CR Advocates Open for Business
Great article (A Stress Test for Good Intentions) about company CR or CSR (call it what you want!) commitments during these tough economic times. The big question that has been asked and written about over the past 12 to 18 months is what will happen to company’s sustainability and corporate responsibility initiatives? Will all the company advocates fade away? After all, the money spent on CR could come in handy when budgets are stripped.
My sense has been that companies have slowed down their CSR march but have not wiped the slate clean. The Economist article says that budgets have indeed been reduced but the mainstays of the programs are being kept. Additionally, cuts were mostly made to corporate philanthropy budgets. For example, they cite Citigroup’s charitable foundation which went from making $90m in grants last year to $63m this year. The article says that bankers “argue that scrapping such activities altogether would be extremely damaging to their reputations and profits—or, at least, what’s left of them.” Corporate advocacy for CR programs clearly remains strong and that’s good news. When the ashes are all cleared, we will be able to see who the true CR advocates are and I believe there will be plenty still standing. CSR is embedded in company strategy and values these days.
Another reason that CR will continue to be on CEO agendas is that consumers find corporate responsibility important and akin to their values and purchase decision-making. Plus no one should overlook a company’s CSR activities as a talent magnet for the best and brightest.
The Economist wraps up its piece on Corporate CR advocacy with the following insightful commentary:
“There is one other important reason for thinking that companies will maintain their commitments to sustainability through the downturn and beyond: the need to restore confidence in business. The financial crisis was triggered by a bout of corporate social irresponsibility on a massive scale that has tarnished the reputations of even the bluest of blue-chip companies. Now corporate leaders have a chance to show that they are not just motivated by short-termism after all.”
0 Responses to “CR Advocates Open for Business”
Leave a Response