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Companies are starting to get it – conscience isn’t just trendy, it’s necessary • “Sustainable development plans” are becoming commonplace • No one wants to be Martha, Enron, etc. • The Bonus: Doing good = Good for business | Creating an Effective Community Relations Program Presented by Maureen Rich The Edison Group Spotlight on Community Relations Companies are starting to get it – conscience isn’t just trendy, it’s necessary “Sustainable development plans” are becoming commonplace No one wants to be Martha, Enron, etc. The Bonus: Doing good = Good for business Failing to assess their organization's social, economic, and environmental strategies can seriously hurt the bottom line: the disruption of customer and supplier relationships because the company lacks a social conscience; angry shareholders and investors who won’t accept unethical behavior; project delays because of a corporation's unwillingness to address community concerns; government fines or litigation based on the firm's poor environmental or product-safety record. A Gradual Shift PriceWaterhouseCoopers 2002 Sustainability Survey Report 140 U.S. companies 70 percent had no broad-based sustainability program in place yet. 69% were reviewing | Creating an Effective Community Relations Program Presented by Maureen Rich The Edison Group Spotlight on Community Relations Companies are starting to get it – conscience isn’t just trendy, it’s necessary “Sustainable development plans” are becoming commonplace No one wants to be Martha, Enron, etc. The Bonus: Doing good = Good for business Failing to assess their organization's social, economic, and environmental strategies can seriously hurt the bottom line: the disruption of customer and supplier relationships because the company lacks a social conscience; angry shareholders and investors who won’t accept unethical behavior; project delays because of a corporation's unwillingness to address community concerns; government fines or litigation based on the firm's poor environmental or product-safety record. A Gradual Shift PriceWaterhouseCoopers 2002 Sustainability Survey Report 140 U.S. companies 70 percent had no broad-based sustainability program in place yet. 69% were reviewing or revising ethics programs or their corporate-governance process Top 10 Reasons Companies Are Getting Involved PriceWaterhouseCoopers Competitive advantage Cost savings: Compare the impact of a 30-sec spot on TV and putting that money into community outreach saving money, gaining market share Industry trends: In the automotive industry, it’s being more environmentally friendly Top-line growth, or growth in revenues (vs. bottom line growth, growth in net profit) SRI – socially responsible investment In Their Own Words More than 7 of 10 Americans say they distrust CEOs of large corporations 80 percent of surveyed CEOs agree non-financial indicators such as environmental and social performance metrics are essential to characterizing future financial performance – Business Week 70 percent of investors consider reputation in their decisions – Citizen watch 91 percent of surveyed CEOs believe CSR management creates shareholder value – Managing CSR Report CSR = Corporate Social .
