CORPORATE SOCIAL RESPONSIBILITY
Corporate social responsibility
Corporate social responsibility is the continuous commitment by business organizations to carry out their operations ethically and contribute to economic development. At the same time they can improve the quality of their workforce and families as well as that of the society as a whole. Corporate social responsibility mainly focuses on capacity building for sustainable livelihoods. Corporate social responsibility means companies should respect cultural differences and find business opportunities for employees, the community and the government (Crane & Matten, 2007).
Corporate social responsibility mainly focuses on operating the core business in a socially responsible way that is complementary with the investments and becomes an integral part of wealth creation if managed properly by enhanced competitiveness and maximized wealth creation of business. The companies are expected to integrate the social and environmental concerns in their operations of activities and interact with their stakeholders on a voluntary basis (Burchell, 2008).
Corporate social responsibility enables a better business journey as most consumers would prefer products of an organization that supports and engages in activities that improve the society. Corporate social responsibility also allows the organization to develop and enhance its relationships with the customers, suppliers, and their networks. The organization can get access to numerous business opportunities, which saves money on energy, operation costs and manage risks. It improves business reputation and generates positive publicity through media opportunities as a result of media interest in the ethical business environment. It provides an avenue for investment and funding opportunities from the stakeholders (Blowfield, 2008).
Nike is an example of the various organizations that have benefited from corporate social responsibility policies. It has racked up accolades in the last ten years despite the fact that it was facing boycotts and public ire in the 1990s. Its policy being detailed on issues of pay scales and working conditions in its factories. The tide turned when the company acknowledged its issues, demonstrated transparency and worked towards change. Today, the company makes it to the list of CSR leaders.
The policy must focus on enhancing the company’s relation with suppliers and customers, provide a favourable working condition for employees, ensure it enables an ethical business environment and transform the livelihood of the society around (Burchell, 2008). Companies tend to favour suppliers with responsible policies. This is due to the positive impact on how their customers view the company. Some clients may not just prefer dealing with responsible companies but instead, make it their priority. In reducing emissions, waste not only helps the environment but also saves cost for the enterprise. It is easier to recruit employees in an organization with good social reputation (Blowfield, 2008).
Blowfield, M. a. (2008). Corporate responsibility: a critical introduction. Oxford Press.
Burchell, J. (2008). The corporate social responsibility reader: context and perspectives. Routledge.
Crane, A., & Matten, D. a. (2007). Corporaate social responsibility readings and cases in a global context. Routledge.