2. Corporate Social
Responsibility“CSR is a concept which suggests that
commercial corporations must fulfill their
duty of providing care to the society”
Ethical behavior of a company (or business) towards society.
Promoting activities like engaging directly with local
communities, identifying their basic needs, and integrating
their needs with business goals and strategic intent.
The government perceives CSR as the business contribution
to the nation’s sustainable development goals.
Essentially, it is about how business takes into account the
economic, social and environmental impact of the way in
which it operates.
3. International Organizations say on CSR
EU Definition of CSR: "A concept whereby companies integrate
social and environmental concerns in their business operations
and in their interaction with their stakeholders on a voluntary
basis."
Mallenbaker Definition: "CSR is about how companies manage
the business processes to produce an overall positive impact on
society"
The World Business Council for Sustainable Development
(WBCSD): "Corporate Social Responsibility is the continuing
commitment by business to behave ethically and contribute to
economic development while improving the quality of life of the
workforce and their families as well as of the local community
and society at large"
4. Benefits of CSR
Benefits
of CSR
Winning new
businesses
Enhancing your
influence in the
industry
Attracting,
Retaining and
Maintaining a happy
workforce
Increase in
customer retention
Differentiating
yourself from the
competitor
Saving money
on energy and
operating cost
Access to funding
opportunities
Media interest
and good
reputation
Enhanced
Relationship with
stakeholders
7. Arguments against corporate social responsibility
> Lowers economic efficiency and profit.
> Imposes unequal costs among competitors.
> Imposes hidden costs passed on to stakeholders.
> Places responsibility on business rather than individuals.
> Requires social skills business may lack.
8. >>
> Balances corporate power with responsibility.
> Discourages government regulation.
> Promotes long-term profits for business.
Responds to changing stakeholders’ demands .>
> Corrects social problems caused by business.
9.
10. Practical Application of CSR
Guidelines
• Appoint a driver for your CSR initiative
• Communicate your CSR efforts to all your stakeholders clearly
and boldly.
• Make your CSR initiative part of your business culture
• Set up CSR measuring indicators to monitor progress and
possible deviations.
• Be enthusiastic about your CSR initiative; be committed to it.
• Report on your initiatives and measure progress/ impact made.
