Why Are Corporations Doing It?

By Alan Ranzer

“Corporate Social Responsibility”, the idea that corporations have an obligation to consider the interests of customers, employees, shareholders, and communities, became quite popular in the 1980s and has only increased since. Today, an incredible amount of corporations have not only put corporate social responsibility (CSR) to work at their company, but they have integrated its tenets into the central cultures of their companies.

Here are some thoughts on why corporations care, and are giving back:

**Increased Sales. Here are some interesting facts: 1) A recent study showed that a majority of Americans (79% polled) consider corporate citizenship when making investment and purchasing decisions. 2) A Deloitte & Touche survey found that 87% of Americans believe it is important for companies to offer volunteer opportunities to their employees. When the consumer talks, corporations listen!

**Customer Loyalty. Another recent study said that 80% of Americans have a more positive image of companies who support a cause they care about. In a time in which many negative images have been driving customer decisions and opinions, smart companies are keeping in mind the fact that it’s important to maintain/promote a positive image to consumers. Community service is one such way to do so.

**Employee Morale and Retention. Think about the last volunteer activity you took part in. Can you recall some of the feelings you experienced that day? Imagine if you could have those same feelings of pride, satisfaction, respect, understanding, warmth, etc. in an opportunity you didn’t have to seek out yourself. In an opportunity that your company offered you, on company time no less! How do you think that would make you feel about your company? Yet another study statistic for you: nearly 9 out of 10 (87%) employees polled at companies with programs that give back feel a strong sense of loyalty to their employers. A teambuilding event that gives back to the community makes participants feel good about themselves and the work they accomplish. Feelings of company loyalty and pride grow when working for a company that cares and wants to make a difference.

Corporations have taken steps away from simply taking out the checkbook. Now, corporations are integrating the needs of communities into their meeting and special events agendas.

Comments

[Ira Almeas]

So there is a win-win for both the employees as well as the companies when community service is factored into a corporate teambuilding activity?

[Alan]

Yes, there is a win-win for both. The employees get the satisfaction of having given back to communities/families/organizations in need. They get that invaluable feeling that comes with providing something to others. They also "win" by finding out that they work for a company that truly cares. The company "wins" by having employees who are positively charged by an event such as this, which has the potential to make them happier, more productive employees. Companies also win when the community recognizes that the company not only performs business transactions in their community, but invests in its people.