Fewer than 48% of Canadian private companies have a corporate social responsibility (CSR) plan in place, according to a new report by PricewaterhouseCoopers.
The survey found that, without pressure from shareholders and government regulations, the majority of Canadian private companies have placed CSR low on their priority list, unlike their public counterparts.
But this approach could create trouble down the road, according to Mel Wilson, associate partner with PwC’s sustainable solutions group,.
“Many of these issues that are currently being dealt with on a voluntary basis could very well be regulated in the future,” he said. “Companies would be wise to start operating as if there were regulations in place, so they’ll be in a better position when those regulations actually come along.”
Wilson added that not incorporating a CSR approach could result in missed opportunities for companies.
“Embedding CSR into a business is a good way to stay ahead of competitors and attract talented recruits,” he said.
He noted, however, that many businesses may not know how to start with CSR plans.
He advised a few steps to get companies started on a CSR trajectory:
- creating a long-term vision for what CSR means to an organization;
- identifying the impacts a company’s operations have on the environment and people; and
- measuring CSR performance as quantitatively as possible and communicating that performance to stakeholders.