responsible when
Your Products
Kill?www.gbsense.com
RANA PLAZA FIRE KILLS 115 WORKERS
25www.gbsense.com
KILLING PEOPLE NICELY..
26www.gbsense.com
IS IT GOOD CSR?
Elements of Strategic CSR Yes/No
Aligned with Core Business
Strengths
Yes. They make Guns and are on of the best!
Addresses a Real Social Need Yes. Many US citizens feel safer when they have a
gun for protection. Gun laws threaten that.
Ties in with the bigger picture Yes- Helps them sell more guns!
Maximizes Value for Business Yes-
Maximizes Value for Society NO. not as a whole!
27www.gbsense.com
IN CONCLUSION
CSR Rule #1: Do No
Harm
28www.gbsense.com
CSR- THE BARE MINIMUM
29
http://www.sagepub.com/upm-data/34698_Chapter1.pdf
www.gbsense.com
30
CSR: MAKING THE BEST OUT OF
IT
THE FOUR COMMANDMENTS
www.gbsense.com
THE FOUR COMMANDMENTS OF GOOD CSR
www.gbsense.com 31
KNOW THYSELF
“If the Ladder is Leaning against the wrong wall, every
step just takes you to the wrong place faster”
Hopes from CSR Key Priorities
CSR Emotional Quotient Core Business Realities
Industry & Community Distinct
Issues
Company Distinct
Issues
www.gbsense.com 32
KNOW THY STAKEHOLDERS
Stakeholders are Individuals or group who affects/or could be
affected by an organization's activities, products or services &
associated performance
Media
Regulators
Customers
Suppliers and
foreign
partners
Community
Governmental
Bodies
Employees
Competitors
www.gbsense.com 33
MEASURE THY ACTIONS
“You can never control what you don’t Measure”
A Monitoring & Evaluation Protocol
•Helps measure the impact of each
project (social and financial)
•Helps identify weak points and areas of
improvement
•Works as a project control tool to ensure
work in on track
•Makes the project team aware of the
Critical factors for each project
www.gbsense.com 34
CELEBRATE THY VICTORIES (AND LOSSES)
“The question is no longer
“Who is reporting?” but
“Who is not?” Corporate
responsibility reporting is now
a mainstream expectation
of companies. Since more
than 80 percent of the
world’s 250 largest
companies now report on
corporate responsibility, we
can expect this trend to roll
out rapidly at the country
and sector levels in the
coming years.”
Alyson Slater
KPMG International
Survey of Corporate
Responsibility Reporting 2008 www.gbsense.com 35
36
HUM B OL DT ST A TE UNI VERSI TY (CA LI FORNI A ) GRA DUA TI ON
PLEDGE OF SOCI A L A ND ENVI RONMENTA L RESPONSI BI LI TY
"I pledge to explore and take into account the social and environmental
consequences of any job I consider and will try to improve these aspects
of any organizations for which I work."
www.gbsense.com
ABOUT ME
www.gbsense.com 37
My name is Bushra Azhar and I am the Founder of Good Business
Sense, a website dedicated to making Corporate Social Responsibility
easy.
I have been working since I was 20 and in a career that spans more
than 14 year (now you know how old I REALLY am), I have been a
Corporate VP, a Consultant and an Academic and have had a
chance to work with some of the biggest names in the corporate
world including Ernst & Young, Pepsi Cola International, Saudi Aramco
and Unilever.
My biggest strength is taking a dry, almost incomprehensible topic( like
CSR) and turning it into something simple, even enjoyable and most
definitely actionable.
Come talk to me:
Twitter @bushraazhar
Bushra@gbsense.com

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Corporate social responsibility what.why.how.

