Unpacking the failures of CSR initiatives.
Corporate and social responsibility is not philanthropy.
It’s a key tenant, useful in helping craft an organization’s core values and how that organization takes a public stance, Gregg Feistman, professor of practice and public relations at Temple University, said.
“Philanthropy is writing a check and supporting a good cause,” he said. “And that’s great. But CSR is more systemic. It’s part of an organization’s DNA.”
It’s human nature to want to work for a company that we feel good about, Feistman said. People want to align their interests with company values – and see that a company takes an active role in supporting those interests.
Both Patagonia and Ben & Jerry’s are outliers in area, he added.
But the problem today is that CSR gets lost in corporate-speak and is often ill-defined.
“There’s no universal definition for this stuff,” Feistman said. “What does socially responsible look like? There are different ways to be socially responsible. Is it environmentally friendly? Is it being concerned about your workforce? Is it being concerned about the sociopolitical scene?”
Businesses large and small can incorporate CSR policies, but it needs to be authentic to have impact, Feistman said. It begins with leadership and then it is baked into internal and external communications.
“There’s a lot of examples out there in the corporate world,” Feistman said. “There’s been a longstanding agreement that the (United Nations) and Mars Candy Company have used to preserve the rainforest. Because cocoa beans are one of their major supply points, that makes sense. Coca-Cola has, for many years, advocated for clean water in the third world…because their beverages are made from water. The lines lift the business.”
But it has to be a part of the company’s culture to feel authentic, he said. Businesses fail when they start to look performative and virtue signal.
Backing your stance
If you’re taking a stance, know why and stay true to it. Stakeholders and investors are more likely to maintain trust in your brand if your core values feel genuine.
“If you take the George Floyd movement, as an example, everyone remembers the black squares being posted on company websites,” Feistman said. “But at some point people began to question, ‘OK, what are you actually doing to help underrepresented communities?’”
Organizations fail with their CSR policy when:
- They take a stance out of fear or pressure.
- The messaging feels insincere and off-brand.
- The core values aren’t defined.
To combat this, organizations must weigh risk with reality and stay true to their mission, Feistman said.
“Take a stance and stay there,” he said. “But in doing so, you have to understand that when you take a stance, somebody’s going to be affected. When you try to pull back, that’s where the problem becomes…’I don’t know what I stand for anymore’ and everyone’s offended.”
As an organization, people may not always like and agree with your values, but at least you’ll have an explanation or rationale and people will understand it, he said. This is because consumers support brands that know who they are, Feistman added.
It’s imperative that comms teams work with leadership to evaluate CSR policy often and monitor how an organization’s efforts are received publicly.
“As communicators, it’s our job to have our finger on the pulse of the public,” he said. “We should all know what our stakeholders feel about issues before they are blindsided. If you’re paying attention – and social media is only a part of this – you can spot the issues before they become red flags.”
Courtney Blackann is a communications reporter. Connect with her on LinkedIn or email her at courtneyb@ragan.com.
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