Identification of CSR Focus Areas

As is mentioned in the previous section the development of the Well World initiative has seen several changes in focus. The main difficulty in this process was designing an approach that was both relevant to their business and appropriate to their stakeholders needs. The identification of

focus areas was the main area of contention with the eventual outcome being the areas of healthcare in the community (Keeping People Well) and environmental impact (Healthy Planet). When quizzed about other stakeholder areas such as the workplace, the marketplace and even corporate governance JG claimed that although the CSR strategy transcends each of these areas, they had historically, and would continue to be covered by departments such as Human Resources, Purchasing and Legal and Secretarial.

Bupa’s choice of the Community and the Environment as the focus of their CSR strategy is explained in the introduction to the Well World section of Bupa’s website which states:

‘the world faces a series of interconnected challenges on health, environment and beyond. Ageing populations and increases in chronic disease are creating enormous financial and delivery challenges for our healthcare systems. Demand for water, agricultural development and the increase in waste and pollution are all creating challenges for our environment. Companies that can identify solutions to these challenges will gain strategic advantage’.

- Bupa (2013b)

This statement highlights the interconnection as Bupa see it between the health of the community and the health of the environment and therefore justifies their choice of the Community and the Environment (in that order) as the focus of the Well World strategy.

6.15.1 Community

Bupa claim that modern lifestyles and aging populations are presenting healthcare challenges in both developing and developed economies across the world and the main challenges come in the form of chronic disease and aged care.

In 2008 chronic diseases accounted for 63% of all deaths around the world. The World Health Organization estimates that 80% of chronic diseases can be prevented by addressing the main causes, such as unhealthy eating habits, low levels of physical activity and smoking. Out of the 36 million people who died from chronic disease in 2008, nine million were under 60 and 90% of these premature deaths occurred in low and middle income countries (World Health Organisation, 2011).

Advances in the management of chronic disease through improving healthcare and living standards have lead to an increase in lifespan for many people. However, this has resulted in a rise in new patterns of disease among the most common of which is dementia of which there are currently approximately 18 million sufferers world-wide and this number is expected to almost double by 2025 to 34 million (Bupa, 2011c). This change will impact individual healthcare needs

and associated healthcare costs and according to Bupa these aging populations present health systems and governments with the challenge of how to provide high quality care to an increasing number of people. In the coming decades, the demographic composition of almost all populations in the developed world will change substantially with dramatic increases in the numbers of elderly people.

6.15.1.1 Findings of the Survey of Operational Employees in Relation to Community Engagement

The findings of section five of the Survey of Operational Employees show a high degree of recognition amongst employees of the importance of Bupa’s commitment to the wider community and satisfaction with the company’s current commitment in this respect. Computation of the modal value in both instances confirms a majority of 56% as being in agreement with the importance of CSR in the community and that their company’s current commitment was sufficient. The third part of this section of the survey considered the current level of communication for community initiatives which again showed the modal value to be in agreement with a majority of 45% of responses demonstrating satisfaction with the current level of communication is sufficient.

Community Engagement (%) 0 10 20 30 40 50 60 70 80 90 100

Importance Commitment Regular updates

Strongly disagree Disagree Neutral Agree Strongly agree

Figure 6.4 Operational Employees in Relation to Community Engagement

The findings of the communications section of the operational employee survey reveal a broad level of support for the claims made by the interviewees in the relation to Bupa’s community engagement activities. The importance of communities as a stakeholder is acknowledged both on an operational level and across the tiers of management. This importance is realised by the company’s commitment to communities and the wide ranging schedule of programmes that exists within the group. The community based goals of Well World further strengthen this commitment. The awareness of this commitment amongst employees demonstrates an effective

communications policy which is evident from the survey responses and again supports the interviewee’s claims.

6.15.2 Environment

Bupa see environmental problems as a significant contributor to chronic disease and acknowledge that their own business activities result in an environmental impact. JG stated that their healthy planet goal was a ‘recognition of the company’s responsibility’ to minimise its own impact and catalyst for the promotion of environmental best practice throughout all areas of the group.

According to NTB and JG, Bupa’s global presence was a significant influence in their choice of approach to CSR and so necessitated an ‘aspirational’ strategy that would address global problems. Bupa are currently in the process of making ‘substantial infrastructure investments’ to reduce their energy consumption and improve energy efficiency as they work toward this goal. These include a plan to reduce carbon emissions from their offices and care homes through the rolling out of best practice, employee engagement programmes and trialling innovative technologies and approaches that support these goals.

6.15.2.1 Findings of the Survey of Operational Employees in Relation to Environmental Consideration

The findings of section four of the Survey of Operational Employees reveals a majority of 67% of employees to be in strong agreement as to the importance of environmental considerations in Bupa’s CSR efforts. However only 22% of respondents were in ‘strong agreement’ that Bupa’s current environmental programmes are sufficient. That said, the modal value (45%) for this category placed in ‘agreement’ that this was the case. The third part of this section of the survey considered the current level of communication for environmental initiatives which demonstrated satisfaction with the current level of communication in this respect with the modal value showing 45% of respondents to be in agreement that this was the case.

Enviromental Considerations (%) 0 10 20 30 40 50 60 70 80 90 100

Importance Commitment Regular Updates

Strongly disagree Disagree Neutral Agree Strongly Agree

Figure 6.5 Operational Employees in Relation to Environmental Consideration

The findings of the environmental section reveal a general level of satisfaction with Bupa’s environmental approach albeit with existing pockets of dissatisfaction in each of the areas surveyed. It is apparent from the interviews that the area of environment is very much a work in progress and so it is feasible that the dissatisfaction expressed will dissipate as the environmental programmes progress. Nevertheless, the environment remains an important part of Well World and it will be interesting to see further disclosures on the progress in this area.

6.15.3 Workplace

Although Bupa does not explicitly identify the workplace as a key focus area of Well World, it does refer to employee engagement in both the areas of community and environment. NTB claimed that Well World would play a role in employee motivation and was confident that Well World would instill further pride in the workforce. JG commented that there was significant appetite across the group for employees to become involved in Well World activities and a general appreciation of the Well World teams efforts. When questioned about the notable lack of specific focus on employees and the workplace in Well World literature JG attributed this to the traditional connection of these areas to the Human Resources department and referred to his earlier assertion that this would be how it remains.

6.15.3.1 Findings of the Survey of Operational Employees in Relation to CSR in the Workplace

The findings of section six of the Survey of Operational Employees show strong agreement (56%) with the assertion that Bupa should provide a positive and engaging working environment.

However this level of strong agreement falls significantly to 11% on the assertion that Bupa is committed to providing a positive and engaging working environment, the modal value in this instance showing 45% of respondents choosing to remain neutral on this assertion. Analysis of responses in relation to workplace focused communications shows that further work is required in this area with 45% of respondents choosing to remain neutral on the assertion that Bupa ‘provides regular updates on workplace developments’.

CSR in the Workplace (%) 0 10 20 30 40 50 60 70 80 90 100

Importance Commitment Updates

Strongly disagree Disagree Neutral Agree Strongly agree

Figure 6.6 Operational Employees in Relation to CSR in the Workplace

It is apparent from the survey responses that there is a level of dissatisfaction amongst the respondents but as mentioned by JG the workplace is an area overseen by Human Resources and so is not reported on in the manner of Well World.