Corporate social responsibility is an increasingly important part of doing business today. Companies are not just entities that sell products to consumers – they are also community leaders and employers. The more organizations involve their staff members in CSR projects, the better the results are, both internally and externally. Because CSR relies heavily on employee engagement, companies can use enterprise video solutions to make their CSR programs more effective. By creating and sharing CSR videos, organizations can encourage greater participation and achieve more success in leveraging the workforce to engage in volunteering and outreach activities. Accordingly, here are five reasons why employee-driven CSR is good for business:
“Organizations that engage in CSR receive recognition for their effort.”
1. Develop loyalty
When consumers see that a company is committed to helping out its community, they take note of that. In our world, thanks to technology and the Internet, news makes its way around the planet very quickly. Organizations that engage in CSR receive recognition for their effort. People want to be part of something that matters – that goes for customers and employees alike – and CSR makes companies stand out for their commitment to social causes. As a result of CSR, companies are able to earn the respect and admiration of the public. For example, last month, JetBlue launched a free book vending machine initiative for underprivileged kids. Initiatives like that are sure to earn the company some serious loyalty points.
2. Be altruistic
Common sense dictates that being good is better than being bad. Kindness, altruism or compassion – whatever you want to call it – is an admirable quality. Whether on the individual or business level, giving and caring for others should always be encouraged. One of the best things about CSR is that it joins customers, employees and managers under one common cause. A coffee company committed to environmentalism, for example, can use recyclable cups at its stores to show customers how sustainable living is possible in an industrialized world.
3. Improve brand goodwill
In the financial statements of large companies, goodwill is a line item under the assets section of the balance sheet. Goodwill does not just refer to how people perceive a company, however – it is actually quantifiable. In mergers and acquisitions, the difference between book value and acquisition price is usually represented by goodwill. The popularity and appeal of a brand name alone hold value. As such, when a company engages in CSR and those efforts are publicized, goodwill increases. Put another way, CSR increases a company’s value for owners and shareholders.
4. Effect real change
Large companies have economies of scale. They can leverage vast resources and a sizable workforce when working toward a particular goal. This is why organizational CSR can create real change in the world. Some major brand companies employ tens of thousands of people, scattered across the globe. Organized properly, these companies can accomplish great things when supporting education, promoting environmentalism or fighting hunger or homelessness. The Huffington Post pointed out that the millennial generation is deeply passionate about making a difference. A good CSR program can not only attract the most highly skilled millennials to work for a company, but can also encourage them to take their passion farther.
5. Turn customers into stakeholders
As previously mentioned, companies that engage in CSR foster customer loyalty. Organizations will not only earn loyalty through CSR, but they can also influence consumers to take up the same social causes. For example, by sponsoring a community outreach program, a company can interact with and rely on the contribution of external participants. These partnerships are good for business because consumers are not just customers – they are also stakeholders in a business. The company-customer relationship is a symbiotic one. As such, businesses need to know more about their communities and listen to feedback. At first, the relationship may be based on CSR initiatives. However, with time, it can evolve to cover new topics. Eventually, companies can use customer opinions to shape product development, marketing initiatives and other projects. By partnering with customers, organizations can work on social causes and also allow the public to influence business strategy at the same time.
Ultimately, in order for organizations to drive successful CSR programs, employee involvement must be high. Companies should use enterprise video solutions to inform staff members about the various projects they can participate in. Using video, managers can show employees what CSR work entails, what the results are and how to get involved. Employees can also use videos to share their efforts with friends and family and inform their inner circles how the company they work for is committed to making the world a better place.