Thursday, June 28, 2007

Creating Corporate Responsibility

Ever since the collapse of the Soviet Union, Eastern Europe has experienced economic growing pains. With the transition from state-controlled economies to market-centered ones, business has been in overdrive. In the push for profits, the fast growth of the private sector in this region has left behind and further marginalized some societal groups. That's where institutions and Corporate Social Responsibility (CSR) come into play.

UNDP firmly believes that CSR can foster social cohesion, and has therefore decided to fund a project to study and support companies that integrate social and environmental concerns into their business operations.

An important recommendation is that there needs to be greater cooperation between the government, civil society and businesses in order to ensure the future success of CSR. The project aims to advance the implementation of CSR practices in Bulgaria, Croatia, Hungary, Lithuania, Macedonia, Poland, Slovak Republic and Turkey.

UNDP often provides services to countries at a higher policy level, putting in place trickle-down mechanisms to ensure that reforms reach the groups most in need of social or economic change.