Corporate Social Responsibility and Tourism

Forecasting annual European travel market from early data provided by ECM members Research shows that annual European tourist bednights can be accurately predicted by using monthly data. A recent study performed by ECM’s academic advisers, Prof. Karl Wöber and Dr. Irem Arsal (MODUL University Vienna), shows that monthly data is a good indicator for forecasting annual tourist bednights. In addition, annual forecasts are more accurate for the near rather than the distant future.

Rising energy consumption and the related issues of environmental pollution, increased cost of garbage and sewage disposal, surface consumption and loss of biodiversity put a lot of pressure on the environment. The loss of values and the effects of acculturation through tourism, as well as financial and sexual exploitation of the host population have become major social issues. Yet pure, unsullied nature, beautiful landscapes, cultural heritage, foreign cultures and a sound infrastructure represent the core elements of the supply side of tourism. To maintain these elements, the resources vital to tourism must be managed in a sustainable way and a preference for sustainable products and services should be encouraged.

Corporate Social Responsibility (CSR) can make a significant contribution towards sustainability. According to the definition of the European Commission, CSR is “a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis". CSR is part of the Europe 2020 strategy for smart, sustainable and inclusive growth (European Commission). It is important to point out that CSR measures are voluntary and should therefore exceed legal regulations (e.g. environmental regulations, employment rights, etc.). Furthermore, it is a multi-stakeholder concept where dialogue between the stakeholders plays a major role. In this context, stakeholders are not only beneficiaries but also partners in developing and implementing CSR projects for businesses. There are a number of basic international strategy papers which may serve as a guideline for businesses to integrate CSR measures. The first to be considered is the “Global Code of Ethics for Tourism”, which sets a frame of reference for the responsible and sustainable development of tourism (http://www.unwto.org/ethics/index.php). Child protection in tourism is another important CSR related issue. The UNWTO has established a Task Force (a global action platform of tourism-related key-players from the government and the tourism industry sectors, international organisations, non-governmental organisations (NGOs) and media associations) that focuses on preventing sexual exploitation of minors, child labour and the trafficking of children and young people. ECPAT, a global network of organisations and individuals working together for child protection, developed the “Code of Conduct for the Protection of Children from Sexual Exploitation in Travel and Tourism”, which many tourism businesses have already signed (http://www.thecode.org/). Further important initiatives in the context of CSR in tourism are the “Davos Declaration”, which contains adaption and mitigation strategies for tourism to respond to climate change (http://www.unwto.org/climate/index.php), and the “Tour Operators’ Initiative for Sustainable Tourism Development (TOI)”, founded in 2000 as a network of tour operators committed to “developing, operating and marketing tourism in a sustainable manner” and to “make a positive contribution to the natural and cultural environment, which generate benefits for the host communities, and which do not put at risk the future livelihood of local people”. (http://www.toinitiative.org).

CSR measures of tourism businesses comprise the responsible use of natural and cultural resources; the minimisation of pollution and waste; the conservation of landscapes, biodiversity and cultural heritage; fair and responsible treatment of employees, suppliers and guests; fair use of local products and services; as well as involvement and cooperation with local communities so as to improve the quality of life of local people.

Corporate Social Responsibility (CSR) was first implemented in the tourism sector in the late 1990s by international hotel corporations. Many international hotel chains have integrated CSR measures, such as Marriott International with the program “Spirit to Serve Our Communities” or NH Hoteles’ "Street Children”. Today, many hotel chains publish annual CSR reports on their websites (e.g. Accor, Hilton Hotel Corporation, Inter Continental Hotels, NH Hoteles, Banyan Tree, Club Méditerranée, etc.).

A series of voluntary instruments support businesses in implementing CSR practices. This starts with establishing the principle of CSR within the company’s vision, which relies on the support of the management and employees. CSR-programmes or codes of conduct, such as the Earth Guest programme of Accor Hotels (http://www.accor.com/en/sustainable-development.html), competitions for ecologically and socially responsible tourism activities such as EcoTrophea, the international environmental award of the German Travel Association (DRV), (http://www.drv.de/fachthemen/nachhaltigkeit/ecotrophea.html); the “TO DO! – Award” for projects and measures relevant to tourism development whose planning/realisation ensure the involvement of the different interests and requirements of the local people through participation (www.to-do-contest.org); or the Tourism for Tomorrow Award, an annual award of the Travel and Tourism Council (WTTC) (http://www.tourismfortomorrow.com/).

More formalised instruments are Eco- or CSR-management systems (such as the ISO 14001 standard for environmental management in companies and the ISO 26000 standard for social responsibility), eco-management and audit schemes (EMAS) or certification schemes and quality labels for environmental and socially responsible tourism products.

The concept of Corporate Social Responsibility has become a central part of corporate strategies for tourism business. Environmental protection, fair working conditions for employees and contributing to the welfare of local communities are key issues in the strategies of international tourism corporations. Tourism businesses have strong relationships to the local communities in which they are operating; therefore, they also have a strong influence on the socio-economic development of these regions. For customers as well as for employees, the integration of CSR strategies is becoming more and more important. To operate successfully in the future it will be necessary for tourism businesses to continuously implement and successfully establish CSR strategies in the long term.