Establishing Relationships with BusinessBill Mithen 18th October 2012

SMEs in Geelong

• SME– Small Business < 20 employees–Medium Business 20 -199 employees– Large Business 200+ (Australian Bureau of

Statistics)

• Small Businesses – 5,600 or 37% (2010/11 COGG Economic Indicators Report)

• Medium Businesses – 546 or 3.6% (2010/11 COGG Economic Indicators Report)

GWYL SME Relationships

• Receive a financial contribution from 300 SMEs

• 230 – Allow Workplace Giving• 12 – Match employee contributions• 70 – Make individual business contribution• 30 individual companies donate Loaned

executives

Quick CSR / SME Research in Geelong

• Think that CSR exposes their brand to a wider audience65%

• Think that it is very important that business supports the community

86%• Can support the community to

the same level or more in the coming 12 months68%

• Strategically budget and prepare for CSR activities46%

* Give Where You Live / Brand Bureau SME Business Survey 2012

Broader CSR / SME Research

• Did not have a pre-determined CSR budget58%

• Undertake CSR to build company image and be viewed as a good community member59%

• Regard time as the biggest impediment to conducting CSR activities58%

• Lack knowledge or understanding of CSR and the benefits45%

* CSR in SMEs – Southern Cross University 2011

Why CSR?

• To build company’s image and brand (Southern Cross University) – Opportunity to align brand– Opportunity to leverage

• To create a competitive advantage (Engaging SMEs in CSR – Canadian Business for Social Responsibility)

– Local v’s national – e.g. Cotton On

• Many businesses have found CSR to be more effective than traditional advertising (Australia and New Zealand Marketing Academy)

“Companies can not be successful in unsuccessful communities. The success of the community MUST come first otherwise companies are simply taking resources from the community which will ultimately lead to the company’s failure” Mike Hirst, Managing Director of Bendigo Bank at AICD lunch in Geelong.

• Be a good corporate citizen – contribute resources to the community; improve quality of life

Philanthropic

Responsibilities

Desired by Society • Be Ethical – Obligation to do

what is right, just and fair. Avoid harm

Ethical Responsibilit

iesExpected by

Society • Obey the law – Law is society’s codification of right and wrong. Play by the rules of the game

Legal Responsibilities

Required by Society

• Be Profitable – The foundation upon which all others rest

Economic Responsibilities

Required by Society

Dr. Archie Carroll’s CSR Pyramid 1991

Companies with their eye on their 'triple-bottom-line' outperform their less fastidious peers on the stock market" - The Economist

Office of Community

Sector Guide• A step by step guide to the process of

building partnerships• Developed with a Reference Group

from the sector– Philanthropy– Government – Business– Not-for-profits

Office of Community

Sector Guide• A practical tool that has an attached

tool kit– Strategy and partnership plan templates– Partnership proposal template– Risk mitigation– Exit checklist

• Contains examples and case studies.

Guide at a Glance1. Getting Ready: Understand your

organisation

Checklist of questions to ask own organisation

Create a Strategic and Business Plan

Maribrynong City Council; Our Community; Australian Business

Arts Foundation

2. Finding a Partner / Relationship

Mud map of potential relationshipsResearch Template

Australian Business Arts Foundation; National Australia

Bank; VicHealth

3. Approaching a Potential Partner

Develop an Elevator SpeechPitch document

Proposal Template

The RE Ross TrustSocial Compass and Transfield

Services

4. Establishing the Relationship

Plan on a pageDraft MOU

Risk Management

NSW Council of Social Service; DEECD; Public Interest Law

Clearing House

5. Keeping it on Track Communication Plan The World Health Organisation; Vic Health

6. Review/Renew/Next Steps

Review/ RenewExit Checklist

Our Community; Australian Business Arts Foundation