February 26, 2014– Who do you call for advice when your company wants to start giving in India, South Africa, or any other new market? Did you think about CECP? If not, you should. People think of CECP as having a finger on the pulse of trends among leading CSR professionals, drawing from its robust data collection and daily interaction with companies. But also infused in that expertise is a growing global perspective and insights from on-the-ground experience in economies where companies’ revenues are growing, and where corporate giving will soon follow. That on-the-ground experience has recently grown in two key markets:
Korean Competitive Advantage
CECP presented at the CSR Summit organized by the Republic of Korea’s Minister of Foreign Affairs in December 2013. It was a whirlwind visit, but there were many learnings from CECP’s time in Korea with our host Korea Productivity Center (KPC).
- Leaders: Korean companies impressed us with a strong competitive drive to constantly pursue cutting-edge developments and to be the best of the best; this includes CSR.
- National Development: Companies believe that part of their CSR strategy should contribute to the country’s development. This may mean they give philanthropically to areas or populations that on the surface are not strategic to the business, but are important because the overall domestic economy will benefit from these individual improvements.
- Government: Government ministries and departments play a strong role in encouraging and developing the field of CSR. Government economic development plans identified CSR strategy as an important way for companies to compete.
- Cash Giving Priority: Giving Around the Globe found that companies headquartered in Asia used non-cash giving less than other regions. Speaking with the KPC team and companies reinforced that this is driven by tax disincentives as well as a philanthropic culture that emphasizes the importance of cash giving.
Emerging Regulation in India
CECP is speaking at Dasra Indian Philanthropy Week on March 5th, the conference’s CSR day. Do you have team members in Mumbai? Forward them the link to register: www.dasraphilanthropyweek.org
We will be there to present on current trends in the U.S., particularly those fresh from our Board of Boards CEO Roundtable. While there to speak, we are also excited to gain new perspectives and fresh ideas. We value the opportunity to learn directly from Indian firms and share the findings with our companies seeking more information on giving in India. After closely tracking the news of the 2 percent CSR law from a distance, we will now have a chance to talk to practitioners on the ground. Here are a few questions we plan to ask, to share new insights with CECP companies:
- Board Responsibility: Ultimately, the Board of Directors of the company is responsible for ensuring the 2 percent CSR law is implemented. How do you expect this escalation of responsibility to be operationalized?
- Collaboration: The regulation could lead to a significant increase in resources devoted to solving tough societal challenges. What is the likelihood companies will collaborate to target a particular societal issue, or will each move forward on their own?
- Staff: Who at the company is going to be involved in deciding how this piece of the regulation will be implemented? Are new positions being created or are existing staff being reassigned?
- Foreign Companies: Are there any nuances to how the law will apply to subsidiaries of foreign-owned companies incorporated in India?
What questions do you have about giving in India? Comment here or email Carmen Perez at cperez@cecp.co
CECP is building its global expertise and reach, and these two international conferences solidify relationships we have built over the last few years. I also want to thank Admical (France), Comunitas (Brazil), and CEMEFI (Mexico) for their partnerships in expanding our knowledge base and interaction with the CSR teams of multinational companies.
Watch for more global updates in the near future, including the results at the CECP Summit in May of the global giving questions from the Giving in Numbers Survey, currently open and accepting company data. Stay tuned for our insights from Mumbai in March, and in April, we will be reporting back from Distrito Federal in Mexico.