Wednesday, November 27, 2019

Word of the Day: corporate activism

 
Word of the Day WhatIs.com
Daily updates on the latest technology terms | November 27, 2019
corporate activism

Corporate activism is a public stance taken by a large enterprise to positively impact social change or legislation. In some situations, the activism might be driven by a company's desire to reach a specific audience or demographic who purchase their products. In other situations, the owners and leadership within a company may use their personal social influence to support a particular cause such as green computing or artificial intelligence (AI) algorithmic transparency.

Sometimes an act of corporate activism follows in the wake of a popular social movement, but it may also be inspired by studying employee interests or those of a particular market segment on social media. In 2018, for example, many companies in the United States took a stance about whether to maintain their ties with the National Rifle Association (NRA) in response to student posts and protests calling for gun regulations.

 

That same year, the footwear company Nike released an ad that featured athletes who have overcome obstacles. Nike was boycotted by some customers for featuring American football player Colin Kaepernick in the ad, but the company also saw an increase in sales from those customers who appreciated Nike's support of the athlete who knelt during the national anthem.Regardless of the intentions behind the move, corporate activism has been shown to have an impact on the public consumption of products and can either drive increased sales or provoke boycotts.

 

This time of year is prime time for marketing initiatives that promise a part of the purchase price will go to a non-profit organization. According to some estimates, corporate activism through "cause marketing" will contribute more than $1.5 billion to charitable organizations this year.

 

Chief Giving Officer

As companies weigh the possibility of influencing social change, they must also consider how a particular stance will affect public relations. When a company becomes interested in "giving back," they will often appoint a Chief Giving Officer (CGO) or Director of Planned Giving.  This job typically involves creating policy for employee activism as well as for corporate giving.

Corporate activism in action

 

There have been many situations where a business has been founded by activists entirely in response to a social need. For example, the company EMPWR, which manufactures jackets that can turn into sleeping bags for homeless people. The company hires single parents from local shelters and provides them with training and full-time employment as seamstresses. Similar companies have sponsored the invention of coats that turn into tents or life jackets for refugees.

 

Other examples of corporate activism include:


American Express -- In 1983, the company became a leader for corporate activism by donating a portion of profits to support the renovation of the Statue of Liberty.


Causemetics -- This fast-growing cosmetics company has already donated $30,000,000 worth of their beauty products to more than 50 charities that benefit women in need.


Boomba -- This sock manufacturer, featured on the U.S. television show Shark Tank, was founded on the philosophy of donating socks to those in need. One pair purchased equals one pair donated.

 

Diff -- Since 2015, DIFF has donated over 1,000,000 pairs of reading glasses to individuals in need around the world.


Parachute -- With every purchase of Parachute's Venice sheet sets, the company buys a bed net to prevent the spread of malaria.


State bags -- Whenever you buy one of STATE's backpacks, the company donates a backpack full of essential items to a child in need.


United by Blue -- For every product sold, the company promises to remove one pound of waste from America's oceans and waterways.


Toms -- This footwear company has donated over 3.7 million pairs of shoes to refugees in 17 countries.


Google - Google's new "digital well-being experiments," such as the Paper Phone app, is aimed at helping customers deal with smartphone addiction.

Quote of the Day

 

"Business leaders are facing growing pressure from employees to consider their personal values, beliefs and ideas when it comes to setting corporate priorities." - Nicholas Fearn

Learning Center

 

Ford's approach to employee activism: Listening
Ford is asking for feedback from employees in an effort to develop its corporate culture. Doing so has led to new ways of measuring how employees feel about the firm.

How Philanthropy Cloud streamlines workplace giving
Perpetual Energy used Salesforce.org's Philanthropy Cloud to create content, track charitable donations and better engage with employees during its annual United Way campaign.

6 employee activism lessons HR needs today
Employee activism spiked last year, and experts say that as the 'age of purpose' gathers force, more workers will follow suit. Here are a few of the lessons HR should learn now.

Employee activism, from composting to protests, is an HR issue
Employee activism may be giving rise to 'green teams' or formal sustainability efforts. The development can be a positive opportunity for employees and provide payback in terms of employee engagement.

Employee activism challenges HR's employee experience strategy
Employees aren't afraid to challenge their employers on workplace and social issues. That kind of employee activism may challenge HR to rethink its employee experience strategy.

How Salesforce.org's Philanthropy Cloud and Nonprofit Cloud differ
Salesforce.org's Nonprofit Cloud and Philanthropy Cloud both partner with nonprofit organizations but in different ways. The uses of each are compared here.

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