With the growing attention to environmental and social issues, Corporate Social Responsibility (CSR) is becoming increasingly central in financial and business decisions. The United Nations defines CSR as a:
"management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders. CSR is generally understood as being the way through which a company achieves a balance of economic, environmental and social imperatives (“Triple-Bottom-Line- Approach”), while at the same time addressing the expectations of shareholders and stakeholders."
Today, companies are incorporating CSR as a key strategy to compete in a market where demand increasingly seeks sustainable products and brands committed to social and environmental equity. To determine if a company acts socially responsibly, one must assess its performance using the "triple bottom line" concept, which considers economic, environmental, and social parameters:
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Economic: Measures the company's profit-generating ability, aiming to challenge current consumption models.
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Environmental: Evaluates the company's capacity to develop plans in harmony with the environment.
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Social: Monitors the company's attention to social issues, including employee well-being, quality of life, and community impact.
Many companies are demonstrating tangible commitment to sustainability through concrete initiatives, such as waste reduction, emissions reduction, and the use of renewable energy, embracing the principles of the circular economy. Sustainable innovation takes various forms, from adopting eco-friendly packaging to supporting social and political causes. For example, cause-related marketing campaigns, like the "Golia Bianca" brand, demonstrate a tangible commitment to protecting endangered animals through support for the WWF. Navigating sustainability issues and adopting a CSR-oriented approach requires a well-defined sequence of steps:
- Existing Mapping: Starting from understanding the company's past actions, create a clear map of the initiatives already undertaken. Identify a CSR Manager, a dedicated figure to manage this emerging challenge.
- Formulation of Alternatives and Courses of Action: Involve managerial tools to formulate sustainable alternatives. Clearly identify specific courses of action.
- Development of the Sustainability Strategic Plan: Develop a detailed strategic plan. Implement the plan to translate intentions into concrete actions.
Critical success factors must also be considered, such as the persuasive ability of the CSR Manager and obtaining support from top management to understand the relevance of sustainability actions. Corporate social responsibility involves all business functions, particularly the CSR manager. This leader coordinates a team, acts as a sensor for sustainability both internally and externally, and manages the reporting of sustainable actions through the sustainability balance sheet. The CSR Manager is crucial for facilitating dialogue with corporate stakeholders, monitoring best practices, and ensuring that sustainability permeates the corporate strategy. In the modern context, there is a growing specialization of this responsibility role, sometimes leading to dedicated teams in specific areas such as industrial planning, sustainability reporting, and sustainability communication.
The implementation of sustainable development, according to the UN Resolution "The Future We Want," depends on the commitment of both the public and private sectors. The resolution emphasizes the key role of national regulatory frameworks, enabling businesses to promote sustainable development initiatives. The private sector is called to engage in responsible business practices. Sustainability reporting is crucial, and EU Directive 2014/95 has mandated large enterprises and listed companies to account for environmental and social impacts. SMEs are exempt, raising questions about their impact on sustainable development. Corporate social responsibility is inherently limited by the profit-oriented nature but must be respected for the protection of human rights and the environment.