Three Reasons Why CSR is Important for Your Business
Organizations can show corporate social responsibility (CSR) in many ways, including in the form of donations to charities, employee volunteering, environmentally conscious production processes, ethical labor practices, and more.
When an organization's CSR efforts send a message to the greater community that it recognizes it is in a position to help society and is acting upon that acknowledgment.
Through this process of do-good work, companies not only help their community–they also reap a few benefits. Here are three major benefits of practicing CSR. Consider them as you think about how your organization can be an active player in the community, beyond its traditional business model.
1. Engaged employees
The way an organization treats the community suggests good things to its employees about how it perceives and respects them. Employees that feel respected by their employer feel more comfortable bringing their most authentic self to work which, studies show, leads to increased engagement. Additionally, according to a survey produced by Apparo in 2017, organizations that encourage their employees to volunteer through pro bono work during paid business hours create motivated employees who feel that their company respects their development. These employees also feel energized by the opportunity to be creative with their skillset for a good cause.
2. Loyal customers
Consumers think consciously about the products and services they buy. In a Nielson survey, 66% of participants said they pay more for products and services from socially responsible companies. When examining the population of participants willing to pay more, 56% said “a brand being known for its social value” was a top purchase driver. Another purchase drive, “a brand with community commitment,” was marked by 53% of those will to pay more. Customers will be loyal to your company if your values align with theirs.
3. Positive public attention
Active CSR positions your organization as a leader in the community, and a positive role model for others to follow suit. Besides, when companies stand out for the good work they’re doing in the community, the media gains interest. With an abundance of not-so-pleasant stories circulating in the papers, it’s nice having a positive news story to share. Not to mention, there are plenty of awards up for grabs for companies who promote good in the community. Take, for example, the U.S. Chamber of Commerce Foundation's Corporate Citizenship Awards. Now entering its twentieth year, the Citizens Awards honor the most accomplished social and community initiatives within the private sector.
Apparo is a nonprofit unique to Charlotte, that connects other nonprofits with corporate volunteers to enable access to technology education, training, and affordable IT solutions.
[Editor’s Note: this article originally appeared here.]