In recent years, companies are becoming socially responsible and now stakeholders almost expect a company to have CSR policies. Therefore, in twentieth century, corporate social responsibility (CSR) became an important development in public life (Barnett, ND).Corporate social responsibility is defined as “the ways in which an organisation exceeds the minimum obligations to stakeholders specified through regulation and corporate governance” (Johnson, Schools and Whittington, N.D cited in March, 2012). Stakeholders can be defined as “those individuals or groups who depend on the organisation to fulfil their own goals and on whom, in turn, the organisation depends” (Johnson, Schools and Whittington, N.D cited in March, 2012). There are many purposes for this essay, the first purpose is to descried the key principles of corporate social responsibility and explain their importance for stakeholders. Secondly, is to show how far this company follows those principles in order to be accountable to at least three of its stakeholders. In this essay, three stakeholders, environment, customers and employees will be evaluated respectively and the key principles of the stakeholders will be examined. There is a link between corporate social responsibility and the key principles of the stakeholders, which a company should follow to be responsible to its stakeholders. The first stakeholder is environment and the key principle used for it is not damage the environment for example, recycling, dealing correctly with their wastes and emissions. The second stakeholder is the employees. The key principle for the employees is companies providing safe and health working conditions for their staff. Moreover, the employees earn an appropriate salary for ... ... middle of paper ... ...012] - Starbucks. 2011: Recycling & Reducing Waste Available from: http://www.starbucks.com/responsibility/environment/recycling [Accessed on 11th of March 2012] - Starbucks Newsroom. 2010: Starbucks struggles with reducing environmental impacts. Available from: http://news.starbucks.com/article_display.cfm?article_id=472 [Accessed on 11th of March 2012] - Starbucks Newsroom. 2010: Starbucks to Provide Additional Lower Calorie Options this January. Available from: http://news.starbucks.com/article_display.cfm?article_id=313 [Accessed on 11th of March 2012] - The recycle times. 2011: Starbucks steps up to the plate: addresses pollution allegations by setting up a recycle process. Available from: http://therecycletimes.com/2011/04/starbucks-steps-up-to-the-plate-addresses-pollution-allegations-by-setting-up-a-recycle-process/ [Accessed on 11th of March 2012]
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It has been shown that there are many different areas in which a company may choose to focus its corporate social responsibility. The top area of focus in corporate social responsibility is on environment. Other areas that should be considered in the development of corporate social responsibility programs are education, health, nutrition and employment. “Social responsibility investment combines investors’ financial goals with their obligation and dedication to factors that ensure the well being of society such as environmental friendly practices, economic growth and justice in society” (Anderson 9). These elements not only epic corporate social responsibility, but also represent ethical standards of a company. It is unethical for some individuals to own so much and earn so much, at the expense of other suffering members of society. It is also unethical for companies to damage environmentally that result in illnesses and loss of life. It can be concluded that Social corporate responsibility and the maintenance of high ethical standards is not an option but an obligation for all
Corporate Social Responsibility (CSR) is a commitment of businesses to developing policies that incorporate responsible practices into daily business activities to improve the wellbeing of the society. Many people are constantly debating whether or not CSR should be legally recognized or not. Some people think CSR should not be enforced at all and they think CSR is interfering with the laissez-faire, as it is to create an environment in which businesses are not free from government intervention. People who support CSR say that CSR helps increasing business profit for owners and at the same time it improves the quality of life of businesses’ employees, communities and the society. This paper will seek to prove that CSR is valid means of promoting workers rights, labor rights, consumer protection and respect for local communities as well as discussing the impact of CSR on society.
To address why companies need to practice CSR, Liu and Liu in their article, “Implementing Corporate External Social Responsibilities Strategies Through, Organizational Design and Operations”, the authors, Liu and Liu, discuss the need for CSR in corporations. The corporation’s moral standard determines its obligation to its stakeholders, external and internal, and its commitment to CSR. Three things compose CSR, “what these moral standards should be, who are the stakeholders, and what kind of responsibilities corporations should accept” (Liu and Liu, 2009, p. 79).
