Social Audits

A social audit is a process that assesses and reports on an organization’s effect on society. Social audits are closely linked with an effort to demonstrate to stakeholders a business’s corporate social responsibility (CSR). A certified third party should lead a social audit. While such audits are generally voluntary, they are useful to the organization’s operations and business strategy, as well as to its varied stakeholders, such as employees, shareholders, suppliers, customers, and local communities. With a growing lack of trust between stakeholders and businesses—especially large, multinational businesses—suspicious publics have demanded objective measurements and reports about those businesses and their social impact.