Corporate Social Responsibility CSR

1. Corporate Social ResponsibilityCSR • When a business considers the impact of their decisions on the world. Customers Suppliers Employees Shareholders Communities Stakeholders Environment

2. Different views for CSR • Free market – Some argue that businesses should be profit driven only. It is the governments responsible for social problems • Altruistic attitude – Businesses have a moral obligation to help humanity regardless of profits. • Strategic attitude – Businesses should only be concerned with CSR if it will help their image in the future leading to better profits.

3. Managers should make no decision • Some feel that because managers are not spending their money that they have no business being involved with CSR other than what is legally required.

4. Influences on CSR • The media - can encourage businesses to have more CSR • Government assistance – Some governments offer subsided equipment that is environmentally friendly. • Ethical codes – Senior managers may set guidelines for employees. • Competitors actions • Training – employees can be taught to have better CSR skills.

5. Why do some firms have better CSR • Level of pressure from stakeholders and pressure groups. • Corporate culture • Consumer awareness and concern for CSR • Exposure to media • Financial and H.R. resources • Compliance costs

6. Social audit • Assessment of how a firms actions help or hurt society. Environmental impact (pollution, waste) Staff Management (workers health) Society (local projects)

7. Examples of CSR Policies • Using renewable and sustainable resources • Using good suppliers • Making sure employees are staff • Having Ethical codes of conduct • Management should monitor employees