The Corporate Citizen, April 2008

Section:  News

U.S. vs. EU: How Is CSR Different?

On April 8, BCLC and the European Council of American Chambers of Commerce (ECACC) co-hosted a discussion on how corporate social responsibility (CSR) is perceived on both sides of the Atlantic. 

AmCham Denmark president Stephen Brugger and BCLC Executive Director Stephen Jordan noted the complexity of the discussion. The old joke about the English and Americans being separated by a common language certainly came to mind given the different interpretations of CSR.

Ambassador John Danilovich, president and CEO of the Millennium Challenge Corporation (MCC), argued that development issues increasingly require closer cooperation between the U.S. and Europe. It is in "the common interest," he noted, for the U.S. and Europeans and the public and private sectors to work together to strengthen the connections between social and economic growth. Programs in Ghana, Malawi, Jordan, the Philippines, and other countries where the MCC engages could be enhanced through increased cooperation and networks with the private sector to channel technical assistance appropriately.

As BCLC's Jordan put it, "Europe is increasingly recognizing that its future development is deeply connected with development trends in the U.S. and emerging markets. The MCC has an innovative approach to development that could benefit many parties."

The conversation didn't just touch on development themes.

Michael Stopford (Coca-Cola), Clifford Henry (Procter & Gamble), and Ingo Konrad (Daimler) offered their candid assessments of the CSR differences between the U.S. and Europe. On the European side there is more concern about the positive role of markets, climate change, and "greenwash" — the use of philanthropic dollars to mask more negative corporate practices.

On the American side, there is more of an emphasis on philanthropy, education, and engagement with consumer and investment groups.

Surprisingly, however, the AmCham representatives noted several philanthropic initiatives taking place across Europe. Dierck Muller (AmCham Germany) reported that many leading German firms invest significantly in their local communities. Alex Lamnidis (AmCham Greece) cited the philanthropic work of Vodafone in responding to the fires that raged through the Peloponnesus last fall. Jake Sleggers (AmCham Slovak Republic) and Dorota Dabrowski (AmCham Poland) also noted that CSR practices in their respective countries were definitely on the upswing. As Lamnidis put it, "There is an increasing recognition that CSR is not just the right thing to do, it can improve the business environment and quality of life."

Coming out of the event, several factors became clearer. First, the AmCham network in Europe will play a significant role in promoting U.S.-EU cooperation, particularly around development projects and public-private partnerships.

Second, BCLC and the AmChams could work together to share information about best practices and lessons learned and raise awareness among key stakeholder groups about corporate citizenship activities and opportunities.

Third, much more work still needs to be done to build common understandings and develop systems to improve stakeholder relations on both sides of the Atlantic.  

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