I attended a free, technically oriented webinar today hosted by Ipsos Public Affairs.  It was on "Driving Business Performance through Corporate Reputation."

I say "technical" because it had a lot of survey data on how corporate reputations differ from, and yet are tied to, brands.  This data comes from the work Ipsos has done helping to improve the brand reputations of such large companies as Boeing, Microsoft, and Toyota.

One of my key takeaways from this webinar, that I think is especially relevant to small firms, is that, as the speaker, R. Trenton Ross, explained, corporate social responsibility (CSR) increases brand equity "a ton."  Ipsos has found this to be true in both developed and emerging markets, vs. more traditional messaging.

Why is this of particular interest to small companies?  Because the owners and leaders of these firms tend to live CSR values, if they feel strongly in them – so much so that the corresponding values of prospective employees are very much a factor in the recruitment process.  As we see in our Top Small Workplaces and generally among the progressive small firms in our network, while owners and leaders want people who are smarter than they are, and/or who have different approaches to work than they do, they place stock in bringing in people who are like minded when it comes to the serving the needs of the greater community and society as a whole.

Two 2008 Top Small Workplaces that fit this mold are New Belgium Brewing and The Redwoods Group.  Here's a snapshot of their CSR practices and the ROI they get from them:

• The founders of New Belgium, Jeff Lebesch and his wife Kim Jordan, conceived in their Colorado basement in 1991 a company that would hold up environmental stewardship just as much as unwavering dedication to quality.  Today, their Fort Collins headquarters is a mecca for those who want to see green technology done right.  And the customers who come here, and those who visit the craft brewery online, see transparency when it comes to those who work there: employees get a custom bicycle after one year of employment, are encouraged to bike to work, and the company serves as a recycling center for employees' recyclables.  Company ROI: Almost $100 million in sales (2007); average employee tenure of 4.9 years.
• The President and CEO of The Redwoods Group, Kevin Trapani, founded his property and casualty insurance company, which specifically serves YMCAs and Jewish Community Organizations, with the firm belief that business can and should be a powerful force for social change.  The 12-year-old company lives this value by focusing employee engagement so that for their customers, safety is emphasized.  Cause-of-injury data is used to drive operating changes at Ys and Js that have had tangible impact through fewer drowning deaths and catastrophic car accidents.  Additionally, all employees are required to volunteer 40 hours annually to nonprofits, and the company also contributes pre-tax profits to these same organizations.  Company ROI: $16 million in sales (2007); average employee tenure of 3 years.

More information on all our 2008 Top Small Workplaces is available here.

So the moral, I think, is that it's more than OK for owners and leaders of small businesses to live their CSR values.  They can help you in building employee engagement using good team building, and in turn that can bring in the kinds of active stakeholders you want (customers, vendors, future employees) to more solidly serve your niche(s).

What thoughts or insights do you have?