WHY CSR NEEDS TO BE MORE THAN A BOX-TICKING EXERCISE

Doris Pongrac, David Harvey, Robert Tosland and Anand Singh.

A growing cohort of companies are looking for their corporate social purpose.

Sydney businessman David Harvey didn’t hesitate to put his body on the line to raise money for charity. He walked the Kokoda trail, despite recently having major heart surgery. David’s efforts on the Kokoda trail personally raised more than $50,000 for the Foundation.

The executive at Hitachi Construction Machinery is a long-standing supporter of the Humpty Dumpty Foundation, deciding that providing hospital equipment to sick children translated to tangible outcomes.

Recently and in addition to their usual ongoing contributions, Hitachi immediately responded to Humpty’s urgent COVID-19 appeal, which resulted in the donation and delivery of a $60,000 Neo Ventilator for Sydney’s Liverpool Hospital.

David is one of a growing number of business leaders using his executive leadership role to mandate greater CSR inside the walls of his company. He knows only too well that the shift can’t be a box-ticking exercise – a social purpose is a prerequisite for good business these days.

David says that making the shift needs to inspire the whole team and bring them on the journey. ‘A business should aspire to have a social license as well as strong ethics and be seen as committed to wanting to leave the world a better place.

‘It’s about finding ways as leaders to step up and inspire others. And paediatrics touches all of your family, friends and grandparents, so it has broad support from our staff,’ he says.

Hitachi has 30 locations around the country where staff can see firsthand the benefits of supporting the Humpty Dumpty Foundation.

‘Most charities provide limited or no knowledge of where the money actually goes, and many cite high administration expenses,’ David says. ‘But we can see where our money goes, and we also have the opportunity to attend the equipment handovers, so this gives us a real sense of involvement and belonging.’

Hitachi is by no means alone. A growing cohort of Australian companies are exploring how CSR can be embedded into capital spending and financial performance measures. Growing pressure from investors, regulators and staff to prioritise CSR will reshape our nation’s companies over the next few years.

Telling the world how you intend to do better in the future also holds the key to attracting and retaining younger workers. The latest KPMG CEO survey revealed that 86 percent said it was crucial to their employee value proposition.

The survey, which covers 1,300 CEOs globally and 50 in Australia, confirms that CEOs are feeling the pressure to take action.

David says: ‘Any good business must play an active part in the communities in which they work, because this brings greater health to an organisation.

‘Staff want to work for a company that engages and makes a contribution, and that seeks to improve the lives of others and to be engaged in overcoming issues that impact current and future generations.’

For David, the Humpty Dumpty Foundation has plenty of runs on the board, having helped around 500 hospitals and health services improve the care of sick children.

But the Foundation is adamant its achievements are more than mere numbers. Its success is measured by the communities that have been impacted, the difference made to frontline medical teams using the equipment, and the children and families that have been helped in their time of need.