CSR, CR, SB – what does it all mean and does it really matter?

Corporate social responsibility (CSR), corporate responsibility (CR) and sustainable business (SB) are often-heard (but rarely understood) phrases. So, what does it all mean?

Quite simply, CR is the process of assessing an organisation's impact on society, evaluating its responsibilities and then formulating a response. It begins with an assessment of the business and the way that it engages with its customers, employees and suppliers, as well as with the communities in which it operates and the impact it has on the environment.

CR initiatives work best when they have active involvement of the people throughout the firm. To make a lasting impact, it also needs to have focus and clear objectives that are aligned with business strategy. This is not about monetary giving, but rather focused on volunteer initiatives - both fundraising and utilising corporate know-how to help others gain life-enhancing skills.

Quite simply, CR needs to be at the heart of the decision-making process to ensure that, wherever possible, the organisation is:

• acting in an ethical manner;

• improving the overall service offered to clients;

• creating a positive working environment for people;

• giving back to the local community; and

• minimising the impact on the environment.

There are many quantifiable business benefits of CR, which include:

• developing and enhancing relationships with clients, suppliers and networks;

• contributing to improved social cohesion and more stable communities;

• attracting and retain talent and being an employer of choice;

• maintaining a healthy and happy working environment;

• saving money on energy and operating costs, and managing risks;

• developing staff skills and supporting continuous learning; and

• enhancing corporate influence and improving the reputation of the business.

Encouraging CR

My own firm has a history of caring for our clients and employees, as well as our community. Indeed, our core values of 'acting responsibly' and 'being socially responsible' are enshrined in our Client Service Principles. The focus we have on 'doing the right thing' for clients is a core aspect of our CR. This makes our work enjoyable, challenging and satisfying, because we know that what we do and the way we do it can deliver peace of mind to clients.

Ours is a people business and therefore the focus of our CR policy is on people. For my firm, this means using our core expertise to educate people about how to better manage their finances. For many years, our people have been involved in charitable activity, both at an individual and a company level. Many of our staff expand their own skills sets and develop networks that personally and professionally enrich them through involvement in charitable trusts, committees and volunteer initiatives.

We believe that CR is important because it can enable our people to make a difference through using their expertise to help others, as well as getting involved in fundraising by participating in challenging but enjoyable and often team-building events.

In 2014, we have encouraged CR in the following ways:

• offering time off for staff volunteering;

• matching fundraising by all staff at up to £500 per person per event;

• sponsoring or subsidising fundraising events with kit, entry fees, travel and so on (for example, we supported 34 staff who participated in The Great City Race 2014 in support of Seeing is Believing, as well as 11 staff who took part in the London to Brighton Bike Ride in support of the British Heart Foundation);

• supporting local initiatives (for example, we sponsored the Guild of St Bart's Christmas Concert last year and supplied volunteers to help with the arrangements this year);

• adhering to environmental standards, using paper from responsible sources and recycle paper waste, glass and plastic;

• striving for local and sustainable procurement which supports the community; and

• recycling old technology wherever possible, such as donating computers we no longer need to local schools and charitable organisations.

As a firm, we also support and promote the government's Give as You Earn scheme. This enables employees to donate to any UK charity straight from their gross salary (before tax is deducted), meaning that individuals and charities receive immediate tax relief. For two years running, we have been recognised by the Charities Aid Foundation, with the Payroll Giving Mark and a bronze award.

Driving trust

Looking forward to 2015, we have created a Make a Difference forum comprised of members of staff representing every level. The aim of the forum is to champion CR initiatives as well as to gather ideas and feedback from our people. Our entire staff are invited to nominate and vote on a charity partner for 2015/16. Engagement at every level is important, so CR is a feature on our board agenda.

Does it really matter? I believe so. In an era in which customers face an ever-increasing range of choices, competition is intensifying and 24-hour media is the norm, scrutiny of organisations has grown and trust has become one of the most vital issues for organisations.

There are two fundamental drivers of trust:

• perceptions based on information from the media, recommendations and feedback; and

• actual experience with an organisation: the customer journey.

Done well, CR is a genuine attempt by an organisation to build meaningful relationships between the business and the rest of society. It can encourage mutual understanding, promote selfless behaviour, enrich your people and motivate them, and build bridges between social groups. This ultimately generates trust - and that is good for business. It is as simple as that.