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TRANSCRIPT
Facilitated by Goldengate ConsultingJuly 2012
Introduction
Corporate Social Responsibility
Corporate Social ResponsibilityObjectivesObjectives
• Understanding the basics and fundamental principles of Corporate
Social Responsibility (CSR)
• To appreciate the impact of CSR on businesses
• To discuss how CSR initiatives can benefit businesses
Corporate Social ResponsibilityDefinitionDefinition
What is Corporate Social Responsibility?
CSR! Is that really for me? So
technical, very expensive!!
I’m overwhelmed
Corporate Social ResponsibilityDefinitionDefinition
What is Corporate Social Responsibility?
‘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’.
– World Business Council For Sustainable Development
Corporate Social ResponsibilityDefinitionDefinition
What is Corporate Social Responsibility?
The responsibility of business towards the society
Corporate Social Responsibility
Corporate Social ResponsibilityDefinitionDefinition
Our Definition
A voluntary initiative on the part of a business to contribute to a better society and a greener and
cleaner environment.
Corporate Social ResponsibilityDefinitionDefinition
Analysis of the definition by the World Business Council For
Sustainable Development
• Expectation of stakeholders that companies should behave
ethically
• Expectation that business should contribute to economic
development
• Expectation that business should improve the quality of life of its
workforce and their families
• Expectation that business should play active part in the
improvement of the society
CSR in South Africa
Corporate Social Responsibility
Corporate Social ResponsibilityPast, Present and Future Trends Past, Present and Future Trends
CSR IN SOUTH AFRICA
Past Trend – Pre 1994
Present Trend – Post 1994 Future Trend
CSR Myths, Legislation and Benefits
Corporate Social Responsibility
Corporate Social ResponsibilityMyths surrounding CSR
CSR is not for small businesses
It is too complicated and technical
It is too expensive
It is a market gimmick
It is a separate corporate initiative
Corporate Social ResponsibilityLegislative Framework Legislative Framework
Companies Act 71 of 2008
King III
BBBEE Act 53 of 2003
Corporate Social ResponsibilityBenefits of CSRLegislative Framework
Benefits of CSR
Winning new businesses
Enhancing your influence in the
industry
Attracting, Retaining and
Maintaining a happy workforce
Increase in customer retention
Differentiating yourself from the
competitor
Saving money on energy and operating cost
Access to funding opportunities
Media interestand goodreputation
Bene
fits
Bene
fits
Enhanced Relationship with
stakeholders
CSR Corporate Culture and Stakeholder Dynamics
Corporate Social Responsibility
Corporate Social ResponsibilityCSR as a Corporate Culture
Synchronisation of CSR with company
business strategyCSR as a group
conceptCulture as a norm
Corporate Social ResponsibilityStakeholder Dynamics
Driver of CSRUse of
Changer Agent
Impact of Change
Resistance to Change
Managing the Change
CSR – Driver and Stakeholder Dynamism
CSR Initiatives and Application
Corporate Social Responsibility
Corporate Social ResponsibilityCSR Initiatives
Guiding Principles for CSR Projects
• CSR is about corporate citizenship
• It is about giving back to the society
• It is about business sustainability
• It is about thriving in a competitive business environment
Corporate Social ResponsibilityCSR Initiatives
CSR Projects for Businesses
Market focused initiative
Product focused initiative
Employee focused initiative
Society focused initiative
Environmental focused initiative
Corporate Social ResponsibilityCSR Initiatives
CSR Projects for Businesses
Employee focused initiative
Market focused initiative
Society focused initiative
Product focused initiative
Environmentally focused initiative
Result - Driven CSR= Benefits
Corporate Social ResponsibilityPractical Application of CSR
• A good CSR Policy must be result-driven
• Business assessment is important
Corporate Social ResponsibilityPractical Application of CSR
• You need to evaluate various aspects of your business and operations
• You need to evaluate the impact your business is having on your
stakeholders.
• Then set realistic targets on how to improve your business operations
and processes.
• Draw up a result- driven CSR Policy.
• Embed your CSR into your business strategy.
Guidelines
Corporate Social ResponsibilityPractical Application of CSR
• Appoint a driver for your CSR initiative
• Communicate your CSR efforts to all your stakeholders clearly and boldly.
• Make your CSR initiative part of your business culture
• Set up CSR measuring indicators to monitor progress and possible
deviations.
• Be enthusiastic about your CSR initiative; be committed to it.
• Report on your initiatives and measure progress/ impact made.
Guidelines
Case Studies
Corporate Social Responsibility
Corporate Social ResponsibilityCase Studies
Case Study A – BYJ Consolidated Group
Facts
1. Company is the retail industry
2. Community based CSR initiative – supply of food items to local
schools and shelters
3. Business crisis – product recall
4. The response of the company to the crisis
Corporate Social ResponsibilityCase Studies
Case Study A – BYJ Consolidated Group
Outcomes
1. Community sympathy for company’s crisis
2. Customer loyalty
3. Sympathetic purchases
4. Increase in sale
Corporate Social ResponsibilityCase Studies
Case Study B – Lungile, Pillay & Associates
Facts
1. Small enterprise in a service industry
2. Community based CSR initiative – collaboration with the local
library to promote reading and studying among students in the
community
3. Specific guidelines were set for borrowing of books
4. The involvement of parents and the local authority in the
project
Corporate Social ResponsibilityCase Studies
Case Study B –Lungile, Pillay & Associates
Outcomes
1. Community support for the project
2. Parental support and approval for the project
3. Promotion of scholastic activities among students
4. Media attention- Good publicity
5. Customer loyalty
6. New business opportunities for Lungile, Pillay & Associates
Corporate Social ResponsibilityCase Studies
Case Study C – PCG Accounting Services
Facts
1. A small accounting firm
2. CSR initiative – market focused
3. Offering free tax seminar as a value added service to existing
clients
Corporate Social ResponsibilityCase Studies
Case Study C – PCG Accounting Services
Outcomes
1. PCG was offering their clients a service being charged for by other
accounting firms in the neighbourhood
2. PCG clients enjoyed the special treatment
3. Existing clients referred their friends and colleagues to PCG
4. PCG became a service provider of choice
5. Positive business reputation
Corporate Social ResponsibilityMeasuring Your Performance
• Financial Indicators
• Non- Financial Indicators
Thank You
For more information please contact the Fasset Call Centre on 086 101 0001
or visit www.fasset.org.za
Corporate Social Responsibility