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Landmark Study Finds Global Spread of Corporate Social Responsibility

Landmark Study Finds Global Spread of Corporate Social Responsibility

Published 04-11-07

Submitted by Society for Human Resource Management (SHRM), The

ALEXANDRIA, VA - April 11, 2007 - The Society for Human Resource Management (SHRM) today released an international study that shows more than four out of five organizations in seven countries are participating in Corporate Social Responsibility (CSR) practices, ranging from donating to local charities to monitoring global fair labor standards. The study, titled 2007 Corporate Social Responsibility: A Pilot Study, surveyed human resource (HR) professionals in the United States, China, India, Mexico, Brazil Australia and Canada.

Among the findings, HR professionals in Brazil, India, Mexico and Australia were more likely than those from the United States to report that their organizations had formal CSR policies. Brazilian organizations reported the highest participation rate in CSR practices at 95 percent, compared with the United States at 91 percent.

"Organizations are increasingly assessing the social and environmental impact of their business decisions," said Susan Meisinger, SPHR, president and chief executive officer of SHRM. "As a result of globalization, I believe more organizations will incorporate CSR practices in their business strategies. As these practices increase, HR professionals will play a larger role in CSR programs, from strategy to implementation."

In the United States, HR professionals cited contributions to society, public relations strategies and employee activism as top drivers. CSR practices are also seen as important to employee loyalty, morale, retention, recruitment and productivity, all of which are key responsibilities of HR professionals.

Other findings included the following:

  • With the exception of respondents from Brazil, the majority of organizations that currently do not have CSR policies have no plans to create them. Organizations in Brazil are significantly more likely to create CSR policies than those in the United States, Australia, China and Canada.

  • Employees in Brazil and India are encouraged to spearhead volunteer programs, with the United States and Australia lagging in this category, according to the survey.

  • China has the lowest percentage for encouraging employees to spearhead CSR programs and Chinese respondents reported the lowest rate of participation in CSR practices and in engaging employees in CSR programs.

  • Over half of the organizations surveyed recognize employee participation in volunteer programs, with the United States leading at 72 percent.

    In the United States, Brazil, Australia and Canada, the main obstacles to CSR programs were reported to be cost, unproven benefits and lack of support from senior management.

    "While some organizations consider cost to be an obstacle to CSR practices, others point to improved image, competitive advantage and greater market share as clear benefits," said Meisinger.

    While the types of CSR practices varied among countries, they did not vary by organizational sector. For-profit public and private companies, nonprofit organizations and government agencies reported participating in the same types and range of practices.

    The 2007 Corporate Social Responsibility: A Pilot Study was conducted by SHRM throughout 2006 with partner organizations in Australia, India, China, Canada, Brazil and Mexico. The complete study can be found on the organization's Web site at: www.shrm.org/surveys.

    The Society for Human Resource Management (SHRM) is the world’s largest association devoted to human resource management. Representing more than 210,000 individual members, the Society’s mission is both to serve human resource management professionals and to advance the profession. Founded in 1948, SHRM currently has more than 550 affiliated chapters within the United States and members in more than 100 countries. Visit SHRM Online at www.shrm.org.

  • Society for Human Resource Management (SHRM), The logo

    Society for Human Resource Management (SHRM), The

    Society for Human Resource Management (SHRM), The

    The Society for Human Resource Management (SHRM) is the world's largest association devoted to human resource management. Representing more than 217,000 individual members, the Society's mission is both to serve human resource management professionals and to advance the profession. Founded in 1948, SHRM currently has more than 500 affiliated chapters and members in more than 100 countries. Visit SHRM Online at www.shrm.org.

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