Corporate social responsibility - propaganda or a long-term strategy

Companies' care for society - more than just business

Center for monitoring and evaluation, Environmental Engineering Group and Serbian Energy Efficiency Agency are organizing the International Conference "CSR and Energy efficiency" from September 29th to October 1st 2008, in Novi Sad, Serbia, introducing possibilities for corporations in Serbia and Southeast Europe to expand their social involvement and contribute to local issues in order to empower the whole community


By BOJANA BIJELOVIĆ
from Belgrade, SERBIA


Open market economy and globalization imposed solely urge for profit as the ultimate business goal. As modern society emerged, natural resources and riches are being exploited up to their final limits, and some of society's important needs are being neglected. Therefore, we question every day: the relation between social justice and profit as well as sustainability of progress, and we face the dilemma of whether money makes the success "worth it all", and finally we open broad discussions, such as which political system is more economically efficient - liberalism or social democracy.

There is still no safe-guard legislation, nor the institutions or mechanisms to establish and guarantee viable balance among economic, ecological and societal needs. So long as we do not accomplish a global compromise over companies' and common interests, some of the longsighted business leaders will take an active role in solving social issues.

Developed societies, such as European, educate citizens intending to influence business policies. Market research clearly indicates that consumers favor services and products of companies who surpass legal standards and obligations, investing into even more responsible actions.

Some of the companies support full social inclusion of children without parental care as well as for persons with disabilities, by providing them adequate job positions. Others decide to refurbish public areas such as parks or the Botanical Garden, to undertake riverbanks cleaning, some supply hospitals with necessary equipment, or invest into culture.

Take for example a media corporation, which enabled building a few "safe houses" in Serbian towns for women and children, victims of violence. The overall result of this specific media campaign motivated reactions towards similar social issues. The public got a full insight into a disturbing scale of everyday domestic violence; state institutions provided adequate locations for the houses, appropriate infrastructure and gave priority to administrative procedures; companies provided food and domestic supplies, and a framework existence out of molester's reach.

Companies carefully choose and target social issues in order to make a real visible difference. Unlike a marketing commercial, if a CSR project is being properly managed, profit will be made in more ways than just the material. Setting and promoting company values will enhance business and its implementation into wider social context. Employees will soon get more motivated and productive, company's rating and market potentials will also increase, and successful approach to all the stakeholders will be more probable.

What actually motivates companies to get involved in a non-business area is their desire to be recognized as an integral part of community. According to resources, smaller issues will be targeted and effectively regulated, so the outcome may support itself in future. For example, a company enabled the opening of the first dentist institution for persons with disabilities.

For companies, becoming a part of a solution is an additional value and extra quality of the whole process. Considering that this unforced and non-institutionalized care is being practiced for approximately 20 years, approach is realistically narrowed to specific social issues. It takes less time, money and other resources, than general public concerns, which are dealt by government and local authorities. Small and medium enterprises are not as financially powerful as large ones, but what matters more than the amount of money invested is the focus on the neglected social needs and potentials, which then nourish social diversity.

Further implication of the process is the encouragement of local self-initiatives and fostering of internal cohesion. Non-governmental organizations usually find available partners among companies with positive attitude towards employees, and with a developed corporate culture. On the European level CSR Europe is the most prominent business network where "best-practice" examples are collected and shared.

CSR today is being more frequently included into an overall business strategy; maybe we're looking into the future where "socially responsible" means (funds) will be inevitable.

Center for monitoring and evaluation, Environmental Engineering Group and Serbian Energy Efficiency Agency are organizing the International Conference "CSR and Energy efficiency" from September 29th to October 1st 2008, in Novi Sad, Serbia, introducing possibilities for corporations in Serbia and Southeast Europe to expand their social involvement and contribute to local issues in order to empower the whole community. The relevance of CSR both for particular business and for cumulative development effect is the reason for a wide support of the Conference, which is endorsed by: Serbian Deputy Prime Minister's Office, Team for Implementation of National Sustainable Development Strategy, OSCE Misssion in Serbia, UNDP, UN GLobal Compact Inititative, and many companies from Serbia and Region.


(Published: 10.08.2008.)