2. Research Approach
Research Methodology Overview
Telephone Survey August-September 2012
15-20 minute survey
100 Managing Directors/Chief Executives
Top 1000 Companies
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3. Defining Corporate Responsibility
The term ‘corporate responsibility’ was defined in the
survey to describe the ethical, economic,
environmental, and social impacts and issues that
concern the private sector. There are many different
terms used to capture this concept, including
sustainability, corporate social responsibility, corporate
citizenship, ESG (environmental, social, and
governance), and others.
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4. A Changing Landscape
Business in the Community’s Responsible Business Survey
has been running for three years.
A number of key trends have emerged since 2010:
1. CR commitment has remained consistently strong
2. Measuring the impact of CR is increasingly important –
but still under-developed
3. CR continues to play a significant role in staff loyalty,
competitive performance and business success.
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5. Dealing with impact of recession –
still a top priority for CEOs
Recession 32%
Cost Pressures 29% The rank order of key
Competitive Pressures 24% challenges has
Customer Loyalty
remained broadly
21%
unchanged since 2010.
Business Growth 21%
Weak Demand 11%
Lack of Credit or Capital 11%
Acquiring/keeping Talent 11%
The challenge of
Labour Costs 8%
accessing credit and/or
Energy Costs 7% capital fell from 13% in
Government spending/stability 5% 2010 to 5% in 2011
Regulations 2%
Q. What are the key challenges facing your organisation in the coming year?
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6. CEOs feel a personal dedication to having a
responsible business agenda
Not at all Somewhat
important, unimportant
0% , 4% The CR agenda remains
Neither/nor,
8% important for the vast
majority of CEOs. The
Extremely degree to which CR is
important, embedded in
44% organisations rises from
Somewhat 6.8 of Irish-owned to 7.6
important, of foreign owned
44% businesses.
93% said CR agenda personally important in 2011
1 7.2 10
Q. How important is driving the corporate responsibility agenda in your organisation to you personally?
6 Q. How well embedded is CR across your organisation? Scale of 1-10
7. Most are prepared for legislative change
- but not all
Don't know,
6%
Larger companies, and
those selling mostly
outside of Ireland, are
No, 36% more advanced in terms
of reporting non-financial
Yes, 58% measures.
27% of companies published a CR report in 2010
Q. The EU is currently progressing legislation that would require non-financial reporting on social
and environmental measures. Does your company currently report on these measures as part of its reporting cycle?
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8. Title of Person Responsible for CR Agenda
HR director/dept 16%
CEO/MD 14%
Senior management team 9%
Head of CR/CSR 9%
Marketing director/dept 8%
Financial director/dept 7%
Spread across divisions 6%
Q. What is the title of the person or department primarily in charge of CR in your organisation?
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9. Embedding CR: KPIs & Interactions
Don't
know, 5% Finance was singled
out at the department
that interacts least
with the CR strategy
by 18% of CEOs, but
the vast majority –
No, 40% 59% - said that all
Yes, 55% departments were
equally engaged.
55% included CR in employee personal development in 2010
Q. Is your corporate responsibility strategy linked to staff or management KPIs?
Q. Which department interacts least with the CR agenda/strategy in your organisation?
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10. Main CR Initiatives
Foreign-owned
businesses are more
likely to have a
69%
community and
56% environmental focus
in the CR initiatives,
47% while Irish-owned
businesses have a
relatively greater
workplace focus.
3%
Community Workplace Environmental Marketplace
focused focused focused focused
Q. What are the main corporate responsibility initiatives your organisation is undertaking right now?
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11. Main CR Motivations
Improve community links 36%
Improve working environment 20%
Positive brand image
Positive brand image 18% is more important to
Company sustainability 15% Irish-owned
businesses, while
Giving something back 12% company heritage and
giving something
Engrained in company heritage 7% back are more
important for foreign-
Respond to legislation 6%
owned businesses.
Reduce environmental impact 4%
Employee well-being/working environment ranked 4th in 2011
Q. What would you say are the main motivations for these type of initiatives and strategies?
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12. Main CR Motivations
“Sustainable business in the long run, plus cost return
element and our customer expectations.”
