CSR is a trendy topic for companies that can be complex to implement. CSR implies various professions, concrete and measurable actions and a global vision of the strategy. In order to understand what CSR is and how to successfully implement it, we interviewed our QHSE expert, Youssef Nohra.
What is CSR?
Corporate Social Responsibility (CSR) is defined by the European Commission as the voluntary integration by companies of social and environmental concerns into their business activities and their relations with stakeholders.
The ISO 26000 specifies the guidelines for CSR and its 7 core subjects are:
- Governance of the organization;
- Human rights;
- Labor relations and working conditions;
- Environment: sustainable development is part of the CSR approach;
- Fair practices;
- Consumer issues;
- Communities and local development.
This strategy aims to have a positive impact on society while being economically viable.
Who manages the CSR approach in the company?
The successful implementation of a CSR approach depends on the CSR Manager (or at least someone with a project leader role). His/her role is to carry out a preliminary audit to assess the corporation. Then he/she will carry out an audit to define a strategy adapted to your activity. An action plan is implemented where concrete actions are launched and organized. These actions are associated with indicators to be constantly monitored. A dynamic dashboard (PowerBI type) will be of great help to evaluate the results of the adopted CSR strategy.
What are the KPIs to measure CSR actions?
The CSR strategy is divided into 4 parts: social, environment, societal and responsible purchasing on which concrete and measurable actions can be implemented.
Here are some examples:
- Number of employees, M/F distribution, ages, country or region
- % of disabled people in the workforce
- Average seniority
- Number of people trained / number of training hours
- % of payroll training allocations
- Evolution of remuneration and the gap between men and women
- Differences in remuneration between the highest and lowest salaries
- Hirings and dismissals (including number of disputes)
- Absenteeism rate
- Occupational accidents (frequency and severity rates)
- Number and theme of agreements signed between management and the IRP
- Existence and content of the risk assessment template
- Presentation of the Human Resources and Training policy …
- Energy consumption (electricity, gas…)
- Greenhouse gas emissions (expressed in tons of CO2 equivalent)
- Monitor your waste management process
- Kilometers driven and/or fuel consumption
- Composition of the vehicle fleet
- Water consumption
- Means devoted to prevention
- Raising awareness on environmental issues …
- Territorial impact (contribution to local economic and social development)
- Number of beneficiaries according to the activities
- Number of indirect local jobs
- Number of hours in skills sponsorship
- Number of projects supported
- Number of interventions in schools, companies, local events
- Presentation of partnership policy, link with companies, other non-profit organizations …
- Amount purchased from local companies
- Amount purchased from integration companies
- Number of suppliers involved in CSR or with its related actions
- Number of calls for tender with CSR clauses
- Weight of CSR clause rating in overall rating
- Average settlement time
- Number of disputes
- Gift policy and fight against corruption
How to effectively manage a CSR strategy?
The efficiency of the CSR approach in the company depends on a good organization and coordination with the different departments. It is essential to build on a strategy based on a collaborative working group. It is important to reassess the adopted strategy over time and to adapt the latter to the company’s circumstances and evolution.
To succeed in this challenge, it is highly recommended to digitize your strategy on a dedicated software. A single platform will help you centralize all the processes, easily share information about the CSR activities and reports. A digital solution can help you monitor and update your CSR key indicators with real time data. These elements can be accessible in the form of dynamic dashboards. This digital solution is adaptable to the needs of each different department.
The benefits of CSR are numerous, both internally in terms of improving the working conditions of employees and externally with your suppliers and customers. It is part of the company’s ethical responsibility which aims to promote and take care of its brand image.
Most importantly you get to give back to the community and bring more positivity to our planet!