Monday, November 26, 2012

Earning a License to Lead

Bookmark and Share Mark Hass, President and CEO of Edelman U.S.

Edelman turned 60 years old this summer, and the firm’s leadership and employees marked the anniversary by dedicating themselves to a summer of service in the 66 communities around the world where we live and operate.

We got a lot done, from Shanghai to Chicago, and our employees were energized with the idea that businesses in 2012 and beyond can play a key role in addressing many of the issues troubling our world. But to truly make a difference, this idea must extend beyond a summer of service into an ongoing commitment to make a business’s value to society every bit as much a priority as a return on equity. What’s more, with trust in government and media declining in most places in the world (source: Edelman Trust Barometer 2012), the time is right for business to play a larger role. 

A company’s customers, employees and other stakeholders expect that approach. Data that Edelman gathers as part of its Trust Barometer, GoodPurpose and 8095 studies show that:

  • Societal attributes are more important to building future trust than operational attributes; 86 percent of people believe business needs to place at least equal weight on society’s interests as on business interests
  • Young people especially demand that business act with their communities in mind; nearly 50 percent say it’s important for a company to be an active member of its local community, and 41 percent say it’s important for a company to be involved in a global cause.

There are many great examples of companies that advance their values in the communities in which they operate.  Southwest Airlines has adapted its legendary corporate culture to the more than 90 communities it serves through a network of 40,000 employees who volunteer on a regular basis, embodying the company’s “live by golden rule” ethos.  And Starbucks’ Shared Planet conveys the commitment the company has to progressive social and environmental initiatives. (Disclosure: Southwest Airlines and Starbucks are Edelman clients.)

At Edelman, citizenship is an operating philosophy – in fact it’s one of the firm’s key values. Overall priorities and objectives are shared across the firm, like in supporting hunger and poverty alleviation during our Summer of Service, but local offices are empowered to determine how best to engage with their communities. 

We’ve also joined “A Billion + Change,” committing 15,000 hours of pro bono consulting with a $2.25M value to our communities. This national coalition of business, government and non-governmental organizations hopes to transform how businesses leverage their employees to make a lasting impact on society.

Every action business takes will matter.  Whether limiting greenhouse gases (Edelman is committed to reducing its greenhouse emissions by 5 percent by 2015) or expecting ethical behavior from business partners, no single undertaking exists on its own. And success ultimately relies on the actions of individuals who are motivated and supported by their employer. 

I’m grateful to be a part of a firm that walks the talk when it comes to making community service a vital part of our culture and our business operations.

A couple of weeks ago, I joined colleagues for an afternoon of service at the Off the Street Club, Chicago's oldest boys and girls club, which gives 4- to 18-year-olds a safe and friendly place to be in a neighborhood where gangs and drugs are can seem ever-present.  We gave the club a cash donation, but more importantly we talked with the kids, joked around and helped them carve Halloween pumpkins.

I’m not naïve enough to believe that one afternoon like that changes everything for those children, but I do believe that the more days like that they have, the better the world will be.  And surely, those few hours at the club were the most important work I did that day.

How is your company making citizenship a business imperative? I’m interested in your experience. Email me at mark.hass@edelman.com.

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