The role of corporations in civil society and how to play such a role can help make lives better for people in the communities where they operate.Both locally and globally,the problem has become a big issue.As the only developed country in Asia,the experience for developing partnership between business and nonprofit organizations(NPOs)in Japan would be a good reference for the fast-growing China.
Although Japanese approaches to philanthropy have existed for generations,it is not until recently that the concept of CSR(corporate social responsibility)become recognized and widely discussed by the public.According to the survey on Corporate Philanthropic Activities in Fiscal 2001 by Japan Business Federation(Nippon Keidanren),the average expenditure on philanthropy activities per company was 342 million Japanese Yen,17.8% down from Fiscal 2000.However,the ratio to ordinary profits shows a 0.5% rise.
The result also shows among the respondents a greater awareness of the importance of supporting and cooperating with NPO/NGOs.This could be considered as a significant reflection of the rapid rise of the nonprofit sector in Japan since the late 1990s.
More than 12,000 incorporated NPOs have been established since the ’Law to Promote Specified Nonprofit Activities(NPO Law)enacted in March 1998 to establish a process for approving nonprofit organizations(NPOs)as legal corporations.However,in spite of the increasing recognition of the ability of NPOs to meet the diverse needs of society as well as to provide the means to social problems,the total number contributed to Japanese nonprofit sector is still less than 0.1% of the GDP.Private subscriptions and donations have not yet been developed as a significant source of funding.
How could business get more involved in the civil society?Companies in Japan provide support to NPOs mainly through
——Funding
——Provision of venues
——Giving in time(provision of skilled employees and training)
——Giving in kind
Facing the prolonged economic slump,both business and NPOs in Japan are now at the stage of an emerging ’win-win partnership’ which will bring effective results to society and maximum benefit to companies.The following items have so far been recognized to be important in creating a truly strategic community investment approach.
1.The program must be part of the corporate culture and business planning process if they are to be successful.
2.Make sure that your employees and other stakeholders share the same view.
3.Identify a good NPO partner who can help you think through your strategy better,and can direct you to new sources of information.
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