CSR programmes, which many in HR might consider particularly vulnerable to budget cuts during an economic downturn, have been repeatedly cited as strategically important initiatives to preserve.
According to recent findings from a white paper jointly released by Mina Hsu Consulting and Korn/Ferry International (Hong Kong), responsible companies that contribute to their communities—in tough times as well as good times—are able to reap a number of important long-term benefits, especially in the area of attracting and retaining top quality talent.
The white paper reflects the views of senior management executives from various sectors on the factors that have most helped their companies navigate the current economic downturn. The results reveal that most companies expected to see lasting change in the practice of risk management, even companies with an extremely robust risk management function. In the aftermath of the global financial turmoil, companies today are increasingly finding themselves operating in an environment where the old-fashioned values of discipline, accountability and sustainability are back in favour.
There has been a renewed focus on discipline and accountability in the strategic planning process within organisations. The theme of sustainability also emerged not only when discussing the financial health of individual companies but also in the context of those companies needing to play a larger role in contributing to the long-term welfare of society more broadly.
A long-term view during a crisis was highlighted as the most significant factor accounting for company resilience. Some of the leaders interviewed attributed their relative success in challenging times to their adherence to a fundamentally conservative business philosophy and a disciplined, relentless focus on day-to-day execution. They acknowledged a renewed emphasis on discipline, accountability, and sustainability, and also stressed an increased willingness, in many cases, to invest in certain long-term priorities, especially when it came to hiring and developing talent.
Increased appreciation for employees with crisis experience, a high level of toughness and the need to preserve and even expand training and development programmes despite short-term budget pressures were also cited as important factors. Employee communications was singled out as particularly critical in uncertain times; the need to step up employee engagement, and for leaders to address employees with both candor and confidence, was raised repeatedly.
Paul Arkwright
Publisher
