Social Responsibility as a Value of Innovation in Companies

La responsabilidad social como valor de innovación en las empresas blog qaleon

Social Responsibility as a Value of Innovation in Companies

photo social responsibility as a value of innovation in companies

Companies seek to enhance corporate value through different strategies with a direct impact on social responsibility. They are usually actions that are carried out in self-realisation but beyond the good reputational effect, they are measures that help to foster corporate innovation. In this article we will discuss CSR, La Innovación Social Corporativa.

What is Social Responsibility?

Corporate Social Responsibility (CSR) according to the European Commission is the "Responsibility of enterprises for their impacts on society". It is a term that began to be used in the 1990s as a result of the process of globalisation and the development of societies and companies.

Its aim is to improve the environment in which we live by reducing the impact of companies in three areas: economic, social and environmental. In turn, it generates an internal effect on the company's reputation and image, with impacts on the retention and attraction of talent, as well as having a direct impact on the financing of companies.

Importance of Social Responsibility as an Innovation Value

Acording a recent article in the Harvard Business Review, titled "The Sustainability Imperative"develops the idea that the sustainability imperative is becoming a driver of innovation in business.

To carry out this sustainability drive, the CSO (Chief Sustainability Officer) must provide leadership. In addition to their work, this must be done with the support of internal teams and also stakeholders, experts, public administration and consultants, among others.

True social innovation requires change to occur across these different levels or scales for the impact to be strong and lasting, so that something that seemed impossible to change in the world becomes very different. They involve changes that are both new and good.

The main effect generated is that companies enter into a dynamic of competitive advantage that boosts financing and the bottom line. This, in turn, allows them to grow and expand their business model.

How to Implement CSR

According to the above-mentioned article, to carry out CSR or CSR strategy and actions should be carried out in four distinct periods. These phases are the result of the best companies after facing innovation processes and are:

  • First, companies start by focusing on doing things in a new and better way than they have been done before. They seek efficiencies in cost, resources, and speed of service to the customer.
  • Second, they seek to reformulate products, services, processes or functions to seek greater efficiency in outcomes.
  • Third, it is about changing innovation approaches from the core of the business. To follow an inside-out strategy.
  • Fourth, finally, it is about innovating new business models that affect the entire company. In other words, it is an innovation process that particularly affects corporate culture, brand value and other imperceptible values that drive the company's competitive advantage.

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