Corporate Social Responsibility is about more than being ‘Green’ – part 1

One of the deepest seeded myths when discussing Corporate Social Responsibility (CSR) is that it holds value and appeal only to those with a ‘green agenda’ or a ‘green conscience’. It is easy to see how this misunderstanding has become rooted in the collective but it is important to show the actuality – CSR does relate to environmental matter, or rather I should say that it can. Moreover it applies to many more matters that are as far reaching as they are valuable. So how did the incorrect labeling and perception become the accepted definition for many?

I think the reasons are two fold – over simplification is the innocent reason while  the desire to make a business that values CSR seem to be on the fringe or radical, somehow ‘outside the norm’. By over simplification I think CSR was initially misunderstood by many, “social responsibility?” some asked…”from a business??” and the easiest outcome to discern for many was a green business or a business looking to become ‘more green’. For some companies that meant making commitments to recycling more, reducing energy consumption in the office or simply promoting the option for employee carpooling. These steps exhibited that a company was concerned with the environment after all so they were doing their piece for the planet – being responsible if you will. In addition many new businesses have become part of the ‘green economy’ offering products and services that are a direct result of the demand for sustainable products or energy saving devices and methods. While that is true (and is a part of CSR) many presumed that was all there was to it.

On the other hand – when confronted with change some people (and businesses) will do all possible to call foul on the actual grounds for change. They will say it holds no value, isn’t equitable and is not the responsibility of industry. Others meanwhile went a step further by portraying companies that either embraced environmental causes or developing a CSR platform as being marginal, radical or least accurately of all “a fad”.

What a difference a decade makes. There is good news however, the line between confusion and clarity is moving in the right direction. The comprehension (and subsequent adoption) of CSR is more commonplace than a decade ago and signs are that it will not simply br an option but an expectation for a competitive business within the next few years.  As with most things it all begins and ends with the consumer and as every business person knows the customer is always right. While demand can be massaged and jockeyed the reality is it can not be created. The bright future for the need for companies to promote an active CSR is ultimately being driven by the consumer, the customer and the client. Customers want to know about the impact their purchases are making on the environment, they want to know if products were tested and made in an ethical manner, they insist on knowing if the labour force that made their product are treated in a fair and just manner and provided with a decent wage. As the old saying goes ‘Knowledge is Power’ and customers in 2010 are asking more questions and expecting more answers. Businesses such as ours that actively engage a CSR policy will be more competitive, in greater demand and will weather future economic waves in a stronger fashion.

Part two to follow – will be looking deeper at what CSR means.