ERNST YOUNG 7
CorporateSocial Responsibilities Policies & Activities
ErnstYoung or formerly referred to as Ernst & young until 2013 whenthe Company went through rebranding is a public accounting firm. is one the big four audit firms and its establishmentdates back in 1849. But later on, Ernst, Arthur & Com and Whinneymerged to what is currently the .provides avariety of business services such as: tax, auditing, business risk,security and technology services all over the world. The accountingfirm has over 190,000 employees and has a presence in over 150countries around the world. is ranked the ninth largestprivate American company with revenue of $ 27.4 billion for the yearended June 30th2014. The firm has its headquarters in New York and the current CEOof the company is Mark Weinberger. is strongly committedto making a difference and making the world a better place. Forinstance, taking notes from the former CEO James Turley who has runthe company, the company believes to part of the broader communityand therefore has a responsibility to invest in the society. Thiswill ensure that the business and the society can thrive. ErnstYoung’s corporate social responsibility has changed over the pastfew years. had a traditional of giving back to thesociety but over the last decade the company is strategic of whereand how it invests its time and effort as far as socialresponsibility is concerned. The company’s social responsibilityfocuses on social issues that matter to the people. This is thereason why the firm adopted a 3E strategy on its corporate socialresponsibility. This refers to Education, Entrepreneurship and theEnvironment(LeadersMagazine, 2009).In addition, offers its employees time off to volunteerwhile being on the payroll and hired the services of an environmentalconsultant to implement the company’s environmental sustainabilitystrategy.
Overall, seems to have got it right on corporate socialresponsibility. The accounting firm seems to have got the essence ofsocial responsibility which is to align the needs of the society withthe goals of the company. The company understands that corporateresponsibility is a crucial part of business because the operationsand value of a company has an impact on the world. The company’sstrategy on the embracing the 3E was brilliant and well executed. Iwill discuss the three E’s which are the involvement of in education, entrepreneurship and the environment respectively.
ErnstYoung is involved in a number of educational programs around theworld in an effort to raise the standards of education. For instance,in Australia has a program by the name of partners inLearning Program. This program was initiated in Australia upon therealization that there was a serious need for recruiting and hiringtalented individuals in the society and the best way to achieve thiswas to influence them during the early years of their lives. ThePartners in Learning program teaches school principals how to useeffective leadership strategies by pairing them with partners. The company also mentors school children fromdisenfranchised and disadvantaged backgrounds. has alsoworked with dysfunctional schools in South Africa and after a threeyear stint in the program, the results were impressive. The 13secondary schools that were involved in the program experienced morethan double their previous pass rate as 70 percent of the studentspassed their exams. The company’s involvement in the program variedfrom having workshops for the administrator and teacher as well asproviding extra tutoring for the students in various subjects. ErnstYoung launched a program in the United States by the name ofMentoring for Access and Persistence, MAP the program is focused onstudents from minority and low- income households. The aim of theprogram is to encourage more teenagers from this group to completehigh school and enroll in college. Through a partnership with anon-profit organization, was successful in admitting over100,000 students to institutions of higher learning.
ErnstYoung involvement in entrepreneurship programs was really impressive.This is especially considering that the involvement of the companywas not just a mere activity but an opportunity for the employees ofthe company to learn, interact and advance their skills especially inproject management. According to the firm’s employee volunteerprogram, the program was not just a conventional program thatinvolved volunteering for an activity with entrepreneurs or growingcompanies rather the experience involved a program that ran forseveral weeks. In addition, the program offered the employees a paycheck as their volunteered their services while away from thecompany’s premises. This was the case for Andrew Nawoichyk whospent seven weeks while volunteering for a footwear company inBuenos, Aires in Argentina. ’s promotion of corporatephilanthropy has gone up by 17% according to study conducted by CECP,a body that supports philanthropy among the corporates. was especially involved in working with strategic growth markets,which are found in emerging markets. The impact of involvement was significant as the results were evident in the wholecommunity. For example, ArjunaHerath was involved in investment planin Sri Lanka by the name of BizPAct. Herath’s role was to identify,develop and translate ideas into opportunities. Hearth’s successstory was that of a young man now wants to develop a hotel for hisguests after starting a small safari touring company of 2 jeeps thathas now grown to 30 safari jeeps. In addition, has beenmore involved bringing up and celebrating successful entrepreneursall over the world through its Entrepreneur of the Year Award. Theprogram shares the success stories of entrepreneurs who have made itin the business world and this serves as role model to aspiringentrepreneurs.
Thefocus on the environmental in corporate social responsibility isperhaps has the most significant impact on the community. This isbecause the environment affects each member of the society regardlessof their race or social status. has no doubt step uptheir commitment in issues related to the environment. This could bebetter explained by the firm’s hire of an American Director ofenvironmental sustainability, Leisha John who has also worked for thecompany for the last 24 years. The appointment of Leisha John issupposed to increase awareness of the community and the staff membersabout EcoCare. Eco Care is an initiative that revolves aroundrecycling of waste products and adopting environmental best practicesthat will make the world a better place. is committed togong green and as a result it has been involved in a number ofprograms which encourage the use of natural energy. For example, was involved in the U.K through creating incentives forpeople to share resources such as car-pooling or using bicycles totheir workplaces. The company is also committed to constructing greenschools around the U.S. This project encourages the use of greenenergy products that are efficient and have less harmful effects onthe environment.
Ireckon that have done a commendable job in implementingtheir corporate social responsibility program but a few things couldbe done to improve their commitment. According to ’scorporate social responsibility policy, their goal was to focus onsocial issues that matter to the people. In my opinion, the subjectof environmental issues is the most significant and therefore, ErnstYoung should have focused more of their attention on issues revolvingthe environment as opposed to spending most of their efforts on the 2E’s, education and entrepreneurship. It seems that the company’sinvolvement in the two issues was mostly for personal reasons asopposed to an act of benevolence. For example, the creation of thepartners for Learners program in Australia was as a result of ashortage of talent in the financial sector which the companyoperates. On the other hand, the entrepreneurship programs initiatedby the company seem to revolve around the employees than thecommunity itself. At the end of the day, the voluntary services lacktheir true essence since the employees do not sacrifice their timefor money. In my opinion, should focus their effort onenvironmental issues because this is the only area where both thecommunity and the corporation stand to gain by working together.
LeadersMagazine. (2009). Ernst& Young`s people: Making corporate responsibility personal .Retrieved March 9, 2014, from Leadersmag:http://www.leadersmag.com/issues/2009.2_apr/pdfs/ey/ernstandyoung.pdf#page=2&zoom=auto,0,-330