Although many entrepreneurs realise that being a good business citizen is worthwhile from an ethical standpoint, it's understandable that they're questioning its affordability in today's challenging economic environment.
It's all too tempting to let selfless action for the wellbeing of others take a back seat in favour of reducing costs, but a purely bottom-line approach is wrongheaded. If done correctly, social responsibility projects can save companies money... but there's more to it than that.
Having corporate social responsibility (CSR) is the right thing to do both ethically and strategically. Remaining connected with the communities in which companies operate makes good business sense.
At Regus we are proud of our tradition of good corporate citizenship through our support of events such as the London Triathlon, and continue to back those employees who volunteer for them.
The benefits of being a good corporate citizen, even through a recession, are many. On the one hand, you're helping charities, schools and other organisations that you care about as an employer or employee.
Remaining connected with the communities in which companies operate makes good business sense in the long term
On the other, your business will gain advantages that can't be reduced to pounds and pence: improved customer loyalty and trust and standing in the local community. On top of this, there are the team benefits. Staff engaged in CSR activities develop self-confidence, leadership and teambuilding skills through their involvement.
The acronym CSR suggests that it's mostly aimed at corporations, but it's not just for the ‘big players'. There's no reason why a SME can't also stay true to its community values through such ventures, although trading conditions are hard. I'd argue that it's even more important that they do so. A smaller company can show it cares more easily and responsively than a big firm.
One sole trader I know worked without recompense for several evenings and a weekend to design flyers for a group trying to gain local support for river maintenance. When they asked if she could take part in a leaflet drop around the community, she managed it during a couple of lunch hours.
As well as tackling an issue she was passionate, about she also made her company known in the business community without having to pay a pound towards marketing or PR services.
Several other businesses now have her name as a contact, along with the town council and various organisations.Tying in business need and responsible practices is not impossible for SMEs in tough times - it just requires greater creative thinking.
A recession is not the time to cut back on being socially responsible for all the reasons I've outlined. Now that we're allegedly seeing the ‘green shoots' of recovery I'm confident that those who stuck with it, making it a genuine part of their business strategy, will reap the rewards along with those organisations or individuals that they helped. Committing your company to CSR is for life not just for the good times.
