Isn’t CSR becoming the hot topic in business in recent years? But does anyone exactly understand why?
Because we need it. Our society, environment, community in which all the organizations work and are flourishing, they need to be taken care of. Corporations are using resources faster than nature can replenish them. This means, we are in resource debt, living as if we have many more planets to support our endeavours. But actually we have only one.
Our eco-system needs it because the corporations are harming our environment. There are a lot of organisations whose businesses are eventually resulting in contaminating air, water and our surroundings. So the least these organisations can do is to account for these kinds of externalities in business decisions.
A third and important reason that CSR has become a hot topic is that it is good for business! A properly implemented CSR concept can bring along a variety of competitive advantages, such as enhanced access to capital and markets, increased sales and profits, operational cost savings, improved productivity and quality, efficient human resource base, improved brand image and reputation.
We all want to feel good about the work we do to make money and the companies we support when we spend it. So it’s no surprise that when companies commit to do something good in the world. It is eventually brings a lot of benefits for them. It has been realised by the organisations that if they want stable future than they must contribute in creating one.
That is why CSR is still not having any impactful effect on the society. For which it must be understood by the corporations that they literally owe betterment towards the society as a lot of challenges are being faced because of them.