Transcript Future Trends in Technology IS Strategic Perspective for

Strategic CSR
The New Face of Corporate Social Responsibility
December 15, 2008
Ed Granger-Happ, Global CIO SC/US & UK
Chairman, NetHope
The Rise of Corporate Philanthropy
Increasing strategic impact
2009 – emerging market
partnerships
2008 – skills-based giving
2006 – employee recruitment
2002 – leadership development
1998 – employee response & engagement
1950 – good community citizen
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The Surprise
What’s a principal reason companies partner with causes?
Their customers & employees demand it!
• 71% of consumers are likely to consider a company’s
philanthropic reputation when making a purchase.
– Cone, Inc. Cause Branding Study, 2003
• “Employees will choose companies, as well as remain
loyal to companies, based on the perception of that
company's whole corporate social responsibility…”
– Washington Post, Nov 10, 2005
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Students care about social initiatives
• 50% of incoming
students ask about the
school's Allwin Initiative
for corporate social
responsibility as part of
their decision process
for attending the school.
• 30 of 240 incoming
students, volunteer to
work on nonprofit
boards for the school
year.
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That’s good news for NGOs
Last year during a NetHope collaboration summit of
nonprofit and for-profit technology leaders, the head
of corporate affairs for a leading software company
leaned over to me and said, “Guess what the number
three question applicants are asking us now?” Building
the suspense, she cited the obvious number one and
two questions about salary and career path. “What’s
your corporate social responsibility program,” she
delivered word-by-word after a pause, “It wasn’t even
on the radar screen three years ago.”
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Case Study: Pepperidge Farm
When I asked Paul Amorello, their CIO, what we could
do as a quid pro quo for what his team did for us,
helping to upgrade to Active Directory, he said. “you
already did it.” “Oh?” I asked. “Yes, when my team
came back on Monday morning they were all charged
up about the work they had done at Save. That made
it more than worthwhile.”
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Case Study: Cisco Fellowship Program
• Learn how to manage in chaotic times
– disaster response
• How to manage with fewer resources
• Influence and relationship management
– how to be the “glue”
• Collaborate by example
• Gaining a long-term rather than quarterly view
• “Fellows became more holistic in their thinking” –
Tae Yoo,VP
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Banda Aceh – Ground Zero
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Case Study: Ernst & Young Volunteer Initiative
• Our approach to community engagement enables
our people to apply their workplace skills to create
positive change in communities close to home and
around the world. We take both a national and local
approach to our community engagement, with
sponsorships and affiliations that help our people get
involved in new experiences and give back where it’s
meaningful to them.
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Case Study: Pfizer Global Health Fellows
• Since 2003, 171 Global Health
Fellows have been selected to
work with nongovernmental
organizations (NGOs) in 31
countries to deliver health care
and health system support to
those in need around the world.
• Pfizer colleagues commit to up to
6-month assignments working
with NGOs and multi-lateral
organizations (MLOs) addressing
HIV/AIDS, tuberculosis, malaria,
and other devastating diseases in
developing countries.
Global Health Fellows Video
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Some sobering numbers…
• A recent Wall Street Journal report notes the
following about 13-to-25 year-olds:
– 79% want to work for a company that cares about how it
impacts and contributes to society.
– 69 % are aware of their employer’s commitment to
social/environmental causes.
– 64% say their company’s social/environmental activities
make them feel loyal to that company.
– 56% would refuse to work for an irresponsible
corporation.
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So What Do We Want?
• To be proud of our organizations
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There’s an impending war for global talent
• Millennials: 13-24
(born 1983-94)
• Generation X: 25-41
(born 1966-82)
• Baby Boomers: 42-60
(born 1947-65)
• Matures: 61-75
(born 1932-46)
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The War for Talent is Just Beginning
•
•
•
•
75M baby-boomers to retire (2010-2025)
35M millennials (born 1980-2000) take over
The Math doesn’t work
Two conclusions:
– Will change the nature of retirement
– Job market will be skewed to the sellers: we will both
write our own tickets
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What is this large object?
a very large ship 5 miles inland in the middle of the road
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Collaboration – the NetHope Experience
Increasing Levels of Trust
“Who has expertise I can trust?
Shared
Specialization
Shared Assessments, Services II
Joint Projects
“What can we build together?”
NRK, Phase 2 Satellites
Partnering
“How can we work with corporations?”
Cisco, Microsoft, Intel Grants
Basic Info Sharing
“What are my peers doing?”
Meetings, Conference Calls
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Why is this relevant in a recession?
• Some back-of-the-envelop* math from the 2001 Cisco
Fellowship program: layoffs cost 2.5 times a fellowship
program for 2.3 more savings
• For significantly more internal & external good will
Fellowship Program
Avg Salary (33%)
Fringe (28.5%)
TOTAL
Layoff
Severance (4 mo's)
Outplacement (10%)
Recruiting (30% salary)
Training (10%)
Productivity loss (3 mo's)
Layoff/Fellowship
*purely my envelop!
$
$
$
Cost
40,000
11,400
51,400
Savings
$
52,947
$
15,090
$
68,036
Savings
$
$
$
$
$
$
Cost
40,000
12,000
36,000
12,000
30,000
130,000
2.5
$
154,200
2.3
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Advice from a Hockey Legend
“I skate to where the puck is going to be, not where it has been.”
--Wayne Gretzky
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Further Reading (shameless plugs)
• My Blog:
http://granger-happ.blogspot.com/
• My Web site:
http://www.fairfieldreview.org/hpmd/EGHprofile.nsf
• My recent CSR article:
http://www.masshightech.com/stories/2008/09/01/focus1-Thechanging-face-of-corporate-social-responsibility.html
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Questions?
[email protected]