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THE STATE OF CORPORATE CITIZENSHIP
Weathering the Storm
The Hitachi FoundationMark Popovich
March 25, 2010
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About The Hitachi Foundation
The Hitachi Foundation
Established in 1985 by Hitachi, Ltd.
Mission: To forge an authentic integration of business actions and societal well-being in North America
Means: Discover and expand business practices that measurably improve people’s lives and enhance business value
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2009 2007 2005 2003
The State of Corporate Citizenship Surveys
The Hitachi Foundation
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Why The State of Corporate Citizenship Surveys?
The Hitachi Foundation
Business plays a critical role in addressing the issues of concern to The Hitachi Foundation We want better data to support this claim
Social sustainability is not a current focus and the CC field misses small and mid-sized firms We think these are mistakes
Social Sustainability is defined narrowly We think it needs expanding
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About the Survey
The Hitachi Foundation
Survey conducted every two years with the Boston College Center for Corporate Citizenship and Globe Scan
Tracking how corporate citizenship attitudes and practices are changing over time
July 2009 – Unique opportunity to track the recession’s impact
Includes 756 small, medium, and large firms
The Hitachi Foundation’s interest is in company practices related to low income people and communities
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Who Responded?
The Hitachi Foundation
0%
10%
20%
30%
40%
50%
60%
CEO/Pres VP Director Sr. Executive
Job Title of Respondents
2009
2007
Firm Size
# Percent
Small (<99)
270 36%
Medium (100-999)
183 24%
Large (>1000)
303 40%
TOTAL 756 100%
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7
Selling to
Who Responded?
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Who Responded?
The Hitachi Foundation
0%5%
10%15%20%25%30%35%40%
Sectoral Distribution of Respondents
2009
2007
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Recession Impacts
Layoffs 27% of companies increased/greatly
increased layoffs
The Hitachi Foundation
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23%
13% 12%
26%
11%7% 8%
Dec by >15%
Dec by 6-14%
Dec by 3-5%
Stable Inc by 3-5%
Inc by 6-14%
Inc by >15%
Revenues/Sales Momentum36% Sharp Decline 49% Stable
15% Significant Increases
Recession Impacts
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Corporate Citizenship Strong
The Hitachi Foundation
54% of respondents see corporate citizenship as even more important in a recession
Actions make the case!
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Attitudes
The Hitachi Foundation
Q: How Important is each of the following for your company role in society?
Ethical Valuing Accurate Maximize MarketingPractices Employees Finances Profits Products/Services
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Attitudes
The Hitachi Foundation
Q: How much do you agree or disagree with the following:
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Practice: Sustainable Products and Services
The Hitachi Foundation
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Practice: Low Wealth Communities
The Hitachi Foundation
Q: To what extent is your company involved in…
46%
30% 31%
22%27%
43%
23%
29% 28% 29%
Train low-wage workers
Hire f rom distressed
communities
Improve community conditions
Locate facilities Train people in community
2009
2007
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16%
36%
52%
16
Lower-wageworkers are an integral part of the business modelfor more than half of all businesses
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Practice: Skill Development
The Hitachi Foundation
To what extent does your company supports the skill development, education, and career advancement of employees earning less than $40,000 annually
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Practice: Community Support
The Hitachi Foundation
68%60% 57%
21%
69%65% 64%
30%
Cash donations*
In-kind donations
Volunteering Community investing
2009
2007
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Practice: Community Support
How important is improving conditions In your community to your company’s role in society?
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Top Areas of Community Support
10%
40%
20%
30%
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Corporate Foundation Giving
The Hitachi Foundation
Source: Key Facts on Corporate Foundations,Foundation Center, May 2009
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Corporate Foundation Giving
The Hitachi Foundation
Source: Key Facts on Corporate Foundations,Foundation Center, May 2009
2,500 Corporate Foundations
Gave $4.4B
Accounting For 10% ofAll FoundationGiving