Being Responsible - There Is No Planet B

COMPANIES CAN NO LONGER SIT ON THE SIDELINES OF GLOBAL ISSUES LIKE CLIMATE CHANGE. THEY ARE EXPECTED TO SPEAK UP AND TAKE A STAND. A LOOK AT FIVE KEY TRENDS IN CORPORATE RESPONSIBILITY.

The prosperity of business and society is inextricably linked. If every individual business strives to be the best it can be in all areas as a responsible business, there will be a positive multiplier effect that will benefit society, the economy and the environment. PwC spoke to experts for their views on the most significant trends in corporate responsibility (CR). Here are the five trends to watch:

1. There’s increasing social and environmental disruption — and there’s no avoiding it: Dramatic and unexpected changes to the global political, social, economic and environmental landscapes have made it a tough time to be in business. In the last 12 months, extreme weather events have had a devastating impact on communities with severe floods in Bangladesh, drought, mudslides and wildfires in California, and hurricanes in the Gulf of Mexico. Scientists are now increasingly confident in the links between this extreme weather and climate change.

Plastics pollution has suddenly hit the headlines, despite the fact that it has been building up in our rivers and oceans for decades. Elsewhere, companies are under pressure on issues of social inequality, modern slavery, the gender pay gap, and the treatment of staff, contractors and gig workers. While these may be global issues, many demand that corporate responses are relevant at the local or community level.

Dealing with this uncertainty is tricky enough, but companies can no longer sit on the sidelines of these changes. They are expected to speak up and take a stand on issues — even ones unrelated to their business. Two thirds of consumers responding to a recent survey said they want brands to take a stance on difficult issues. And 64 per cent of respondents in the recent Edelman’s Trust barometer said they want CEOs to take a lead on policy change instead of waiting for government.