CORPORATE SOCIAL RESPONSIBILITY: a critical role for global mobility professionals
There is a strong business case argument for engaging in corporate social responsibility (CSR) activities, as well as a moral and social justice case for so doing. Global mobility professionals have a key role to play in helping to support good CSR practices in the
deployment of personnel across the globe. Dr Sue Shortland explains.
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here is much talk in the press about corporate social responsibility and organisations’ reputations in relation to this issue. Big-name firms are known for their contributions to foundations supporting healthcare,
education and the environment, for example. This can present a highly positive brand image. On the other hand, examples of less socially responsible business practices (such as efforts taken to reduce tax payments in particular jurisdictions) result in a blaze of negative publicity and customer dissatisfaction, sometimes even loss of sales revenues. CSR is thus a hot topic and one that global mobility professionals
need to support in their day-to-day actions. The issue of CSR is widely discussed, but the concept itself is quite broad and requires a degree of ‘unpacking’ to understand its components and benefits. It is also important to appreciate the links between human-resources policies, practices and CSR. In this way, global mobility professionals can ensure that their input into the deployment of individuals and families addresses sustainable CSR principles.
WHAT IS CSR? CSR is considered to be a concept through which organisations voluntarily integrate social and environmental concerns within their business operations and interactions with stakeholders. CSR comprises a number of constructs, each of which embraces sets of responsibilities. These constructs refer to economic, legal, ethical and philanthropic responsibilities. Economic responsibility underpins the basis of CSR, as organisations need to be profitable to provide a foundation upon which to offer voluntary social responsibilities. Organisations must enact their legal responsibilities by obeying the laws that reflect how particular societies determine justice based upon right and wrong actions. Ethical responsibilities refer to organisations’ obligations to do what is right, just and fair, avoiding harm. Philanthropic responsibilities refer to good corporate citizenship, through which resources are contributed to the community in order to improve quality of life. These four sets
of responsibilities should be fulfilled together in parallel rather than in a sequential manner. Issues covered by CSR are wide-ranging. For example,
organisations may engage in actions that demonstrate concern for human rights, such as refusing to trade in certain markets and demonstrating support for social causes. Supporting local education initiatives, community involvement and charitable giving provide further examples. Organisations might also participate in local business initiatives, support national business initiatives and demonstrate a commitment to environmental issues and fair trade. CSR also includes schemes that support employees – both locally recruited personnel and those transferred to work in different countries.
THE BUSINESS CASE CSR activities are generally considered to provide a wide range of perceived and actual business benefits. As such, a strong business case for CSR is proposed. For example, a good track record in CSR can help to prevent business risks such as corruption or environmental scandals. A good CSR reputation can also help organisations to have greater access to capital, as distinctive ethical values can appeal to particular types of investors. CSR business benefits also include the attraction and retention of customers through enhanced brand image and corporate reputation. CSR can also help to legitimise business and profit levels, avoiding government interventions and public criticism. With respect to human-resource management (HR), CSR also
presents significant benefits for talent management and the attraction and retention of high-quality workforces. It is well known that Millennials – who increasingly comprise organisational workforces – are attracted by positive CSR organisational reputations. Working within an organisation with strong CSR principles is reported to enhance employee motivation and commitment. CSR also presents an attractive face of the organisation to local communities, thereby helping to gain acceptance and potential support from host-country
20 | RELOCATE | SPRING 2019
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