Lata N. Reddy, the senior vice president of Diversity, Inclusion & Impact at Prudential Financial, urged small businesses and startups to inject corporate social responsibility (CSR) into their business operations to achieve their mission of turning their respective companies to an enduring business giant like Prudential Financial.
In her speech during the 2018 NewCo Shift Forum, Reddy said small businesses should no longer treat CSR as a “sideshow” in their companies’ mission and vision, stressing that startups should reach out and give back to the communities they are operating in. She added that doing CSR should not be about spending the company’s money but rather how they earn it, per NewCo.
Reddy, who is also the chairperson and president of The Prudential Foundation, said that CSR with Prudential was done through “an inside out and an outside in perspective”—using the company’s skills to work on a community’s problem and accepting outside help for its decision-making.
Helping the community
One instance is when the company chose to remain in its hometown city, Newark, New Jersey, since its conception in 1875 despite several financial shakedowns in the past. The company, according to Reddy, has made a conscious decision to stay there and invest heavily in its citizens while making partnerships across all sectors.
Prudential has been doing CSR work along with anchor institutions in sectors such as education and health. It extended the scope of other institutions that can join, with corporations establishing deep roots in the community being included in the mix.
They then employed a “three-pronged” approach: buy local, hire local and live local. In “buy local,” Prudential makes sure that it includes small businesses in its operations, allowing them to provide goods and services to the firm. This move rakes in millions or billions of cash into the local economy, which in turn leads to more jobs.
The “hire local” approach, on the other hand, is a business model employed by the company in order to create pathways of opportunity to Newark residents, thus preparing them for current and upcoming jobs. Meanwhile, “live local” incentivizes employees to live within and give back to the community where they operate.
Taking outside in
Prudential is well known for bringing outside expertise into its business operations. This way, the company can have deep insights and experts’ opinion on what the customers want. These experts, who have deep knowledge in inclusive markets, collaborate with business leaders in coming up with ideas on how the company can expand operations while paving the way for societal benefits.
Another example of Prudential’s inside-outside business model is the PGIM Real Estate and YouthBuild International, which is a global NGO in partnership with Prudential’s real estate investment unit that works with opportunity youth.
In fact, Reddy said they have been amplifying their funding to YouthBuild in the past 20 years, allowing the group to open more chapters worldwide.
Prudential is, indeed, in the business of “making and keeping” promises over a long-term period, lasting decades and even lifetimes. But these promises, according to Reddy, also present opportunities to make every community they are in to become financially secure and, hence, prosper.
(Featured image via DepositPhotos)
How data mining and retargeting can enhance customer experience
Is the US close to oil independence?
What you need to know before investing in crypto
A closer look at what it means to be a superfan
Cannabis-open states see drop in binge drinking
Put your money on this Daily Fantasy Sports company ahead of Soccer World Cup 2018 in Russia
Daily Fantasy Sports leader positions to take FIFA World Cup 2018 by storm
Exponential, Inc. founder, Dom Einhorn, thinks charitable fundraising is ripe for disruption
Why courtesy on social media pays off
Santiago: Quirky facts about Chile’s capital
Promoting women’s football in Malta by UEFA projects
Euro NCAP marks its 20th anniversary with two crash tests
European Parliament’s International Trade Committee backs CETA
The American Heart Association has released four new PSAs
PwC presents 20th global CEO survey results in Switzerland
Corporate Social Responsibility4 days ago
Mohawk Group eyes LEED and WELL Building Standard certificates with new showroom
Commodities4 days ago
India takes strides to boost oil production amid rising prices
Agriculture5 days ago
Animal farming industry praises vaccine bank inclusion in Farm Bill as ‘great first step’
Crypto4 days ago
European Parliament votes in favor of new blockchain resolution
Featured4 days ago
4 reasons to let your team work remotely
Featured4 days ago
Interest rates surge; Iran nuclear deal intensifies global tension
Featured4 days ago
PayPal expands in Europe with $2.2B iZettle deal
Business3 days ago
Facebook user data policy: What you need to know