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Page 1: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

CSR Trends and Realities in Romania

2015 Edition

Page 2: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

About the study

CSR trends and realities in Romania survey explores and analyzes the perception of executives and

specialists in corporate social responsibility (CSR) regarding both initiated and ongoing CSR projects during

2014, but also the CSR perspectives in the next period.

The present study is based on a survey conducted during 27 April – 25 May 2015. The survey report analyzes the answers

received to 38-questions online survey from 311 top business executives and CSR specialists. Compared to previous editions,

up to 69% of the respondents are from companies already involved in CSR activities. For this reason we believe the study

is useful not only in offering answers to companies considering the opportunity of starting CSR activities that would like

to understand the impact thereof at a strategic level and the benefits generated, but also as a radiography of the CSR

phenomenon in Romania.

Objectives

► What is the current situation of the Romanian

CSR sector?

► What are the CSR trends in Romania?

► What is the role of the CEO, CFO and other C-

suite executives in developing CSR programs and

why is it important for these to orient the company

towards CSR initiatives?

► What is the role of the CSR team in the strategic

positioning of the company through CSR efforts?

Approach

► Quantitative and qualitative analysis of the

answers received from the respondents.

► Indicators of the CSR phenomenon in Romania

as it was highlighted by the current edition of the

study as well as the previous editions.

► For comparison purposes, reports from previous

editions of the study are accessible here: 2013

and 2014.

Page 3: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

SWOT analysis of CSR/SR in Romania

► Society’s interest in CSR and the relative novelty of this concept for

the Romanian public

► Involvement of multinationals and other national companies in CSR

initiatives

► The ongoing growth of the number of CSR initiatives and best

practices in this field nationwide

► The growing number of consumers interested in the products and

services produced by social responsible companies

Strengths

► Lack of coherent public policies promoting CSR

► Lack of a coherent and consistent legal framework

► Difficulties in applying the legislation

► Risk of exclusion/restricted access of Romanian companies on

certain markets

► Insufficient support and involvement of public authorities in

promoting and applying CSR

► Lack of state budget funds dedicated for promoting CSR programs

Threats

► The concept of CSR is still little known in the Romanian society

► The absence of studies on the popularity and applicability of CSR

initiatives in Romania

► Some SMEs are not yet convinced of the relevance of CSR

initiatives

► Target audiences do not have an appropriate understanding

regarding the capacity of CSR programs to represent and work in

their best interest

Weaknesses

► Dynamics of CSR at an European and global level

► Opportunity to learn, take on or adapt best practices from the

experience of more developed states

► Increase in reputation for the companies involved in CSR efforts

► EU financing opportunities for CSR initiatives

► Positive attitude of consumers towards companies involved in the

society/community

Opportunities

Source: National Strategy for promoting social responsibility 2011-2016

Page 4: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Top conclusions of the study

Top 9

conclusions

The percentage of companies defining corporate social responsibility as being business ethics has increased significantly

to 17% in 2014 from 6% in 2013. Moreover, the percentage of those who believe that CSR means significant interactions

with the stakeholders increased from 1% in 2013 to 10% in 2014, and among those who see CSR as responsible supply

chain management the percentage increased from 1% in 2013 to 8% in 2014.

In 2014. CSR budgets have stagnated (35% of answers). However, in this general trend, 7% of companies say that their

CSR budgets have been increased even by 20%-30%. In contrast, only 7% of companies say their CSR budgets have

been reduced and 9% do not have a budget for CSR.

If 16% of respondents say they have no budget allocated for CSR projects in 2015, 27% say that they have a CSR budget

between 10,000 and 50,000 euros and 7% have a budget of over 500,000 euros. However ,16% of companies say they

have no budget for CSR in 2015.

In 2014, 51% of companies' CSR budget came from allocations that are deductible from the budget (versus 37% in 2014),

35% of non-deductible allocations from the company's budget (compared to 48% in 2014) and only 14% of other source

(compared to 15% in 2014).

37% of companies say they use their own evaluation systems (53% in the previous survey), while 13% (previously 24%)

say they use international reporting standards, and 7% (18% previously) appeals to assessments provided by partners

(e.g. NGOs). However, 40% of respondents do not track in any way the impact of their community involvement.

