CSR – Responsibilities, Opportunities, Strategies

Corporate Social Responsibility

For many companies, the concept of ‘Corporate Social Responsibility’ (CSR) has so far been synonymous with ‘sponsorship’ or ‘charity’: something that’s nice to have, but not essential. Yet virtually every company, through its innovations, products and services, also generates social, environmental and societal benefits that go beyond purely economic success – and can contribute significantly to a positive image, brand building and employer branding.

 

However, very few companies have so far pursued a consistent strategy to systematically translate existing potential and resources into results, appropriate reporting and targeted communication.

Statement on non-financial information – required under the EU Directive

The financial year 2017 marked a shift in the approach to CSR: The transposition of the EU Directive on Corporate Social Responsibility into national law (Section 289c of the German Commercial Code (HGB)) requires a large number of companies in Germany and the EU to include a so-called ‘Statement on Non-Financial Information’ in their management report. This statement must cover all the impacts of the company’s activities on environmental, labour and social issues, as well as provide information on respect for human rights and the fight against corruption and bribery.

This presents communications departments with the task of identify and evaluate all direct and indirect, positive and negative contributions to corporate social responsibility – and, often at great expense, wade through a jungle of uncoordinated, ad-hoc CSR structures comprising a wide variety of individual measures and fragments of data. The immediate reactions among those responsible are easy to predict: extra work (perceived as unnecessary in itself), overtime (no one thanks you for it anyway), and a collective groan (why all this?).

The CSR report as an opportunity

In fact, the reporting obligation presents a genuine opportunity: if it is clear to all those involved that a report is not being produced ‘for the sake of reporting’, but that the results can be used to effectively drive the company forward, a win-win situation can be created.

The structured analysis of the current situation enables strategic planning of further measures which, in conjunction with internal and external communication, strengthen the brand’s core values and employees’ identification with their company. The supposed extra effort becomes value creation, and initiative and willingness to perform are rewarded.

CSR: Strategy, Reporting, Communication

If you have tended to neglect the topic of CSR up to now, now is the right time to reconsider this approach. We can help you plan a targeted CSR strategy, implement systematic reporting and evaluation, and communicate your results effectively. The obligation to issue a statement on non-financial information in accordance with Section 289c of the German Commercial Code (HGB) provides the perfect opportunity to develop a sustainable CSR concept from which you, your company and your employees will benefit in the long term.