Corporate Social Responsibility

Nowadays, it is important for business to operate not only for profit but also to
demonstrate social responsibility. According to the 2015 Cone Communications/Ebiquity Global
CSR study, 91% of global consumers expect businesses to operate responsibly to address social
and environmental issues. Furthermore, 84% say they seek out responsible products wherever
possible. As defined by Investopedia, Corporate Social Responsibility (CSR) is a self-regulating
business model that helps a company be socially accountable—to itself, its stakeholders, and the
public. CSR can take various forms depending on the company and industry. Also called
corporate citizenship, corporate social responsibility is important to the community, as through
CSR programs, philanthropy, and volunteer efforts, businesses can benefit society while boosting
their brands. CSR is also important for the company, as it can help forge a stronger bond
between the employees and corporation, thus creating a better environment not only in their
workplace but also to the world around them.

The core of Corporate Social Responsibility aims to improve people, the planet, and
profit. Ideally, companies must not see CSR as a separate function of their business. Instead, they
should incorporate CSR to their business model. To effectively implement CSR, they must first
define their cause, which must resonate to their business culture. Then, they should make
achievable and measurable goals, keeping it visible on their website and keeping track of their
honest progress in various social media platforms. This will not only keep their customers
updated but also help reach greater audience. Engaging customers is also one of the best ways to
effective CSR. Customers will be apt to give the company a positive coverage if they send out a
press release about any contests, events or fundraising drives – and to reach out to media outlets
that present on green topics. It would also be a wise choice to partner with other businesses to
expand their CSR programs and gain more publicity. Furthermore, having alliances help the
company blend with their customers and build networks. Partnering with the government and
non-profit organizations also give the company the credibility for their efforts. In addition,
repurposing the company’s CSR reports by using charts, stories, and photos in annual reports and
newsletters would appeal to stakeholders and shareholders alike.

For example, Nestle, a multinational food and drink processing corporation, has defined
its 3 pillars of corporate social responsibility in their website, which are enabling healthier and
happier lives for individuals and their families, stewarding resources for future generations, and
helping develop thriving and resilient communities. They outlined goals, and one of those
address malnutrition by teaching public school students and their parents the value of proper
nutrition and physical activity through their nutrition and physical education program. They also
use social media platforms like Facebook to solicit ideas and experiences from customers and to
get them invested in their projects. Furthermore, Nestle partnered with the government through
their NESCAFE Plan, aiming to help local supplier farmers to have more sustainable livelihood
by procuring coffee from them. To maintain quality, they established sustainability standards for
farmers as well as optimized productivity through teaching farmers advanced farm management
techniques. Nestle also plans to address youth unemployment by giving support to young
people, who will be their future employees, suppliers and partners – and who will represent the
future of their business. For the planet, their 2030 ambition is to strive for zero environmental
impact in their operations by caring for water, managing waste especially plastic waste, acting on
climate change, and protecting the natural capital.

The goal of Corporate Social Responsibility is to produce higher standards of living and
quality of life for the communities surrounding the company while maintaining profitability for
stakeholders. Often, companies that have grown successfully adopt CSR programs to give back
to society. It has become a primary strategy for large corporations; as the more visible and more
successful the corporation has become, the more responsibility it has to set standards of ethical
behaviour for its peers, competition, and industry.