“To build trust and reputation, to reward loyal consumers “The start of our vision is
and ensure the health of the environment we work in.” not to damage the
environment but to improve
the environment where
we're involved.”
“Were a local Irish based company and most of our
workforce are employed from the local community and we
feel were giving something back to the local community.”
“To be a responsible business and to be seen as responsible, given
we’re a high profile business, and secondly cost reductions.”
“We want to be seen as a socially responsible company and to be
seen as more than a corporate entity.”
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13. Measuring CR Impact
Feedback from 'beneficiaries' 22%
Annual reports 15%
Customer loyalty/ brand image 12%
Staff engagement/ turnover 12%
KPI targets 12%
Audits and standards 8%
Cost of activities 4%
New business 2%
Don't know 10%
Don't measure 20%
7 in 10 CEOs felt it important to measure CR impact in 2010
Q. How do you measure the impact of your corporate responsibility practices?
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14. CR’s Business Impact
Competitive Advantage? Positive Impact?
Don't
Don't
know, 9%
know, 4%
No, 20%
No, 40%
Yes, 56%
Yes, 71%
Q. In your opinion, do your organisation’s CR activities give you a competitive advantage?
Q. Do you feel corporate responsibility has a positive impact on your bottom line?
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15. Competitive Advantages
“Were often asked in prequalifying questionnaires for
tenders if we operate sustainably and have disaster
pre-planning in place.”
“I think we would be seen as a good place to work for so, it helps
us to attract the right people.”
“We can show other
“I would say being able to work with consumers on companies that we are
initiatives. It would give us an advantage indirectly dealing with the controls and
through enhanced feedback and therefore regulations that we have in
consumer preference.” place to protect and enhance
the company.”
“If people want to work for the organisation it is because of our
reputation due to our working practices . We offer excellent
training programmes and are a fair and reputable company to
work for.”
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16. Measurable Returns
Improved brand image 34%
Getting/ keeping key staff 25%
Better customer relations 13%
Again, brand image is
More business 11% a more important
measure for Irish-
Better community relations 9% owned businesses,
while foreign-owned
Reduces costs 7% businesses are more
likely to focus on
Improves profits/ turnover 4%
employee recruitment
and retention.
Q. And how does this competitive advantage present itself? Base: those who gain advantage
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17. Main Barriers to CR
26%
15%
13%
12%
10%
8%
7%
5% 5%
4%
Funding/ Time pressure Staff Internal Resources None Lack of Other Economy Don't know
costs engagement understanding evidence priorities
Q. Overall, what do you consider to be the biggest barrier to corporate responsibility in your organisation?
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18. Main Barriers
“It's actually hard to answer that. I don't think we have any major barriers.
Sometimes it's hard to deliver the work of good quality corporate
relationship with somebody else; resources I suppose.”
“I suppose just all the other pressures of running a business; the costs
and all that. Just need to make sure we keep the Corporate
Responsibility on the agenda as well.”
“The lack of time we have to commit to these procedures
due to the cut down of staff. We have to prioritise what we
should take part in and what we don't.”
“The current transformation and re-organisation, from our
perspective the survival of the company is our main
priority rather than the contributing to the community.”
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19. Ireland’s Business Reputation
At Home Abroad
Don't
Don't
know,
know,
14%
12%
No, 16%
No, 30%
Yes, 58% Yes, 70%
Fewer than 1 in 4 rated Ireland’s business reputation as good in 2010
Q. Do you think Ireland’s business reputation has improved in the past year? At home
19 Q. Do you think Ireland’s business reputation has improved in the past year? Abroad
20. Conclusions
Despite four years of recession in Ireland, CEOs in our
survey are as committed as ever to the corporate
responsibility agenda.
Ultimately CR is their way of embedding long term thinking
in their organisations at a time of extraordinary short term
pressures and uncertainty.
The continuing high level of commitment to CR is a key
measure of the business community’s commitment to
Ireland’s economic, social and environmental wellbeing in
for the foreseeable future.
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21. For further Information
These survey findings were announced during Responsible
Business Week 2012. Responsible Business Week is run by
Business in the Community Ireland, the network for responsible
business. To find out more about the survey or about BITCI
please visit www.bitc.ie
#ResBizWeek
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