How can a company grow by giving back?

Published on Sunday, September 04, 2005
http://www.thejakartapost.com/Archives/ArchivesDet2.asp?FileID=20050904.F04

Elvera N. Makki, Contributor, Jakarta

Ironically, this is still a question frequently asked not only by new emerging companies but also by big multinational ones, amid the era of what we call corporate social responsibility (CSR).

Nowadays people talk about it although some have no clue as to what it is and how to implement it properly, and how to make it in line with corporate business objectives.

In the United States, the CSR concept has been deeply rooted in the life of the people. According to the U.S-based Natural Marketing Institute, almost 90 percent of the American people believe in the importance of corporations paying attention to their impact on the environment and society rather than solely focusing on profit.

According to the survey made by the institute, 70 percent of consumers say they prefer to buy products produced by companies that pay serious attention to CSR activities, and nearly 50 percent stated that they would be more likely to buy stocks from such companies, rather than from those which do not really care much about the impact of their operations on the environment.

Larry Parnell, the principal of Canada-based Nomad Strategic Communications has said that most businesses, not just natural resources-based companies, need social license to operate and expand. The social license can be obtained only if the companies have a strong commitment to protecting the environment and the society from the impact of their business activities.

In Indonesia, the concept of CSR is considered new although it has actually been implemented here for a long time, such as through donating food from employees to an orphanage; fund-raising to donate consumer goods or clothes in the fasting month.

There are, however, weaknesses in those activities; first, the programs only gives momentarily support and there is almost no long-term benefit in it.

The type of help the company provides should be toward sustainability; that way, there will be strong engagement between the company and the community around it, thus, a company and its stakeholders.

One bad example of what corporations did was when they tried to take the advantage of the tsunami tragedy in order to boost their image.

Second, a good reputation cannot be achieved over night. It requires continuous commitment from the company's management and employees. Just giving food or clothing especially on a once-off basis will not enhance the company's image in the long term.

With that in mind, one of the key ingredients in formulating CSR programs is to firstly make it a business priority and make it a part of a comprehensive communication strategy. Public relations as the communicator should lead the way in doing and communicating the programs effectively.

Some corporations, both local and foreign, reluctantly communicate their social programs to the public and stakeholders, partially due to a belief that doing good expects no reward hence, no communication is needed. Of course such a perception is misleading.

This can be due to a lack of creativity in packaging the programs and the medium in sharing the information. CSR programs should be done seriously, innovatively and with full commitment over the long term so that they are strong enough to draw public attention.

Why is it so important to communicate CSR activities to others?

Dita Amarhoseya, Corporate Affairs Head of Citibank in Indonesia, has said that communication is a huge part of conducting CSR programs because the audience has the right to know what the company is doing for the community, especially if the company invites its customers to be involved in donating funds to, for example, communities affected by the tsunami.

She says that communicating CSR activities can create a snowball effect where people, including prospective employees or potential investors who read or hear about the programs may be encouraged to do the same and be part of the company.

The basic principle in CSR programs is to create long-term CSR activities in order to achieve the maximum impact for both the company and community.

She notes that it took approximately five years for Citibank to achieve recognition from the public and its stakeholders for its CSR activities under the umbrella of Citibank Peka (Peka is an acronym of peduli (care) and berkarya (to do good). The word peka itself means to be sensitive).

Initiated in February 1999, Citibank Peka (CP) focuses on education, communication development and natural disaster relief.

Another good example of a corporation that takes CSR seriously is PT Astra International (Astra). The setting up of Posko Banjir Astra (Astra Flood Post) in some key places during the massive floods in 2001 created an immediate and tremendous awareness among Jakartans.
Astra has developed comprehensive CSR programs ranging from community development, providing loans for SMEs, focusing on environmental, health and safety issues to giving scholarships and automotive entrepreneurship training.

One thing that needs to be improved is the provision of regular and current updates on its CSR programs to stakeholders, "That is what I see lacking in Astra and other major corporations," says a CSR consultant Eva Muchtar.

So how to measure the success of CSR programs?

Logically, the measurement will be how far the expectations agreed upon are executed and whether the programs were completed according to the plan or not.

Parnell has suggested corporations start developing comprehensive CSR programs by conducting a thorough audit of the needs facing their communities; making resource commitments consistent with their business skills and corporate strategy; to follow through and then communicate the results both within and outside the organization.

CSR will do absolutely no harm to a company's reputation (as long as it is done ethically), employee morale, product sales or market valuation to use CSR guidelines as a leading indicator of what investors, the government and the general public expect of corporation today.
In the long run, the corporations may well benefit as much as the people and communities their support.

Remember, actions do speak louder than words.

The writer is a full time member of Public Relations Society of America. She can be reached at blossomveras@yahoo.com

Wedding planners take the angst out of the big day

Published on The Jakarta Post, Sun, 8/8/2005
Features News, Sunday, August 08, 2004

Elvera N. Makki, Contributor, Jakarta

As actress-singer Paramitha Rusady gingerly stepped through the crowd of paparazzi and well-wishers at her wedding reception earlier this year, few spied the discreet presence of a tall man in a dark suit nearby.

