As companies operate in today’s environment, consumers and employees expect their operations to benefit the greater good of society.
Conserving the environment, developing a corporate giving program, and improving labour practices all comprise a Corporate Social Responsibility (CSR) program that is both comprehensive and purpose-driven.
When CSR is put at the forefront of a company’s efforts, it boosts its bottom line, increases brand awareness and loyalty, and makes it easier to attract and retain more talented employees and partners.
However, the numbers speak for themselves, so let’s explore 10 CSR statistics that every business needs to know.
1) 93% of employees believe that a company must lead with a purpose
A purpose is your core reason for being in business (i.e., inspiring healthier communities or enriching people’s lives). When companies have a clear understanding of why they exist, decision-making is more effective, external messaging becomes clear, and business culture thrives.
2) 76% of employees say it’s important for their company to make a difference in the local community
Employees want to see the companies they work for make a positive social impact through volunteering, donating, and fundraising. Developing a strong corporate giving program (and encouraging your employees to play a pivotal role in your company’s purpose) is key to amplifying the difference your company makes on a local and even global level.
3) 40% of consumers look to find brands that are purpose-driven and have more confidence in brands that strive to act in the best interest of society
Nearly half of consumers today want to support brands with a clear, positive purpose. Companies that aren’t driven by profits and act in the best interest of their community will likely attract loyal consumers who share the same principles and values.
4) 58% of companies that presently have a clear purpose saw their growth increase by 10% or higher over the past three years
A clear purpose guides a company’s decisions, actions, and commitments. When a company shifts their purpose to focus on becoming more socially conscious, more like-minded individuals will become aware of and support these companies, resulting in increased performance.
5) 22% of investors and 25% of consumers say they take a “zero-tolerance” stance towards businesses that engage in unethical practices
If a business consciously engages in unethical acts towards their consumers or employees, they risk losing a substantial amount of both stakeholders. And as more individuals become familiar with these practices, these percentages will likely rise.
6) 55% of consumers say that organizations need to have a strong stance on social and environmental issues
As consumers begin to take strong stances on issues such as climate change or the lack of available food in their communities, they’re expecting companies to do the same. Consumers want to get behind companies actively developing and implementing programs to address some of these urgent problems.
7) 60% of employees say they would take a pay cut if the company doesn’t have a strong and clear sense of purpose
Employees want the work they do to be meaningful and make a positive impact on the world. So much so, that over half of the surveyed individuals say they would happily take a cut in their salary to work for a purpose-driven organization.
8) 92% of employees say they would recommend their employer to friends, family, and other job seekers in their network
CSR programs are known to increase employee engagement, which is important for companies looking to attract and retain skilled workers. The key here is demonstrating a purpose-driven culture so that employees are happy to refer the people in the network to your organization.
9) 77% of Canadian companies currently have a corporate social responsibility policy in place
67% of these respondents report investing in environmental efforts, such as waste reduction or pollution prevention. 64% report implementing social efforts, such as diversity & inclusion initiatives. And 39% are committed to economic sustainability, such as incentivizing sustainable practices.
10) 98.7% of CSR professionals say that COVID-19 has had a profound impact on their CSR plans
The pandemic brought to the forefront issues such as food insecurity, wage disparities, inadequacies in the healthcare system, and much more. As such, many CSR initiatives and plans have been expedited to combat these issues caused by the pandemic.
CSR is an extremely important concept that’s gaining more traction. All stakeholders, from investors and employees to the consumers themselves, look at a company’s corporate social responsibility policies & programs when making decisions.
Now is the time to build a sustainable CSR program if your organization hasn’t yet. Clearly communicating your commitment to the greater good, taking steps to achieve it, and sharing your progress over time will become your unique selling point — making you the superior choice over your competitors.