Enofe, Amaria, and Hope (2012) express that corporate culture is the personality of your company (p. 92). In addition, the authors note corporate culture is defined as “the shared values, traditions, customers, philosophy, and policies of a corporation; also the professional atmosphere that grows from this and affects
It gives rules and regulations, by which the Board of directors ensures that the organization is loyal, accountable, and transparent to towards the relationship, which it shares to its different stakeholders like customers, employees, management, financial consultants, government bodies and other important communities. As the main aim of any business organization is to make high profits. But now these days it’s not enough to make high profits only, it also needs to be a good corporate citizen in the society, to behave in ethical manner and must have some healthy corporate governance enactment. The Quality of any business organization’ corporate governance affects the value and the risk of the organization. Strong corporate governance is required for the effective and efficient of any business organization to stay in the market.
Corporate social responsibility (CSR) is the consideration of, and response to, issues beyond the narrow economic, technical, and legal requirements of the firm to accomplish social benefits along with the traditional economic gains which the firm seeks. (Peng, 2012). According to World Business Council for Sustainable Development (WBCSD, 1999), CSR is an organization’s commitment to a discretionary behavior that leads to economic development and contributes to the welfare of its employees, local community and society at large. (Ilona, Kazlauskaite, 2011). Corporate Social Responsibility (CSR) has become very important in that it become a strategic issue that spans across various departments of a firm.
Corporate Governance Corporate Governance is the relationship between the shareholders, directors, and management of a company, as defined by the corporate character, bylaws, formal policies and rule laws. The corporate governance system was designed to help oversee the decisions and best interest of the shareholders. The system should works accordingly: The shareholders elect directors, who in turn hire management to make the daily executive decisions on the owner’s behalf. The company’s board of director’s position is to oversee management and ensure that the shareholders interest is being served. Corporate governance focus is with promoting enterprise, to improve efficiency, and to address disputes of interest which can force upon burdens on the business.
Inclusive Guidance Organizational governance should be an essential feature of business efficiency. Leadership causes a successful work of workforce and demands are met. This guilds in improvement in productivity that helps with bigger profit gains. Organizations debate over management styles that will be most beneficial. Successful front-runners are using a number of management styles that’s effective and shows how the business should operate.
(2) Why should firms undertake corporate social responsibility? Corporate social responsibility (CSR) is a business approach that creates long-term shareholder value by embracing opportunities and managing risks derived from economic, environmental, and social developments. A CSR policy functions as a self-regulating mechanism whereby business monitors and ensures its active compliance with the law, ethical standards, and international norms. The goal of CSR is to embrace responsibility for the company's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities, and stakeholders. Customer social responsibility can build the loyalty and trust that both ensure a bright and sustainable future in business.
For effective corporate governance, the policies should be as such that the director’s of the company should understand their duties and responsibilities towards the company and should act in the interest of the company. HISTORY OF CORPORATE GOVERNANCE The concept of corporate governance
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.
Both of these areas are the lifeblood of the company, and any benefit to them should not be overlooked. Before a company can become proficient at corporate social responsibility, they must first know its definition. Corporate social responsibility is defined as actions that can be taken by a company to ensure they are adhering to ethical and social responsibilities of the day. These corporate social actions are self-regulatory, as a company strives to adhere to guidelines while also going above and beyond being a Good Samaritan in the business world (ECA, 2015). This can place certain businesses at the forefront in customers mind because of the example they are setting in the marketplace.
As such, this book plays an imperative role in determining the success of an organization as it gives core values and strategies that the corporate management of an organization can adopt in order to ensure maximum output from its workforce. Organizational behavior refers to the manner and style by which the employees of the organization conduct themselves, their attitude towards work, as well as their productivity and responsibility at their work place. The behavioral approach taken by the workforce of the organization determines the success of an organization. The authors through the book expound on the benefits of having a functional workforce that embraces and upholds the objectives and doctrines of the organization. Furthermore, analysts argue that the most important assets that an organization can have in order to ensure a competitive advantage is its experienced, professional, and above all, dedicated employees willing and ready to give their all for the success of the