CSR Strategy Comparison
Abstract
This paper aims at explaining the overall importance of Corporate Social Responsibility (CSR) by explaining the theoretical basis of the triple bottom line concept (TBL). This concept assumes that sustainable development can only be achieved by simultaneous implementation of environmental, economical and social objectives.
Furthermore it will contain a brief comparison of two companies with different CSR strategies. The Koninklijke Philips N.V. will be used to explain the social criteria of the TBL and the Starbucks Corporation to explain the ecological criteria.
Table of Contents
I. Overall Importance of CSR
II. Theoretical Basis of the Triple Bottom Line
III. Critics to the Triple Bottom Line Theory
IV. CSR Strategy Koninklijke Philips N.V.
V. CSR Strategy Starbucks Corporation
VI. References
I. Overall Importance of CSR
Generally, CSR is about managing the overall impact of a company on society. This includes the direct impact of operations and the wider impact of the business up and down the value chain, from suppliers to customers and consumers. It also covers the voluntary contributions the company makes to the community and wider society.
CSR addresses a broad range of issues including human rights, labor and security, economic development, business standards and corporate governance, environmental protection, promotion of health and education as well as human disaster relief.
Within the last decades, CSR has grown more and more in importance due to drivers like globalization, greater pressure from governments and regulators as well as corporate scandals. Also the fact that both the media and non-governmental organizations (NGO´s) have grown in importance and power makes it harder for corporations to hide certain issues and those are a main cause of raised consumer’s awareness.
This paper aims at explaining the overall importance of Corporate Social Responsibility (CSR) by explaining the theoretical basis of the triple bottom line concept (TBL). This concept assumes that sustainable development can only be achieved by simultaneous implementation of environmental, economical and social objectives.
Furthermore it will contain a brief comparison of two companies with different CSR strategies. The Koninklijke Philips N.V. will be used to explain the social criteria of the TBL and the Starbucks Corporation to explain the ecological criteria.
Table of Contents
I. Overall Importance of CSR
II. Theoretical Basis of the Triple Bottom Line
III. Critics to the Triple Bottom Line Theory
IV. CSR Strategy Koninklijke Philips N.V.
V. CSR Strategy Starbucks Corporation
VI. References
I. Overall Importance of CSR
Generally, CSR is about managing the overall impact of a company on society. This includes the direct impact of operations and the wider impact of the business up and down the value chain, from suppliers to customers and consumers. It also covers the voluntary contributions the company makes to the community and wider society.
CSR addresses a broad range of issues including human rights, labor and security, economic development, business standards and corporate governance, environmental protection, promotion of health and education as well as human disaster relief.
Within the last decades, CSR has grown more and more in importance due to drivers like globalization, greater pressure from governments and regulators as well as corporate scandals. Also the fact that both the media and non-governmental organizations (NGO´s) have grown in importance and power makes it harder for corporations to hide certain issues and those are a main cause of raised consumer’s awareness.
References: Elkington, J. (1997) Cannibals with Forks United Nations Global Compact: What is COP, Retrieved March 20, 2013, from http://www.unglobalcompact.org OECD Guidelines for Multinational Enterprises: Annual Meeting of National Contact Points, available at www.oecd.org/document/53/0,2340,en_2649_201185_2512693_1_1_1_1,00.html. Bemporad, R. and Baranowski, M. (2007) Conscious Consumers are Changing the Rules of Marketing. Are You Ready? – Highlights from the BBMG Conscious Consumer Report Timothy F. Slaper, Ph.D. & Tanya J. Hall (2011) The Triple Bottom Line: What Is It and How Does It Work? – Indiana Business Research Center Philips.com: http://www.philips.com/about/sustainability/ecovision/index.page Jones, G. & Sridhar, K. (2012) The three fundamental criticisms of the Triple Bottom Line approach: An empirical study to link sustainability reports in companies based in the Asia-Pacific region and TBL shortcoming, published online: Springer Science + Business Media B.V. 2012, pp. 98-109 Koninklijke Philips N.V. (2012) Annual Report: Accelerate! Progress in delivering our full potential Starbucks Corporation (2012) Starbucks Global Responsibility Report – Goals and Progress 2012