Money makes the world go around–or does it?
Why CSR is no longer just an option and how to make the most of it
In 1970, renowned economist, Milton Friedman, wrote: “The social responsibility of business is to increase its profits,” suggesting that corporate directors are accountable only to their shareholders, and only on financial metrics. Since then, however, a fundamental paradigm shift has occurred, and Corporate Social Responsibility (CSR), which the European Commission defines as “a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis,” is moving to the top of board agendas.
An advert by Colgate during this year’s Super Bowl powerfully emphasized how companies are becoming increasingly concerned about social impact. Colgate, rather than advertising its product, chose to spend 30 seconds of advertising time during the 2016 Super Bowl—estimated to cost around US$5 million— to tell viewers to save water, spreading a socially conscious message.
Inside magazine issue 12, June 2016
Inside is Deloitte’s quarterly magazine offering an exclusive insight into best practices, trends and opportunities faced by our clients across all industries.
Inside focuses on the main hot topics relevant for the market (Asset management, Banking, Insurance, Public sector, Healthcare, Private equity, Real estate, TMT, Manufacturing and consumer business, Transport and logistics).