In KPMG’s landmark report “New Horizons: CSR at the Heart of Corporate Leadership,” Hanan Alowain calls for a bold rethink of business purpose under Vision 2030—where profit, purpose, and progress converge.
“The private sector in Saudi Arabia is at a critical inflection point. As national priorities shift under Vision 2030, businesses are no longer evaluated solely by profits or market share, but by their contribution to society, sustainability, and inclusive economic growth. This new landscape demands a bold rethink: What role should companies play in shaping a better future for the Kingdom? And how can they build lasting value that extends beyond shareholders?”
With these opening reflections, Hanan Alowain, Partner, Government and Public Sector at KPMG, sets the tone for a transformative discourse on how corporate social responsibility (CSR) is reshaping the future of Saudi Arabia’s private sector.
Her words, featured in KPMG’s October 2025 report “New Horizons: CSR at the Heart of Corporate Leadership,” reflect not just a shift in strategy, but a cultural and economic awakening—one where the private sector becomes a catalyst for sustainability, social inclusion, and national progress.
The Global Evolution of CSR
“Since the 1950s, corporate social responsibility (CSR) has evolved from an optional philanthropic activity to a core business strategy. It can increase innovation, resilience, and trust in a brand, with research showing that 77 percent of consumers are willing to pay more for products from companies committed to making the world a better place. Moreover, evidence suggests CSR can improve financial performance—in 92 percent of studies reviewed by HEC Paris, CSR initiatives generated a net financial benefit. Each year, large companies worldwide spend tens of billions of dollars on CSR programs.”
CSR is no longer about charity or goodwill—it is about competitiveness, innovation, and long-term value creation. Alowain’s data-driven insight underscores that CSR has become a strategic asset that enhances profitability, brand reputation, and stakeholder confidence.
As she highlights, the integration of CSR into global corporate strategies has created an economic multiplier—turning responsible business conduct into a source of innovation and sustainable growth.
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CSR Evolution: From Philanthropy to Strategy
According to the KPMG report, CSR has evolved globally since the 1950s—from community volunteering to a core business strategy driving innovation and resilience. Research cited in the report shows that 77% of consumers are willing to pay more for products from companies committed to positive social impact, and in 92% of studies reviewed by HEC Paris, CSR initiatives produced a net financial benefit.
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Saudi Arabia’s CSR and ESG Journey
“In Saudi Arabia, business spending on CSR—the idea that a company should help society and the environment as well as make profits—and on environmental, social, and governance (ESG) initiatives is accelerating, but remains less established than in economies with a longer track record of integrating CSR and ESG into corporate strategy and regulatory frameworks. For example, the ESG investment market in the Kingdom is forecast to grow from about US$673 million in 2024 to US$1.8 billion in 2030, indicating rapid growth off a small base.”
Saudi Arabia’s Vision 2030 has brought a powerful momentum to this transformation. As Alowain explains, CSR is evolving from a communications-led or philanthropic activity into a strategic organizational role—one that requires integration into governance, leadership priorities, and performance frameworks.
“This paper explores how CSR is evolving from a communications-led or philanthropic function into a more strategic organizational role—one that requires deliberate integration into corporate governance, leadership priorities, and performance frameworks. It assesses the current state of CSR in Saudi Arabia, highlights what is working well and where critical shifts are needed, and outlines practical steps to elevate its strategic role across organizations.”
This evolution is both quantitative and qualitative. The ESG investment market’s rapid growth demonstrates how financial institutions, corporations, and regulators are realigning incentives to reward sustainable practices. CSR in the Kingdom is thus moving from being optional to essential, guided by Vision 2030’s framework of inclusive prosperity.
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Learning from Global and Regional Leaders
“We draw on best practices in CSR from global and regional leaders—from Coca-Cola’s sustainability efforts to strategic transformations by Nike, DuPont, Dell Technologies, and TotalEnergies. These cases show how CSR is being embedded into innovation, governance, and risk management frameworks.”
Alowain connects Saudi Arabia’s CSR journey to global benchmarks. She notes how companies like Coca-Cola, Nike, DuPont, Dell Technologies, and TotalEnergies have institutionalized CSR by integrating sustainability into product design, governance, and enterprise risk management.
“Regionally, we present in-depth case studies of Zamil Group, Red Sea Global (RSG), and Saudi Telecom Company (stc), demonstrating how Saudi companies are aligning CSR with Vision 2030 priorities to drive both business performance and national development.”
These case studies reveal that Saudi companies are embedding CSR into leadership and strategy, not treating it as an afterthought.
“While the companies featured vary in size and sector, they share a defining characteristic: CSR is no longer treated as a peripheral or charitable activity. Instead, each organization has embedded CSR into its strategic priorities—with leadership buy-in, formal structures, and long-term alignment with business goals and national development agendas. This strategic integration has delivered measurable returns, including enhanced brand reputation, reduced operational and legal risks, and stronger community and employee engagement.”
From Zamil Group’s leadership-driven CSR model to Red Sea Global’s community-centered sustainability programs, and stc’s CEO-led sustainability governance, Alowain paints a picture of a new Saudi business ethos—one where CSR is leadership in action.
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The Future of CSR Careers in Saudi Arabia
“Finally, we take a closer look at the evolving career landscape in CSR—examining the types of roles emerging in the field, the skill sets increasingly in demand, and the educational pathways professionals are pursuing. Through real-life examples from Saudi Arabia, we explore how individuals are entering CSR (often from unexpected backgrounds) and how the function is gaining recognition as a meaningful and dynamic area of practice.”
The report, as Alowain notes, captures a generational shift. CSR and ESG careers are now among the fastest-growing professional tracks in Saudi Arabia, reflecting the Kingdom’s commitment to nurturing sustainability talent.
New roles—sustainability strategists, ESG analysts, social impact officers, and community engagement managers—are redefining the corporate workforce. These professionals are no longer compliance specialists; they are architects of change, helping companies design inclusive, ethical, and environmentally responsible business models.
This transformation is reinforced by the rise of educational institutions offering CSR and ESG programs, from Alfaisal University and Prince Sultan University to Tharwah Academy, which provide specialized training for a new generation of sustainability leaders.
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(India CSR)
