[Video Link for Email/Other Subscribers - 7min]
Speaking at the Business for Social Responsibility Conference last November, Jeffrey talks about GE’s stance on CSR and given the current economic environment, 5 points on how its role is changing. I wish there was more to this video to see, as some of the quotes are seriously dying for more context in order to be meaningful. Nonetheless, they are as follows:
This Economic Crisis Represents a Reset, Not a Cycle
Businesses will owe a a greater amount of transparency and engagement to stakeholders, communities, employees, and the government. Prosperous will be those business leaders who understand and apply this commitment to public accountability - Woe and suffering to those who don’t.
People Are Afraid Because They Don’t Think They Can Compete Anymore
All over the world, people are afraid because they’re unsure how the financial crisis will further impact the economy and what implications it might hold for their work and personal lives. Some folks don’t know how or in what positive/neutral/negative manner their job is impacting the ‘bottom line’ for the company, and that can be quite discouraging. The burden now is on business to turn this fear into confidence by forging a path to competitiveness through managerial leadership and collective action.
Corporate Social Responsibility Has to Be Strategic
To be effective and meaningful, CSR had to aligned with business goals including profit. In this manner, it will never become superfluous or redundant. Specifically, there are four pillars to great CSR programs:
- Focus on “corporate”, because competitiveness and profitability are paramount.
- Run the company on trust, which means compliance, governance, and transparency.
- Have a long-term commitment to the company’s culture and your people.
- Orient the company to solve social problems.
Engage With External Parties Including Those That Make You Uncomfortable
According to the BSR Summary, “Immelt said that in the early years of his career, he had a “healthy dislike for environmental NGOs,” but “the only thing you can do in a reset world is learn how to engage.” He credited his change of mindset to a more pragmatic approach leading to successful engagement between GE and NGOs.”
Adherence to These Points Should Earn You the Right to Compete Globally
Globalization is an earned right. “Immelt views corporate globalization as essential to competitiveness, and he detailed some of the economic benefits that GE is able to provide as a result of globalization. Elaborating after a question from the audience, Immelt stated that despite the bad name that conglomerates sometimes have, globalized organizations like GE are by nature diversified and better able to navigate economic challenges.”
-
[via GE Reports channel on YouTube]
Hello Reader! If you’re new here (and like my writing!), you may want to subscribe in order to get the freshest doses of business & design. Choose from either the RSS feed or get an email subscription (daily or weekly option). Thanks for visiting!
