CSR – From Risk to Opportunity
Corporate Social Responsibility holds a number of strategic opportunities to be implemented in the business model of any company. Members of the Nordic Travel Retail Group were encouraged to think of CSR as they gathered in Copenhagen on 3rd September.
CSR is no add on business activity to buy indulgence or to lower the risk of getting negative press coverage. It is not about how or where you invest your money but how you earn your money according to Professor Mette Morsing from the Copenhagen Business School. Mette Morsing was addressing the members of NTRG at last week’s member meeting hosted by the
TOMS Group in Copenhagen and she talked about the current trends in conducting CSR activities. Mads Madsen,Vice President at Novozymes, and Jesper Moller, CEO of the TOMS Group, were the two other speakers at the well attended NTRG member meeting.
“The impressive interest shown from our members in our CSR agenda for this meeting is promising for the development of a dialogue regarding greater social and environmental responsibility within our Nordic Travel Retail industry. Today we have learned that when CSR efforts are well implemented with the business activities they create values for the companies. Now we all need to go back and consider what is really important for each of our corporations,” says Erik Thomsen, Chairman of the Nordic Travel Retail Group, and continues “This especially applies to issues related to the products sold in our sector: smoking, alcoholism, diabetes and the sale of alcohol, as well as sweets and chocolate for children. I am quite sure that as an industry organisation there will be many areas where we can act as facilitator when it comes to CSR and more responsible retailing.
Strategic relevance is of great importance
Despite different starting points the three speakers focussed on CSR as part of an overall business strategy and that CSR is included in everything a corporation does. At the same time they emphasised that the strategic relevance of even the most common CSR issues is very dissimilar and must be carefully weighed up in correlation with core business activities.
CEO Jesper Møller from the TOMS Group talked about how they have focussed on the farmers of cocoa beans as part of their supply chain, partnerships on dietary advice and the health of their employees – with great success.
“The TOMS Group is a great example of a proactive corporation within our industry. They have been working strategically with CSR for a number of years and thereby they have improved ground conditions in relevant matters, to the most relevant people in the most relevant environments. This is what I believe CSR is all about,” says Erik Thomsen.
Engage!
Vice President Mads Madsen talked about how the biotech corporation Novozymes have engaged and communicated with their stakeholders as part of the strategic work with ‘sustainability’. These engagements involve even the most critical stakeholders and the experiences have appeared to be very positive for Novozymes. Despite different points of views the most critical stakeholders are prepared to work with your corporation if you do your CSR work properly and with full documentation. Holding statements brings you nowhere!
Mads Madsen also pointed out that engagement and involvement of the entire internal organization is a must if you want to conduct your business successfully and in accordance with your CSR strategy. High level talk is not enough.
“We can learn a lot from how Novozymes have incorporated their approach to sustainability in everything they do. First of all they have managed to create business successes on their sustainability approach. Secondly they have proved to be very good at communicating what they do. I believe that their engagement of stakeholders is critical to their success and one of the key messages at this member meeting,” says Erik Thomsen.
The meeting finished with a tour at the Toms factory and allowed the member companies from Denmark, Sweden, Norway, Finland and Iceland time for socialising as well.