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Doing Well by Doing Good

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by Karianne Fallow

Fresh from the fiscal cliff and with the debt ceiling battle looming, most Americans can likely agree that our government’s ability to find common ground and accomplish anything meaningful is limited. Compare this experience to the tragic events of Superstorm Sandy where businesses and individuals came together for the common good, regardless of agenda. Clearly some of the most pressing issues facing our country could use the influence, support and leadership of the businesses that support both our economy, and increasingly, our communities.

More importantly, Americans are relying on businesses to take leadership roles. In a recent report, the Foundation for Public Affairs noted that, “…strong majorities of Americans expect companies to get more involved in improving education and health care, providing disaster relief and offering local community services.” The report, “A Shared Vision for Corporate Good: How Smart Companies are Creating Value Through CSR (corporate social responsibility) and Public Affairs” highlights just how critical philanthropy has been and will continue to be in the coming years.

It can go a long way when a company is able to adopt a strategic cause of its own and protect and promote “the three Ps” – people, planet and profit. As it relates to the planet, an MIT/ BCG survey found that nearly two-thirds of executives believe that “sustainability is necessary to compete in today’s marketplace.” In that same survey, a third of all respondents believe that their company’s sustainability activities contribute directly to the organization’s profitability.

Best practices in corporate social responsibility are showcased throughout the Foundation for Public Affairs report, including real-world examples from leading global companies like Alcoa, IBM, Walmart, ARAMARK, AT&T, Mary Kay, Johnson & Johnson, Suncor, InterContinental, McDonald’s and Alcatel-Lucent. Throughout these examples it is clear that a strong integration of external functions is imperative to successfully linking a company’s social responsibility efforts to its reputation. Many functions, including internal and external communications, government affairs, marketing, and corporate social responsibility alone have a great impact on the brand of any organization. In this case, the term “strength in numbers” has infinite applicability and is critical. Best-in-class companies find that the success of their CSR programs is amplified when they implement a fully integrated management structure involving government affairs, communications and CSR.

Most companies do a lot of good without worrying about the details but it’s time to think about how you can do well by doing good. Your customers, both current and prospective, want to see where you are involved and what issues mean the most to your business. Taking your CSR program to the next level requires you to think about the three Is (integration, improvement and influence) and what each of these means to your business, your industry and the legacy you want your company to create.

Like many, I believe that our companies, with all their innovation, thoughtfulness and fortitude can fill those gaps that government just can’t, from solving the obesity epidemic in America to improving literacy to eliminating hunger. While the fiscal cliff was harrowing, the bigger danger we all face is the “social cliff.” We need leadership from all areas to successfully address and overcome the challenges we all face today, before future generations are impacted. Luckily for us, there are many businesses that share this philosophy with the ability to see it through.

 

 

 

 


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