Corporations deal with a wide variety of social issues and problems; some directly related to their operations, some are not. Corporate Social Responsibility (CSR) can be defined as “the actions of an organization that are targeted toward achieving a social benefit over and above maximizing profits for its shareholders and meeting all its legal obligations” (Ghillyer 78). If this is the case, establishing appropriate and practical ethical guidelines in the workplace seems to be a reasonable request as a basis for corporate operations. Wal-Mart should be an example in determining what constitutes the values associated with its fundamental purpose of Corporate Social Responsibility. The four components of CSR are financial, legal, ethical, and philanthropic (Barnett). These areas of CSR ought to exist within every company’s infrastructure; however, the organization’s primary focus is usually on performance and profit not on social conscientiousness.
Business organizations regularly run into demands from various stakeholders groups when conducting day-to-day business. These demands are generated from employees, customers, suppliers, community groups, governments, and shareholders. Thus, according to Goodpaster, any person or group of people that can shape or can be shaped by attainment of the objectives by an organization is considered a stakeholder. Most business organizations recognize and understand their responsibilities to these groups and endeavor to honor and fulfill them. These responsibilities are often communicated to the public by a statement of principles or beliefs. For many business organizations, corporate social responsibility (CSR) has become an essential and integral part of their business. Thus, this paper discusses the two CSR views: the classical view and the stakeholder view. Furthermore, I believe that the stakeholder view has brought ethical concerns to the forefront of businesses, and an argument shall be made that businesses would improve both socially and economically if CSR, guided by God’s love, was integrated into their strategic planning.
“Only about half (53%) of employees trust their organization’s senior leaders – the people who set the tone for organizational culture and need to inspire high-performance and commitment. In contrast, three in four (75%) of employees trust their immediate managers” (BlessingWhite, 2008, p. 2). Senior leaders have the difficult task of aligning organizational culture and ethics and it has been determined that it is impossible to demonstrate trustworthiness without a personal relationship. This finding is consistent among all generations in the workplace, throughout the different business lines, and at every level. Employee engagement is dependent on the manager-employee relationship. This is important as BlessingWhite (2008) stated that bad managers are the third most common reason for leaving, behind lack of career growth and actually disliking the job (p. 2). Contributing employee are employees who trust their managers. For leaders to be effective, they need to know what engagement means, they have to experience engagement, and they need to lead engagement. “They need to be able to help their team members believe in the value of full engagement and inspire them to pursue it on a personal level” (BlessingWhite, 2008, p. 21).
Company X is a plastic injection molding manufacturer located in Highland, Michigan. The company had started in 2005 and survived the hard economic times. Company X started out by first doing applique and added 6 months ago injection molding. There are two owners, and there are less than 75 employees. Every company small or large should take social responsibility.
Hence, the stakeholders which are described as those who are affected by the organisation performance ,actions and duties and those actions includes employees, clients, local community and investors as well. The theory of stakeholders also suggests that it is the responsibility of firm to make sure no rights of stakeholders are dishonoured and make decisions in the interest of stakeholders which is also the purpose of stakeholder theory to make more profit and balancing it while considering its stakeholders (Freeman 2008 pp. 162-165). In the other words organisation must also operates in a more socially accountable approach by carrying out corporate social responsibility as (CSR) activities.
An organization’s Corporate Social Responsibility (CSR) drives them to look out for the different interests of society. Most business corporations undertake responsibility for the impact of their organizational pursuits and various activities on their customers, employees, shareholders, communities and the environment. With the high volume of general competition between different companies and organizations in varied fields, CSR has become a morally imperative commitment, more than one enforced by the law. Most organizations in the modern world willingly try to improve the general well-being of not only their employees, but also their families and the society as a whole.
