7 tips to build your own CSR strategy

In the not so distant past, corporate social responsibility was often viewed as a corporate burden—one that could easily be fulfilled through an annual company event, with proceeds going to a local charity. Thankfully, those days are gone, as companies acknowledge that the environmental, social and economic impacts they have on their communities require a more concerted effort at playing nice and doing good.

The remarkable thing about doing good at the corporate level: It pays huge dividends on your brand. We’re living in an era of instant news and the millennials are taking their message to the streets—and their shopping carts—both in person and online. Their memo to the corporate world: Clean up your act and be good, or we won’t be buying what you’re selling. The smart brands are listening and leading the charge for change, the wonderful byproduct being that we all benefit.

Following are some key takeaways provided by expert panellists from our recent webinar, How to Build your Brand with a Corporate Social Responsibility Strategy.

Four types CSR categories

CSR activities have evolved from being predominantly philanthropic, to having a more shared-values approach. Today, successful businesses focus on the socially responsible issues that are directly relevant to their operations. CSR activities fall into four major categories. They’re not mutually exclusive, so look at ways to embrace all of them in your corporate and business planning.

Philanthropic responsibility involves giving back to the community and donating to worthy causes in the form of time, money or other resources.
Environmental responsibility entails efforts to reduce your carbon footprint by adopting environmentally friendly policies.
Ethical responsibility requires that fair business practices be used by your company and all those in your supply chain. This affects the way employees are treated, contracts are won and business is conducted.
Economic responsibility refers to operating with sound philanthropic, environmental and ethical business practices in a way that’s profitable and can sustain long-term growth.

Key benefits of good CSR practices

In an era of social media and instant news, reputations can be irreparably damaged in seconds. But CSR isn’t just about risk management and deflecting negative scrutiny. There’s enormous value in doing good, especially when it enables you to differentiate yourself.

Stronger brand image: Operating responsibly wins points, gains recognition and solidifies your reputation. Focusing on the right CSR issues can contribute up to 30% of your company’s brand value.
Increased customer loyalty and sales: Today’s conscientious consumers have more personal relationships with the products and services they buy, looking for companies that are responsible and support worthwhile causes. A study by the Reputation Institute revealed that 42% of how a person feels about a company is based on their CSR approach.
Operational cost savings: Lessening your environmental impact often leads to innovative ways to reduce your operating costs, which improves your bottom line.
Employee recruitment and retention: Employees become more committed and have longer tenures with companies that maintain good CSR practices. A recent Deloitte study found that when millennials were asked about the primary purpose of business, 63% more chose “improving society” over “generating profit.”
Access to funding and financing: Your corporate reputation can affect your ability to obtain venture capital, insurance, loans and financing.
Improve relations with regulatory bodies: Most businesses are regulated in some way, so having a good name can help ease and reduce your company’s administrative burden.