Corporate Responsibility

Ethical Corporation recently published an opinion by Chandran Nair from the Global Institue for Tomorrow. The insights from the article is especially poignant in light of development. In the Non-Profit World we often see ourselves as 'watch dogs' for industry and corporations. Criticisms are thrown around like spaghetti noodles in a frat-house, but there are often few solutions offered. I agree that NGOs have a role in exposing the injustices in the world, but they also have a role in offering solutions. I think this is especially true when applied to problems which have already been identified and in some ways embraced by industry. The problem with industry is that they often don't 'get it'. 

They don't get it because they have multiple objectives and function in an imperfect world. Yet there are ways to have companies get it, but NGOs have to take the lead. Development and public goods are the core competence of NGOs and Development agencies...it is time to leverage this core competence. NGOs have the the knowledge, institutional memory and the experience, it's time to use it.

So what can be done?

First, the serious players must begin to bring content, focus, commitment and actions back on the agenda. This means linking stakeholder engagement to quick outcomes, not never-ending reports, analysis and more conversations that have to be politically correct.

Second, companies should decide what issues they want to participate in, defend their stand and leave out PR spin until actions have been taken. But be sincere and respect the views of others.

This sort of focus should not be left to PR or corporate affairs. It should only be left to sustainability, environmental or compliance managers if the board is committed to listen when they return with a “this is what we should do over the next 12 months” message.

Third, NGOs should realise that they do not have the knowledge edge and that preaching is getting tiresome. Instead of moral campaigns, these groups should come forward with practical ideas they are willing to test out with companies. Partnerships can enable NGOs to take ownership of ideas they offer to business and work with the “C” in CSR – corporations. It may be more demanding than taking the moral high ground but has a much better chance of bringing about change.