The HACR Corporate Inclusion Index (CII)is a robust evaluation tool that companies can use to create a roadmap for diversity and inclusion efforts. It consists of over 150 questions created by the HACR Research Institute (HRI) based onyears of research and engagementswith Fortune 500 companies regarding their diversity and inclusion practices and themethods and metrics used to evaluate their progress. The HACR CII assesses Corporate America’s Hispanic diversity and inclusion efforts in four key areas: Employment, Procurement, Philanthropy, and Governance.
The conversations the HACR Research Institute (HRI) has had with participating companies throughout the years it has been conducting the HACR CII, continues to reveal many interesting themes and trends. To this end, the theme of this year’s report is the power of harnessing support networks and the important role support networks play in the success of diversity and inclusion policies and practices in Corporate America. The data collected from the HACR CII ultimately provides us with a “snapshot” of Corporate America’s Hispanic inclusion efforts business practices and strategies of participating companies around our four pillars of economic reciprocity: Employment, Procurement, Philanthropy, and Governance.
Today, we will focus on some of the key takeaways from the Philanthropy pillar of the 2020 HACR CII report and what they tell us about the improvements and continued challenges faced by Corporate America in their philanthropic efforts with the Hispanic community.
WHAT DOES THE PHILANTHROPY PILLAR MEASURE?
The role of corporate philanthropy has evolved beyond charitable giving to become investment strategy that is in alignment with business priorities and bolsters the economic growth of the communities in which companies do business. The Philanthropy pillar of the HACR CII evaluates the impact of a company’s philanthropic efforts as an expression of their commitment to “social good.” It looks at things like contributions to the Hispanic community, volunteer hours, and the dollar value of volunteer hours. High levels of community investments leads to long-term business advantages. As with any other investment, clarity about desired outcomes and performance towards meeting goals are going to be key determinants in gauging the success of corporate philanthropic investments.
WHAT DID WE LEARN?
Based on the aggregate outcomes from the 2020 HACR CII survey, some of the major areas that Corporate America should continue to focus on include:
Tracking and reporting corporate, foundation, and in-kind contributions: Tracking and reporting on foundation give, in-kind give, and volunteer hours in the Hispanic community has changed little over the last three years. Only 41 percent of 2020 participants tracked and reported their foundation giving to the Hispanic community and Hispanic-led organizations, while even less (31 percent) tracked and reported their in-kind contributions to the Hispanic community and Hispanic-led organizations. What’s more, only 37 percent of participants tracked and reported their volunteer hours in the Hispanic community. To better understand where resources are allocated and needed most, tracking these three opportunities is crucial.
Tracking Hispanic ERG’s volunteer efforts: For Hispanic ERGs, one of the main avenues for leadership development, engagement, and networking is volunteerism, yet only 43 percent of companies are currently tracking their Hispanic ERG’s volunteer efforts in the Hispanic community and even fewer (23 percent) track metrics such as dollar value for these efforts. Prioritizing and tracking such efforts will allow companies to more effectively mobilize support networks in partnership with the Hispanic community.
Even though there is still a great deal of opportunities for Corporate America to improve their philanthropic practices, the key foundational elements for doing so are already in place. A majority of 2020 participants (93 percent) have a strategic plan for their corporate giving initiatives, with 77 percent reporting they perform an impact evaluation of their initiatives, and 93 percent review them regularly.
Overall, companies should continue developing their philanthropic tracking and evaluation capabilities in order to better evaluate the effectiveness of their community investment initiatives, as well as continue to work on leveraging the expertise their Hispanic ERGs can offer. By partnering with their Hispanic ERGs to target their efforts in areas that resonate most with employees and their communities, companies will also ensure success in both the recruitment and retention of young talent, a byproduct of positive brand recognition.
CONGRATULATIONS TO THE 2020 HACR CII COMPANIES THAT ACHIEVED 5-STARS IN PHILANTHROPY
Ford Motor Company
To learn more about philanthropy trends and best practices, download a copy of the 2020 HACR Corporate Inclusion Index report here.
The 2021 HACR Corporate Inclusion Index (CII) survey launches January 11, 2021. If you are interested in participating, please click here or contact us directly at email@example.com.