Corporate Social Responsibility: The Definitive Guide

What is corporate social responsibility?

Corporate social responsibility (also known as CSR) is a term used to describe a company’s efforts to improve society in some way. These efforts can range from donating money to nonprofits to implementing environmentally friendly policies in the workplace.

Who does CSR impact?

CSR impacts companies, nonprofits, and employees,  as well as society as a whole. Corporate social responsibility is not a mandated practice in the United States; instead, it is something extra that companies do to improve their local and global communities. This means that the general public can be impacted by CSR as well when they get to reap the benefits of companies’ do-good efforts.

What is the purpose of corporate social responsibility?

The purpose of corporate social responsibility is to give back to the community, take part in philanthropic causes, and provide positive social value. Businesses are increasingly turning to CSR to make a difference and build a positive brand around their company. And because social responsibility is not a mandated practice, it can function as a powerful differentiator for companies that partake.

How can CSR programs help nonprofits?

CSR helps encourage companies to get involved and support a wide range of nonprofit causes. For those charitable organizations, taking a strategic approach to leveraging social responsibility opportunities can help drive corporate giving revenue, employee volunteerism, and more.

Though individual donors continue to make up roughly three-fourths of an organization’s total monetary contributions, CSR initiatives can assist nonprofits in driving the remaining 25% of funding after they’ve maximized their individual support. Not to mention, some CSR programs (such as matching gifts) can even increase individual giving as well!

How much money has been donated as a result of corporate giving?

Corporations donated a total of $36 billion to nonprofits in 2022. 28% of total giving went to education programs, while 25% went to health and social services, and 16% went to community and economic development programs.