“Making a positive social and environmental impact through business has gone from a ’nice to have’ to a ’must have’ for prospective graduate business students”, says Net Impact’s CEO, Liz Maw.

Not only are businesses increasingly aware of the need to take heed of societal and environmental issues, but the pressure placed on many communities by the recent global downturn has driven the need for large companies in particular to become far more accountable and transparent in their approach to business.

This trend has been gathering pace for more than ten years now. In the US, The Sarbanes–Oxley Act of 2002 (also known as the 'Corporate and Auditing Accountability and Responsibility Act') was passed as a response to a series of corporate or accounting scandals, such as that affecting Enron. Similar laws have subsequently come into force in countries as far afield as India, Germany and Japan, as stricter financial governance of large firms has been sought.

This has in turn dramatically changed the way MBA students view their job choices, as well as their prospective employers. Not only are large firms more disposed to running strong programs of Corporate Social Responsibility (CSR), but many more companies specifically dealing with social and environmental issues now operate at a level where MBA careers are available.

The two taken together form what we refer to as ‘socially responsible companies’, but even here the term could do with further clarification.

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