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WASHINGTON, D.C.
— Fleishman-Hillard Inc. (FH) and the
National Consumers League (NCL) will host an expert-panel
discussion titled “Principles, Profits, and Politics: The Rise
of Corporate Social Responsibility” on Wednesday, May 9, 2007,
at 10 a.m. at Georgetown University’s Riggs Library.
The panel, moderated by Dean
of Georgetown University’s School of Continuing Studies Robert
Manuel, will analyze the political findings of the second annual
joint FH-NCL CSR survey and its implications for the 2008
elections.
The second FH-NCL survey examined the expectations that the
public has of corporate America and the factors that drive those
beliefs and attitudes, including the influence of political
affiliation. The survey also tracked the role that media and
technology play in informing people about what companies are
doing to be socially responsible.
KEY FINDINGS OF THE
SURVEY
82
Percent of Americans Want Congress to Ensure Companies Meet
Pressing Social Issues
Americans of all political
persuasions — 96 percent of Democrats, 80 percent of
Independents, and 65 percent of Republicans — say that it is
either very or extremely important for Congress to ensure that
companies are addressing social issues.
“These findings paint a
far different picture of corporate social responsibility than
the model laid out by Milton Friedman nearly 40 years ago. The
American public not only expects companies to help solve social
issues but also wants government to step in to ensure that they
do,” said Dave Senay, president and chief executive officer of
Fleishman-Hillard Inc. “As a result of the public’s
expectations, next year’s elections may lead to greater
governmental involvement in the role business plays in
responding to societal concerns.”
Americans Disapprove of
U.S. Companies’ CSR Records
More than three-fourths of
surveyed Americans give U.S. companies less-than-high marks in
the area of operating in a socially responsible manner.
Democrats and Independents rate U.S. corporate performance
significantly lower than did Republicans. Also, a majority of
Americans believe that certain sectors — specifically, the
energy, food, chemical, and pharmaceutical industries — need
more government oversight than other industries to ensure that
they are operating in a socially responsible way.
“The generally lukewarm
perception of U.S. corporations on social responsibility, along
with the prevailing belief that Congress may need to get
involved, could lead to increased oversight of the private
sector on Capitol Hill,”
said former U.S. Sen. Jim Talent.
In addition to looking for
more government oversight, 77 percent of surveyed American
consumers believe that there is a need for global standards
outlining corporate social responsibility criteria (an increase
of 12 percent over last year's results). Furthermore, two-thirds
of respondents indicate that they would make purchasing
decisions in favor of a company that meets such global standards
for social responsibility.
“It’s evident that
consumers are paying even more attention to socially responsible
behavior and that they want to give their business to companies
that meet common standards,” said Linda Golodner, president of
the
National Consumers League. “Efforts to help the business
community improve its level of social engagement, such as
international social responsibility standards currently under
development, will be essential if this growing consumer
expectation is to be met.”
Treatment of Employees
Trumps Environment in Defining CSR
While environmental issues
are currently hot topics of national media attention, the survey
reveals that Americans’ priorities are more aligned with another
concern — corporate treatment of employees.
For the second year in a
row, respondents say that when it comes to how consumers define
“corporate social responsibility,” a company’s treatment of its
employees and its involvement in the community count more than
its environmental stewardship. When broken down by party
affiliation, Independents (42 percent) are more likely than
Democrats (33 percent) (by a difference of 27 percent) to say
that it is more important for a company to treat employees well.
By comparison, Democrats (22 percent) are more likely than
Republicans (7 percent) or Independents (13 percent) to say that
it is most important for a company to go beyond the law to
protect the environment.
The survey also finds that
Americans expect companies to be actively engaged in the
communities in which they operate, going beyond just making
charitable contributions. When asked what expectations they have
for companies doing business in their own communities, three
times as many respondents favor nonfinancial contributions, such
as community involvement and volunteerism, over financial
contributions.
“Charitable contributions
are still a vital component of a company’s larger corporate
social responsibility efforts, but Americans expect companies in
their communities to give time and expertise in addition to
money,” Senay said.
The Internet Is Now the
Primary CSR Information Source for Most Americans
A majority of Americans
now rank the Internet as their top source for learning about the
corporate social responsibility record of a company in their
community. Of those respondents using online resources to check
on CSR, 73 percent have used Internet search engines, such as
Google or
Yahoo!®, 57
percent have used Web sites of independent groups, and close to
half have used corporate Web sites.
More than one-fourth of
respondents who use the Internet to learn about a company’s CSR
record are specifically turning to blogs or podcasts set up by
customers or nonmanagement employees of companies. This finding
represents a 100 percent increase over last year’s results. The
survey also found that Democrats are more likely than
Republicans to visit social networking sites, such as
MySpace,
to gather information on a company’s social responsibility
record.
“Americans are changing
not only their views on the roles that business and government
play in addressing social needs but also the manner in which
they learn about a company’s social responsibility record,” said
Robert Manuel, the dean of
Georgetown University’s School of Continuing Studies. “A
majority of Americans now bypass television and newspapers and
turn to online sources to understand the social responsibility
record of companies in their community. And more and more
Americans are viewing social-networking sites, where a company
cannot control its message, to gather information.” |
