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The Impact of Values and Culture on CSR

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Most of what I’ve written for Forbes over the last year has focused on a global view of the social purpose of business. Recently, however, I started wondering about the ways in which CSR varies based on the country where a corporation is located. In what ways do the elements of CSR change based on where it’s practiced? Is there a unique approach to corporate social responsibility that differs from one country to the next? In what ways does the social purpose of a business reflect the values and culture of the country (or countries) where it operates?

I recognize that these are big questions and I thought it would be appropriate to begin exploring this where I live in Canada. I also felt it was important to get a perspective from very different types of businesses. Leaders from four remarkable companies in Canada shared their point of view. All felt strongly that Canadian culture has shaped their social purpose and approach to CSR.

“Canadian culture has long been influenced by our relationship to the environment and energy has long played a significant role in the Canadian story of that relationship,” said Tom Heintzman, President of Bullfrog Power a company that is founded on a belief that consumers have a unique ability to change the world. The company is dedicated to sustainability and social responsibility. “We engage with Canadians in the belief that changing the culture of energy consumption complements Canadian values and our culture of environmental stewardship,” says Heintzman.

Heintzman believes that as more Canadian companies come to understand the values they share with their communities, acting in accordance with those values will increasingly move from targeted initiatives to common practice. “Bullfrog’s contribution to Canadian society is meaningful because we give consumers a choice,” says Heinztman. "When thousands of people take a stand for renewable energy, they create an inspiring example for the rest of the community. They also send a powerful message to industry and government about the importance of renewable energy, and thereby initiate and enable political change."

Understanding what makes Canada unique is also a priority for global companies that have a strong presence in this country. “At the heart of Canadian culture is the belief that all people should be treated equally and have equal access to life’s necessities, like food, education and health care,” says Shelley Broader, President and Chief Executive Officer of Walmart Canada. “Walmart Canada’s social purpose — to lower the cost of living for Canadians — is fundamentally aligned with Canadians’ belief in equality.”

Walmart is also an example of how companies in Canada are closing the gap between business and social objectives. The company’s approach to supporting social issues is consistent with who it is and what it does as a business. “Our size, logistical expertise and culture of being a low cost operation means we can make a real difference,” says Broader. “Over the next five years, Walmart will lead an effort with specific goals to open markets for women-owned businesses and increase training and career opportunities for women on farms and in factories. The goals were developed with NGOs and other partners and are designed to leverage the company’s size and scale to help women and their families live better.”

Debbie Baxter, Chief Sustainability Officer for LoyaltyOne, a global corporation that is best known in Canada as the operators of the AIR MILES Reward Program, believes that Canadians care about sustainability, diversity and innovation. “In 2011, we launched AIR MILES for Social Change – a program focused on working with government and not-for-profits on incentive-driven behavior change on a mass scale,” says Baxter. “An example of this comes from the Ontario Power Authority where collectors had the option to commit to energy saving strategies and in return, were rewarded with AIR MILES.”

According to Baxter, CSR can reach beyond the traditional model and find a role in successful business models in Canada. “In 2009, we launched MyPlanet, offering collectors the opportunity to earn miles for environmentally responsible choices and the opportunity to redeem for exciting environmentally sanctioned products,” says Baxter. “We also launched WellQ, a program designed to support the health objectives of Canadians with prescription reminders and targeted condition-based advice, to help improve an individual’s overall health.”

With a portfolio of 26 operating mines and advanced exploration and development projects, Toronto-based Barrick Corporation is the largest gold mining company in the world. “Canadians put a priority on listening and sharing ideas,’ says Peter Sinclair, Barrick’s Vice President of Corporate Social Responsibility. “At the root of our programs is a genuine respect for embracing differences, understanding, and listening. Companies from other countries tend to be more aggressive.”

Peter Munk, an immigrant to Canada and Chairman of Barrick often speaks about Canadian values and how the DNA of the company is closely tied with the priorities of his charitable foundation that supports initiatives to improve the health, learning and international reputation of Canadians. “Our social purpose is tied into creating opportunities and being a catalyst for social change and economic development in the countries we operate in where living standards are low,” says Sinclair. “Working in Nevada is different than working in Zambia, but we have a framework which at its roots has Canadian values because it’s about talking to people, building relationships, and creating shared value.”

Are Canadian businesses that put a priority on diversity, equality, patience, cooperation, sharing, respect and environmental stewardship putting their fingers on the pulse of who we are as Canadians? Or, are these qualities ubiquitous, neither a true reflection of Canadian identity nor a particularly unique way of approaching corporate social responsibility?

Marshall McLuhan, the Canadian philosopher of communications theory said, “Canada is the only country in the world that knows how to live without an identity.” It seems, however, that Canada’s identity is alive and well and being embraced by corporations whose social purpose is being shaped by its values.

Is there a “flavor” to CSR in Canada and the U.S. that’s different from the “flavour” in Great Britain?  This is a question that I’ll continue to explore and I welcome your input and comments!

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