But with a nod to one of his staff or himself moving unobtrusively to clear her way or point her in the right direction, Emil Eriyanto made sure the event went off without a hitch.

It's not just celebrities who are calling on wedding planners (Emil prefers the term "organizer") these days. For young Indonesians, especially in urban centers like Jakarta, are forced by circumstance and also by choice to let wedding planners take care of everything.

If the question, "Would you let a wedding planner handle your big day?" was asked about 15 years ago, it would have been met by raised eyebrows and a terse, "Are you kidding?"

For most Indonesians, especially Javanese, believe that a marriage between two people means the auspicious joining of two families, and relatives do not want to miss out on a thing.

Family members are proud to be chosen to be on the wedding committee and involved in every step of the complicated traditional wedding rituals, culminating in the taking of vows and the reception.

The belief in "family first" is still true, but the old habits are dying just a bit with new pressures.
"In today's busy environment, people do not want to get frazzled by all the complicated details," said Emil, who became a wedding organizer seven years ago.

"Involving the family will make it much more complex, knowing they are also busy with their own activities."

Outside help is also a practical matter. For when the big day dawns, most members of the family are kept busy ensuring that they look the part, from the right traditional hairdo (it can take up to three hours, with touch-ups and changes after other relatives get to see it), getting dressed ("Where's the kris?" "My sandals are too tight!"), to making sure the food is being made to order.

A former model in his hometown of Malang, East Java, Emil began as an emcee in Jakarta, but founded Multi Kreasi Enterprise seven years ago when he saw the potential in the wedding business.

He studied up on the traditional ceremonies of different regions, from Javanese Surakarta (still the most popular wedding ceremony for his company), to Javanese Yogyakarta, Sundanese, Minangkerbau and also foreign nuptials, such as Indian.

"Our clients call on us for different specific needs. Some ask us to take care of the whole wedding from the scratch, while others only want us for the reception. Even if our client just wants us to be a timekeeper, we are ready."

Emil said it was essential to keep the customer satisfied, whatever their demands.
"First, we pay very close attention to detail. Secondly, we always care about a client's changing needs. Finally, we create a warm, familial atmosphere in interacting with the client."
Emil said his success in organizing weddings had to more job assignments, such as birthday parties, product launches and corporate gatherings.

Although he is considered one of the more expensive organizers, Emil said he charged a standard fee with no commission on goods from suppliers.

Emil's optimism that business will continue to grow is shared by Rina Gunawan, a TV presenter who owns event organizer 19HN Production, which is enjoying more orders for wedding events.
Rina said it was essential to have patience, teamwork and discipline in planning weddings, which she acknowledged often led to problems in the stress of the situation.

"It easily generates family arguments," she said. "That is what our clients are trying to avoid, by hiring a third party planner and organizer."

The potential for family discord was among the main reasons "Sinta" decided to hire a wedding planner for her recent nuptials.

"I knew that I wouldn't have the time to do it justice, especially during this election year," said the 30-something reporter for a foreign publication.

"But I also wanted to avoid the usual family hassles through not having our families involved, and so that we could decide on our own taste."

Rina and her staff of 15 have been entrusted to take care of the weddings of several high-profile individuals, and she said there was bound to be snafus and bruised egos with a client.

"A personal approach is my approach in dealing with a client. It has been my best tool, especially if miscommunication or a little friction occurs between us."

Future prospects for business growth look assured, with the cultural preference for bigger is better when it comes to starting married life not about to change.

"Who doesn't want to get married? Particularly in our culture and beliefs, marriage is one of the most honored institutions and we want to make the big day as special as possible. That is a given, positive fact for us," said Yustine Apriyanto, the owner of Yustine Griya Busana.

She started her business eight years ago, first as a pemaes, a Javanese traditional make-up woman who takes care of everything, such as providing the different kinds of offerings, ensuring the running the ceremonies during the event and outfitting the complete wedding dress, ornaments and equipment needed.

Together with her husband, Teguh Apriyanto, she would also build the pelaminan, the stage where the couple and parents stands during the ceremony.

"Right now, we offer an almost complete package required for wedding parties as a one-stop service, excluding catering."

She takes care of the wedding couple's make-up herself, and provides decorations and clothing for Javanese, Sundanese, Betawi (native Jakartan), Batak and Minang customs, the sound system and the necessary documentation.
She also has an international wedding package.

"I've also done several ethnic Chinese wedding parties. Surprisingly, some of them ask us to combine the theme with the traditional customs of the area they live in."

Yustine said she always kept abreast of trends, implementing necessary changes without altering the essence of traditional rituals.

"Nowadays, many Javanese weddings take place in the garden. We accommodate that particular need. If our clients come to our place, they can see our own garden displayed with several types of decorations so they can decide for themselves."

With a staff of 45, Yustine said many clients felt more secure because she and her husband took a full hands-on approach.

"We do it, we organize it, we have full control of the work," she said.