If 41% of companies say it is unlikely or less likely for them to produce a report of CSR / sustainable development in the

near future, the majority (55%) say it is likely to make such a report. A significant aspect is that only 4% of respondents

chose "do not know" to this question.

55% of respondents say they have a policy on supply chain sustainability which they also implement, but 21% say they

have no such policy, and 11% simply do not know whether they have one or not. There is a 2% that have a policy on

supply chain sustainability but do not implement it.

Regarding the number of people making up the CSR team, they are on average 3.5 per company (full-time employees),

which indicates an increase of 25% over the prior year average of 2.8.

Most companies have a focus on education in CSR projects (69%, but down 10% from the previous year). This is followed

by interest in social issues (62%, down 2%) and health (54%, down 2%). The environment is the area with the greatest

decrease in 2014 compared to 2013 from 58% to only 35%.

1.

2.

3.

4.

5.

6.

7.

8.

9.

Page 5: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

In the first edition of our report on corporate social responsibility

we expected the CSR phenomenon to turn over the next years

into one that was strategic for companies in Romania, following

the global development trend. The responses from this year’s

edition of our survey show that our expectation begins to

confirm. The most relevant answer to this is the shift in

tendency to how companies define corporate social

responsibility. As you will see the percentage of companies

defining corporate social responsibility as being business ethics

has increased significantly reaching17% in 2014 compared to

6% in 2013. Moreover, the percentage of the respondents who

include in their CSR principles of a responsible management of

the supply chain has increased from 1% in 2013 to 8% in 2014.

Bogdan ION, Country Managing Partner

EY Romania & Moldova

Page 6: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Which option you think is best suited to define social responsibility? (multiple answer)

Question 1

The percentage of companies defining corporate social responsibility as being business ethics has increased significantly reaching

17% in 2014 from only 6% in 2013. Moreover, the percentage of those who believe that social responsibility means significant

interactions with the stakeholders increased from 1% in 2013 to 10% in 2014; among those who chose the answer responsible

management of the supply chain the percentage increased from 1% in 2013 to 8% in 2014.

Total respondents: 154

(Skipped this question: 156)

57%

6%

1% 1% 1%

33%

1%

30%

17%

5%

10% 8%

18%

12%

0%

10%

20%

30%

40%

50%

60%

Communityinvolvement

Business ethics Riskmanagement

Significantinteractions with

stakeholders

Responsiblesupply chainmanagement

Sustainablebusinessstrategy

Philanthropy

2013

2014

Page 7: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Is your company involved in corporate social responsibility projects? (single answer)

Question 2

69% of surveyed companies say that they have been involved in corporate social responsibility projects in 2014, against 96% in the

previous year. This result does not indicate less interest from companies to incorporate CSR activities in their business strategy, but

comes as a result of the growing number of questionnaire replies from companies that have not yet started CSR activities.

Total respondents: 311

(Skipped this question: 0)

2014

Number of answers Percentage

69%

31%

Yes

No

59 93

214 10

4

94

0

50

100

150

200

250

300

350

2012 2013 2014

No

Yes

86% 96%

69%

14%

4%

31%

0%

20%

40%

60%

80%

100%

120%

2012 2013 2014

No

Yes

Page 8: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Regarding the reason for not engaging in CSR activities, we see that the main causes, after "do not know“, are the following ones:

"difficult financial situation" of the company, on a par with the answer "not in policy" and "no identifiable project", followed by "lack of

interest" and the fact that there is “no budget allocated".

If it is not involved in corporate social responsibility projects, why? (open-ended answer, number of answers)

Question 3

Total respondents: 57

(Skipped this question: 254)

6

10

8

8

8

7

5

2

2

1

0 2 4 6 8 10 12

Other

Do not know

Difficult financial situation

Not in policy

No identifiable project

Lack of interest

No budget allocated

Management has other priorities

Lack of an initiator

No CSR policy

Page 9: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Regarding the probability of engaging in CSR activities in the future, we see that only 5% of respondents to this question say that

they are very likely to do so. Overall, the balance tilts toward the negative responses, which may indicate that the identified obstacles

standing in the way of CSR engagement in some of these firms are difficult to overcome.

