Corporate Social Responsibility, or CSR, is defined as voluntary efforts by businesses to contribute to society. It may include
- Workplace issues (such as training and equal opportunities)
- Human rights
- The business’ impact on the community
- Reputation, branding and marketing
- Ethical investment
- Ethics and corporate governance
And now something even more interesting is going on right here in Denmark: we’re implementing a national policy to enhance corporate growth and sustainable social development by teaching small and mid-sized businesses about CSR .
The project kicked off formally last week and will educate 12.000 danish leaders and employees from small and mid-sized businesses in CSR, helping them to increase their profits while doing something good for society and the planet. It is, as far as I know, the largest CSR project in the world.
Studies show that companies who do CSR make more money than those who don’t. Quite simply, doing good helps businesses do well.
I have a simple explanation for why this is the case: Doing good feels good. It makes people happy. And happy people are the best way to business success.
In my post about Creating a Happy and Rich Business, I outlined the six practices of happy workplaces, and two of these are “Care” and “Think and act long-term”. CSR is an expression of both of these. That’s why it makes people happy, and that’s why it’s good for corporate profits and corporate growth.
But then again, I would say that, wouldn’t I? :o)