Giving Compass' Take:

• Larger corporations such as Disney and Coca-Cola are going through the process of becoming a certified B Corporation in an effort to combat racism and foster racial equity. 

• While this is the right starting place for these corporations, it is good to remain skeptical of their efforts as these corporations have still perpetuated racism. How does B Corp status tackle issues of racial equity? 

• Learn how B Corp certification provides a path to accountability. 

Amid all of the bad news this year, one thing that has been encouraging is that so many large businesses have taken steps to combat racism and to foster racial equity, both within their organization and in the larger society.

Disney signed a production agreement with Colin Kaepernick—the former quarterback who was blacklisted by the National Football League—to produce a series of films on race, social justice, and equity.

And more than 800 companies—including Coca-Cola, Hershey’s, and Ford—pulled their advertisements from Facebook because of the company’s unwillingness to properly police content for racism and hate speech.

While all of that is true, it is important to remain skeptical of whether this represents deep and long-lasting change or is simply a onetime effort in response to the current climate of opinion. Many of these same companies have been guilty in the past of overt and subtle forms of racism.

Until recently, the heroines and heroes of Disney animated films were mostly white, and other characters often reflected racial stereotypes. And in 2000, Coca-Cola paid out $192 million to Black employees in what was at the time the largest settlement ever in a corporate racial discrimination suit.

To find companies that are making a true commitment to significantly change the way they do business, one place to start is with those that have become a certified B Corporation. The B Corp movement is an effort to institutionalize changes in the way a company interacts with its workers, customers, suppliers, and community, and with the environment.

Until recently, most of the 3,422 companies (in 71 countries) that have become a B Corp have been small and medium-sized. Often these were startups that incorporated social responsibility from the beginning. But a growing number of large, established corporations are starting to undergo the certification process as well.

Read the full article about B corps by Eric Nee at Stanford Social Innovation Review.