Business today is all about the critical need for innovation in the race for competitive advantage. To many people, innovation is associated with advances in technology and expanding opportunities with the Internet. While technology and the Internet have had a profound effect on how we work and learn, innovation ultimately resides with the individual, not the machine. To be truly competitive, companies need to look beyond technology to their workforce.
Perhaps surprisingly, Employer Supported Volunteering (ESV) has proven to be an effective way to inspire more innovative and productive employees.
What is ESV? Darren Quirk, a researcher on the subject, explains, "Corporate volunteering is about businesses supporting and encouraging staff involvement in the community — for mutual benefit." ESV can take many forms, from simple acknowledgment for volunteering to providing time off and offering monetary or in-kind support.
The marvel of ESV is that it benefits all stakeholders. According to a comprehensive research paper by Volunteer Canada, "Evidence demonstrates ESV to be a rare example of a win-win-win-win-win situation through which the community, individual citizens, governments, business and employees gain."
The benefits to the community are obvious. According to the 2003 National Survey of Giving, Volunteering and Participating (NSGVP) undertaken by Statistics Canada, Canadians performed over two billion hours of volunteer time in 2003. VolunteerMatch, a U.S.-based advocate for volunteerism, estimates that a skilled and talented volunteer pool reduces operating costs by over US$17 per hour volunteered.
Governments are also obvious benefactors as volunteerism reduces pressures for government funding by Canada's nearly 80,000 registered charities.
On an individual level, research shows that employees and those seeking employment benefit through volunteering. A NGSVP study in 2000 found that nearly 80 per cent of volunteers believed their activities helped them with their interpersonal skills, 68 per cent reported improved communication skills and nearly 60 per cent identified improved managerial skills. A 1998 study by the University of Ottawa revealed that volunteer work increased annual earnings by six to seven per cent. University of Michigan research demonstrated that volunteers actually live longer because they volunteer!
The business case to employers for employee volunteerism is equally compelling. According to VolunteerMatch, "A well thought-out employee volunteer program offers one of the most successful and cost-effective solutions to becoming a more sustainable corporation."
Volunteer Canada identifies a number of benefits to the employer. These include better brand recognition, enhanced reputation, increased customer loyalty, improved ability to attract investors, increased market and product development opportunities, greater attractiveness to potential employees, and better retention of existing employees.
Independent research confirms the corporate benefits of ESV. Researcher Michael Tuffey found employee competency gains of 14 to17 per cent. Other research confirms the direct linkage between employee attitude, customer relations, and sales growth.
Bryan Graham, Foundation Leader for PricewaterhouseCoopers LLP who oversees the PricewaterhouseCoopers Canada Foundation, agrees with the research findings. "Charities across the country are benefiting from the skills and expertise of our partners and employees, while at the same time PwC staff are enhancing their professional skills, developing team work, establishing important community contacts and fulfilling personal interests."
In recognition of all the benefits to the community, the PricewaterhouseCoopers Canada Foundation was founded in 2004 as a strategic initiative to encourage and recognize PwC staff in their volunteer activities through a variety of firm-sponsored programs.
Other community-minded organisations agree.
Lerners LLP not only values the benefits to staff, but strongly believes in giving back to their clients by way of charitable service. "Volunteering is a key element for our firm to enrich our cultural community, increase the morale of our employees, and add to our goodwill." says managing partner Janet Stewart.
Unfortunately, despite all the benefits, volunteerism is on the decline in Canada. The NSGVP 1997 and 2000 studies reveal the loss of almost one million volunteers in the three-year period. A startling revelation from the Statistics Canada 2000 study is that nearly three-quarters of volunteering in Canada is borne by a mere seven per cent of all adult Canadians. However, on a positive note, the study also found that 22 per cent of employed volunteers received recognition from their employer — up from 14 per cent in 1997.
Many nations including the United States and the United Kingdom recognize the importance of volunteerism and have formal programs in place to promote ESV.
The business case for Employee Supported Volunteering is strong. The benefits to the entire community are undeniable. Will more corporate Canadians recognize the huge return on volunteerism like many of our global competitors?
