Methods for embedding CR

Sunday, April 30, 2006

Methods for embedding CR
By Jason Sumner, Melcrum Publishing

To truly align corporate responsibility with the business strategy, the concept of CR must be embraced from the top down and bottom up, with buy-in from the CEO and board members to frontline staff.

Here are five top ways to embed CR successfully:
1. Use formal and informal methods for a progressive and employee-supported CR strategy: Formal processes include setting up appropriate governance frameworks, systems and processes to ensure CR is integrated into policies and practices. Informal methods include implementing non-systematic and ad hoc (but no less important) techniques to gain genuine buy-in from employees rather than lip-service.
2. Get top-level ownership: CEO and board commitment is critical to an effective governance framework. "A lot of sustainability issues require people to think in different ways than they've done before," says Emma Herd, senior advisor, CR and sustainability, Westpac. "The quickest way to get people to engage is to have the CEO and the board providing the appropriate incentives."
3. Create cross-functional advisory groups: Sustainability issues are always cross-functional and there needs to be regular forums to discuss those cross-functional issues. There's much more value in having everyone involved from start to finish, rather than one part of the business to own it solely. Create advisory groups where different aspects of the business, such as the board and major stakeholders, different management tiers and employee groups can meet periodically.
4. Include CR in performance reviews: There isn't a better way to truly embed CR than make mangers directly responsible for sustainability-related objectives and then measure their progress. You can measure this by official methods, meeting targets on water usage, recycling and so on, to unofficial methods such as rewarding and recognizing environmental initiatives or community volunteering by individuals or groups.
5. Measure your progress: As well as setting group executive metrics for the company, it's vital to measure employee perceptions. If you run an annual employee survey, ensure it contains CR questions year on year.

Adapted from, Embedding CR at Westpac, in the current issue of Corporate Responsibility Management.

Blogged on 5:45 AM by Upay

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