Implementation Procedures for CSR Implementation
Ismael Bena - MBA, SIG Leader
@Jevin K. Kiriago
: In regard to your (emailed) question "... In your view are there any procedures or initiative that are to be followed when advocating for CSR", I would like to share my view on this and welcome other group members to lean in
I believe CSR initiatives should be related to the industry in which the company operates, if it is to reap acceptance from financial stakeholders
(shareholders), sufficiently to support institutionalization, which in turn, can withstand changes in management, financial cycles or public pressures (Epstein & Roy, 2003). Often the assessment of shareholder’s approval for a specific CSR trajectory is complicated, especially since communication with this stakeholder group is more difficult and fragmented in data collection methods, e.g. executed through surveys.
As studies indicated, the absence of a clear CSR strategy
, which normally requires effective measurement tools to track social performance and can demonstrate profitability enhancement (over a longer term), is often the reason why key executives and (some) stakeholders attitudes fail to yield into the buy-in required for engagement in such programs (PwC, 2002).
Another crucial consideration is the buy-in from the workforce
. When CSR programs are (solely) driven by image enhancement (i.e. P.R.) they become highly sensitive for failure when the employees don’t support and promote the efforts. When rejected by this stakeholders group, society often regards such CSR efforts as green washing, which, in turn, will negatively affect the companies’ image, position, etc.
There are various other considerations which are important during the development of a CSR program. The before mentioned groups, I believe, are pivotal for any (CSR) strategy, for it to succeed.
Source: Epstein, M. & Roy, M.J. (2003) ‘Making the Business Case for Sustainability, Linking Social and Environmental to Financial Performance’, The Journal of Corporate Citizenship. 9, pp. 79-96.