There is substantial talk now about the concept of Greenwashing where environmentally conscious efforts are destabilizing for-profit businesses. There is the fear of overdoing it. Yet that may not be true as several formerly ruthless businesses have now buckled down and looking to fruitfully engage with the community on social and environmental causes. The list includes the likes of BlackRock, Shell and Vanguard. In order to strike the right balance, and ensure maximum rewards for different stakeholders, companies need to properly define and map social responsibility. Proper reporting tools need to be used so that tangible evidence can be provided. The social responsibility must emanate from the very top, but not as an isolated case. It must be included in the corporate strategy itself so that it finds alignment with the business goals. The social responsibility goals must then be clearly communicated to the staff. A phased divestment helps. Follow up must be done by the company board.

Source:https://knowledge.insead.edu/blog/insead-blog/big-investors-call-for-company-attention-to-social-purpose-what-next-8451

Uploaded Date:16 March 2018