If you did not perform or are not performing such projects, how likely is your company to engage in CSR activities in the future? (single answer)

Question 4

Total respondents: 63

(Skipped this question: 248)

3%

14%

38%

27%

13%

5%

0% 5% 10% 15% 20% 25% 30% 35% 40%

Do not know

Unlikely

Less likely

Quite possibly

Probably

Very likely

52% 45%

3%

Rather negative

Rather positive

Rather neutral

Page 10: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Why is your company involved in corporate social responsibility projects? (multiple answer)

Question 5

The two main reasons why companies say that they have been involved in corporate social responsibility projects in 2014 are: that

this activity is part of their public relations strategy (66%) and that it brings recognition and visibility (64% ). These were the main

reasons given by respondents in all of the three editions of the study so far.

Total respondents: 154

(Skipped this question: 156)

13% 15% 17% 21%

58% 62%

20%

14%

22% 23%

74% 70%

21% 17%

12%

25%

66% 64%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Promoting productsand services

It increases thefinancial value of the

company

We are obliged byour company policy

Our shareholdersrequest theinvolvement

It is part of ourpublic relations

strategy

Recognition andvisibility

2012

2013

2014

Page 11: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

CSR Budget

Page 12: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What is the evolution of your CSR budget in 2015 compared to 2014? (single answer)

Question 6

Seemingly in 2014 CSR budgets have stagnated (35% of responses). However, in this general trend, there are 7% of companies

saying that their CSR budgets have increased by 20%-30%. In contrast, only 7% of surveyed companies say that their CSR budgets

have declined, and 9% do not have a budget for CSR.

Total respondents: 154

(Skipped this question: 157)

7% 10% 15% 17% 35%

1%

3%

3%

9%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Percentage

Increases between 20-30%

Increases between 10-20%

Increases between 5-10%

Increases between 0-5%

0%

Decreases between 0-5%

Decreases between 5-10%

Decreases between 10-20%

Decreases between 20-30%

We do not have budget

Page 13: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What is the evolution of your CSR budget in 2013, 2014 and 2015? (single answer)

Question 7

In 2015, there is a continuing stagnation of CSR budgets for 40% of companies (this percentage is decreasing compared to previous

years), while 53% of companies (compared to 42% in the previous survey) say that they have a bigger budget , however only 7%

(compared to 10% in 2014) say that they have a reduced budget this year.

Total respondents: 154

(Skipped this question: 157)

7%

3% 3%

51%

16%

9% 11%

6% 2%

2%

48%

14%

17%

4% 7%

3% 3% 1%

40%

18% 16%

11% 8%

0%

10%

20%

30%

40%

50%

60%

Decreasesbetween 20-

30%

Decreasesbetween 10-

20%

Decreasesbetween 5-

10%

Decreasesbetween 0-5%

0% Increasesbetween 0-5%

Increasesbetween 5-

10%

Increasesbetween 10-

20%

Increasesbetween 20-

30%

2013

2014

2015

Page 14: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What is your CSR budget in 2015? (single answer)

Question 8

If 16% of respondents say that they do not have a budget allocated for CSR projects in 2015, 27% say they have a budget of CSR

between 10,000 to 50,000 euros and 7% have a budget of over 500,000 euros.

Total respondents: 154

(Skipped this question: 157)

15%

14%

27% 7%

8%

6%

7%

16% Up to 5,000 euro

Between 5,000 - 10,000 euro

Between 10,000 - 50,000 euro

Between 50,000 - 100,000 euro

Between 100,000 -200,000 euro

Between 200,000 - 500,000 euro

More than 500,000 euro

No CSR budget

63%

14%

7%

16%

0% 20% 40% 60% 80%

Between 5,000 - 100,000euro

Between 100,000 - 500,000euro

More than 500,000 euro

No CSR budget

Page 15: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What was the main source for the 2014 CSR budget? (single answer)

Question 9

In 2014, 51% of companies' CSR budget came from allocations that are deductible from the budget (versus 37% in 2014), 35% from

non-deductible allocations (compared to 48% in 2014) and only 14% from other source (compared to 15% in 2014).

