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What are some examples of successful CSR crisis management?

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Corporate social responsibility (CSR) is the commitment of businesses to act ethically and responsibly towards their stakeholders, society, and the environment. CSR can enhance a company's reputation, customer loyalty, and social impact, but it can also expose it to risks and challenges. How can businesses manage CSR crises effectively and restore trust and confidence?

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Cmdr (Dr.?) Reji Kurien Thomas , FRSA, MLE?

I Empower Sectors as a Global Tech & Business Transformation Leader| Stephen Hawking Award 2024| Harvard Leader | UK…
SUHAS BUDDHE

CMD at BIOCARE INDIA PVT LTD,STARTUP MENTOR ,NATURE BASED SOLUTIONS ,CARBON CREDITS
Felix P. Nater. CSC

1 Define CSR crisis

A CSR crisis is a situation that threatens a company's social license to operate, damages its reputation, or harms its stakeholders. A CSR crisis can be caused by internal factors, such as misconduct, negligence, or corruption, or external factors, such as natural disasters, social movements, or regulatory changes. A CSR crisis can have negative consequences for a company's financial performance, legal compliance, and stakeholder relations.

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SUHAS BUDDHE

CMD at BIOCARE INDIA PVT LTD,STARTUP MENTOR ,NATURE BASED SOLUTIONS ,CARBON CREDITS
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CSR crisis management is the process of handling a crisis effectively to minimize damage and maintain public trust. Successful crisis management involves honest communication, prompt response, taking responsibility, showing empathy, taking action and learning from the experience. It is essential to have a well-defined crisis management plan in place before a crisis occurs and to practice and refine that plan regularly to ensure that the company is prepared to respond effectively to any unexpected events.

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Chet Brandon, CSP, CHMM

Executive Leader of EHS & Sustainability | Organizational Change Agent | Leadership Team Development | Manufacturing Operations
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In order to successfully define what a crisis is in the context of your organization, you need to have a solid crisis management program. This means sitting down and writing it out before hand. Benchmarking other companies is a great way to start. There are also specialist consultants that can help you with it. And of course there’s always talking with peers. Online management systems for crisis management and business continuity also exist, and are a great resource as well.

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Jorge Nuncio

Business Executive
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As principais crises de RSE decorrem da inércia empresarial, seja por falta de a??o, por a??es irrelevantes ou a??es estagnarias.

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2 Prepare for CSR crisis

The best way to deal with a CSR crisis is to prevent it from happening in the first place. This requires a proactive approach to identify and mitigate potential CSR risks, such as conducting regular audits, assessments, and stakeholder consultations, establishing clear policies and codes of conduct, and implementing effective governance and accountability mechanisms. A company should also have a crisis management plan that defines the roles and responsibilities of the crisis team, the communication channels and strategies, and the contingency measures and resources.

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Jorge Nuncio

Business Executive
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A falta de a??o, sem dúvida, é o erro mais grave, e acaba por contaminar todas as atividades desta empresa e seus clientes, que veem o modelo de negócio como efetivo, mesmo havendo inúmeros melhoramentos possíveis de serem feitos.

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3 Respond to CSR crisis

When a CSR crisis occurs, a company should act quickly and transparently to address the issue and communicate with its stakeholders. A company should acknowledge the problem, apologize sincerely, and take responsibility for its actions. A company should also explain the causes and consequences of the crisis, the actions and solutions it is taking, and the expected outcomes and impacts. A company should also engage with its stakeholders, such as customers, employees, investors, regulators, media, and civil society, and listen to their feedback and concerns.

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Jorge Nuncio

Business Executive
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A resposta a crise precisa transcender os aspectos legais e estar vinculada a efetividade, onde, a empresa possa de maneira visível até por um leigo da área, demonstrar que houve mudan?a na política de sustentabilidade e que suas a??es est?o gerando impacto social e ambiental relevantes.

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4 Recover from CSR crisis

After a CSR crisis, a company should focus on restoring its reputation and rebuilding its relationships with its stakeholders. A company should monitor and evaluate the effectiveness of its crisis response and the satisfaction of its stakeholders. A company should also learn from the crisis and improve its CSR practices and performance. A company should also report on its progress and achievements and demonstrate its commitment and credibility.

