International
Trends on CSR
EUROPE
by Stefan Crets
(Executive Director, CSR Europe)
Corporate Social Responsibility: A European Perspective
The ?nancial crisis and its effects on both
society and the global economy brings
unprecedented challenges to companies,
governments and communities in Europe
and beyond. As a result, traditional
business perspectives on competitiveness,
survival and pro?tability are being
questioned. So, what does corporate social
responsibility (CSR) mean in this context?
About CSR Europe
CSR Europe is the leading European
business network for Corporate Social
Responsibility with around 70
multinational corporations and 34
national partner organisations as
members.
Since its launch, CSR Europe has
become an inspiring network of business
people working at the very forefront of
CSR across Europe and globally.
Together, the network represents over
4000 companies in Europe. CSR Europe
addresses societal challenges through
the Enterprise 2020 Initiative, which
fosters collaborative action and shapes
the business contribution to the European
Union's Europe 2020 strategy for smart,
sustainable and inclusive growth
For more information visit
www.csreurope.org
CSR, a term coined in the 1970s, was once considered as a
practice of reputation and risk management. However,
today's companies now appreciate that CSR is no longer
just a “nice-to-do” add-on to their core activities, but that
responsible business practices can help build a more
sustainable basis for competitiveness; by
strengthening brands and reputation, attracting
and retaining talent, achieving ef?ciency gains and
cost savings, meeting societal expectations and
[perhaps most importantly] by creating new
business opportunities through social innovation.
It has long been recognized that social innovation plays a
key role in economic growth. Over the years, developments
in healthcare and the rise of new technologies, such as the
car, electricity or the mobile phone, depended on social
innovation as much as they did on the innovations of
business. Today, however, it is recognised that the onset of
increased societal challenges is not only constrained to
society itself and businesses now appreciate that they
must take an active role in combating these problems. In
this context, it is widely accepted that some of the barriers
to sustainable growth, such as climate change,
demographic change or ageing populations, can only be
overcome with the help of social innovation. Consequently,
a greater impetus for developing new products and
services linked to social innovation has emerged.
Examples of such innovations can now be witnessed from
companies across all business sectors. For example;
technological companies IBM and Hitachi are now involved
in the development of energy and transport grids to
overcome the challenges posed by urbanisation; consumer
goods companies, such as
Nestlé or Unilever, have adopted
plans to source and produce
sustainably through the
consolidation of sustainability
goals with their overall business
goals; and ?nancial companies,
such as Citi Group, are
increasingly aiming to promote
social inclusion by providing
micro?nance in Base of the
Pyramid markets.
CORPORATE SOCIAL REVIEW
85