The former Eurythmics singer, 56, said: "It's quite magical. It's really meaningful to me that it's for charity work.
"To get this acknowlegement means people are listening," she added following the investiture ceremony.
Lennox was accompanied by her daughters Tali and Lola.
"Campaigning has been taking up a great deal of my commitment for quite a few years, and what it means is that there's a significance to what I'm doing - I'm not just working in a void," said the star.
She added that she had been "so affected" by the issue of human rights, especially where women and girls in the developing world were concerned.
Lennox is an Oxfam ambassador and founded the Sing campaign to raise awareness of Aids in Africa.
Lennox's foundation of Sing in 2007 was inspired by Nelson Mandela to help children and women affected by the illness.
The musician is also a Unesco Goodwill Ambassador for Aids and a prominent peace activist.
Lennox has sold more than 80 million albums worldwide with the Eurythmics and as a solo artist.
The singer released her latest album in November - A Christmas Cornucopia - topping off three decades of UK chart hits.
She has collected the Best Female Singer title at the Brit Awards on six different occasions.
An exhibition of the life and inspirations of Lennox is set to go on show later this year.
The Aberdeen-born star will feature in a display at London's Victoria and Albert museum for five months from 15 September.
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