The View from the Boardroom - UNDP Trinidad and Tobago

The View from the Boardroom - CEO Study on Corporate Social Responsibility in Trinidad and TobagoCHAPTER 1CSR in Trinidad and Tobago – Strategic Evolution or Preserving the Status Quo?companies. Even more CEOs – 91.4%- described CSR as central to the longtermeconomic success of a companyrather than being peripheral in itsrelevance for business operations. Thismay be interpreted as an indicationfor the growing conviction by seniormanagers and business ownersthat an active engagement in CSRactivities has a considerable potentialfor creating significant business valueby opening new markets, tappinginto new segments of consumers anddeveloping new product lines. Or it maybe seen as an illustration of the beliefthat contributing towards the buildingof social capital in communities acrossthe country creates and maintainsthe conditions for corporate successby safeguarding investments,developing the local workforce andIs CSR central to the long-term economic successof a company rather than being a marginal concepton the periphery of business operations?8.6%91.4%YesNoproviding social infrastructure. DaveRamkissoon, CEO of the EIL Groupof Companies, points out the nexusbetween social performance andcommercial value when he says that“when we look at CSR, the wordthat comes to mind is connectivity,connecting to the whole picture,identifying how it plays an integralpart in defining what success really is“I am on the board of the United Way and one of thethings that you quickly realize is that you need to getto the CEO level to basically drive down the process. Ifthere is CEO buy-in the staff would usually follow suit.”Dennis Evans, Managing DirectorCitibank Trinidad and Tobagoas an entrepreneur and as a businessentity. To become successful withoutCSR is a misnomer. CSR creates anopportunity to multiply value andwealth, not only directly in yourbusiness but in the wider community.”Of course, the ‘critical’ nature of CSRas perceived by CEOs may also bedue to a growing awareness on thepart of the general public and a moreenlightened consumer ‘mindset’ thatcompanies will observe internationalhuman rights standards, operate inan environmentally conscious mannerand aid their fenceline communitiesthat in turn raises an expectation thatcompliance with such behaviouralprinciples will ultimately have apositive impact on the bottom line.While there are good reasons to treadcarefully with quick assertions aboutan easily measurable causal nexusbetween the degree of a company’sCSR commitments and its commercialperformance, it is undoubtedly thecase that “there are circumstances andincreasingly so, under which corporateresponsibility is in the best economicinterests of a particular company.” 10Such general belief in the profitspecificrelevance of ‘doing the rightthing’ has become widespread amongmembers of the business communityin Trinidad and Tobago thus providingsome of the necessary elements formaking the business case for CSR“I think as corporatecitizens we have adistinct responsibilityto make sure thatthe environment inwhich we operate iswholesome, we treateverybody fairly andif we do that thereis the possibilityof sustainability.Other than that it allimplodes and nobodywins.”Wainright Iton, CEOTrinidad and Tobago StockExchange10 N. Craig Smith, ‘Consumers as Drivers of Corporate Responsibilty’, Centre for Marketing Working Paper, London Business School, March 2007, p.3.19