What does CSR mean?

The term corporate social responsibility (CSR) refers to practices and regulations taken up by companies and organizations intended to take ownership of having a positive impact on the world. It is a concept in corporate management that integrates social and environmental commitments throughout a business’s strategy. 

Ultimately, Corporate Social Responsibility (CSR) demonstrates a company’s commitment to ethical operations, positive contributions to society, and efforts to reduce their environmental impact. CSR involves integrating social and environmental considerations into business strategy and decision-making, both of which require going beyond profit to create value for stakeholders, employees, customers, and local communities.

CSR initiatives place a heavy emphasis on:

• sustainability
• diversity and inclusion
• ethical supply chains
• engaging the local community
• transparency and reporting

Although CSR used to be considered as a voluntary mechanism to demonstrate corporate commitment to protect the surrounding environment and society, it is increasingly utilized by regulatory frameworks such as the CSRD (Corporate Sustainability Reporting Directive) and ESRS (European Sustainability Reporting Standards) – now making it an integral component for modern businesses looking to comply with regulatory frameworks.

A strong CSR approach benefits both businesses and society as it boosts brand reputation, engages stakeholders, builds trust, attracts investors, and fosters long-term customer loyalty — all while supporting global sustainability goals.

FAQ

Why is CSR important for businesses today?

CSR is important for businesses today as it can help to facilitate long-term business growth such as helping to strengthen brand reputation, attract new investors, and develop greater consumer trust. As regulations continue to evolve, CSR will also help to ensure compliance with frameworks like the CSRD and ESRS.

What are some examples of CSR initiatives?

Common examples of CSR initiatives include emission reduction strategies, supporting employee well-being, boosting supply chain sustainability, investing in local communities, and publishing transparent ESG reports.

How does Greenly support CSR strategies?

Greenly can support businesses in developing their own CSR strategies by helping to design and implement effective strategies aligned with CSR values, such as by improved emissions tracking, monitoring sustainability metrics, and ensuring your current reporting strategies adhere to global standards like CSRD and ESRS.

‍

Why do companies engage in CSR? 

Corporate social responsibility (CSR) is an international framework for the self-regulation of private business, with the aim of contributing to societal goals by engaging in or supporting volunteering or ethically oriented practices. What was originally an internal private business strategy has now become part of a foundation for international business legislation and regulation to ensure ethical compliance. Businesses may engage in CSR policies for strategic purposes such as improving brand imaging, or for ethical purposes as well. 

‍

What is the difference between CSR and ESG? 

CSR can be easily confused with ESG (Environmental Social Governance), but they differ in the fact that ESG is the measurable assessment or a set of criteria for assessing a company’s CSR.