A corporation's responsibility is to its shareholders and bottom line. But recently, even majorly successful corporations are recognizing that improving profits in a way that causes harm to the environment, workers or the world at large is not good for anyone long term. In fact, this past summer, a statement released by the nonprofit Business Roundtable and signed by dozens of top executives made headlines for suggesting, for the first time ever, that corporations don't just have obligations to their shareholders but also to "all stakeholders." What's more, many consumers are now voting with their dollars, and are no longer willing to support companies who don't behave ethically. So what does this mean for the future of business, and how can you develop your own company's corporate social responsibility agenda? Here's how to get started.
Have a plan:
The first step is to recognize the need for your company to behave responsibly and to decide what that means to you. Do you want to make improvements in sustainability? Worker conditions? Or is there an important way your company could be giving back to the community? If you're not sure where to begin, consider asking employees, customers and other stakeholders what's most important to them.
Make a commitment:
From one-on-one customer interactions to the suppliers you choose to the way you treat your employees, the way your business operates in the world is a part of your brand and the way you are perceived by others. If you're going to tackle becoming a more socially conscious company, start by making your intentions clear. This can create buy-in and support both inside and outside of the company, and create an incentive for you to really follow through with your plan.
Take action:
You don't have to make a grand gesture in order to start making your corporate social responsibility mission a reality (but you can if you want to). Make a small, specific commitment with a deadline, and stick to it. This could mean investing in a community project, meeting with workers to find out how to improve their experience, taking a step to reduce your company's carbon footprint, or committing to a fair trade certified supplier. The most important thing is to begin.
Why it matters:
Corporate social responsibility isn't just about looking good: it's about taking the long view and adopting a mindset that we're all in this together. Becoming a more socially-conscious company may require some investment and sacrifice up front. But if you make your way to the top by causing damage to the environment, your staff, or your community, it won't be a "win." Starting the journey towards greater corporate social responsibility means that you will be able to enjoy your true success knowing that the job was done right, and that your community local or global will see you as a valuable participant worth keeping around for the long run.
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