Total respondents: 154

(Skipped this question: 157)

51%

35%

14% 20% from deductibleallocations

Non-deductibleallocations from thebudget

Various others

37%

51% 48%

35%

15% 14%

0%

10%

20%

30%

40%

50%

60%

2014 2015

20% from deductibleallocations

Non-deductibleallocations from thebudget

Various others

Page 16: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Which department holds the budget line for CSR? (single answer)

Question 10

In 2015, 59% of respondents place the budget line for CSR within PR and Marketing (compared to 69% in 2014), 23% in HR (versus

17% in 2014), but 4% say they have a sustainable development budget (compared to 5% in 2014), and 1% even have a CSR

department. Other departments indicating to have CSR budget lines include: Finance and accounting department or Administrative

department.

Total respondents: 154

(Skipped this question: 157)

59% 23%

6%

4% 4%

2%

1%

1%

PR and Marketing

HR

Other department

Management

Sustainable developmentbudget

Finance and accounting

Administrative

CSR

69%

17% 14%

58%

23% 19%

0%

10%

20%

30%

40%

50%

60%

70%

80%

PR and Marketing HR Other department

2014

2015

Page 17: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

The role of top

management

and CSR strategy

Page 18: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Is there a CSR committee at top management level? (single answer)

Question 11

Regarding the involvement of the top management in defining a strategy for CSR and in developing CSR projects in 2014, 58% of

companies say they already have a CSR involvement committee at a top management level, while only 42% responded negatively.

Total respondents: 154

(Skipped this question: 157)

Nu

Nu Nu

Yes 45% No

55%

2012

Yes 57%

No 43%

2013

Yes 58%

No 42%

2014

Page 19: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Do you have a policy/strategy dedicated to corporate social responsibility? (single answer)

Question 12

Most companies (65%) say they already have a strategy/policy of CSR, while 35% say they do not have such a strategy yet. The

percentage of positive responses shows a 19% decrease compared to previous edition’s results, but actually reflects the greater

percentage of answers to the questionnaire received from companies that have not developed CSR activities yet.

Total respondents: 154

(Skipped this question: 157)

Nu

Da

Nu

Da

Nu

Da

Yes 78%

No 22%

2012

Yes 84%

No 16%

2013

Yes 65%

No 35%

2014

Page 20: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Measuring and

reporting CSR

activities

Page 21: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

Does your company measure the impact its involvement in community has on the company and community? (single answer)

Question 13

Slightly more than half of respondents (55%) do not measure the impact of their CSR projects in their community. The percentage of

positive responses is decreasing by 23% compared to the previous study, but it actually reflects the greater percentage of answers to

the questionnaire received from companies which have not developed CSR activities yet.

Total respondents: 139

(Skipped this question: 172)

65% 68%

45%

35% 32%

55%

0%

10%

20%

30%

40%

50%

60%

70%

80%

2012 2013 2014

Yes

No

Page 22: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What are the Key Performance Indicators (KPIs) used in 2014 to track the impact? (single answer)

Question 14

37% of companies say they use their own evaluation systems (compared to 53% in the previous survey), while 13% (against 24%

previously) say they use international standards reporting, and 7% (against 18% previously) turn to evaluations provided by partners

(e.g NGOs). However, 40% of respondents do not track in any way the impact of community involvement.

Total respondents: 78

(Skipped this question: 35)

13%

37%

7%

40%

3% International standards reporting

Own evaluation systems

Evalutations provided by partners (e.g. NGOs)

We do not track the impact over the community

Other indicators

Page 23: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What are the Key Performance Indicators (KPIs) used in 2013 and in 2014 to track the impact? (single answer)

Question 15

Compared to the previous surveys the companies using their own evaluation systems register the highest growth percentage (+8%),

while firms turning to international standards reporting fall as a percentage (-2%), and those using ratings evaluations by partners

(e.g NGOs) show a 6% decrease in 2014 compared to 2013.

