Community relations: Turning goodwill into good business

We’d like to jumpstart our community relations program which was put on hold when its manager resigned. How do we make it profitable for us? Please advise. — Foxy Roxy.

Community relations are not a stand-alone program. They must be organized and managed under the umbrella of Corporate Social Responsibility (CSR), which many conceive of as simply handing out packed rice, noodles, and canned sardines while posing for photos.

Unfortunately, many companies forget one essential truth: a community relations program isn’t about charity per se. It’s about strategy.

If done right, it doesn’t just polish a company’s image; it fuels sustainable growth, builds resilience, and secures what every organization ultimately needs — a good public image and a social license to operate a decent business.

TRANSFORMING GOODWILL
When businesses see the community not as a cost center but as a strategic partner, the benefits are mutual. Strong relationships create trust, attract talent, and open doors to new opportunities. A thriving community often mirrors a thriving company. Here’s how smart leaders transform goodwill into good business — and reputation into resilience:

One, align community projects with core business goals. The first rule of a successful community relations program is simple: stay relevant. Companies must align social initiatives with what they actually do best.

For instance, a pharmaceutical firm sponsoring medical missions makes sense. But not an oil company sponsoring a beauty contest or fashion show.

Two, engage, but don’t dictate what you want. Too often, companies “drop” projects into communities without asking what people actually need. The smarter move is to first consult community elders and leaders before doing anything.

Consulting the residents not only reveals what’s truly valuable. It builds trust. In a mining town, a company learned that locals didn’t want a new basketball court. Instead, they wanted clean, potable water.

Three, invest in long-term partnerships. This avoids “CSR fatigue.” Communities grow wary when companies show up once a year with a photo-op and a tarpaulin. The real magic happens with consistent, long-term engagement.

Major companies partner with schools, cooperatives, and local governments to sustain projects for years — improving lives, skills, and livelihoods.

Four, empower local talent. The smartest approach is not giving — but enabling. Hiring and training local residents does more than fill job openings. They create advocates for your brand.

When people see neighbors employed by your firm, the perception shifts from “outsider” to “partner.” Local employment builds economic resilience and reduces social tension. Plus, it saves the company recruitment and relocation costs.

Five, measure impact in social and business benefits. Companies measure profit margins to the decimal point, but often treat CSR impact as vague. Smart firms quantify both social outcomes and business benefits.

Track indicators like school attendance rates, livelihood incomes, or reductions in community complaints, even for petty crime. Pair those with metrics like employee retention, brand perception, and stakeholder support. Then communicate the results honestly with management.

Six, leverage employee volunteerism. When workers contribute time and talent, projects gain passion and purpose. It’s also good internal marketing — employees feel proud to belong to a company that walks the talk.

Smart human resource (HR) leaders even recognize volunteer hours as part of leadership development. In short, doing good becomes a two-way classroom: the community learns and employees grow.

Seven, use community relations as a risk management tool. This one rarely makes the glossy CSR brochures, but it’s crucial. Strong community relations are insurance against crises.

When you build trust long before trouble comes, you don’t need to scramble for support during a labor dispute or other issues. Communities that feel respected are more likely to defend your reputation than attack it.

Eight, reconcile projects with sustainability goals. Environmental stewardship is not optional — it’s a requirement. Integrating community relations with sustainability creates milestones in co-ownership among various stakeholders.

Think of waste management drives that support local recycling livelihoods, or tree-planting projects that involve nearby schools. These efforts hit both social and environmental targets, strengthening your environmental, social, and governance goals profile in one sweep.

Nine, share authentic success stories. Forget the slick corporate videos with swelling background music and executives in hard hats. What people want are trustworthy stories, not logos.

Feature the story of real beneficiaries, honest challenges, and tangible results. When your narrative feels human, your brand feels trustworthy. In the digital age, sincerity is the new sophistication.

Ten, review, adapt, adjust, and evolve. Communities change — demographics shift, industries evolve, and local issues emerge. Smart companies refresh their community strategies regularly. Conduct periodic social audits, update priorities, and pivot where needed. Static programs become stale fast; responsive ones stay relevant and respected.

Therefore, community relations should never be an afterthought scribbled under “CSR Budget.” It’s a strategic function that blends empathy with economics. The old thinking was: “Help the community because it’s the right thing to do.” The new thinking should be: “Help the community because it’s the smart thing to do.”

Participate in Rey Elbo’s Nov. 14, 2025 public seminar on “Smart Strategies for Dealing with Difficult Workers.” E-mail elbonomics@gmail.com or https://reyelbo.com/contact-us