BREAKAWAY SESSION AT: HOW CAN EMPLOYEE COMMUNITY INVOLVEMENT (ECI) ENHANCE CORPORATE SOCIAL RESPONSIBILITY (CSR)

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1 BREAKAWAY SESSION AT: HOW CAN EMPLOYEE COMMUNITY INVOLVEMENT (ECI) ENHANCE CORPORATE SOCIAL RESPONSIBILITY (CSR)

2 Charities Aid Foundation Southern Africa CAF Southern Africa aims to challenge existing social, economic and political inequalities by increasing resource flows to poor communities Our Mission is: To support and encourage effective investment in society as part of everyone s life Increasing Giving, Philanthropy, Corporate Social Investment & Volunteering in Southern Africa

3 Charities Aid Foundation Southern Africa Our International Identity CAF Global Alliance We are a member of the CAF Global Alliance, headquartered in the United Kingdom. CAF Global distributes funds to causes in over 90 countries with offices in UK, Australia, USA, Canada, Bulgaria, Russia, South Africa, India, and Brazil, and partners across the world.

4 Charities Aid Foundation Southern Africa Our Employee Community Involvement (ECI) work with Corporates & NGOs Policy, Strategy & Planning Payroll Giving Employee Volunteering Matched Giving Due diligence Information/Best Practice Research Increasing Giving, Philanthropy, Corporate Social Investment & Volunteering in Southern Africa

5 Based on international best practice we encourage an holistic approach to the role of business in society we therefore work towards a CSI concept & practice integrated within corporate social responsibility (CSR) strategies

6 Corporate social responsibility (CSR) is a business approach that contributes to sustainable development by delivering economic, social and environmental benefits for all stakeholders.

7 STAKEHOLDERS Environment CSI Payroll Giving C U S T O M E R S Sustainable Development Human Rights CSR ALIGNED WITH BUSINESS ECI HR/ People Employee Volunteering C O M M U N I T Y Ethics Corporate Governance PARTNERS/SUPPLIERS

8 STAKEHOLDERS CSI Payroll Giving C U S T O M E R S CSR ALIGNED WITH BUSINESS ECI HR/ Employee Volunteering C O M M U N I T Y People PARTNERS/SUPPLIERS

9 Our definition of Employee Volunteering Employee Volunteering is freely-given contribution of time, skills and energy for the benefit of society. It is undertaken by employees, either within or outside of working hours and is supported in some way by the employer. Based on clear policy and planned in accordance with the expressed needs of the host organisation, this form of volunteering should result in benefits for company, community and the volunteers themselves. CAF Southern Africa

10 Payroll Giving CAF Southern Africa s Approach Give as you Earn (GAYE) is CAF Southern Africa s payroll giving model. GAYE provides employers with the opportunity to offer employees a simple, safe and tax effective means to contribute directly from their salaries to credible causes that make a positive difference in society. Monthly contributions are made via the company payroll and CAFSA manages the due diligence, disbursement and reporting. Contributing employees are linked via CAFSA directly to their chosen organisations and receive recognition and feedback. Recipient organisations appreciate payroll giving contributions as they may be used towards whichever aspect of their budget they choose, including operating expenses.

11 We will be exploring together: How can strategic and collaborative approaches to Employee Community Involvement (ECI) create and drive meaningful and lasting change?

12 We will be sharing our experiences of strategic and collaborative ECI: How are you involved with ECI? What are some examples of strategic ECI (e.g. ECI that is aligned with business purpose)? Identify and describe some positive examples of collaboration. Recommendations for making ECI more strategic and collaborative

13 BLENDED VALUE In 2000 Jed Emerson presented the concept of Blended Value with a focus on investment strategies that would create financial returns while simultaneously creating important social and environmental returns SHARED VALUE Subsequently Porter and Kramer built upon the Blended Value concept by proposing that companies could gain a competitive advantage through CSR if they applied the principle of Shared Value

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16 CSR and Aligned Business Practice HIGH VALUE Innovation LONG TERM Shared Value & Sustainability OUTCOMES COMPLIANCE SHORT TERM Reactive CSI/ECI INPUTS Pragmatic CSI/ECI SECONDARY LOW VALUE Integrated CSR CORE BUSINESS OPPORTUNITY PROACTIVE TOWARDS SHARED VALUE - CHANGING BUSINESS & SOCIETY

17 Employee Community Involvement provides VALUE for all Stakeholders: For the Company Ideal way for companies to involve employees in CSR initiatives Enhances employee benefits offering Enhancement of B-BBEE & corporate citizenship profiles Costs of matching contributions and administration are tax deductible Improves staff morale, recruitment & retention For Employees Pride in working for a socially responsible company GAYE element provides simple, safe and tax efficient way to make a difference Facilitates individual giving that aligns with both personal and professional values CAFSA provides assurance that chosen beneficiaries legitimate Via CAFSA employees are linked to their chosen beneficiaries For Communities Builds cross-sectoral relationships & cooperation Payroll Giving provides unrestricted & regular income Well-managed Employee Volunteering provides additional skills, experience, labour, in-kind contributions Assured voluntary support/eci facilitates forward planning Reduced administration and fundraising costs Contributes to sustainability

18 Employee Community Involvement (ECI) Employee Community Involvement is a key aspect of corporate social responsibility. It allows ordinary employees to determine priorities and thereby creates grassroots links between the business and the community. Employees become the ambassadors of the company in those communities. Company resources are matched by employee enthusiasm and above all, employees bring to the community the special skills and problem-solving abilities of the corporate sector. Business in the Community

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21 Thought leadership and Innovation Increasing Giving, Philanthropy, Corporate Social Investment & Volunteering in Southern Africa

22 A CAFSA BEST PRACTICE EXAMPLE: ONE OF OUR ECI PROJECTS FOR A LARGE MULTI-NATIONAL CLIENT: Develop a global Employee Volunteering Strategy which prioritises Skills-Based Volunteering that creates shared value for the Group and all relevant Stakeholders (local communities including NGOs; small enterprise including in XXX supply chain; local authorities and other government structures.

23 ANOTHER CAFSA BEST PRACTICE EXAMPLE: ONE OF OUR ECI PROJECTS FOR A LARGE SA CLIENT: Objectives of the strategic focus on ECI To establish the principle that community development is everybody s responsibility To contribute towards branding xxx externally as a caring company To foster a sense of pride and community within the Group To contribute towards B-BBEE requirements Founding Principles of the Programme: Aligned with SA social and xxx sector context Aligned with xxx business and CSR/CSI Inspired by xxx Company Values: Empowered to grow and contribute Teamwork Committed to excellence Honest responsibility

24 Charities Aid Foundation Southern Africa Increasing Giving, Philanthropy, Corporate Social Investment & Volunteering in Southern Africa