Can Ice Cream Save the World?

Source:  https://diversityq.com

The Move Toward Responsible Corporations

 

            In the 1800s, concerns for worker wellbeing and productivity created the first glimmer of what we now know as Corporate Social Responsibility (CSR).  Industrialist Andrew Carnegie and oil magnate John Rockefeller both donated large sums to social programs including education and science.  In the 1950’s, economist Howard Bowen coined the term “Corporate Social Responsibility,” but the idea did not really take hold until the 1970’s, when the Committee for Economic Development introduced the concept of a social contract between businesses and society. 

            Today, Corporate Social Responsibility is a basic part of many corporations’ business strategy.  By giving back to the community via donations, social enterprise, volunteerism and ecologically sound business practices, companies take on the responsibility of caring for the communities that support them.  One example of this is Ben and Jerry’s, whose website states:

“We love making ice cream—but using our business to make the world a better place gives our work its meaning. Guided by our Core Values, we seek in all we do, at every level of our business, to advance human rights and dignity, support social and economic justice for historically marginalized communities, and protect and restore the Earth's natural systems. In other words: we use ice cream to change the world.”

            Ben and Jerry’s works on several diverse social issues, including criminal rights reform, LGBTQ+ rights, climate justice and refugee rights.  Their ice cream labels often reflect a social problem focus, and sales of that flavor go to support their efforts.  But CSR is more than donating a portion of profits to a cause, it involves using innovative business strategies to reduce environmental impact, creating programs to support workers and their families, and even creating innovative social businesses within the umbrella of the corporation to support larger social needs. 

            While social programs and interventions are intended to benefit both the company and community needs, sometimes this plan can backfire.  One example is the Tom’s Shoes “Buy One Give One” program.  Tom’s donates one pair of shoes for the needy.  On the surface, this sounds like a generous, helpful program.  Unfortunately, the practice has been shown to undermine local economies and harm income for local raw materials suppliers and manufacturers.  In short, it does not address the root of the problem, only one symptom of poverty.  While the charitable donation of shoes was a kind and generous idea, Tom’s could have made a much greater and longer lasting impact by providing jobs to impoverished areas, paying fair prices for raw materials and manufacturing, and creating programs to address the root causes of poverty in these areas.  By following some of the guidelines for social innovative business, such as the Four Practices of Innovative Organizations, Tom’s founder Blake Mycoskie would have understood that he needed to ask the members of the target population what they needed, rather than just throwing shoes at them.  The “Buy One Give One” program was designed to make the company and consumers feel good about themselves, not to truly innovate social change.

            The increasing popularity of CSR in recent years reflects the shift in global attention from profit and consumerism to ecological and social conservation and preservation.  As society becomes more aware, and in turn enraged, about the damage caused to the earth and its inhabitants by greedy corporations and their practices, businesses must accept responsibility and take action to win back public trust and support.  By publicly engaging in creative social programs and community action, modern businesses are demonstrating that they care about the people who use their products and the world that provides the resources they use for production.