Total respondents: 139

(Skipped this question: 172)

24%

53%

18%

5%

22%

61%

12%

5%

0%

10%

20%

30%

40%

50%

60%

70%

International standardsreporting

Own evaluation systems Evalutations provided bypartners (e.g. NGOs)

Other indicators

2013

2014

Page 24: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What was the most important aspect according to which you evaluated the impact of CSR activities in 2014? (single answer)

Question 16

To this question most responses (36%) come from companies that do not track the impact of CSR activities. Otherwise, the

distribution of answers is relatively balanced, but also indicating a focus on customers, environment and employees.

Total respondents: 139

(Skipped this question: 172)

15%

15%

16%

9% 9%

36%

Clients

Environment

Employees

Economic

Suppliers

Other area

We do not track the impactof CSR activities

Page 25: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

How likely is it for your company to develop in the near future a report on CSR/sustainable development?

(single answer)

Question 17

If 41% of companies say it is unlikely or less likely to produce a report of CSR/ sustainability in the near future, the majority (55%)

say it is likely to make such a report. A significant aspect is that only 4% of respondents chose the answer "do not know" to this

question.

Total respondents: 139

(Skipped this question: 172)

6%

35%

24%

11%

20%

4%

Unlikely

Less likely

Quite possibly

Probably

Very likely

Do not know

Page 26: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What instrument do you use to communicate your company’s involvement in CSR? (multiple answer)

Question 18

The main tools used to communicate the company's involvement in CSR is the company's website (67% in 2014 vs. 22% in 2013),

press releases (49% in 2014 vs. 31% in 2013), annual reports (29% in 2014 vs. 26% in 2013). Social media, which was a secondary

option with only 13%, now climbs up to the second position with 50%.

Total respondents: 139

(Skipped this question: 172)

3%

19%

24%

29%

49%

50%

67%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Other instruments

We do not communicate our company's involvement

Dedicated platforms

Annual reports

Press releases

Social media

Company website

Page 27: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What instrument have you used in 2013 and 2014 to communicate your company’s involvement in CSR? (single answer)

Question 19

There is a significant drop in the percentages of annual reports (-13%) and press releases (-9%) in 2014 compared with 2013, but

also important increases in company's website (+9%), social media (+10 %) and platforms dedicated to CSR (+3%).

Total respondents: 172

(Skipped this question: 54)

26%

31%

22%

13%

8%

13%

22%

31%

23%

11%

0%

5%

10%

15%

20%

25%

30%

35%

Annual reports Press releases Company website Social media Dedicated platforms

2013

2014

Page 28: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What would be, in terms of your company, the most important advantage that you can get after developing a report of CSR/sustainable development? (multiple answer)

Question 16

60% of firms say that the most significant benefit associated with producing a report of CSR / sustainable development is the demonstration of the

fact that the company has such current practices and a sustainable development strategy. The following benefits are: increasing the credibility of

the company in relation to competition (55%), showing that the company’s management is committed to ethical and transparent practices and

processes (55%), and only in fourth place the fact that internal sustainability management processes will be improved.

Total respondents: 139

(Skipped this question: 172)

60%

55%

55%

37%

29%

17%

4%

0% 10% 20% 30% 40% 50% 60% 70%

To demonstrate that the company has such current practices and a sustainabledevelopment strategy

Increased credibility of the company in relation to competition

To demonstrate that the company's management is committed to ethical andtransparent practices and processes

Improve internal sustainability management processes

The company would respond to the need of informing stakeholders

The company would respect national/European legislation

Other benefits

Page 29: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

CSR projects

in 2014

Page 30: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

How many projects have you developed in 2014 compared to 2013 and 2012? (open-ended answers)

Question 20

In 2014, companies have developed an average of 8.7 CSR projects, decreasing by 36% from the previous year, but this result

reflects the greater percentage of answers to the questionnaire received from companies which have not conducted CRS activities

yet.

Total respondents: 119

(Skipped this question: 192)

6.6

13.7

8.7

0

2

4

6

8

10

12

14

16

2012 2013 2014

+108% -36%

Page 31: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

What is the average value of a project undertaken by your company in 2014? (single answer)

Question 21

In 2014, the average value of a CSR project has been up to 5,000 euros. This was the answer given from 52% of the responding

firms. However, 5% of respondents said they have developed CSR projects with an average of 100,000 to 500,000 euros.

