2017-03-15 00:00:00Going GreenEnglishLearn how to take on corporate social responsibility, some potential downsides you may face, and the ultimate benefits you may receive.https://quickbooks.intuit.com/ca/resources/ca_qrc/uploads/2017/06/Business-team-brainstorms-corporate-responsibility-strategies-on-whiteboard-sitting-at-office-meeting-table.jpghttps://quickbooks.intuit.com/ca/resources/going-green/incorporating-corporate-responsibility/The Greatest Good: Incorporating Corporate Responsibility

The Greatest Good: Incorporating Corporate Responsibility

2 min read

As you continue to develop your business, you may realize your impact goes beyond the office walls. The goods you sell, the services you provide, the resources you use, and the people you hire aren’t just a part of your company, these items affect the community, the environment, and social issues that relate to your business. Some companies choose to embrace this by taking on corporate social responsibility.

Corporate Social Responsibility

Corporate social responsibility is the idea that you take certain measures to have a positive impact beyond your business. Being socially responsible means that you understand the importance of contributing on social issues. When you build your business plan, you intentionally make an effort to make certain impressions. This means you don’t just settle for what regulators, protection agencies, or other government agencies require from you. Instead, you willingly agree to go above and beyond to perform the greater good for society.

How to Incorporate Corporate Social Responsibility

There are a few paths you can take in an effort to take responsibility for your company’s social impact. If you produce or manufacture your own goods, you can purchase environmentally friendly materials, materials that minimize your waste, or goods that are easily recyclable. The people you hire can be influenced by social issues or in response to demographics in your neighbourhood. Being socially responsible means the final products you sell or services you provide do not result in waste, environmentally harmful after products, or jeopardize the health or safety of the community.

Difficulties in Corporate Social Responsibility

There are some hurdles to overcome as you begin to be more socially responsible. Shifting to more beneficial raw materials or goods will likely increase costs over your normal goods. You may experience difficulty in finding employees that fit certain demographics you wish to help. You will also be involved in political discussions that are open to the community. This may end up with you taking a stance with which other members in the community do not agree. This may potentially cut into sales as prospective clients may choose to not to do business with you.

Benefits of Corporate Social Responsibility

If you can overcome the potential downsides to corporate social responsibilities, you are likely to see some benefits. Although some customers may be alienated by your political stances, other customers may support you more because they will be able to connect deeper with your company. Your customers are likely to be more loyal because they are not only supporting your business, they are supporting causes in which they believe. Taking on corporate social responsibility can help you get positive media exposure, as you will be frequently involved in the community and events in it. Although this publicity may be related to politics, it also gives you the chance to get to know your customers and discover other ways you can help the community you serve. Taking on corporate social responsibility is an option your small business can elect. It is not required, but is a chance for you to do something bigger than your company and have a wider positive impact on people outside of your company.

References & Resources

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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