A corporations CSR should be shaped in order to fit the goals of the corporation, although every corporation’s CSR should differ, since most have different goals and different communities behind them. The CSR should be molded into fitting the corporation’s goals in order to make it easier on the corporation in giving back to the community while achieving its goals. For example, a corporation located in a desert wishes to be more efficient, by reducing water usage it is not only creating lower costs, which result in higher revenue, but also helps the community by not taking up so much water. Taking this into consideration, it is critical that the corporation goals and values are established and clear throughout the corporation, they should be developed by the board or directors and CEO, and the highest managerial level should stress their importance to the rest of the corporation. By making the goals and values at the top branch of the corporate hierarchy, it will be simpler for the corporates community to develop in order to nurture those goals and values. Therefore, a corporation can reach the “shared-value,” a value for both its shareholders and community in a simpler manner that can result benefiting the corporation in the end as well. Throughout the article many examples are given of actual corporations that have benefited and changed their CSR in order to fit their goals, therefore, providing solid proof that these methods work. Nevertheless, as acknowledged by the author’s themselves, most of the corporations taken into consideration where one’s that Harvard CSR students were employed
...t in becoming more socially responsible corporations. For example, Pos Malaysia through their CSR practices, this corporation had focuses on a dual-pronged approach that is aimed at bringing value to the community and nation at large by the means of enhancing education particularly towards the enhancement of human capital development mainly in underprivileged areas and also Enriching Communities in which Pos Malaysia seeks to promote commerce and entrepreneurship within the communities they serve particularly in rural areas. The above CSR themes are aligned with Pos Malaysia mission to constantly strive to be a caring corporate citizen by supporting nation building and community services. This CSR will focused on the meeting the need and interest stakeholder of an organization by becoming more socially responsible and as well as to improve their image and reputation
Corporate Social Responsibility is an organisation’s obligation to serve the company’s own interest and the one’s of the society. Moreover, Corporate Social Responsibility has a definition of a concept where the companies integrate social and the environmental concerns into their own business operation and also on a basis of voluntary with their interactions they have with the stakeholders. Corporate Social Resp...
A company has an economic obligation. It must earn a favorable return for its stockholders in the restrictions of the law. But, corporate social responsibility means that organizations have also ethical and societal responsibilities that go past their economic responsibilities. CSR needs organizations to develop their documentations of their responsibilities to include other stakeholders such as workers, customers, suppliers, local societies, state governments, international organizations, etc. Ethics could be seen as a fundamental component of individual and group activities at the heart of organizations’ errands.
Starbucks is one of the most popular coffee shop companies in the United States. It is very popular with college campuses and is still continuing to grow in the U.S and other countries on and off campuses. Many people can’t live without coffee, so Starbucks is where they go. A lot of people do not know about Starbucks, they only see Starbucks as a store that sells coffee but Starbucks is more than just a coffee store. People do not see that they like to keep the environment green and want to provide the best services for their customers. Why does Starbucks Corporate Social Responsibility even matter? It’s important to know how companies run outside of their doors. Starbucks partners with many organizations in the Seattle area (where they were
In the current time of growth and progression, individuals should know that how a business not only flourish but sustain itself. Making profit is one of the main targets of every corporates but it must not be the only one. When an individual builds a company in order to do business, they should be well aware of their contribution towards the society as well as their business and employees in it. It is total strategy of all. We should be able to realize every increment contributes of it. One of the major factors that affect a business is how well it participates in Corporate Social Responsibility. According to (Werther & Chandler, 2006) corporate social responsibility (CSR) refers to a business practice that involves participating in initiatives that benefits the society. In authenticity, there is a whole lot to argue about it. There are no major guidelines that decides either a business is participating in Corporate Social Responsibility; what might be considered a Business practicing CSR to some, can still not be accepted for it by others. CSR may be restrained a term which his highly flexible. This paper will discuss about Corporate Social Responsibility and its