Total respondents: 130

(Skipped this question: 181)

0%

2%

3%

7%

18%

18%

52%

0% 10% 20% 30% 40% 50% 60%

More than 500,000 euro

Between 200,000 - 500,000 euro

Between 100,000 - 200,000 euro

Between 50,000 - 100,000 euro

Between 5,000 - 10,000 euro

Between 10,000 - 50,000 euro

Up to 5,000 euro

Page 32: CSR Trends and Realities in Romania - EY_ Romania & CSRmedia.ro_eN

Trends and Realities in Romania – 2015 Edition

At what level are or were your projects developed by your company? (multiple answer)

Question 22

For the first time, companies bring their CSR strategies focus at local level (55%), where previously the largest number of CSR

projects were concentrated at national level (57%) and not so much at community level or local level. Note that the projects

undertaken at national level stands at 45% in 2014.

Total respondents: 130

(Skipped this question: 181)

13%

21%

25%

25%

45%

55%

0% 10% 20% 30% 40% 50% 60%

All communities we operate in

Company level

Regional

Community level

National

Local

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Trends and Realities in Romania – 2015 Edition

At what level are or were your projects developed by your company in 2014 compared to 2013? (multiple answer)

Question 23

The only increase in the number of CSR projects undertaken in 2014 is at local level (+3%). All other levels show significant declines

in 2014, ranging from -14% to -8%, the strongest being the projects implemented "among all communities in which we operate".

Total respondents: 130

(Skipped this question: 181)

52%

57%

35% 33%

31%

27%

55%

45%

25% 25%

21%

13%

0%

10%

20%

30%

40%

50%

60%

Local National Regional Community level Company level All communities weoperate in

2013

2014

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Trends and Realities in Romania – 2015 Edition

What sectors of the community do you have targeted for intervention and support in 2012, 2013 and 2014? (multiple answer)

Question 24

Most companies have CSR projects that focus on education (69%, but down from 10% in the previous year). This is followed by CSR

projects focused on social issues (62%, down 2%) and health (54%, down 2%). The environment is the area with the greatest

decrease in 2014 compared to 2013 from 58% to only 35%.

Total respondents: 130

(Skipped this question: 181)

87%

60% 62%

27%

56%

29%

19%

2%

79%

68%

56%

39%

58%

36%

19%

1%

69%

62%

54%

41%

35% 35%

15%

5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Education Social Health Sport Environment Culture Entrepreneurship Other

2012

2013

2014

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Trends and Realities in Romania – 2015 Edition

Your company is contributing to community by: (multiple answer)

Question 25

In 2014 most companies offer help by: financial donations (80% vs. 79% in the previous survey) and volunteering (61% vs. 74%).

A small decrease is observed for in-kind donations (59% vs. 67%). Very few companies are focused on socially responsible business

practices (40% in 2014 vs. 50% in 2013).

Total respondents: 130

(Skipped this question: 181)

73% 75% 72%

50%

2%

74% 79%

67%

50%

13%

61%

80%

59%

40%

5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Volunteering Donations in cash In-kind donations (books,use of space, active

loans)

Socially responsiblebusiness practices

Other

2012

2013

2014

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Trends and Realities in Romania – 2015 Edition

What kind of institutions do you collaborate with to implement CSR projects? (multiple answer)

Question 26

Regarding the collaboration with various institutions, 87% of companies prefer mostly NGOs (compared to 54% previously), while

49% work mainly with local/central (compared with 37% previously). However, there are companies operating projects by

collaborating with educational institutions (52%) or with institutions providing medical services and care (39%).

Total respondents: 125

(Skipped this question: 186)

87%

52%

49%

39%

4%

2%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

NGOs

Educational institutions

Authorities local/central

Institutions that provide medical services and care

No collaborations

Other

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Trends and Realities in Romania – 2015 Edition

Supply Chain

Sustainability

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Trends and Realities in Romania – 2015 Edition

Does the company that you represent have a policy on supply chain sustainability? (single answer)

Question 27

55% of respondents say they have a policy on supply chain sustainability that they implement, but 21% do not have any, and 11%

simply do not know. There is a 2%, notwithstanding having a policy on supply chain sustainability, that do not apply it.

