Analytics
The best Experts' Views, Marks and Forecasts on Economics >>
-
13 January 2011
Walking the walk, not just talking the talk, of corporate citizenship
Posted on December 1st, 2010 at 4:32 pm by Lauren Citrome
Themes: anti-corruption, business, corporate citizenship, corporate social responsibility, private sector
Regions: Global, Latin America and the Caribbean, South Asia | No Comments »With all the buzz on corporate social responsibility, or corporate citizenship, it’s easy to lose track of the real world examples of companies engaging in responsible business practices in their everyday activities. Even as companies pledge their adherence to such principles by signing agreements such as the United Nations Global Compact (UNCG), good corporate citizenship extends beyond statements and declarations. It requires firms to make their commitment to social responsibility an integral part of corporate strategy.
This Economic Reform Feature Service article shows how six firms of different sizes and from different sectors use one tool, the SA8000 global social accountability standard for decent working conditions, in applying corporate citizenship principles to their everyday practices. CIPE and Social Accountability International (SAI), the organization behind the development of the SA8000 certification, interviewed executives to obtain first-hand accounts of how their companies apply their responsible business commitments in daily operations. From Brazil to Thailand and many places in between, these company cases demonstrate the benefits of good corporate citizenship.
Article at a glance:
- Implementing United Nations Global Compact (UNGC) commitments in the areas of human and labor rights, environment, and anti-corruption entails moving from high-level statements to company strategy and daily operations.
- Voluntary standards such as the UNGC principles and Social Accountability International’s SA8000 workplace standard help companies capitalize on the benefits of good corporate citizenship.
- Key benefits of a responsible business conduct include: improved sales, employee satisfaction, community relations, and brand and industry reputation.
- Implementing the requirements of the UNGC and SA8000 on a global scale is feasible not just for large corporations but also for smaller companies which find practical ways of integrating social and financial goals.
The examples highlighted in this article show the effectiveness of voluntary standards – as opposed to government-mandated CSR measures – in improving corporate practices. In countries where governments lack sufficient capacity to enforce existing laws in areas such as workplace conditions, environmental standards, and anti-corruption practices, these success stories are particularly relevant.
Source: CIPE
