Corporate responsibility explained

For ICC, corporate responsibility (CR) is the commitment by companies to manage their activities in a responsible way. More broadly, CR includes the efforts by business to contribute to the society in which it operates.

A growing number of companies approach corporate responsibility as a comprehensive set of values and principles, which are integrated into business operations through management policies and practices as well as decision-making processes. Companies endorsing CR typically have formally written principles, strive to act as good citizens, and emphasize a constant dialogue with their stakeholders, including employees, suppliers and communities.

At the foundation of CR is compliance with the law. Companies have a clear duty to comply with all applicable laws and regulations in their countries of operation. This involves a company’s approach to the production and marketing of goods and services, business ethics, health and safety, environmental practices, treatment of employees, community engagement, and human rights - all of which should form part of an integrated management system.

CR may also include voluntary initiatives that go over and above legal requirements and that are rooted in the principles and objectives of the company. The continuing development of CR initiatives around the world – whether by individual companies, organizations or through collaborative efforts – is a very positive sign that an ever increasing number of organizations are implementing programmes aimed at promoting corporate responsibility.

To help individual companies of all sizes, sectors and regions position themselves in the existing framework of generic business principles, intergovernmental codes, new initiatives and broader societal values, ICC has developed 9 practical steps to corporate responsibility which are detailed in this website.

These 9 steps are specifically designed to guide companies through the process of developing their own business principles and practices.