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Jorge Nuncio

Business Executive
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A recupera??o da crise de RSE é lento, principalmente, por precisar reconstruir a imagem que foi danificada em decorrência dos fatores da crise. As a??es empresariais v?o precisar estarem focadas em dados efetivos e auditados, em comprova??o social e, acima de tudo, por uma mudan?a clara de mentalidade, nem que isso venha a custar demiss?es em cargos gerenciais.

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5 Examples of successful CSR crisis management

Successful examples of companies managing CSR crises include Starbucks, Johnson & Johnson, and Patagonia. In 2018, Starbucks responded to a public backlash by closing more than 8,000 stores for a day to conduct racial bias training and launching initiatives to promote diversity. Johnson & Johnson faced a major crisis in 1982 when seven people died after taking Tylenol capsules that were laced with cyanide; the company responded by recalling more than 30 million bottles of Tylenol, launching tamper-proof packaging, and offering free replacements and coupons to its customers. Patagonia faced a challenge in 2011 when it discovered some of its suppliers were using mulesing; the company responded by terminating its contracts with those suppliers and launching a campaign called “The Footprint Chronicles” to disclose its environmental and social impacts.

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Jorge Nuncio

Business Executive
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Os exemplos de gest?o bem-sucedida n?o devem ficar restritos a dados puros, como por exemplo, destinar um determinado valor do Lucro, ou, X milh?es de dólares, como uma medida compensatória, como se fosse um passe-livre para n?o ter responsabilidade. Os exemplos mais claros, s?o os de mudan?a de cultura, come?ando por educa??o e conscientiza??o dos seus colaboradores, até o consumidor final, contemplado todo o ciclo, toda a cadeia que a empresa atua. Através de a??es amplas, é que a efetividade come?a a dar resultados e os números s?o agregados a cultura, e tudo faz muito mais sentido dentro de uma empresa com RSE.

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Bart Lacroix

?? GoodUp Founder - I help CSR and Sustainability Leaders boost their Impact by unlocking the potential of Employee Engagement
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Here a few examples of successful CSR crisis management ?????? Lego's Plastic Promise ? Hit with criticism for plastic use. ? They pledged to go 100% sustainable by 2030. ? Investing in plant-based and recycled materials. Nike's Labor Leap ? Faced heat for labor practices. ? They revamped their approach, ensuring fair labor worldwide. ? Now a leader in ethical manufacturing. Tesla's Eco Evolution ? Questioned over battery impact on the environment. ? Invested in recycling programs and sustainable battery production. ? Leading the charge in eco-friendly automotive tech. IKEA's Forest Focus ? Faced concerns over wood sourcing. ? Committed to sustainable forest management. ? Now a role model for responsible resource use.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Cmdr (Dr.?) Reji Kurien Thomas , FRSA, MLE?

I Empower Sectors as a Global Tech & Business Transformation Leader| Stephen Hawking Award 2024| Harvard Leader | UK House of Lord's Awardee | Fellow Royal Society | CyberSec | CCISO CISM CCNP-S CEH
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In today's digital age, utilizing online platforms effectively is crucial. A retail chain I observed utilized social media to address a misinformation crisis about their products. By directly engaging with customers online, providing factual information & transparency, they successfully managed the crisis, demonstrating their commitment to open dialogue & customer satisfaction Investing in community projects can significantly bolster a company's CSR profile during a crisis. A real estate company I advised, facing backlash over development projects, invested in local community development programs. This not only alleviated the crisis but also established the company as a community-centric organization.

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Felix P. Nater. CSC
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I would like to add that missing is the lack of workforce inclusion in considering the human dimension. One of the benefits of CSR is achieving outcomes by creating internal understanding and buy-in that helps organizations define, and communicate their core values and purpose, which can guide the behavior and decisions. Often assumed is that the workforce can’t add value because they are not a management function. How then could the success stories referenced maneuver during a financial crisis without their people driving day to day activities?

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What are some examples of successful CSR crisis management?

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3

4

5

6

1 Define CSR crisis

2 Prepare for CSR crisis

3 Respond to CSR crisis

4 Recover from CSR crisis

5 Examples of successful CSR crisis management

6 Here’s what else to consider

Corporate Social Responsibility

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What are some examples of successful CSR crisis management?

1

2

3

4

5

6

1 Define CSR crisis

2 Prepare for CSR crisis

3 Respond to CSR crisis

4 Recover from CSR crisis

5 Examples of successful CSR crisis management

6 Here’s what else to consider

Corporate Social Responsibility

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