Total respondents: 125

(Skipped this question: 186)

55%

2%

11%

21%

11%

Yes, and we implement it

Yes, but it does not apply

No, but we are working on it

No

Do not know

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Trends and Realities in Romania – 2015 Edition

What are the reasons for applying this policy of sustainability to the supply chain? (multiple answer)

Question 28

Concerning the reasons for applying the policy of sustainability to their supply chain, firstly it allows cost effectiveness (43%),

followed by the fact that it allows better management of risks (37%), and that it is a part of the company’s sustainability/CSR

strategy (35%). 18% of companies say that it really does add value to the brand.

Total respondents: 125

(Skipped this question: 186)

43%

37%

35%

29%

18%

8%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Allows cost effectiveness

Allows better management of risks

Part of the company's sustainability/CSR strategy

Our company does not apply / does not know how to apply sucha strategy

Adds value to the brand

Other reasons

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Trends and Realities in Romania – 2015 Edition

How do you assess the sustainability of a supplier? (multiple answer)

Question 29

Companies maintain that they assess the sustainability of a supplier by meetings (57%) by audit (40%), and through surveys (33%).

However, 16% of surveyed companies do not make any kind of assessment in this regard.

Total respondents: 125

(Skipped this question: 186)

57%

40%

33%

16%

10%

0% 10% 20% 30% 40% 50% 60%

Meetings

Audit

Surveys

We do not assess it

Other way

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Trends and Realities in Romania – 2015 Edition

What are the main lines of action that you take into account in developing a sustainable supply chain? (multiple answer)

Question 30

The main lines of action that companies take into account in developing a sustainable supply chain are: transparency and ethics in

business (65%), environment (45%), and health and safety at work (43%).

Total respondents: 125

(Skipped this question: 186)

65%

45%

43%

30%

26%

26%

24%

12%

0% 10% 20% 30% 40% 50% 60% 70%

Transparency and ethics in business

Environment

Health and safety at work

Commercial communication

Human Rights

Human resource management, compensation and benefits

Community Development

Other

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Trends and Realities in Romania – 2015 Edition

At the level of your company, how important is the criteria of sustainability in choosing a supplier? (single answer)

Question 31

At a company level the criteria of sustainability in choosing a supplier is important for 79% of respondents, but for 2% it is not

important, and 8% do not know.

Total respondents: 125

(Skipped this question: 186)

2% 11%

27%

23%

29%

8%

Not important

A little important

Quite important

Important

Very important

Do not know

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Trends and Realities in Romania – 2015 Edition

CSR team

and the role of

employees

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Trends and Realities in Romania – 2015 Edition

2.6 2.8 3.5

0

0.5

1

1.5

2

2.5

3

3.5

4

2012 2013 2014

How many persons are part of your CSR team? (open-ended answer)

Question 32

Regarding the number of people involved in CSR team, on average they are 3.5 per company (full-time employees), which indicates

an increase of 25% over the prior year average of 2.8.

Total respondents: 124

(Skipped this question: 187)

+8%

+25%

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Trends and Realities in Romania – 2015 Edition

Do you involve employees in CSR activities undertaken by the company? (single answer)

Question 33

An overwhelming majority, 75% of companies, involve employees in various CSR activities. Which means that Romanian companies have

understood that employees are more motivated when their company is active in CSR projects. It is widely accepted that CSR projects have a

significant impact in motivating, developing and retaining employees.

Total respondents: 124

(Skipped this question: 187)

0%

6%

6%

13%

75%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Do not know

Yes, we are trying, but they are not involved

No

No, but we are planning to do so

Yes, they are very involved

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Trends and Realities in Romania – 2015 Edition

How many internal trainings with topics covering corporate social responsibility did you organize in 2014? (open-ended answer)

Question 34

The average number of internal trainings on topics of corporate social responsibility organized by the surveyed companies in 2014 is

extremely low, only 1.18 per company.

