Corporate social responsibility (CSR) refers to the impact a company contributes to society and environmental causes. Examples of socially responsible actions include volunteering, making sustainable choices for the environment, engaging in ethical labour practices and charity work.
A 2023 study found that 88% of millennials value CSR when choosing their jobs, and that their chosen company must positively try to impact society as well.
Why Should Organisations Prioritise Social Responsibility?
As times change, consumers are more interested in buying services and goods from socially responsible companies. Becoming more socially responsible is therefore integral in attracting and retaining customers, and therefore profitability. The subsequent community support and customer loyalty is integral to building a business.
Additionally, socially responsible businesses can be seen to increase employee motivation, with individuals being more enthusiastic to make a difference rather than simply collect pay. Harvard business school found that nearly 70% of employees say they would not work for a company without a strong purpose. This highlights the importance of prioritising social responsibility when it comes to making business choices.
How To Be More Socially Responsible
As a business, there are things to consider when taking steps towards a more socially responsible mindset. Make sure to assess the impact of any changes made on employees, customers, suppliers, the community, and the environment. Even though being socially responsible should be fundamental in your organisation, the corporate social responsibility priorities chosen should align with your overall business strategy to ensure your long-term growth.
However, understandably, start-ups and small businesses may have less funding to spend on actions like donating money or resources to charity. There are alternative things that are still doable on a budget though. Organising a fundraising event, encouraging employee volunteering and joining efforts with other like-minded businesses are all great ways to promote your social responsibility.
To summarise, corporate social responsibility is something to consider as a business owner. With customers and employees becoming more aware of social and environmental issues, they are consciously choosing to interact with more socially responsible organisations. Due to this, prioritising socially responsible actions is more important. Hopefully this article can inspire you with ideas you can implement in your business plans.