Generating Positive Return on Corporate Responsibility

What can the World’s Most Ethical (WME) companies teach us about business success? Well, on average, companies that go beyond simple ‘ethical’ claims out-perform their peers.

In fact, this year’s WME honorees generated 30% greater returns than the S&P 500, demonstrating a strong correlation between responsible actions and business success. The categories of comparison included:

•    Corporate Citizenship and Responsibility
•    Corporate Governance
•    Innovation that Contributes to the Public Well Being
•    Industry leadership
•    Executive Leadership and Tone from the Top
•    Legal, Regulatory and Reputation Track Record
•    Internal Systems and Ethics/Compliance Program

Did your company make this year’s list? Would you like to in the future? No matter if your company is just becoming familiar with the concept of business sustainability or is World leader, there are sustainable performance improvements that can help move your organization up the business sustainability scale.

Among the many ways companies that are seeking to generate and maintain competitive CSR momentum, our sustainability consulting finds a few common characteristics among business sustainability leaders. Successful programs all seek out ways to perpetuate their CSR vision by aligning sustainable business strategies with the shared values of their employees.

•    Engage employees in corporate sponsored programs is an essential component of all credible CSR programs which translates CSR values into personal sustainability action.

•    Form green teams as formal or informal groups organized around environmental issues and tasked with ways to promote sustainable business practices.

•    Develop employee sustainability programs to create personal sustainability incentives to reduce individual footprints, lighten the load on the planet, and explore the benefits of a more sustainable lifestyle.

•    Offer workshops, training, lunch and learns, and educational activities to educate workers on the environmental issues (energy, water, waste, and others) and the associated actions causing the problems.

•    Identify alternative business process and eco actions that individual employees can leverage to create new choices that support environmental solutions.

Evidence has shown that stakeholder engagement, particularly employee engagement, is critical to a company’s ability to capitalize on internal eco awareness, innovation, and overall business sustainability. Start building the bridge today between a corporate sustainability vision and employee action and realize the positive ROI of CSR.