Total respondents: 124

(Skipped this question: 187)

1.18 internal trainings about CSR in 2014

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Trends and Realities in Romania – 2015 Edition

Do you have an internal process for identifying relevant CSR themes for the company? (single answer)

Question 35

Regarding the process of establishing a CSR strategy, 51% of companies already have an internal process for identifying relevant

themes in the field of CSR, compared to 47% who do not have such process.

Total respondents: 124

(Skipped this question: 187)

51%

27%

20%

2%

0%

0% 10% 20% 30% 40% 50% 60%

Yes, and we implement it

No

No, but we are working on it

Do not know

Yes, but it does not apply

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Trends and Realities in Romania – 2015 Edition

Demographics The results of this study reflect the responses

received between April 27 to May 25 2015 from

311 top executives and CSR professionals from

companies operating in Romania.

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Trends and Realities in Romania – 2015 Edition

Demographics

The shareholding structure of companies: Locations:

64%

55%

40%

25%

32%

50%

11%

13%

10%

0% 20% 40% 60% 80%

2012

2013

2014

Mixed

Foreign

Romanian

75%

76%

57%

25%

24%

43%

0% 20% 40% 60% 80%

2013

2014

2015

Another locality

Bucharest

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Trends and Realities in Romania – 2015 Edition

Demographics

The industries in which the companies that responded to the

survey in 2015 operate in: (answers) Income distribution of the surveyed companies:

Total respondents: 176

(Skipped this question: 135)

46

32

20

15

11

11

10

9

8

5

5

4

0 10 20 30 40 50

Manufacturing industry

Other services

Finance and banking

Retail and wholesale

Energy and mining

IT industry

Pharmaceutical and healthindustry

Construction and real estate

Telecom / media

Food industry

Chemical industry

Oil industry

35%

18%

36%

9%

2%

48%

14%

23%

12%

3%

30%

9%

21%

29%

11%

0% 10% 20% 30% 40% 50% 60%

More than 100M EUR

50-100M EUR

10-50M EUR

1-10M EUR

Less than 1M EUR

2014

2013

2012

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Trends and Realities in Romania – 2015 Edition

Demographics

Positions held in the company by people who responded to the survey in 2015 (answers):

Total respondents: 176

(Skipped this question: 135)

2

2

3

3

4

4

7

10

11

12

16

18

26

28

30

0 5 10 15 20 25 30 35

HR Director

Sustainable Development Manager

Administrative Director

Deputy General Director

Financial Analyst

Economist

Human Resources Specialist

Accounting Director

CSR Specialist

Economic Director

CEO / President / Director-general

Other position

Member of the Board

Marketing / PR / Communication Specialist

Financial Director

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Trends and Realities in Romania – 2015 Edition

Project team

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Trends and Realities in Romania – 2015 Edition

Project team

Elena Badea Head of Market Enablement

EY Romania

[email protected]

EY Romania

Lacrămioara Botezatu Project Manager

CSRMedia.ro

[email protected]

George Carpov Strategic Communications Coordinator

McGuireWoods Consulting

[email protected]

CSRMedia.ro

Oana Gorbănescu Communication & CSR Officer

EY Romania

[email protected]

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Trends and Realities in Romania – 2015 Edition

Testimonials

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Trends and Realities in Romania – 2015 Edition

Why do we recommend this study?

We know that this survey is eagerly

anticipated by those who are active in the

field. Conducted for the third consecutive

year, the study brings answers and gives an

overview of CSR activities from companies in

our country. And we are glad to see that the

number of companies carrying out social

responsibility actions is increasing from year

to year.

Elena Badea Head of Market Enablement

EY Romania

The business environment in Romania is

becoming more mature in terms of social

responsibility. The third edition of our study shows

a diversification of the company's concern in this

field and puts a stronger focus on sustainability.

This will benefit every company, whereas

organizations that manage their social and

environmental impacts responsibly benefit from

greater operational efficiency, from better

resources management, but also from a

repositioning in relation with their shareholders,

employees and business partners.

Lacrămioara Botezatu Project Manager

CSRMedia.ro

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Trends and Realities in Romania – 2015 Edition

We intend to conduct

this survey every year.

We hope for your

continued support!