The slide sets the overall context of CSR.Three-bottom line reporting:EnvironmentSocial Financial
Financial capital: The pool of funds available to the organization. Manufactured capital: Manufactured physical objects, as distinct from natural physical objects.Human capital: People’s skills and experience, and their motivations to innovate.Intellectual capital: Intangibles that provide competitive advantage.Natural capital: Includes water, land, minerals, and forests; and biodiversity and eco-system health.Social capital: The institutions and relationships established within and between each community, group of stakeholders and other networks to enhance individual and collective well-being. Includes an organization’s social license to operate.
As the Notes states, I am using the categories defined by Kotler but setting two pillars, inline with context described above.
CSR: who is talking about what Societal Aspiration Responsible Corporations NGOs Government Institutions Mandatory People Copyright 2011 CSR-Romania 2
Integrated Reporting Source: http://www.theiirc.org/the-integrated- reporting-discussion-paper/The percentage of market value represented by physical and financial assets versus intangiblefactors, some of which are explained within financial statements, but many of which are not.
Central themes Business model & value creationSource: http://www.theiirc.org/the-integrated-reporting-discussion-paper/ 4
CSR: responsibilities and aspirations Responsible Aspirations Corporate Social Cause Promotions Marketing Social Cause Related Responsibility Marketing Business Practices Community Corporate Volunteering PhilanthropyNote: The six CSR categories are defined in the book Corporate SocialResponsibility: Doing the Most Good for Your Company and YourCause, Philip Kotler, Nancy Lee, 2005 Copyright 2011 CSR-Romania 5
Social Responsibility isActing to win trustConsumers acting is buying products from companies they trust.Employees acting is giving their insights and ideas to companies they trust.Governments acting is partnering with companies they trust.NGOs acting is associating with companies they trust. Copyright 2011 firstname.lastname@example.org 8
Social Responsibility isActing to win trustConsumers acting is buying for causes promoted for NGOs they trust.Employees acting is volunteer for projects promoted by NGOs they trust.Governments acting is partnering with NGOs they trust.Companies acting is associating with NGOs they trust. Copyright 2011 email@example.com 9
Social Responsibility isActing to win trustConsumers acting is voting Governments they trust.Employees acting is supporting policies from Governments they trust.Companies acting is partnering with Governments they trust.NGOs acting is validating strategies of the Government they trust. Copyright 2011 firstname.lastname@example.org 10
NGOs in CSR International NGOs (like Crucea Rosie, Salvati Copiii) • UN global Compact principles Large Private Foundations ( like Bill&Melinda Gates, Soros) • Addressing global societal issues Umbrella NGOs • Set by Multinational companies to run their CSR strategy Grassroots NGOs • Projects based on local communities needs Copyright 2011 email@example.com 11
CSR 4D4D Ethical Sustainable Accountable TransparentCompanies Sign code of Strategic Social Standard- conduct, projects Innovation basedNGOs non- Capacity Social reporting negotiable Building impact principles Copyright 2011 firstname.lastname@example.org 12