Strategy & Society

The Link Between

Competitive Advantage
And Corporate Social Responsibility

정창권
HBR, Dec. 2006 [HBR Spotlight] Chung, Chang Kwon
Michael E. Porter & Mark R. Kramer Twitter @lovelyhaley03
Facebook: Chang21c
 강의 접수하신 분은 출력해서 오세요^^

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ckchung@hunet.co.kr
chung.changkwon@gmail.com
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 1
 정창권 주요경력
現 ㈜휴넷 이사(2000년~)
- 교수위원 및 성공스쿨 마스터 코치(2010년~)
- 휴넷 기업교육사업총괄(2003년~2009년)
- 휴넷 마케팅팀장(2000년~2003년)
前 아시아나항공(1996년~2000년)
- 교육팀/김포국제공항 총괄팀
- 금호그룹 북한 Project 아시아나항공 대표
문화예술평론가
이화여대 무용과 조기숙교수의 [백조의 호수] 발레 (2009)

주요학력
경영학 박사 과정 중 (as of 2010 )
헬싱키경제경영 대학원 (MBA, 디자인 경영 전공)
서울대 사범대학 독일어 교육학과

ckchung@hunet.co.kr
chung.changkwon@gmail.com
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 2
 http://www.fsg-impact.org/

© 1999-2010, FSG, Inc.

Michael E. Porter is the Bishop William Lawrence University Professor at Harvard University; he is based at
Harvard Business School in Boston. He is a frequent contributor to HBR, and his most recent article is “Seven
Surprises for New CEOs”
(October 2004)

Mark R. Kramer (mark.kramer@fsg-impact.org) is the managing director of FSG Social Impact Advisors,
an international nonprofit consulting firm, and a senior fellow in the CSR Initiative at Harvard’s John F. Kennedy School of
Government in Cambridge, Massachusetts. Porter and Kramer are the cofounders of both FSG Social Impact Advisors and
the Center for Effective Philanthropy, a nonprofit research organization.

Porter, Michael E. and Mark R. Kramer. The Competitive Advantage of Corporate Philanthropy,
Harvard Business Review, Vol. 80 Issue 12, Dec. 2002, p56-69

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 3
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 4
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 5
 Fresh water issue

Bottled water
= 0.00008 % of world water

In fact,
Inefficiency of agricultural irrigation
= 70%

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 6
Four Prevailing Justification for CSR
1. Moral Obligation Should Do The Right Thing
2. Sustainability Environmental and Community Stewardship

3. License to Operate Stakeholders’ view

4. Reputation Customer-oriented view

Business Society

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 7
 BSR=Business for Social Responsibility

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 8
http://www.wbcsd.org/

9
Integrating Business and Society
1. Identifying the points of intersection.

2. Choosing which social issues to address.

3. Creating a corporate social agenda.
4. Integrating inside-out and outside-in
practice.

5. Creating a Social dimension to the value

proposition.

10
1. Identifying the points of intersection.

(Value Chain)

Company Society
(Diamond Model)

11
 2. Choosing which social issues to address.
The essential test that should guide CSR is not whether a cause is worthy
but whether it presents an opportunity to create share value.

Generic Social Issues

• 솔직히 나완 상관없는데 ~

Value Chain Social Impacts

• 일상의 비즈니스(기업) 활동이 영향을 미칠 수 있는 사회적 이슈

Social Dimensions of competitive context

• 우리 회사의 경쟁력에 영향을 미칠 수 있는 외부 환경 이슈

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 12
 Supporting a dance company

Generic Issue Competitive context

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 13
 탄소 배출

Generic Issue Value Chain Impact Value Chain

(-) Competitive context
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 14
 AIDS pandemic in Africa

Generic Issue Value Chain Impact Competitive

context
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 15
3. Creating a corporate social agenda.
Corporate Involvement in Society:
A Strategic Approach
Value chain Social Social Dimensions of
Generic social Impacts
Impacts Competitive Context
Good citizenship Mitigate harm from Strategic philanthropy
value chain activities that leverage
capabilities to improve
salient areas of
competitive context

Transform value chain

activities to benefit
Responsive CSR society while reinforcing Strategy CSR
strategy

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 16
 School Adopting Program

• Underperforming public high school

• 5yrs, $250,000~$1m. + in-kind donation
• Employees take active role in school
• Increase in graduate rate to double
• But, inherently limited

Good citizenship(responsive)
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 17
 Analyzing product

• Tens of thousands of products

• To prevent risk before social pressure
• But, advantage is temporary.

Mitigating harm(responsive)
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 18
 Building housing

• For disadvantaged buyers

• Flexible mortgage payments program

Environmental package

• France’s largest bank

Transforming value chain(strategic)

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 19
 +

450,000 unfilled IT position 11.6 m. enrolled student

• $50 m., 5yrs

• Employee volunteers of skilled IT knowledge
• Community-Microsoft win-win program

Strategic CSR
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 20
4. Integrating inside-out and outside-in

• Milk District in Moga

• 180 h. paid class
• 장기 구직자
• Local community
• Retention: 65%

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 21
Nestle’s Milk District in Moga

Moga Nestle
• No public utility • Refrigerating truck
• Poorly irrigated and • Dispatching experts
infertile soil • Monthly training sessions
• 60% death rate of • Financing and technical
new born calves assistance
• Poor infrastructure
Supplier: 180 farmers → 75,000 farmers
우유생산성 50배 증가, 안정적인 공급망 확보
인도 및 Moga지역에서 네슬레상품 판매량 증가
Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 22
5. Social dimension into the value proposition.
Fortune 500대기업 중 유일하게 사용전기
에너지 만큼의 대체에너지(풍력) Credit을 구매

Core Values
1. Selling the highest quality natural and
organic products available
2. Satisfying and delighting our customers
3. Supporting team member happiness and excellence
4. Creating wealth through profits & growth
5. Caring about our communities & our environment
6. Creating ongoing win-win partnerships with our suppliers
7. Promoting the health of our stakeholders through healthy eating
education

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 23
 농산물을 인근 식당에 납품
⇒ 소 농경인 보호를 위해 노력

정수사업 기술 및 기타 그린 비즈니스
⇒ Ecomagination

Focusing on poorest populations

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 24
Inside-Out

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 25
Outside-In

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 26
Strategy is always about making choices, and success in
CSR is no different. It is about choosing which social issues
to focus on.

1. CSR will become increasingly important to

competitive success.

2. Corporations are not responsible for all the

world’s problems, nor do they have the
resources to solve them all.

Porter, Michael E., Mark R. Kramer. Strategy and Society: The Link Between Competitive Advantage and Corporate Social
Responsibility, Harvard Business Review, Dec2006, Vol. 84 Issue 12, p78-92 27