If you’re a nonprofit professional trying to determine how corporate social responsibility applies to your organization, you’re in the right place! Corporate social responsibility can have a huge impact on not only your organization’s revenue, but also your relationships with companies.
In this guide, we’ll outline what exactly corporate social responsibility is, as well as how it directly impacts nonprofits.
Read along with us from the top or use the below navigation to find the sections that most interest you:
- What is Corporate Social Responsibility?
- Types of Corporate Social Responsibility
- Top Two Corporate Social Responsibility Examples
- Top CSR Companies
- Learn More About Double the Donation and 360MatchPro
What is Corporate Social Responsibility?
Corporate social responsibility (CSR) refers to a company’s attitude and efforts toward improving society. CSR helps companies be socially accountable through a variety of avenues, including philanthropic practices, economic factors, and environmental awareness.
Key CSR Statistics: Why It’s Important
Corporate social responsibility is important because it impacts more than just companies. It impacts employees of those companies, nonprofits, and the greater community.
According to recent statistics:
- The top 10 matching gift companies will match on average up to $47,500 per employee per year.
- The top 10 corporations donate over $2 billion annually in cash to nonprofits, much of it through employee matching gift programs.
- 40% of Fortune 500 companies offer volunteer grant programs.
- About 63 million Americans volunteer each year, which totals to 7.7 billion hours and is worth approximately $175 billion annually.
These numbers are a direct result of CSR. Without this kind of positive corporate attitude toward nonprofits, organizations wouldn’t be able to raise nearly as many funds for their missions. However, there’s still a lot more that organizations can do to successfully leverage corporate social responsibility.
What Are the Benefits of CSR?
CSR comes with many benefits. Businesses can give back to the community and build a positive image around their company brand, and nonprofits can continue working toward their missions with extra support from these companies. More specifically:
Employees enjoy working for companies that take part in CSR because of the positive public image that results. When an employee’s company is constantly in the media for good reasons, they will be more engaged in their roles and proud of their company’s CSR. Employees also feel valued when companies support the organizations they care about.
Society as a whole can also benefit from CSR. Companies that are mindful of the impact they can make socially, environmentally, and economically will be able to help improve society. Society then benefits when companies give back and help solve everyday issues.
Social Value for Companies
When companies take part in CSR, consumers are more likely to want to work with them or purchase their products or services. Companies that offer this kind of positive social value will be more successful and form stronger relationships within their communities.
Nonprofits are consistently working toward a mission that targets the greater good. When CSR programs provide them with grants, matching gifts, and other forms of support beyond individual donors, nonprofits have more resources to perform important tasks.
Types of Corporate Social Responsibility
A large part of CSR consists of corporate philanthropy. Corporate philanthropy is the act of a company promoting the welfare of others, usually through charitable donations of funds. This type of CSR serves humanity by donating time, money, or resources to different nonprofits with varying causes, such as human rights, disaster relief, and educational programs.
One of the main types of corporate philanthropy programs is matching gifts. Companies will encourage their employees to donate to nonprofits and then match their charitable donations at a certain ratio.
For example: Visa will match a maximum of $5,000 per employee at a 1:1 ratio.
Volunteerism is another type of CSR in which companies encourage their employees to volunteer with nonprofits. This benefits both companies and nonprofits; employees will be seen volunteering with charitable causes, and nonprofits will receive valuable time and work at the same time.
In addition to the above, nonprofits can also obtain additional revenue from volunteer grants. Volunteer grants are monetary donations companies give to nonprofits where their employees regularly volunteer.
For example: Microsoft will provide a grant of $25 per every hour an employee volunteers.
Companies that participate in CSR are taking on more responsibilities than just providing resources to nonprofits. CSR helps many companies fulfill their environmental responsibilities, as well.
This includes reducing air, land, and water pollution. When companies take the lead on such initiatives, this improves their public image, but also helps the greater community by working to improve environmental conditions everywhere.
For example: Intel estimates that their water conservation efforts have saved about 44 billion gallons of water over the past decade, which is enough to sustain more than 400,000 U.S. homes for one year.
Companies also have a responsibility to their own employees. CSR encourages companies to look after the welfare of their employees. This includes practicing fair labor, not discriminating among employees, providing equal pay for equal work, and offering a better living wage.
When companies commit to this type of CSR, their employees will be happier and more productive as a result. A healthy work environment goes a long way to benefit companies.
For example: According to Sony Corporation, “The Sony Group Code of Conduct anchors the ethics and compliance program. It establishes Sony’s standards for ethical and responsible business conduct, core ethical values and the basic policies on important topics.” Sony has been recognized as one of the “2019 World’s Most Ethical Companies” by the Ethisphere Institute.
Companies also have an economic responsibility. In terms of CSR, economic factors refer to the balance between business, environmental, and philanthropic practices. Companies orchestrate their business growth and generate profits by helping the greater community.
This means CSR companies are paying their taxes, investing in their communities, and paying it forward for the greater social good.
For example: According to Intel’s recent CSR report, they invest in education and digital skills training to help communities and countries advance their economic development and improve their competitiveness.
Top Two Corporate Social Responsibility Examples
#1: Matching Gifts
Matching gifts are one of the most common CSR programs for companies. Essentially, companies will match the donations their employees make to nonprofit organizations at a specific ratio, usually 1:1 (though many companies match at a higher ratio, such as 2:1 or even 3:1!).
Impact of Matching Gifts
This CSR program can have a huge impact. For example:
- 65% of Fortune 500 companies offer matching gift programs.
- Over 18 million individuals work for companies with matching gift programs.
- 12% of total corporate cash contributions to nonprofits are made through matching gift programs. Corporations donated a total of $23.8 billion to nonprofits in 2018.
Raising More Through CSR
Your organization can raise more through CSR by leveraging a matching gift database, such as 360MatchPro by Double the Donation. This database automates much of the process surrounding matching gift submissions, reducing the effort needed from your team.
Takeaway: The more awareness there is surrounding matching gifts, the more nonprofits can receive from CSR companies.
#2: Volunteer Grants
Volunteer grants are another impactful form of CSR programs for companies. When a company’s employees regularly volunteer at a nonprofit, they can submit a request for a volunteer grant from their employer. Companies generally have guidelines, such as a minimum number of volunteer hours to be met or types of eligible organizations, before they issue a check to the nonprofit.
Impact of Volunteer Grants
Volunteer grants are frequently overlooked forms of CSR, but can make a huge difference for nonprofits. For example:
- 40% of Fortune 500 companies offer volunteer grant programs.
- 80% of companies with volunteer grant programs provide between $8-$15 per hour volunteered.
- The average corporate volunteer participation rate is 30%.
Raising More Through CSR
Your organization can raise more through CSR by leveraging a CSR database, such as 360MatchPro by Double the Donation. This database automates much of the process surrounding volunteer grant submissions, helping your supporters easily determine whether their company offers such grants.
Takeaway: Volunteerism is growing, which is why companies that take part in CSR initiatives can help nonprofits work toward their mission with extra helping hands and resources.
Top CSR Companies
Disney is a multinational mass media and entertainment conglomerate. Over the years, the company has taken a number of initiatives in their CSR strategy.
According to their most recent CSR report, Disney has taken strides to reduce their greenhouse gas emissions, minimize waste, and conserve water resources. They also offer competitive pay to their employees, health and wellness benefits, and family support, and promote diversity and inclusion.
Disney will match a maximum of $25,000 in donations per employee per year at a 1:1 ratio. Last year, Disney gave $338.2 million in charitable contributions.
Microsoft is a multinational technology company that manufactures, licenses, supports, and sells computer software, consumer electronics, personal computers, and more. Microsoft is also an excellent example of a CSR company.
According to their CSR initiative, Microsoft has committed to helping reduce operational emissions by 2030. The company has also committed to ensuring their suppliers are socially, environmentally, legally, and ethically responsible, and that those who work for them are treated fairly.
This CSR company matches up to $15,000 in donations per employee per year at a 1:1 ratio.
Microsoft states they are committed to supporting their employees’ wellness and safety, and also strives to bring resources to underserved communities all around the world.
Google is a technology company that specializes in Internet services, including its search engine, software, hardware, and online advertising technologies. Google is a top CSR company largely due to their 5-year goal to award $1 billion in grants and contribute 1 million employee volunteer hours.
According to Google, the company strives to combine funding, innovation, and technical expertise to support underserved communities and help solve the challenges these communities face each and every day. This includes humanitarian relief, data tracking for disease spread, and more.
Google supports organizations that address social and environmental challenges. For every hour an employee volunteers with an eligible organization, Google will provide a $10 grant to the nonprofit.
Learn More About Double the Donation and 360MatchPro
As much as CSR makes a difference in the greater community, it can be difficult as a nonprofit to find specific opportunities that will benefit you and your mission. This is especially true if you’re a larger organization or university.
This is where a matching gift and volunteer grant database comes into play. Because these are two of the most popular CSR programs, it should be easy for donors to find information about matching gifts and volunteer grants. A comprehensive database like Double the Donation’s can help your supporters find out if they work for a company that takes part in CSR programs—more than 8,500 organizations use Double the Donation’s database, and it covers more than 20,000 companies and subsidiaries!
Software for Nonprofits to Raise More Money from Matching Gifts and Volunteer Grants
If you’re part of a small to mid-sized organization looking to increase its matching gift revenue, Double the Donation offers an embedded plugin for use on donation pages, confirmation pages, and other places on your website. This plugin offers direct access to the database’s company search tool, allowing your donors to search for their employer’s CSR program information.
The Premium Plan from Double the Donation is beneficial because:
- It provides flexibility with how organizations integrate the plugin into their website and donation process.
- The plugin is easy to use and works right away.
- The plugin is customizable in terms of branding, but still looks great as is!
If your organization receives more than $25,000 in matching gift revenue each year, there’s another option for you: 360MatchPro by Double the Donation, which is a matching gifts automation platform. Once a supporter has interacted with your organization, such as by submitting a donation, 360MatchPro will automate the process to secure a matching gift (or volunteer grant for volunteers!).
Here’s how it works:
- Once a supporter makes a donation to your organization, 360MatchPro will automatically scan for information provided during the donation process, such as email domains or employer information, to determine match eligibility. The supporter can also manually search for their employer’s matching gift program in a company name search tool.
- If identified as match eligible, the platform will automatically trigger an email to the supporter with information about how to submit a match request to their company. If their eligibility is undetermined or they’re likely ineligible, they will receive instructions on how to double check their eligibility.
- Once your supporter’s information has been collected, the platform will help you track matches through to completion, allowing you to form a stronger relationship with each supporter and stay updated on their match request.
A database like 360MatchPro can offer benefits for your team because:
- When your supporters can easily determine if their employers participate in corporate giving programs, they’ll be more likely to engage with your organization and you’ll improve your relationship with them.
- When it’s easier to find the information your supporters need about CSR, this will make them more likely to give to your organization and request a donation match on your behalf.
- When more supporters give to your organization, this will in turn boost your revenue and allow your organization to continue working toward its mission.
Having the right tools and resources to help promote CSR and boost your organization’s impact is incredibly important. Databases like Double the Donation and 360MatchPro can help you more effectively meet this challenge.
Additional CSR Resources
- Matching Gifts Guide. Matching gifts are a top CSR program that can benefit nonprofits. Learn how your organization can start automating your matching gift process!
- Corporate Giving Guide. Corporate giving is on the rise, so it’s important to understand the basics. Discover ways your organization can leverage this form of corporate philanthropy!
- Corporate Philanthropy Guide. Corporate philanthropy impacts both nonprofits and companies. Explore the ways your organization can benefit and start raising more!