HR and Corporate Social Responsibility

Corporate Social Responsibility &HR

Why and How should HR promote CSR in an organization

Misbah Khatana Aamir Cornell University, School of Industrial and Labor Relations April 2012

Definition of Corporate Social Responsibility

Corporate Social responsibility (CSR) is the balanced integration of social and environmental considerations into business decisions and operations.

a form of corporate self-regulation integrated into a business model making society one of the stakeholders, on whom an organization's activities have an impact

The Business case for CSR More Profitable

Reduces waste

Greater efficiency – overall operation cost saving

The business case for CSRAttracts certain employees- especially today's

graduates- 66% are saying they want to work with socially responsible companies

Reputation in the market- Consumers are more willing to buy products from companies which have good CSR record

The business case for CSR

Banks and Insurance agencies

More willing to lend and insure companies that follow CSR

The business case for CSRNew markets open- “green” technology being

sought more and more

New Discoveries (may be cheaper)

HR key to promote and drive CSR

Vision, mission, values and CSR strategy development

Develop codes of conduct

Talent management

Recruiting

Informing employees of CSR values

Training

Succession planning

Compensation and performance management

“you get what you pay for”

Align the total reward and recognition program with CSR values and strategy

Change management and corporate culture

HR helps Culture change

3 categories of employees:

A) Those that have the value and the behavior

B) Those that have the value but not the behavior

C) Those that do not have the value or the behavior

Employee involvement and participation

Measurement, Reporting – and celebrating successes

What gets measured gets managed

If CSR is a business differentiator and seen as contributing to shareholder value, CEO’s will be held accountable

Report both CSR performance and employee CSR engagement

celebrate the successes large and small

Questions

HR and Corporate Social Responsibility

Business

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