The untapped potential of CSR

Abstract

The citizens in the world today become more and more conscious about the social and environmental conditions in the society around them, and have a need to contribute to a better future for coming generations. This is something that now also is expected by companies to work with through a Corporate Social Responsibility strategy. Even though organisations have understood the benefits of being societally engaged for creating stronger ties with their conscious customers, there are large gaps in companies’ understanding of their organisation members’ needs for fulfilment, and the benefits that allowing their employees to feel conscious at work can bring. This study investigates how the benefits from societal engagement can strengthen organisation members, what factors influence the gained benefits, and thus how these benefits can be achieved and used to enhance the organisation. The organisations studied are the housing company Förvaltnings AB Framtiden, the management consultancy company Preera AB, and the manufacturing company Volvo Group Trucks, part of AB Volvo. To ensure a trustworthy outcome, 15 semi structured in-depth interviews were held with interviewees from different levels in all three organisations. Through analysing organisations and their organisation members, it has been found that societal engagement contributes to many benefits for the organisation and organisation members. Strengthening customer connections and external branding were expected outcomes, but it was also found that if managed in a walk-the-talk way, societal engagement strengthens and enhances the employee relations, employee loyalty and output as well as employee health. A conscious leadership and culture that enhance open discussions and allow freedom for the employees under clear responsibilities and mandates together with a constant discussion and dialog about the vision, and how the organisation contributes to society, are the key elements to enhance organisations through societal engagement.