What is Corporate Social Responsibility

Corporate Social Responsibility, or more simply Social Responsibility of the Company, can be defined as a form of voluntary responsibility.

Corporate Social Responsibility is taken towards their stakeholders, namely the main social interlocutors, such as their employees, customers, suppliers, and in the case of publicly traded companies, shareholders. In short, the community within which the company works and with which it interacts.

The definition of Corporate Social Responsibility comes from economic/financial jargon, and it concerns the ethical implications that influence the strategic vision of a company that stem from effectively managing social and ethical impact issues that may arise within them or in the environments in which they operate.

Why is Corporate Social Responsibility Important?

The concept of Corporate Social Responsibility has deep historical roots. Already in 1928, with the establishment of the first example of "microcredit", it found its realization in the United States with the creation of the ethical investment fund Pioneer fund in Boston.

Throughout the 20th century, entrepreneurs increasingly questioned what was the best way to "do business", what was the most sustainable way, what were the key points of a correct and valid Corporate Social Responsibility:

• Creation of shared value through fair trade;
• Ethics: without it, doing business is not possible;
• Social commitment, through charity work and volunteering in communities;
• Improving working conditions for employees;
• Environmental and health protection;
• Energy saving;
• Accuracy of information, both in advertising and corporate.

Benefits of Corporate Social Responsibility

Embracing Corporate Social Responsibility ensures that the end customer identifies with the company's values, which are similar to their own, leading to a purchase that is not just about a product but a complete corporate philosophy: it is no longer just about selling an item or service, but through Corporate Social Responsibility, the company creates a community of loyal and devoted customers who will buy products and services over time.

According to a survey published by the World Economic Forum, 9 out of 10 European citizens wish to live in a more sustainable and fair world.

How can this data be linked to the benefits that Corporate Social Responsibility brings to a company?

It's a clear message from consumers, and the managers of large multinationals will have to take it into account to inject new life into their business.

Examples of Proper Corporate Social Responsibility

How can one correctly interpret Corporate Social Responsibility within their company? Let's see how the top global players have behaved.

Google, an American multinational market leader, has taken a green turn and decided to make choices aimed at protecting the environment with its Google Green program.

• It has renovated its data centers to consume 50% less energy;
• It has committed one billion dollars to renewable energy projects, using it where possible at its own locations;
• It has promoted waste separation and recycling among its employees.

All this has brought positive visibility to the company and improved its Brand Awareness, while also saving Google significant amounts of money that could be reinvested in other sectors.

Your company, how can it take example from this case history?

For instance, by promoting recycling among employees, providing them with customizable reusable cups for coffee breaks, installing energy-saving light bulbs, and intelligently regulating heating and air conditioning systems on the premises.

Lego, a beloved construction toy brand, has been collaborating with Unicef for years to promote the benefits of play in children's growth.

In 2018, Microsoft donated $1.4 billion in software and services to non-profit organizations worldwide, also providing computer science courses to 12 million young people in 54 countries. These are just a few ideas from which to draw inspiration for introducing Corporate Social Responsibility ethics into your own company.

In conclusion, in old business models the sole corporate goal was profit maximization. With Corporate Social Responsibility, the pursuit of profit must go hand in hand with the role that the company plays in the community where it operates. Not merely filthy lucre, but ethics, value addition and the pursuit of the common good. Sure, here is the translation with the HTML tag unchanged: