It has been stated that Corporate Responsibility is a company´s responsibility over its social impacts. These impacts are economic, social and environmental by nature (Niskala, etc. 2013, 7). There are several different kinds of stakeholder groups who have eyes for a company´s social impacts (Niskala, etc. 2013, 73). Corporate Responsibility promotes innovativeness within companies, enhances risk management and enables growth that is in line with sustainable development. Responsibility within companies also helps to secure healthy business conditions in the long run. (http://www.fibsry.fi/fi/fibs25-en/cr-is-here-to-stay.)
Finnish Business and Society association (FIBS) states that responsibility brings competitive edge as the company can offer something the competitors do not have. By creating suitable solutions, a company can meet customers’, the personnel’s and investors’ expectations and the company will differentiate from its competitors. Companies are very willing to tell about their responsible behavior and luckily there are national and international directions on how to report uniformly of Corporate Responsibility (Niskala, etc. 2013, 7).
One of the most popular reporting models of Corporate Responsibility is Global Reporting Initiative (GRI). The GRI is a leading organization in the sustainability field. GRI promotes the use of sustainability reporting as a way for organizations to become more sustainable and contribute to sustainable development (https://www.globalreporting.org/information/sustainability-reporting/Pages/default.aspx).
Fokus 14 seminar was held in March, 2014 where Timo Ritakallio, the deputy managing director of Ilmarinen stated:” If you have not integrated responsibility into your business, today is the latest day to start “ (Kauppalehti, Analyysi, 14.3.2014). Ritakallio has it right, and hopefully in near future responsibility will be seen in core of all businesses. But I think there is a lot to do in business-life. According to a Finnish study of Corporate Responsibility only 5 % of Finnish large companies are setting any targets over the Responsibility. This is odd because at the same time 42 % of companies are telling that with the help of Corporate Responsibility program companies have managed to reduce costs and gained additional sales. (FIBS, http://www.fibsry.fi/fi/uutishuone#/pressreleases/fibsin-yritysvastuututkimus-2014-yritykset-hyoetyvaet-vastuullisuudesta-enemmaen-kuin-uskovatkaan-973167).
Timo Routti, the Managing Director of Finnish Business and Society association (FIBS ) commented the result of the study: ”It seems that companies are profiting more about Corporate Responsibility than they have believed. It would be beneficial if companies set concrete economic targets to all operations and by indicators companies are able to follow the result and develop further its functions”.
The above-mentioned study shows that as far as Corporate Responsibility is known only by few members of the Board of Directors the importance and possibilities are not fully exploited. Unfortunantely it is not yet seen as a genuine success factor. Doing business responsibly is absolutely necessary for the society’s well-being. Corporations play a key role in resolving the earth’s economic, social and ecologic problems. In the best-case scenario, corporate responsibility shows in people’s everyday life and in environmental conditions directly. (http://www.fibsry.fi/fi/fibs25-en/cr-is-here-to-stay.)
FIBS association, http://www.fibsry.fi/fi/fibs25-en
Global Reporting Initiative, https://www.globalreporting.org/Pages/default.aspx
Niskala, Mikael & Pajunen, Tomi & Tarna-Mari Kaisa, 2013. Yritysvastuu, raportointi- ja laskentaperiaatteet. Bookwell Oy, Porvoo.