At your service: four strategies to engage in corporate social responsibility.

• Author: Saddlemire, Linda M.
• Position: Community service

Community engagement and public service have historically been valued in the accounting profession--and with good reason. Along with a genuine desire to address social and environmental concerns, investing in corporate social responsibility (CSR) activities makes good business sense for accounting firms of all sizes. For example, numerous studies support the argument that CSR improves profitability; customers have a positive reaction to philanthropic efforts, which heightens their loyalty to the organization; and CSR can attract new business, as many consumers and investors are drawn to companies with that strong commitment.

The same is true for attracting and retaining employees. Employees, especially the millennial generation, are often motivated by purpose and are therefore drawn to companies with a clear CSR commitment. There is also empirical evidence that shows a positive correlation between CSR efforts and employee behaviors on the job, such as interpersonal cooperation and increased job effort.

In addition, studies support CSR efforts correlate to employees reporting increased health and happiness, and therefore the company benefits by having a more satisfied and loyal workforce.

All of these benefits underscore the purpose behind the AICPA's 22-year practice of awarding public service awards to recognize individual CPAs and firms who have distinguished themselves through volunteer actions to serve their communities.

CalCPA and other state CPA societies also do the same.

Even broader than the accounting industry, the concept of a business' public service or CSR has been around since the early 1950s, and has increasingly become the expectation of business leaders. In fact, some will argue that CSR is no longer an option, rather "It's emphatically and indisputably a must do." (2013 Cone Communications/Echo Global CSR Study).

CSR is commonly defined as a commitment to improve the wellbeing of society through discretionary business practices and contributions of company resources.

It is often achieved by donating financial resources (philanthropy), time (employee volunteering) and skills (training of community members). Since business represents one of the most powerful and influential institutions in our society, it also bears great responsibility in addressing our global society's many needs, include extreme poverty, unacceptable working and living-conditions, and environmental degradation, to name a few.

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