Goals related to philanthropy, activism and charity are included within a corporate social responsibility framework. The concept is not new as it has been used widely since 1960s. If we look at the types of Corporate Social Responsibility (CSR), as pursued by any business, then we’ll come across philanthropic, ethical, legal and economic classification. It can be smartly defined as the self-regulation of a business. It can be broadly described as a framework which is followed by a business in order to promote the generic well-being of the community which it serves. Therefore, one thing is clear that such activities promote a societal well-being.
Ethisphere Institute is an Arizona based rating system which ranks organizations based on their community-contribution score. IBM got ranked the world’s most ethical company in the year 2020. The top spot was secured based on the impact of IBM’s products and operations on the environment, the sustainability of their supply chain, as well as governance, ethics, and integrity. The estimation of these adopted values can be made from the amount of $25.8 billion which they spent involving 13,000 global suppliers in 2018, which translated into business and the resultant local community uplift.
Xerox was another company which remained atop Ethisphere rankings for many times. One reason behind the top ranking was the XEROX Community Involvement Program. It was a funding initiative by Xerox to allow its employees undertake local projects in order to make a difference. The 2018 data suggests that 18,000 projects were carried out with an involvement of 400,000 employees. One initiative was to run a breast and cervical cancer awareness program in Poland, other one was to build shelters as tornado relief initiative in Alabama.
Chipotle and Intermarché ran a campaign to reduce the wastage of less-than-perfect looking fruits and vegetables. They offered such physically deformed vegetables at a cheaper price, such as, a 30% discount. Normally, supply chains across the globe care about the visual appearance of their delivered products, Chipotle and Intermarché decided to change that perception.
In a nutshell, CSR is a wide domain and ultimately it translates into strong customers and an ethical image of the concerned business. Definitely, the end result is a society which is treated based on legal and economic sustainability. It’s about the long-term sustainability. Its implementation can result into a win-win situation for both the business as well as the consumers. However, a lot of corporations are yet unaware of the concept. Definitely it requires a smart supply chain and an efficient business operation network.
After considering the ethical stories of IBM, Xerox, Chipotle and Intermarché, it’s established that CSR practices contributed towards an egalitarian society. The goal is to optimize the benefits of a corporation towards the consumers. Surprisingly, donations, philanthropy, activism and charity have proved to be far more better than earning simple monetary profits. These practices help a business gain loyal customer base. Harvey Nexus understands the importance of these practices on the health of the overall society. Therefore, business accelerator program attempts to identify the lacunas left by an absent CSR strategy and replaces it with an effective CSR strategy.