The Internet has already triggered lasting change in the structures of industries and the ways businesses create value. Today, ubiquitous connectivity is creating new relationships among businesses, customers, employees and partners. People now have access to massive amounts of information — and opinions — about products and company practices. This information is available in every part of the globe, every minute of every day. But the Internet does more than spread information. It's also a place where people get together to discuss and organize activities to bring about social change. As a result, sustainability, both for societies and enterprises, will require mutual accountability — a more collaborative relationship that allows each party to reach a shared understanding and thrive. This collaboration is particularly challenging because it takes place during a time of increased visibility of corporate actions. It's also a time when customers' perceptions of companies and their consequent purchasing behaviors are fundamentally changing. And yet, because that means significant financial impact for businesses, CSR is no longer viewed as just a regulatory or discretionary cost, but an investment that brings financial returns. Our survey of 250 business leaders worldwide found that businesses are wasting no time in interpreting these implications and acting on them: When companies talk about CSR publicly, they tend to describe it in terms of philanthropy. Our survey, however, found that businesses have actually assimilated a much more strategic view; 68 percent are now utilizing CSR as an opportunity and a platform for growth. Based on our conversations with business leaders and our own survey of their actions and expectations, it appears incontrovertibly true that business executives are starting to see CSR as a sustainable growth strategy. It's equally true that the more advanced view of CSR demands significant long-term commitment, and definition (or re-definition) of corporate values. It can also require wholesale changes to the ways companies operate. Finally, it will require a finely honed appreciation of customers' concerns. A potentially alarming finding from our survey is that 76 percent of the business leaders surveyed admitted they don't understand their customers' CSR expectations well. The CSR survey
Our analysis led us to three dynamics that companies should understand and act upon in dealing with CSR: Impact on business — From cost to growth
When aligned with business objectives, companies are beginning to see that CSR can bring competitive differentiation, permission to enter new markets, and favorable positioning in the talent wars. Our approach is to view a company's current activities and objectives against the CSR Value Curve (see Figure 1), which captures the shift in thinking from CSR as a cost or risk mitigation effort to CSR as a strategic goal that brings in new revenues. As companies move from left to right on the value curve, greater returns are realized as CSR becomes more integrated into core business strategy. 
Information — From visibility to transparency
In today's open environment, companies are finding it necessary to take the wraps off information they once considered private or proprietary. With relentless pressure from watchdog groups, “need to know” restrictions tend to fall away. So, visibility is best met with a continuous exchange of information — or transparency. What seems like an insatiable thirst for information is in reality a drive for relevant information that can reduce complexity and increase comfort level with purchase decisions. Companies that figure out how to make information relevant will win customers' trust — and build a powerful platform for growth. Relationships — From containment to engagement When CSR strategies are effective, transparency, as discussed in the previous section, goes hand-in-hand with stakeholder engagement — with two important caveats First, you can't call it transparency if you simply spew information out into the marketplace, or unleash what is effectively a data dump on your customers. It could even backfire. True communication requires not just context, but interaction among the parties giving and receiving information. Second, trying to engage stakeholders without full transparency is disingenuous at best. When these activities are done in combination, CSR can become a dimension of a company's successful competitive strategy. Done right, it offers a company improved relationships with all of its key constituents, more loyal customers, lower costs, higher revenues and an overall improvement of the business' standing in society.
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