  • 1. 1 G O O D B U S I N E S S S E N S E - W W W . G B S E N S E . C O M CORPORATE SOCIAL RESPONSIBILITY- CRACKING THE CODE
  • 2. OUR HOPES FROM THIS SESSION • That You begin to see CSR in a new light. • That you look at random campaigns passed off as CSR and question their legitimacy. • That you understand the logic and need for CSR as a business discipline. • That you can tell the difference between good CSR and bad CSR (yes there is bad CSR). 2www.gbsense.com
  • 3. THE CASE FOR CSR. 3 Profit for a company is like oxygen for a person. If you don’t have enough of it, you’re out of the game. But if you think your life is about breathing, you’re really missing something. Peter Drucker www.gbsense.com
  • 4. WHAT ONE WORD FIRST COMES TO MIND WHEN YOU THINK OF CSR? 4
  • 5. 100 MOST RESPONSIBLE COMPANIES (TOP 25) http://www.thecro.com/files/100Best2012_List_3.8.pdf
  • 6. CHARITY, MARKETING OR CSR? $88.1 million to humanitarian organizations. Computer donations worth $95 million through its global KidSmart Early Learning program. $300 million in software products To NGOs. 6www.gbsense.com
  • 7. CSR AS A PROFESSION: DEMAND IS SET TO RISE FURTHER.. 7www.gbsense.com
  • 8. SALARIES CONTINUE TO RISE So how much do CSR professionals make? Average salaries are defying economic uncertainties and continuing to rise. If we look at average salaries, the highest paid region is the rest of Europe (i.e., Europe excluding the UK) with an average salary of $109,500, followed by North America ($108,000), the rest of the world ($106,000) and finally the UK ($89,500). 8 http://www.triplepundit.com/2012/07/money-csr-professionals-make/ www.gbsense.com
  • 9. CSR PEOPLE ARE HAPPY PEOPLE The survey ends with another optimistic piece of information – CSR professionals overwhelmingly remain happy with their work (80 percent are satisfied), feel that their job security has improved or remained the same over the past 12 months (80 percent) and would recommend a career in the sector (94 percent). Can it get any better than this? 9 http://www.triplepundit.com/2012/07/money-csr-professionals-make/ www.gbsense.com
  • 10. 10 SO WHAT IS THIS CSR THING ANYWAY? HINT: PREPARE TO BE SURPRISED (A LITTLE) www.gbsense.com
  • 11. A WORD WITH A THOSAND NAMES Corporat e Ethics Sustainability Social Accounting Corporate (Social) Responsibility Corporate Citizenship Business In Society Triple Bottom Line Corporate Accountability Responsible Business Practice 11
  • 12. DEFINING CSR 12 Archie B. Carroll: The social responsibility of business encompasses the economic, legal, ethical and discretionary expectations that a society has of organizations at a given point in time. Harvard Business School: Corporate social responsibility encompasses not only what companies do with their profits, but also how they make them. It goes beyond philanthropy and compliance and addresses how companies manage their economic, social, and environmental impacts, as well as their relationships in all key spheres of influence: the workplace, the marketplace, the supply chain, the community, and the public policy realm. The World Business Council for Sustainable Development (WBCSD): ”Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large www.gbsense.com
  • 13. HOW WE DEFINE CSR? CSR means to incorporate elements in your overall business strategy that ensures that business meets its objectives while addressing its responsibility towards key stakeholders in a way that maximizes value for all. 1. Aligned with Core Business Strengths 2. Ties in with Overall Business Strategy 3. Addresses a real social need 4. Maximizes value for all (People, Planet, Profit) 13www.gbsense.com
  • 14. THE BEST CASE SCENARIO 14 CISCO Supplier Initiative Nestle Farmer support programs Google “ Do Cool Things that Matter” GE Ecomagination www.gbsense.com
  • 15. 15 CSR: THE GOOD, THE BAD & THE UGLY AND WH Y “KILLING PEOPLE NICELY” JUST DOESN’T CUT IT! www.gbsense.com
  • 16. HAAGEN-DAZS HONEY BEE CAMPAIGN 16www.gbsense.com
  • 17. SUPPORTING & FUNDING RESEARCH 17
  • 18. ISSUE AWARENESS & EDUCATION 18www.gbsense.com
  • 19. ISSUE AWARENESS & EDUCATION www.gbsense.com 19
