Communication of Corporate Social Responsibility

-The challenge of being seen as a legitimate business by society

CBS Responsibility Day Mette Morsing Center for Corporate Social Responsibility CBSCSR Copenhagen Business School mm.ikl@cbs.dk September 1, 2009

The Corporate Search for Legitimacy

The traditional potency of the family, the church, and the local community suddenly seemed dwarfed by the sway of the giant corporations. This momentous shift in the balance of social forces created a crisis of legitimacy for the large corporation.
Roland Marchand (1998)

Damned if we do. Damned if we dont.

Anita Roddick on CSR communication in Body Shops first non-financial report 1995

Strategic CSR Communication

- The framing of a CSR rationale - The corporate branding opportunity -The risk management argument

The Balances of CSR Communication

- From implicit to explicit CSR? - The coupling and decoupling between words and deeds? - Naturalisation, Hedonification and Erotification of CSR ?

Input-model of strategic management:

Investors

Suppliers

Company

Customers

Employees

Stakeholder Model Strategic Management

Governments

Investors

Political groups

Suppliers

Company

Customers

Trade associations

Employees

Communities

Stakeholder Model Strategic Management

Governments Local authorities Suppliers

2nd and 3rd tier Suppliers

Investors

Political groups United Nations

Company

Customers

Global norms Employees Communities

Trade associations

Prime Minister & Minister of Economic and Business Affairs on CSR

We have created some of the best conditions in the world for private enterprises. Thus, the individual manager also has a responsibility that the company behaves decently. A responsibility for not cheating to achieve advantages at the cost of others by smart taxation maneuvres, untaxed labour, underpayment of foreign workers or by selling too old meat." Prime Minister Anders Fogh Rasmussen, New Years speach, December 2006

To me CSR is not a new thing. Many Danish companies have always been active in taking care of their employees as well as caring about social and environmental consequences. This not only applies to large companies. Smaller companies also have a responsibility - Minister for Economic and Business Affairs Bendt Bendtsen, June 2005

US President Obama on CSR

Last week at the Business for Social Responsibility (BSR) Conference in New York more than 400 business leaders were asked whether President-elect Barack Obama will have a positive impact on advancing the corporate responsibility agenda. 9 out of 10 respondents believe that the Obama administration will embrace CSR. Respondents outlined the three most important steps the Obama Administration should take to advance corporate responsibility around the world: 1. Promote major investments in renewable energy and carbon capture, storage tec 2. Take measurable steps toward progress on effective, efficient and fair global clima change mitigation strategies. (53%) 3. Initiate cross-sector collaboration among business, government, and civil society. -Aneesa Arshad - October 21, 2008 A Movement Building at the Center of Money

UN General Secretary Kan Ki Moon on CSR

UN Global Compact UN PRME: Principles for Management Education

While few trust business now, Ban Ki-Moon points out the irony that two-thirds of the world's people "think business should be fully engaged in tackling our common problems." Which businesses fit this bill? One answer is the list of Global 100 Most Sustainable Companies i n the World announced each year by Corporate Knights and Innovest Strategic Value Advisors. Perhaps predictably, turnover in the list this year was highest amongst financial firms, with 14 (including AIG and Societe Generale) dropping off, and only nine (including Goldman Sachs) replacing them. This year, CSRwire members Procter & Gamble and SAP made the list.

CSR The Naturalization of Industry

CSR and the good life

 Employing more than 5,000 people. Los Angeles manufacturing facilities. Paying workers 12 USD an hour (minimum wage: 6,75 USD)

Or development of more subtle implicit Nordic CSR communication ??

The Challenge of the Self-promoters Paradox

Those who do most, often attract most criticism
CSR shapes positive reputations But CSR disclosure evokes scepticism: what are you trying to hide? you could have done much more

Strategic CSR Communication

- The framing of a CSR rationale - The corporate branding opportunity -The risk management argument

The Balances of CSR Communication

- From implicit to explicit CSR? - The coupling and decoupling between words and deeds? - Trustworthy communication?