Community Engagement as A Business Sustainability Strategy:
An observation from the 2nd Greater Bay Area Business Sustainability Index
by Dr. Chenyang He

Developing human capital in fintech and green finance is key for Hong Kong to maintain its position in Asia
By Prof. Seen Meng Chew and Prof Carlos Lo
Dr. Xue Pang provided research assistance.

From CSR to Business Sustainability

Episode 4 : Assessing Corporate Social Responsibility

From CSR to Business Sustainability

Episode 3 : Managing Corporate Social Responsibility

Small and medium-sized enterprises (SMEs) have become major components of the global economy and national economies worldwide, representing “about 90% of businesses and more than 50% of employment”, according to the World Bank. [1] Much like large corporations, SMEs face many obstacles in implementing sustainable business behaviours. These obstacles can be very different depending on the size of the business and the environment it operates in.

Considering these difficulties, and the alignment of sustainable business outcomes and government policy objectives, it is logical for governments to take a more active role in encouraging and facilitating sustainable business behaviour in SMEs, through policy-making. Working together, businesses and governments can tackle the new challenges a rapidly changing business environment presents together.

Naturally, governments will be confronted with a series of informational, political and administrative obstacles. However, a shift in corporate philosophy where businesses prioritize social responsibilities as well as profit maximization, may contribute towards receptive private sectors willing to cooperate with governments towards common objectives.

By Steve Lo

What is Corporate Social Responsibility and why is it relevant to modern day business.

Episode 2: CSR & Sustainability

What is Corporate Social Responsibility and why is it relevant to modern day business.

Episode 1: Understanding Corporate Social Responsibility

Observations from Business Sustainability Indices by Dr. Joanne YU

BSI Companies Share Their Sustainability Strategies and Experiences (available only in Chinese)

Centre for Business Sustainability announces today the results of the 5^th Hong Kong Business Sustainability Index and the 1^st Greater Bay Area Business Sustainability Index. The result reflects the annual business sustainability performance for the financial year ended in 2017-18, based on publicly available information, of the 50 constituents of the Hang Seng Index and the 67 constituents of the Hang Seng Stock Connect Hong Kong Greater Bay Area Index (HSSCBBA) respectively.
Each company was assessed in three major areas, namely CSR Values, CSR Process (comprising CSR management and practices) and CSR Impact against seven stakeholder groups, as well as the company's contributions to economic, social and environmental sustainability. As the technical partner of the project, SGS Hong Kong Limited conducted sample check and verification of the information provided by individual companies.

Way back when western capitalism rose to be order of the day, business and commerce were purely profit-driven. It was common for corporations to exploit their employees and be profligate with energy to cut production costs, of which a whole set of social and ecological problems was a natural and unseemly corollary. The notion 'corporate social responsibility' (CSR) emerged as people gave thought to the ethical side of business and demanded companies to cater not only for the interests of their shareholders but also societal needs as well. Fast forward to the present day when our social and natural environment are subjected to increasing public scrutiny. The CSR report of a business has become a must-read for potential investors. Organizations around the globe have established benchmarks, ranging from the United Nations-supported Principles for Responsible Investment to the Dow Jones Sustainability Index. In Hong Kong, the Stock Exchange of Hong Kong announced in 2012 that Hong Kong listed companies are required to incorporate the guidelines in its Environmental, Social and Governance Reporting Guide into their annual reports.

據香港工業貿易署統計，截止2019年6月，香港的中小型企業（下稱中小企）有約34萬家，佔本港商業單位總數98%以上，為約130萬人提供了就業機會。顯然，中小企是企業社會責任（Corporate Social Responsibility，下稱CSR）的重要支柱。相比大企業，中小企在履行企業社會責任方面有更大的優勢。

Social responsibility is becoming a disruptive force in the corporate world, sparking a movement for businesses to focus on creating a positive impact on various fronts. From environmental protection to quality of life, these corporate sustainability initiatives create long-term value to allow future generations to thrive. Furthermore, they provide substantial benefits for companies, allowing them to continue growth and improve returns on capital. In fact, sustainability may be the most important determiner of a company’s survival.