Corporate Social Responsibility (CSR)

Everything About Corporate Social Responsibility (CSR)

Corporate Social Responsibility (CSR) programs are designed to give back to the communities where corporations do business. The idea of CSR was popularized in the 1970s by John Mackey, CEO of Whole Foods Market. And has since grown into an essential pillar of the corporate culture.

Corporate Social Responsibility (CSR) can be defined as the efforts made by companies to include, integrate and balance the interests of stakeholders in their business practices. And ensure that their actions do not negatively impact the environment, community, or society.

However, what this means in practice is much more complicated because the CSR of one company might have significantly different characteristics than another’s. But today, most major corporations have a CSR department whose role is to keep up with the latest trends in CSR and engage with the local community.

Importance of Being Socially Responsible

Today, corporate social responsibility is a big deal. You need to be socially responsible and engaged with your community if you run a business. Only two ways are there to do things: right and wrong.

Do them right by following these rules for CSR,

Always keep your customers in mind
Provide products that help people
Donate to charities that will make a difference
Treat employees well
Think about long-term consequences before making any decisions
Give back to society through service or charitable donations

Five Reasons To Go For CSR

CSR has become a relevant factor in today’s business environment that nearly every organization has adopted as a core principle. Still, not many understand what CSR is or how it can help ensure its success within their organizations.

Here are five reasons which will clarify why you should consider adopting CSR within your organization.

It encourages customer loyalty in a significant way. It is essential to pay attention to what customers care about and need. When a customer starts to feel that they are supporting a specific business, they will like to stick with the brand for a long time.
CSR makes employees happier and satisfied. It has been shown in some research that employees of businesses that give priority to CSR are more comfortable and more fulfilled.
It needs more innovation and creativity to execute CSR because these forces a company to stay relevant and organize according to what customers want. Now, customers wish to social responsibility for the foreseeable future.
Well, the primary goal of business is to make money. It doesn’t mean sacrificing profit for corporate responsibility. It can reduce costs and can save money in the long term.
Corporate Social Responsibility is excellent to make the world a better place. Businesses or big corporations can change the world in a significant way.

Development Goals For CSR

Modern corporations have long been deemed responsible for their contribution to society. This is primarily because of a practical approach, whereby companies decide whether they will benefit shareholders. The question remains: are there other business goals that could be fulfilled without jeopardizing profits? We argue that there are and that these include development goals for corporate social responsibility (CSR). Corporate donations can generate wealth, perhaps even more than ordinary business forms.

Over the past 30 years, corporations have broadened their focus. In his book, Stakeholder Theory of Management, Chris Hood explores how companies now define themselves as stakeholders and not just shareholders. Companies contribute time and money to many charitable endeavors such as United Way campaigns or Children’s hospital foundations. These donations come from corporate profits and are given back to society through non-governmental organizations that care for society’s less fortunate.

Four Dimensions of CSR

CSR is all about creating an ethical and sustainable business. The overarching idea of Corporate Social Responsibility is that a company must consider environmental, social, and governance issues in its day-to-day operations. Although there are many ways companies can implement CSR, most agree on four key dimensions of business conduct: Economic Value, External Relationship, Internal Relationship, and Innovation. Understanding these dimensions will help you determine how best to incorporate CSR into your business model.

Benefits of CSR

Lots of benefits are there of Corporate Social Responsibility.

It increases employee satisfaction. When people feel respected and supported in their job, they become more productive and satisfied.
It helps to improve the public image efficiently. When a company starts to Tweet, post, and share their social programs, it makes people know about their good deeds, which helps to increase the company’s brand’s public image.
Corporate Social Responsibility encourages each employee to try new things, making them feel re-energized about their jobs. It helps to improve their self-confidence, which on the other hand, makes them feel empowered.
Many consumers like to spend money for a company that supports social development. If a company involves itself for social improvement, it will gain trust from consumers. CSR helps to build a reputation for any company.

Business Impact of CSR

It’s easy to think of CSR as simply a feel-good marketing tool, but it has very tangible business benefits. All companies face ongoing pressure from stakeholders—from governments and regulators, shareholders, and consumers—to improve their practices and take responsibility for their impact on society. A survey by PwC found that 90% of CEOs believe sustainability is essential in defining a company’s brand. 82% say they would be willing to pay more for products and services from sustainable companies.

The bottom line is, Corporate Social Responsibility can help you attract talent, build your brand, boost employee engagement and improve employee retention.

Corporate Awards For a Commitment To CSR

More than a mere concept, corporate social responsibility has morphed into a booming business trend in recent years. Over 400 companies applied for and won Fortune magazine’s America’s Most Admired Companies award in 2007. Many on account of their commitment to making a positive difference through corporate social responsibility.

How CSR Benefits Viken Tape

Viken Tape is a leading elastic manufacturer and supplier company in Surat, India. Our organization has made significant growth in the global market thanks to our extensive knowledge.

And this leading brand has implemented CSR in its business model and has experienced many benefits that we will talk about today.

Potential Benefits Are

Better recognition of the brand
Good brand image
Improved sales and customer loyalty lower
Improved financial performance
Better recruitment of fresh talent in the workplace
Organizational growth
Easier capital access

So these were a few of the benefits that Viken Tape has experienced after implementing CSR in their business model. Trust us when we say there is a lot more a business can experience.