Facilitated by Goldengate Consulting

July 2012

Corporate Social Responsibility

Introduction

Objectives

Corporate Social Responsibility

Understanding the basics and fundamental principles of Corporate

Social Responsibility (CSR)

To appreciate the impact of CSR on businesses

To discuss how CSR initiatives can benefit businesses

Objectives

Definition

Corporate Social Responsibility

Definition

What is Corporate Social Responsibility?

CSR! Is that really

for me? So
technical, very
expensive!!
Im overwhelmed

Definition

Corporate Social Responsibility

Definition

What is Corporate Social Responsibility?

Corporate Social Responsibility is the continuing commitment by business to

behave ethically and contribute to economic development while improving
the quality of life of the workforce and their families as well as of the local
community and society at large.
World Business Council For Sustainable Development

Definition

Corporate Social Responsibility

Definition

What is Corporate Social Responsibility?

Corporate Social Responsibility

The responsibility of business towards the society

Definition

Corporate Social Responsibility

Our Definition

A voluntary initiative on the part of a business to

contribute to a better society and a greener and
cleaner environment.

Definition

Definition

Corporate Social Responsibility

Analysis of the definition by the World Business Council For

Sustainable Development

Expectation of stakeholders that companies should behave

ethically

Expectation that business should contribute to economic

development

Expectation that business should improve the quality of life of its

workforce and their families

Expectation that business should play active part in the

improvement of the society

Definition

Corporate Social Responsibility

CSR in South Africa

Past, Present and Future Trends

Corporate Social Responsibility

Past, Present and Future Trends

CSR IN SOUTH AFRICA

Past Trend
Pre 1994

Present Trend
Post 1994

Future Trend

Corporate Social Responsibility

CSR Myths, Legislation and Benefits

Myths surrounding CSR

CSR is not for small businesses

It is too complicated and technical
It is too expensive
It is a market gimmick
It is a separate corporate initiative

Corporate Social Responsibility

Legislative Framework

Corporate Social Responsibility

Legislative Framework

Companies Act 71 of 2008

King III

BBBEE Act 53 of 2003

Benefits of CSR

Corporate Social Responsibility

Legislative Framework

Enhanced
Relationship with
stakeholders

Saving money
on energy and
operating cost

Benefits
of CSR

Differentiating
yourself from the
competitor
Enhancing your
influence in the
industry

Attracting,
Retaining and
Maintaining a happy
workforce

Media interest
and good
reputation
Access to funding
opportunities

Increase in
customer retention

Be
ne
fit

Be
ne
fi

ts

Winning new
businesses

Corporate Social Responsibility

CSR Corporate Culture and

Stakeholder Dynamics

CSR as a Corporate Culture

Culture as a norm

CSR as a group
concept

Corporate Social Responsibility

Synchronisation
of CSR with company
business strategy

Stakeholder Dynamics

Corporate Social Responsibility

CSR Driver and Stakeholder Dynamism

Driver of CSR

Use of
Changer
Agent

Impact of
Change

Resistance
to Change

Managing
the Change

Corporate Social Responsibility

CSR Initiatives and Application

CSR Initiatives

Corporate Social Responsibility

Guiding Principles for CSR Projects

CSR is about corporate citizenship

It is about giving back to the society
It is about business sustainability
It is about thriving in a competitive business environment

CSR Initiatives

Corporate Social Responsibility

CSR Projects for Businesses

Market focused initiative
Product focused initiative
Employee focused initiative
Society focused initiative
Environmental focused initiative

CSR Initiatives

Corporate Social Responsibility

CSR Projects for Businesses

Employee
focused initiative

Society focused
initiative

Market focused
initiative

Result - Driven CSR

= Benefits

Environmentally
focused initiative

Product focused
initiative

Practical Application of CSR

A good CSR Policy must be result-driven

Business assessment is important

Corporate Social Responsibility

Practical Application of CSR

Corporate Social Responsibility

Guidelines

You need to evaluate various aspects of your business and operations

You need to evaluate the impact your business is having on your
stakeholders.

Then set realistic targets on how to improve your business operations

and processes.

Draw up a result- driven CSR Policy.

Embed your CSR into your business strategy.

Practical Application of CSR

Corporate Social Responsibility

Guidelines

Appoint a driver for your CSR initiative

Communicate your CSR efforts to all your stakeholders clearly and boldly.
Make your CSR initiative part of your business culture
Set up CSR measuring indicators to monitor progress and possible
deviations.

Be enthusiastic about your CSR initiative; be committed to it.

Report on your initiatives and measure progress/ impact made.

Corporate Social Responsibility

Case Studies

Case Studies

Corporate Social Responsibility

Case Study A BYJ Consolidated Group

Facts

1. Company is the retail industry

2. Community based CSR initiative supply of food items to local
schools and shelters

3. Business crisis product recall

4. The response of the company to the crisis

Case Studies
Case Study A BYJ Consolidated Group
Outcomes

1. Community sympathy for companys crisis

2. Customer loyalty
3. Sympathetic purchases
4. Increase in sale

Corporate Social Responsibility

Case Studies

Corporate Social Responsibility

Case Study B Lungile, Pillay & Associates

Facts

1. Small enterprise in a service industry

2. Community based CSR initiative collaboration with the local
library to promote reading and studying among students in the
community

3. Specific guidelines were set for borrowing of books

4. The involvement of parents and the local authority in the
project

Case Studies

Corporate Social Responsibility

Case Study B Lungile, Pillay & Associates

Outcomes

1. Community support for the project

2. Parental support and approval for the project
3. Promotion of scholastic activities among students
4. Media attention- Good publicity
5. Customer loyalty
6. New business opportunities for Lungile, Pillay & Associates

Case Studies

Corporate Social Responsibility

Case Study C PCG Accounting Services

Facts

1. A small accounting firm

2. CSR initiative market focused
3. Offering free tax seminar as a value added service to existing
clients

Case Studies

Corporate Social Responsibility

Case Study C PCG Accounting Services

Outcomes

1. PCG was offering their clients a service being charged for by other
accounting firms in the neighbourhood

2. PCG clients enjoyed the special treatment

3. Existing clients referred their friends and colleagues to PCG
4. PCG became a service provider of choice
5. Positive business reputation

Measuring Your Performance

Financial Indicators
Non- Financial Indicators

Corporate Social Responsibility

Corporate Social Responsibility

Thank You
For more information
please contact the
Fasset Call Centre
on 086 101 0001
or visit www.fasset.org.za