There are actually far more reasons why you shouldn't start a CSR program than why you should. If your program is ad-hoc, reactive, non-strategic, underdeveloped, under-resourced or inauthentic, you're wasting your time. But why should you start a strategic, well-thought-out CSR program? The specific benefits to your business.
Creating a corporate foundation isn’t the only way to get the tax, structure, cost savings, branding, and visibility benefits of a strategic corporate philanthropy program. Here are the five reasons you might want to skip the corporate foundation for one of its several alternatives.
There are plenty of resources available that tell you what good corporate social responsibility looks like, but sometimes it’s useful to see the bad stuff so you can learn to avoid it. So here are six descriptions of ineffective CSR to avoid.
Companies generally start foundations (or alternatives to corporate foundations) to help formalize their philanthropic programs. Ad hoc, nonstrategic giving is expensive, ineffective and time consuming, and a formal program can help to prevent that. Here are the four main reasons that companies start their own foundations.
The term “corporate foundation” doesn’t actually have any official definition in US tax code. Usually, however, it is used to refer to either a private foundation controlled by a corporation, or a public charity associated with a corporation.
The business benefits of corporate social responsibility can be divided into four categories: Firm Value, Marketing & Sales, Reputation & Risk, and Human Resources.
Nonprofits regularly use the annual reports of other nonprofits to source new prospects. By making a donation, you're signalling that you're a philanthropic company, and philanthropic companies are likely to make donations to other charities. In other words, the number of charitable solicitations you receive will increase – sometimes dramatically. How do you manage the increased number of charity requests?
Recognizing that the motivations and resources available for corporate philanthropy will be different depending on firm size, the following process should provide an effective corporate philanthropy program.
The term “corporate foundation” doesn’t actually have any official definition in US tax code. Usually, however, it is used to refer to either a private foundation controlled by a corporation, or a public charity associated with a corporation. Each of these are variations on a theme, and while there are very important differences between the two, the process for setting them up is mostly the same.
Starting up a new CSR program can be a challenge, because there always seem to be more questions than answers. But here’s a process that should get you on the right track.