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INSIGHTS

Corporate Social Responsibility: Beyond Your Bottom Line

Corporate Social Responsibility: Beyond Your Bottom Line
What is all the fuss about corporate social responsibility (CSR)? Isn’t it enough for security solution providers to make security products and deliver services? Not anymore. CSR is a global phenomenon that security players should be aware of.

What is all the fuss about corporate social responsibility (CSR)? Isn't it enough for security solution providers to make security products and deliver services? Not anymore. CSR is a global phenomenon that security players should be aware of.

The concept of corporate social responsibility (CSR) is frequently misunderstood. Though commonly confused with corporate philanthropy, CSR comprises a broader range of actions and beneficiaries. CSR means considering the interests of all stakeholders in company decision-making, even those not traditionally seen as company stakeholders. In addition to executives, employees, investors and clients, the environment and society as a whole are factored into company undertakings. CSR is not only the traditional support of nonprofit organizations and charities, but also the restructuring of business policies and models to reflect corporate values and responsibilities.

CSR matters — it is no longer the domain of hippies and radical activists, nor is it a flash-in-the-pan destined to fizzle out. Notice how in the last few years, concepts such as fair trade, carbon footprints and social entrepreneurship have entered our public consciousness. The rise of CSR is a reflection of changing times, and businesses need to pay attention. CSR is becoming increasingly important in the eyes of the people, and thus increasingly relevant to businesses. Given how widespread CSR is becoming, not participating is becoming less of an option. It is no longer enough to just play by the rules; you need to act in the best interests of society or risk public antagonism. As Brennan Peyton, Category Manager of Europe Imaging Group, Panasonic System Networks, reminded us, “The corporation, as a public institution, is only able to exist if it receives the support of society and therefore, in turn, must contribute to society.”

Businesses with CSR initiatives do not have to start out with a substantial war chest. Using management expertise, employee manpower and available resources, a company can increase its CSR profile. Several security players shared their CSR experiences, with ideas suited for businesses of all sizes.

Supporting Worthy Causes
Little steps go a long way. A little time, some money and human capital are what Canadian manufacturer and installer i3 International gives in its corporate-giving program. The company chooses charities that will receive monetary donations raised by employees that are then matched by the company. One such recipient of its generosity was the Lupus Foundation. The connection between i3 and this charity was forged after the passing of a staff member afflicted with lupus. Employees have also helped to raise money following various natural catastrophes. Grace Baba, GM said, “This past year, our staff members raised more than US$1,600 themselves, which the company matched, to help in the relief efforts for the victims of the Japanese tsunami/earthquake/nuclear disaster.”

Along with fundraising, i3 holds food drives for its local food bank. It also supports Habitat for Humanity, an international nonprofit that builds or repairs houses by partnering with homeowners. Some i3 employees have used their personal time to participate as volunteers in housebuilding projects.

Mobotix had a different take on donation in its latest CSR endeavor. Greenpoint Reformed Church, located in New York, is home to a soup kitchen, food pantry, and a variety of activities, including children's art and music classes, a youth soccer league, a runner's club, a meditation group and 10 different 12-step groups. By running programs like these, the Greenpoint Reformed Church is able to foster a better sense of community and help those in need. However, this also means that the church is opening itself up to security risks.

This is when Mobotix stepped in with cameras and accessories; security equipment the church would have been unable to afford otherwise. Greenpoint Reformed Church was able to continue its programming, helping those in need in the community. Mobotix did not need to stretch far beyond its expertise to make a positive contribution. Steve Gorski, MD of the Americas, said, “We provided the church with a complete high-resolution, IP surveillance system to enable the organization to monitor activity and research events after the fact to close investigations quickly and easily, and they have allowed us to promote the success they have had with our technology.”

Sustainable Policies
With an ever-expanding global population of more than 7 billion, the depletion of natural resources and the buildup of waste are becoming serious problems. Global warming is a serious concern that affects everyone. The environment is an important stakeholder in all of our lives, and many companies are taking steps to address environmental concerns.

CSR initiatives targeting the environment often take the form of sustainability policies, including more efficient manufacturing processes, recycling, resource conservation and responsible waste disposal. Axis Communications published a sustainability report for the first time this year. Publicly available on its website, its sustainability report looked at how sustainable operations were from a business perspective, as well as an environmental perspective. It found that the impact of transportation on the environment was higher in America than Europe, so Axis decided to create a shipping center based in the U.S.

One particularly interesting evaluation that Axis undertook was a life cycle analysis for products to determine when,during their lifespan, they were most environmentally damaging. By evaluating the environmental impact of the product during production, usage and disposal, Axis is able to reduce its environmental impact. It found that cameras were most environmentally harmful during usage because of the amount of energy they consume, and are now working on reducing the energy needs of its cameras. As Margareta Lantz, Investor Relations and Corporate Communications Manager, said, “Axis' ambition is that environmental considerations must be applied to the entire value chain, from the selection of materials for components to the use of the final product.”

HID Global (an Assa Abloy company) also undertook an evaluation of its company's environmental sustainability by setting up a company-wide, cross-functional task force. Simon Siew, MD for APAC, said, “HID selected a crossfunctional team since we thought it was important to understand and improve the environmental footprint of our operations and products by setting ambitious goals for certifications and business process improvements as well as measuring our progress routinely.” Since then,HID has implemented multiple measures to increase its environmental sustainability. It has installed printer authentication, so that people can only print with HID credentials. This helps reduce the amount of paper waste at the company.

HID has also sought to include sustainability measures into its products. Some of its products have energy saving modes that help reduce energy consumption by 75 percent compared to normal operating modes. HID uses recycled materials in some of its products, which have helped it earn leadership in energy and environmental design (LEED) credits. The plastic cards that it manufactures use BioPVC, which degrades five times more quickly than standard PVC. In combination, these measures help to reduce the environmental impact of HID's products.

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