5 minute read
Members News
The role of business in charity support: building back better
Professor Sir Tim Wilson DL, Chair of the Lieutenancy’s business panel and Emeritus Professor at the University of Hertfordshire, explains the importance of charitable giving in the corporate sector.
As we emerge from the darkness of COVID, we recognise the huge pressures that have been exerted on businesses.
We also recognise the truly impressive impact that many businesses have had upon their local communities through their social interventions: food banks, emergency transport, PPE supplies, equipment donations, answering special pleas from those in greatest need. The response of many businesses has been remarkable and without recognition or tangible return; companies that have “done the right thing” and responded to the needs of their communities. But where do we go from here? Do we return to pre-pandemic practices or, to coin an oft-used phrase by government, do we “build back better” and extend that critical link between the needs of our local communities and our Hertfordshire businesses? How do we establish sustainable links between charities working “at the sharp end” and businesses that want to make a difference? What’s the benefit to the business, where’s the motivation? Business motivation comes in many forms – directors’ interests through personal experience, improving staff morale through unifying campaigns, investor interest, marketing exposure through charity association, or perhaps just social conscience – doing the right thing. But how does a business become involved in charitable work? For some businesses, a corporate charity is the right solution; a dedicated charity with its own infrastructure, distributing funds systematically in pursuit of its objectives. It’s a significant investment; it’s not for everyone. For others, working with an independent charitable trust and establishing a named fund within that trust is the right way forward. For example, Hertfordshire Community Foundation manages more than 100 endowment funds, delivering the objectives of each fund. Many companies chose a “charity of choice” to support. Often this is a local charity well known to employees, raising funds through team-building sponsored challenges, sometimes introducing an optional payroll giving scheme, sometimes engaging with customers using a discretionary “round-up bills” approach to fundraising. There’s a plethora of options for companies looking to support a charity of choice. Does support have to be financial? Not always. In-kind donations are often a good way forward, especially for those charities which rely upon expert volunteers. Mentoring, specialist advice and trusteeships are examples of in-kind donations, as are charity shop donations and gifting goods for food banks. This paints an attractive landscape of opportunities for a business looking to play an enhanced role in its community through charitable activity. However, caveats need to be recognised. Charities exist and work for their beneficiaries but they share the imperative of business efficiency and effectiveness. A business that expects exceptional recognition or marketing exposure in return for its donation may be disappointed. The primary payback to a corporate charitable contribution is the sense of supporting its community; doing the right thing. The COVID months have seen exceptional interventions by Hertfordshire businesses supporting local charities. It’s time to build on that momentum and build back better.
CYBERCRIME
health check campaign
Cyber chiefs urge Herts SMEs to protect themselves
In March this year, a new government report laid bare the true effects of cybercrime.
It showed that almost four in ten businesses (39%) and a quarter of charities (26%) reported having cyber security breaches or attacks in the previous 12 months. Where businesses faced cyber breaches with material outcomes, the average cost of these breaches was an estimated £8,460 – a substantial amount for smaller businesses. The cost of some of the breaches was much higher. Hertfordshire Chamber of Commerce has repeatedly warned businesses about the dangers of cybercrime and encouraged them to protect themselves against unscrupulous criminals who are hell-bent on stealing their valuable data or their cash. One way they can do this is to sign up for a novel scheme pioneered by Hertfordshire County Council Trading Standards in partnership with the County’s Police and Crime Commissioner, David Lloyd. Launched in 2019, Cyber Basics Review offers any Herts-based SME with fewer than 50 employees the opportunity to get a free cyber health check. This can be carried out via video call or in person by accredited companies that follow a police-approved template. Every business gets an action plan detailing where they are vulnerable and what to do to put it right – and the rest is up to them. The man leading the campaign on behalf of the Council is Michael Nadasdy, programme manager in the organisation’s community protection department. He says: “SMEs are a significant target for cyber criminals, particularly those that are part of supply chains to bigger corporations. Lacking the resource and expertise to protect themselves can be part of the problem, but mostly they don’t think it will happen to them. “However, all SMEs know a business owner who has been caught out. Fraud is now the single biggest crime type by volume. “Only one in five SMEs provide any training to staff on cyber security, yet humans are the most vulnerable point for any cyberattack. Most cybercrimes, just as with most offline crime, are opportunistic – criminals take advantage of poorly defended property. The vast majority of cybercrime is preventable simply by getting the basics right.” It seems as though the scheme is having the desired effect. At least 130 SMEs have enrolled on the programme since it started in 2019. Not one of them suffered a cyber breach in the 12 months after completing the scheme. Michael says: “One of the SMEs described the programme as a wake-up call. The disruption, chaos and drain on resources to put things right after a cyberattack can be huge. “It’s important for Hertfordshire’s 60,000 SMEs to take steps to protect themselves: by having up-to-date antivirus software, for example, installing software updates regularly, backing up data and training staff to be cyber-vigilant. “These small steps can make a big difference in the long run.”
