LBG Canada Blog

First Calgary Financial has embarked on a new journey, one filled with promises and commitments not only to their stakeholders, but to each other as employees and concerned corporate citizens. 

Historically, corporate social responsibly (CSR) initiatives have been led by a single department at First Calgary Financial - responsible for reporting, implementation and communication.  In the past year, the Board and Executive team underwent a strategic planning process to create a new five year strategic plan as well as a document containing the organization’s CSR commitments. While they underwent this process, they identified countless overlaps and began to realize how CSR was inseparable from their strategic plan.  As a result, the Executive Team crafted a strategic plan that embedded their CSR commitments into the core business functions and decision-making. Essentially, their strategic plan is their CSR document.

The strategic plan is based on three promises: social, environmental and economic. The three promises are together incorporated into First Calgary Financial’s decision-making framework. “CSR is not one department’s role; it’s how we do business,” states Dani DeBoice, Director of Corporate Citizenship. Now, the company’s economics are understood not only in financial terms, but also within social and environmental contexts. 

Social Promise: We have a deep respect for those who are committed to bettering the lives of those around us. As a socially aware organization, we make thoughtful choices that consider how our members, employees and communities are affected. It's a promise about people. It's who we are.

Although the Board and Executives were visionary about drafting these promises, they questioned how they were going to measure success. Eventually, SiMPACT was approached to identify metrics that will inform a social return on investment (SROI) valuation of the social promise commitments.

By conducting an SROI, First Calgary Financial is aiming to clearly understand the value of their business services contributing to achieving these promises. For example, is a $5 million line of credit to the Calgary Homeless Foundation creating a return for society that goes beyond just the value of the donation of the interest accrued back to the non-profit? What opportunities exist to further develop the local social finance agenda?  Over the next five years, key performance metrics will be established to capture and measure the results.

From an LBG Canada perspective, the social promise has elevated the role of community investment, clearly positioning investing in community as one key step on a spectrum of social impact. In addition, the LBG Canada approach enables First Calgary Financial to comfortably speak about the business and community value, using project and portfolio-specific data to demonstrate how their investments are a part of their larger social promise.

Overall, the strategic plan is an inspiring, forward thinking document.  First Calgary Financial hopes to see a more engaged, knowledgeable employee base with a stronger understanding of how these promises tie into everyday business practices and a stronger Calgary community. “By stating these promises, employees are empowered. We are actively looking for ways to leverage our business practices to achieve these promises to the best of our ability,” adds DeBoice. “In five years, we will be able to articulate our social impact and return proudly.”

Download the First Calgary Financial 2011-2015 Strategic Plan Highlights for more information.  

LBG Canada releases the 2011 Annual Benchmarking Report

With over $335 million invested into Canadian communities and 24,000 people contributing 238,689 volunteer hours across the country, the 2011 LBG (London Benchmarking Group) Canada benchmarking cycle represents significant growth.  Today, the 37 participating companies together set the highest standard in community investment management, performance measurement and reporting in Canada.

The 2011 Benchmarking Report is based on an annual audit that assists each company in identifying current portfolio strengths and opportunities for improvement, in comparison to emerging best practice. Three major trends highlighted in the report illustrate the role of community investment as a valuable, strategic corporate activity.

Increased Spending into the Community

• Despite the changing economy, LBG Canada companies have seen a substantial increase in community investment budgets.  90% reported increasing or maintaining their overall investment budgets in 2011, up from 71% in 2009.  In addition, 21% of companies are expecting an increase in staff allocation.

Integration of Employee Volunteering and Giving Programs

• 96% of all LBG Canada companies support some form of employee giving and volunteering, demonstrating emerging awareness of involvement in community investment activities as an effective tool for employee engagement.

$90 Million Leveraged

• Close to $90 million in additional resources was leveraged for the benefit of community partners, through activities such as cause-marketing, in-kind donations and matched funding, from key stakeholders such as employees, suppliers, government etc.  By strategically focusing their convening power, companies within LBG Canada leveraged an average of $0.36 per $1 invested.

Overall, the size of community investment budgets benchmarked ranged from $100,000 to over $35 million in 2011. Clearly, the value of a high-impact and meaningful community investment program is as important to smaller companies as it is to the mid-size and the largest companies operating in Canada.  

Since 2006, the total amount of community investment benchmarked by LBG Canada companies has grown from $28 million to over $335 million. The group itself has grown from 10 members to 37 at present. This is an encouraging trend indicating that a growing number of companies are actively seeking to maximize the performance of community investment, demonstrate the strength of community partnerships, create measureable impact and report results with greater confidence, clarity and credibility. 

Download the 2011 LBG Canada Benchmarking Report.

In light of recent interest in SROI, SiMPACT shares our response to the social implications of the #torontobudget brought forward by the author Margaret Atwood in the article: Margaret Atwood fights against closure of Toronto libraries

Aug.8, 2011

An excellent article that articulates the social implications surrounding financial cut-backs.  Libraries and other cultural centers are more than just places of opportunity. They bring people together to create community cohesion that is necessary and vital for many individuals, families and those who are at-risk of social isolation.

Although the 350+ people who patiently waited to speak to Mayor Ford at the Toronto budget hearing spoke from their heart, it seems there is an assumption being made that social value can’t be quantified. We disagree.

Increasing use of the Social Return on Investment (SROI) methodology illustrates how to value the results of investment in social programs and infrastructure that supports and strengthens communities.  An SROI of a library, for example, would examine three forms of value -  financial, social and environmental.  The municipality of Calgary for example, has been committed to a triple bottom line since 2005, and is now taking steps to include an assessment of social and environmental value, alongside financial value, in all aspects of corporate decision-making.

It is only when you integrate the three elements of sustainability impact (financial, social, environmental) that a more complete picture of value creation is formed. Although the City of Toronto has some hard decisions ahead, there are tools that can value the implications of budget cut-backs in terms that illustrate that cost and value are linked but not interchangeable.  These tools will assist any leader to ensure that long term strength is not jeopardized by short term decision-making.