A survey released today by The Global Environmental Management Initiative (GEMI) and Business for Social Responsibility (BSR) examined the penetration of sustainability into overall business strategy.
54 sustainability officers participated in the study. The authors conclude that corporate social responsibility (CSR) has a high profile – 72% of respondents say the CEO publicly communicates their company’s commitment to CSR. A majority of respondents indicate that CSR is discussed at the Board of Directors level. Moreover, 79% of respondents believe there is a strong connection between their company’s words and action.
The survey also finds that companies are well down the road in implementing specific actions to advance the CSR agenda, including integrating environmental and social considerations into product design and procurement processes, and collaborating with external stakeholders, such as NGOs.
73% said their company has moved beyond the initial stages of addressing CSR (choosing a strategic direction) and were either in the ‘implementation,’ or ‘integration’ stage. Companies that have established a CSR function perceive themselves further along the path.
Respondents report companies are actively involved in environmental product design (61%) and procurement (53%).
Although non-consumer product companies appear to be further along in implementating CSR processes, consumer product companies have stronger measurement systems to assess social impacts and in integrating social considerations into product procurement processes.
Company CSR efforts have delivered strong business results, such as process and product improvements. And there is substantial alignment inside companies between business strategy and CSR efforts, with a high degree confidence among respondents that CSR will have even greater impact on business strategy in the future.
Respondents also indicate that CSR progress is routinely tracked and publicly reported. Companies generally seem to have key performance indicators in place for all aspects of CSR, including employee health and safety, ethics, and environmental, supplier, labor and social practices. But internal measurement systems to assess social impacts are not as strong as those to assess environmental impacts. And, although CSR progress is publicly reported by the great majority of companies, fewer than half the respondents think that reporting is a valuable business tool.
Areas in need of improvement cited include linking CSR performance to executive compensation, and establishing the connection with brand messaging and marketing.
Read the report:
Loading...