  • 20. IS IT GOOD CSR? Elements of Strategic CSR Yes/No Aligned with Core Business Strengths Yes- Honey bees are responsible for pollinating one-third of all the foods, including many of the ingredients that define HD ice creams, sorbets, frozen yogurt and bars. HD is one of the best global food supply chain. Addresses a Real Social Need Yes. Honeybees are disappearing at an alarming rate — and that’s bad news for the global food chain Ties in with the bigger picture Yes- Supports the company philosophy to find the purest and finest ingredients in the world and craft them into the best ice cream, sorbet, and frozen yogurt. Maximizes Value for Business Yes- Establishes HD as a brand that has a strong focus on an all-natural supply chain. #HelpHoneyBees hashtag, raised $7,000 in two days last November and (“BeeBuzz generated 643,748 tweets). Maximizes Value for Society Yes- Helps raise awareness and funds which would ensure the sustainability of human life in the future. 20www.gbsense.com
  • 21. GOOGLE ORG- TECHNOLOGY FOR SOCIAL CHANGE 21www.gbsense.com
  • 23. IS IT GOOD CSR? Elements of Strategic CSR Yes/No Aligned with Core Business Strengths Yes Addresses a Real Social Need Yes. Projects are tailor-made to the needs facing the world and that can be addressed through Google search database. Ties in with the bigger picture Yes- Google Org. has been set up to enhance the search capabilities of Google as well as strengthen its position as the strongest search engine. Maximizes Value for Business Yes- Establishes Google is THE place to find ANY information. Maximizes Value for Society Yes 23www.gbsense.com
  • 24. THE ETHICAL DILEMMA OF CSR 24 Can You be Responsible when Your Products Kill?www.gbsense.com
  • 25. RANA PLAZA FIRE KILLS 115 WORKERS 25www.gbsense.com
  • 27. IS IT GOOD CSR? Elements of Strategic CSR Yes/No Aligned with Core Business Strengths Yes. They make Guns and are on of the best! Addresses a Real Social Need Yes. Many US citizens feel safer when they have a gun for protection. Gun laws threaten that. Ties in with the bigger picture Yes- Helps them sell more guns! Maximizes Value for Business Yes- Maximizes Value for Society NO. not as a whole! 27www.gbsense.com
  • 28. IN CONCLUSION CSR Rule #1: Do No Harm 28www.gbsense.com
  • 29. CSR- THE BARE MINIMUM 29 http://www.sagepub.com/upm-data/34698_Chapter1.pdf www.gbsense.com
  • 30. 30 CSR: MAKING THE BEST OUT OF IT THE FOUR COMMANDMENTS www.gbsense.com
  • 31. THE FOUR COMMANDMENTS OF GOOD CSR www.gbsense.com 31
  • 32. KNOW THYSELF “If the Ladder is Leaning against the wrong wall, every step just takes you to the wrong place faster” Hopes from CSR Key Priorities CSR Emotional Quotient Core Business Realities Industry & Community Distinct Issues Company Distinct Issues www.gbsense.com 32
  • 33. KNOW THY STAKEHOLDERS Stakeholders are Individuals or group who affects/or could be affected by an organization's activities, products or services & associated performance Media Regulators Customers Suppliers and foreign partners Community Governmental Bodies Employees Competitors www.gbsense.com 33
  • 34. MEASURE THY ACTIONS “You can never control what you don’t Measure” A Monitoring & Evaluation Protocol •Helps measure the impact of each project (social and financial) •Helps identify weak points and areas of improvement •Works as a project control tool to ensure work in on track •Makes the project team aware of the Critical factors for each project www.gbsense.com 34
  • 35. CELEBRATE THY VICTORIES (AND LOSSES) “The question is no longer “Who is reporting?” but “Who is not?” Corporate responsibility reporting is now a mainstream expectation of companies. Since more than 80 percent of the world’s 250 largest companies now report on corporate responsibility, we can expect this trend to roll out rapidly at the country and sector levels in the coming years.” Alyson Slater KPMG International Survey of Corporate Responsibility Reporting 2008 www.gbsense.com 35
  • 36. 36 HUM B OL DT ST A TE UNI VERSI TY (CA LI FORNI A ) GRA DUA TI ON PLEDGE OF SOCI A L A ND ENVI RONMENTA L RESPONSI BI LI TY "I pledge to explore and take into account the social and environmental consequences of any job I consider and will try to improve these aspects of any organizations for which I work." www.gbsense.com
  • 37. ABOUT ME www.gbsense.com 37 My name is Bushra Azhar and I am the Founder of Good Business Sense, a website dedicated to making Corporate Social Responsibility easy. I have been working since I was 20 and in a career that spans more than 14 year (now you know how old I REALLY am), I have been a Corporate VP, a Consultant and an Academic and have had a chance to work with some of the biggest names in the corporate world including Ernst & Young, Pepsi Cola International, Saudi Aramco and Unilever. My biggest strength is taking a dry, almost incomprehensible topic( like CSR) and turning it into something simple, even enjoyable and most definitely actionable. Come talk to me: Twitter @bushraazhar Bushra@gbsense.com