What is corporate social responsibility?

What is corporate social responsibility? 372 336 Climatetrade

Corporate social responsibility (CSR) is a mechanism implemented by companies based on the management and measurement of the impact the development of their activity generates on their customers, employees, shareholders, local communities, the environment and on society in general.

According to the definition of CSR, European Commission (2011), companies must collaborate with stakeholders in a process aimed at integrating social, environmental and ethical concerns, into their business operations and their basic strategy, in order to:

  • Maximize the creation of shared value for all stakeholders and society in a broad sense.
  • Identify, prevent and mitigate the possible adverse consequences of their actions. The complexity of this process will depend on factors such as the size of the company and the nature of its operations.

The CSR encourages innovation, facilitates management and generates profitability, provides value and confidence and all this results in an improvement of corporate reputation and contributes to increasing legitimacy. These factors, in turn, positively influence business competition.

In this regard, it is necessary to highlight that, due to the rise of corporate social responsibility, numerous texts have been developed that encourage and help companies when making commitments. Among them, the “The Green Deal” stands out, an initiative prepared by the European Commission that sets out the standards of corporate social responsibility.

CSR and the transition to carbon neutrality

The CSR as a management instrument which intends to move towards the most committed business activity in the economic / labor, social and environmental fields, is also shown as a relevant framework to address the challenge of fighting climate change.

Therefore, in order to reach a sustainable future for present and future generations, it is a challenge for companies to address a change in mentality and business culture that implies new practices. One of these challenges is to achieve carbon neutrality, and in order to reach this goal, it is necessary to offset carbon emissions, this is undoubtedly one of the most effective and innovative ways to fight the threat of Climate Change through a highly transparent and straightforward methodology that aims to bring down global emissions.

From ClimateTrade we offer companies a simple way to offset their carbon footprint and contribute to projects that aim to tackle climate change. In the same way, we work with businesses willing to make an impact and help increase their corporate social responsibility initiatives. We offer your company the possibility to invest and develop projects aligned with their goals with tailor-made campaigns.