Image Credit: Blue Diamond Gallery
It’s common (and, sometimes “cool”) to believe that all businesses are just cold machines. Hardly too punk or modern to believe that corporate America might do any good, right? Aren’t all businesses after one thing and one thing only? That cold, hard, sweet cash? They would do nothing but chase profits, sweep them away ethics and good will from their table like biscuit crumbs.
Let’s be honest: it’s healthy to have some skepticism when looking at a business. There are a lot of businesses out there that literally destroy everyone and everything between them and the almighty dollar. But it sure isn’t fair to tarnish all businesses with the same brush. After all, isn’t there news quite often about businesses doing great things for people?
Corporate social responsibility
Did you know there is such a thing corporate social responsibility? It’s not just an abstract, multipurpose term. It doesn’t just refer to the general responsibility we all have as human beings to be kind and considerate of one another. This is a very specific term that refers to the willingness of a particular company to do good. Corporate social responsibility (some call it CSR – it even has its own alphabet!) is a company recognizing that its practices can impact society as a whole. It recognizes that the power and profits of the corporation can be used to actively doing good.
Corporate social responsibility tends to be used in the context of companies doing more than what is legally required. If your business recycles all recyclable waste, for example, that’s not a heartwarming display of social good. You’re kind of legally forced to do that in most states! Regulators and environmental groups have standards that companies must follow in order not to be penalized.
To really stand out as a business recognition corporate social responsibility, you must go beyond the call of duty. Don’t worry: there aren’t many big names you can learn a thing or two from.
Not the usual suspect
Let’s return to the cynicism towards corporations that I mentioned at the beginning of the article. There are adherents of this “anti-business” attitude who will look at history and condemn many people. A name you may have heard during such conversations is Ford. The Ford Motor Company helped revolutionize the way business was, well, doing business in the 1920’s. Some say they are responsible for mass production,profit mindset of the past century. And that, of course, is a bad thing for a lot of people.
But is “Ford” still synonymous with “corporate crime,” as many cynics claim? Is that justified? Actually not so much. Have you ever heard of Ethisphere? The Ethisphere Institute is an institution that has helped define modern corporate ethics. They monitor thousands of companies around the world, and every year they compile a list of the world’s most ethical companies. This list shouldn’t tell everything about ethical companies. There is little space, meaning many highly ethical businesses are left out. But the businesses that make the list have distinguished themselves in terms of their ethical behavior. And in the most recent list (2015), Ford Motor Company appears. Like they did in 2014. And four years before that.
It’s important not to jump to any conclusions about big brands and their ethics. Huge profits and ubiquitous brand presence doesn’t automatically mean corporations are bad people!
Employee care
One of the problems in assessing corporate ethics is that there is a lot of potential for bad behavior that goes on behind closed doors. It’s not always as easy as Googling company names and seeing if they’ve destroyed habitats or destroyed small businesses. One of the most telling areas is how the company treats its employees. A company and its employees, after all, can be two very different things!
What better example of bad corporate behavior than a company that treats its employees like dirt? And the weird thing about that is treating the employees well good for business. Why don’t you do it? Of course, to make headlines, you have to really go the extra mile for your employees. Starbucks, for example, has plans for that helping their thousands of employees fund college education. That’s good etiquette And great publicity! Meanwhile, the well-documented abuse of Walmart employees does the opposite on both fronts.
Environment
The environment is one of the biggest problems facing businesses today. One of the greatest metrics for assessing a company’s ethical standards is the standard “green” practices.. Most of the damage done to the environment is done by large corporations, so the pressure is on corporations to help us fix this mess.
Although not as publicized as it should be, the meat and dairy industry is the biggest contributor to environmental damage. However, awareness is increasing. It is the responsibility of food companies to be environmentally friendly. Companies like Hampton Creek and Organic Valley are taking important steps, but not enough companies are following suit.
Some companies have difficulty knowing exactly what they can do to help the environment, beyond basic legal compliance. If you lack such resources, show solidarity with green companies. Spreading awareness of the need for environmental protection is an important thing for businesses to do! So sound support for World Wildlife Fund. Like Hampton Creek on Facebook. Boast about your green practices on your website.
Law against humanity
This section will be shorter as it covers ongoing events.
Perhaps one prominent example of CSR is the widespread response to anti-LGBT attitudes in North Carolina. You’ve probably heard of this! A bill is being proposed in North Carolina that would legalize discrimination against LGBT people. It’s a sad state of affairs, but many of the world’s largest businesses support the LGBT community. Corporations such as eBay, Wells & Fargo, Starbucks, and PayPal have used boycotts and denial of service to protest the bills. It is thought to have hurt North Carolina’s economy
over half a billion dollars
.
So remember: good business and good ethics are not the enemy. They can often be brilliant bed companions. Business owners: pay attention!
