This document discusses community investment strategies for businesses. It defines community investment as a company's long-term strategic involvement in community partnerships to address social issues in a way that benefits both the community and the company. Effective community investment requires developing initiatives to meet community needs through providing resources like equipment, human skills and business networks. It should be a sustained effort done in partnership with communities to create long-term social and business value, rather than just short-term donations. The document provides examples of how businesses can identify local needs and partner with organizations to structure community investment programs that benefit both communities and company operations and goals.

1. Community
Investment Strategies
James Lette
Social Impact Strategies
Common Goals: Partnering Business, Government and Community
ANZBA Corporate Social Responsibility Conference
24 November 2014

2. What is Community Investment?
‘Community investment (CI) refers to a company’s long-term
strategic involvement in community partnerships
to address social issues chosen by the company to
protect corporate interests and enhance reputation’.
Community Business Limited
‘Voluntary actions or contributions by companies to
help communities in their areas of operation address
their development priorities and take advantage of
opportunities created by private investment, in ways
that are sustainable and support business objectives’
IFC

3. Community Investment is:
• getting involved in the communities in which you operate
• more than making financial contributions to charities.
• working in partnership with communities
• developing/ assisting social initiatives to meet community
need.
• through providing access to:
equipment or infrastructure (eg computers, meeting space, schools)
human resources (eg time, skills, knowledge)
business capacity (eg customer reach)

4. Why does my business need a CI strategy?
• There are well documented business drivers for working with
communities
• ‘Throwing more money at the issue’ isn’t necessarily the right
answer
• It’s not just about mitigating risk or project impact
• When Community Investment is done badly it:
o Creates conflict
o Wastes resources
o Fosters dependency
o Damages your business
=> that is, revenue forgone

5. There are some Ground Rules for success
• Know your values
• Have a plan – don’t just respond to requests
• Focus on, and stick to, what you know
• Address an issue strategic to your business for longer
term success
• Invest – don’t give
• Do it sustainably – avoid dependency
• Leverage your investment
• It’s not just money and it’s not just ‘things’
-> people

6. Ground Rules…..
• Its not just once a year
• Take the time to Listen
• Find out if it works
• Stay grounded. KISS.
• Celebrate what you do
• Communicate

7. What should my business invest in?
• Ask!
• Align:
1. What your business can do
With
2. The needs of the community in which you operate
• In a way that actively involves employees
• Ideally this will also align with national development
goals

8. Long haul or short term?
• Focus on longer term projects (livelihoods, skills and
capacity development)
• But provide for some quick wins and flexibility (donate
supplies, fund small infrastructure projects).

9. Make it easier for your Business
• How do you know what your community needs?
• Work with local structures/ institutions
• Partner with suppliers and experts – that is, NGO’s

10. What can be done?

11. SABMiller in Latin America
• Worked with family shops, similar to those here in Laos
• These stores play an important
role in community building,
and deliver 80% of SABMiller’s
total sales volume
• Invested in business, social
and leadership skills
• SABMiller - Sales increased by
approximately 10%
• Family Shops - Sales increased by 17% and
Margins increased by 2%
• Broader social benefits

12. Thank you
James Lette
james.lette@socialimpactstrategies.com.au
(+856) 020 777 25 25 0