Corporate Social Responsibility Reporting

Corporate Social Responsibility Reports have become increasingly more common, as customers are holding for-profit corporations accountable to a higher social and environmental standard. According to Harvard Business School, 90% of companies on the S&P 500 Index published CSR reports in 2019 in comparison to the 20% in 2011.

So what is a CSR Report? What does a quality report look like? Why do they matter?

Corporate social responsibility
Corporate social responsibility holds corporations responsible for a positive impact on society and the environment. For-profit corporations are beginning to use the triple bottom line, their profit and impact on people and planet, when making strategic decisions.

Corporate Social Responsibility (CSR) Reports are documents organizations use to externally communicate their CSR efforts, under environmental, economic, philanthropic, and ethical categories.

The Importance of CSR Reports
CSR reports allow corporations to communicate with stakeholders on their mission, vision, values, and progress towards Sustainable Development. Corporations with genuine, bold CSR efforts utilize reporting as a communication, marketing, and public relations tool. CSR reporting also establishes accountability for corporations by tracking progress towards goals like carbon neutrality, forcing them to make realistic, achievable timelines.

Voluntary versus Mandatory Reporting
In some countries, CSR reports are mandatory. In the US, they are voluntary. The voluntary nature of reporting in the US results in a lack of reporting standards, meaning corporations can omit and highlight whatever they choose. This lack of standardization makes comparability between reports and benchmarking CSR efforts nearly impossible.

Consultings’ Role in CSR Reporting
Consulting is essential to using an organization’s current CSR activities, culture, and finances to identify potential opportunities to give companies a competitive advantage in CSR progress and communication. CSR consultants are also valuable tools to convey the authenticity of CSR activities. Given the lack of reliability and transparency in reporting practices in the US, CSR consultants increase the comparability, reliability, and transparency of CSR reports.

Improving your CSR Efforts
CSR reports are a useful tool for highlighting socially responsible business practices, but if your business currently doesn’t engage in CSR, it’s never too late to start! Almora can help successfully anticipate environmental, social, and governance risks and opportunities to help your company develop, strengthen, and communicate CSR efforts. Contact Almora to learn more about CSR Planning and Reporting.