It is no mystery that companies exist and desire to make a profit from their product or service being offered. However, it is becoming increasing popular that companies desire to achieve social responsibility in order to increase their public image, which in turn should lead to increased profits. In this class, we learned that social responsibility is the duty to take an action that will benefit the interests of society and the organization (Kinicki & Williams 2011). One of the ways to become more socially responsible that is adopted by many companies is through green management, which is referred to using various policies to reduce environmental problems (Tim Barnett, n.d.). More and more companies are becoming concerned about the impact their organization is having on the natural environment.…
In the other hand companies have to limit the excess damage on the environment, and help people in the economic development this is a way of behaving ethically in a business, cooperate with loyal spirit, ethical values, global measures and develop a general positive impact of the business on the society. when a company choose to be socially responsible they better be prepared to go through some difficulties and critics about the way they operate, and the goals they want to achieve and must not forget the main purpose of the business which is making profit,…
In global markets, modern corporates have significant power to exercise a positive influence in the countries, where they buy goods and services from global suppliers in bulk. Recognising this influence is the first step to understand the contribution of the modern corporates in developing countries’ economies and in turn their self-benefit. As being giant firms at one end of the buying chain with the cost reduction advantage, they shouldn 't be reluctant of getting involved and operate with the suppliers to improve working conditions and comply with the ethical trading regulations. Business Corporations should also think and take responsibility for the environment around them. Taking this responsibility is the first step to recognize Corporate Social Responsibility. Corporate Social responsibility is when a business monitors and ensures its active compliance with the spirit of the law and ethical standards. It is a process with the aim to embrace responsibility for the company 's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere. The concept of CSR is well explained by Gordan Brown, Chancellor of Exchequer, that in this era Corporate Social Responsibility goes far beyond the old trend of the past (donating money to a good cause at the end of the year) And is now an all year round responsibility the companies accept for the environment around them. To provide best working practices, the engagement in local communities and for their recognition that brand name does not only depend on quality, price and uniqueness but how they interact with companies’ workforce, community and the environment.…
A corporation that says it is socially responsible, claims that they are concerned for society's welfare; which also includes the environment, because now days, we are a lot more concerned about our environment and how everything affect it. The corporation will make sure to insure those values within the company and also to its partners. ("Social responsibility in Marketing," 2012 - 1998) Also, if a corporation says it is ethically responsible and it really is, it shows to their customers and partners their integrity and empathy; which are characteristics that we all seek in a company. If the company is ethical and socially responsible, people will want to buy from it, and other companies will want to partner with it. (Lawhorne, 2011)…
We live in a society that holds companies accountable for their actions in relation to the environment, the welfare of the less fortunate, and the investors that fund them. A company’s actions in terms of social responsibility are placed into three categories: profit responsibility, stakeholder responsibility, and societal responsibility. Profit responsibility refers to a company’s responsibility to maximize profits without using deceptive or unfair practices. Stakeholder responsibility is a company’s responsibility to consider the consequences of its actions on those that can be negatively affected by them. Societal responsibility refers to the duty a company has to preserve the environment and to the public in general. Using these guidelines, CR magazine compiled a list of the most socially responsible companies. The top five on this list are:…
In recent years, Corporate and Social Responsibility has become an ever increasing concern and source of community debate. It is now socially accepted that corporations have some ongoing responsibility, though sometimes ignored, to set a good example, make decisions based on social good and on ensuring positive environmental practices.…
Firstly, in the “Cultural & Leadership Predictors of Corporate Social Responsibility Values of Top Management: A GLOBE Study of 15 Countries”, the study states, that with the spread of globalization, it has become imperative to understand managerial values that guide their actions. The authors suggest that the three main dimensions of managerial values that are relevant to the study of CSR are: shareholder/owner values where the aim is to maximize profits, stakeholder relations which refers to ethical and positive relations towards employees, consumer groups and the like and thirdly, community/state welfare which is based on the principle of public responsibility.…
Corporate executives tend to reside near a firm’s headquarters. It seems logical that corporate decision makers would align their policies with the views of their stakeholders in order to reduce conflict and create value for the firm.…
• Social Responsibility – people recognize that global companies wield extraordinary influence, both positive and negative on society’s well being. They expect firms to address social problems. They believe that global brands have a special duty to tackle social issues. People also exert more pressure to address social issues on multinational giants rather than local companies.…
This paper examines cultural and leadership variables associated with CSR values that managers apply to their decision-making. It has been argued that some cultural dimensions may foster, while others may diminish CSR values in managers. In addition to that, studies have also found that leadership can influence the emergence of values and thus, it will also be used as a predictor of managerial CSR values. The key points such as cultural dimension of institutional collectivism, power distance and the leadership of top management team members are used to predict the social responsibility values in various firms. There are two dimensions of collectivism which are institutional and in-group collectivism. Power distance values will also reflect on the values of CSR when it comes to decision-making. For example, high power distance values in a culture will be negatively related to the shareholder, stakeholder relations and the state welfare CSR values. Leadership will also affect CSR values as a good and effective leader will provide a sense of mission and purpose and they will also serve the interests of followers rather than their own interest. These dimensions of CSR is believed to provide favorable image or relationship of an organization with their constituent groups. Although most academic attention on CSR focuses on its linkage to performance, it is possible for firms to engage in CSR on largely moral or ethical grounds, without clear strategic rationale. The globalization of firms is encouraging the spread of CSR practices. When framed in terms of managerial decision-making values, CSR appears to be a multidimensional construct, focusing on shareholder/owners, stakeholders and the community/state welfare.…
Most companies remain stuck in a “social responsibility” mind-set in which societal issues are at the periphery, not the core. They think the only responsibility of business is to make money for shareholders, and that any corporate investment in social programs is a misuse of shareholder money. Therefore, many executives have come to believe that it is the government’s responsibility alone to tackle social issues. To be socially responsible, they need a profit motivation. In current year, many companies recognize that being socially responsible can burnish the company’s brand and reputation, attract new customers, aid in recruiting employees and improve employee commitment to the organization.…
The above ethical issues we face will have an effect on many stakeholders around the globe as well as the nature. Being an environment friendly company, there are many obligations that company has to fulfil in order to achieve its motto of sustainable survival. The company’s image of environment protection would reach new heights as it has stretched its arms on a global level to maintain its…
With heightening awareness of environmental protection worldwide, the green trend towards conserving the Earth’s resources and protecting the environment is overwhelming, exerting pressure on corporations. The pressure accompanying globalization has prompted enterprises to improve their environmental performance (Zhu and Sarkis 2006). Consequently, corporations have shown growing concern for the environment. It is this increasing environmental concern that has gradually become part of the overall institutional culture and, in turn, has helped to re-focus the strategies of corporations.…
Perry, M. & Singh, S.. (2002), Corporate environmental responsibility In: Utting, P. (Ed.). The greening of business in developing countries: Rhetoric, reality, and prospects. London: Zed Press, 97-131.…
22. Thomsen, P. 2004. Towards a critical framework on corporate social and environmental responsibility in the South: The case of Pakistan. Development 47(3):106–113.…