Corporate social responsibilities and ethical values
“ CORPORATE SOCIAL RESPONSIBILITIES AND ETHICAL VALUES”-:CONTANTS:-AbstractsBackground ScenarioIntroductionCSR-DefinitionCSR-Scenario ResponsibilityCorporate Governance and Ethical IssuesPrincipal of Corporate GovernanceCSR- AdvantagesCSR- PracticesCSR-DrivesRecommendationDr. K.S.Anil Kumar Nishat FatmaProfessor Management traineeKarnataka College of ManagementBangalore-560064Ph. No- 9743399085Anilks6359@yahoo.co.in
CORPORATE SOCIAL RESPONSIBILITIES AND ETHICAL VALUES-:ABSTRACT:-Society is the web of social relationship. One can see inter and intra relationshipsamong the employees of an Organisation. As the organizations develop name and famewise, start operating their roles and responsibilities to play in the upliftment of thesociety, by lots of ways- CSR is one such activity, to shower back to society from whereit has grown. Large number of companies have been engaged in socially useful relventactivities. The giants of corporate Infosys, Wipro, Tata Reliance and Biocon can alreadyin the way of CSR. One must be suited to it, to utilize the services and help rendered bycorporates-:BACKGROUND SCENARIO:-In India the literature and activities on corporate social responsibility is mostly centeredon the initiatives of medium and large enterprises. A large number of companies havebeen engaged in Socially, cultured relevant activities, policy-maker would do well to givedeserving recognition to what many organizations are already doing in this regard inIndia as well as elsewhere. It is also important that with its agility and dynamism. Thesector has displayed admirable innovativeness and adaptability to survive the recenteconomic downturn and recession.
-:INTRODUCTION:-Social Responsibilities by corporate are a recent trend of two decades. Theyhave very much influence on economic and social life of people. Corporate mustconsider the social and ethical impacts of its decisions. CSR has become partlyvoluntary and partly compulsory activity. The very existence and growth,depends on its acceptance by the society and the environment. The adverseeffects are mainly surrounding environmental problems.The companies who make high profits, can take up CSR more willingly andseriously. The social cares can be financing poor school children, disabledpeople, blind and deaf, physically challenged children, old age homes , sportssponsorships on voluntary basis- to provide roads, electricity, water supply,health and sanitation facilities to improve the corporate image, self esteem andsatisfaction to the public and to be a part of national progress.
-:CSR DEFINITION:-European Commission defines CSR as the company efforts to integrate social,environmental concerns in the business operations and in its interaction with itsstakeholders on a voluntary basis.CSR is the deliberate inclusion of public interest into business corporatedecision-making of a company and the honoring of a triple bottom line- people,plantplantPlanet, profit.CSR is also called Corporate Conscience, corporate citizenship social performance, is aform of corporate self regulation mechanism integrated into a business model.CSR- A admitted goal to embrace responsibility for the company’s action to encouragea positive impact through its activities to employees and consumers.
-:CSR- SCENARIO RESPONSIBILITY:-It is a pro-active function to assist the society for better living. In few instances it isreactive function on the suggestion of the employees, citizens or VIPS. The CSR actgives them good publicity and esteem satisfaction to promoters.The social orientations are formed from family background socializing and the workenvironment. Such orientations do create in employees fair and unfair attitude towardsothers. In addition, to profit making a company should earn goodwill credibility and trustof society and customer. Both profit and credibility should go hand in hand. The healthof a company depends upon service and satisfaction of the people.The authority and responsibility to implement CSR rests with the top managementthrough its CEO.
RESPONSIBILITYTowards employeesFull time suitable workJob SatisfactionJob SecurityTraining developmentpromotionGood working enviromentenvironmentTo ownersPayment of dividendsTo run business ethically.Make use of localresourcesEnsure growth of thecompany.Towards customerProduct qualityProducts quantityFair price and taxationConsumer protectionSafety and warrentyTo Government and societyPayment of Taxes anddutiesPollution andenvironment careWelfare of societyOpportunity ofemployment to localemployment to locals
-: CORPORATE GOVERNANCE AND ETHICAL ISSUES:-Concept: Corporate is a single word used for multiple components and workingtogether and providing direction in Governance. A corporate is bound by variousstakeholders like investors- customers- dealers- society- employees- suppliers- govtagencies and environmental factors. The CEO has to make maximum efforts to satisfyall his stakeholders.Private corporation, public corporations and professional corporations are the threebroad categories of corporate and they have, their own method of governance and fairunfair practices.-: PRINCIPLES OF CORPORATE GOVERNANCE:-1. Recognizing the respective roles and responsibilities of board and management.2. Having a broad of appropriate composition, size and commitment to adequatelydischarge its duties and responsibilities.3. Timely and balanced disclosure of all material information concerning thecompany4. Sound system of risk management and internal control.5. Fair review active encouragement and management effectiveness.6. Highest importance to investor relations.7. Independent verification and safeguarding integrity of the company8. Efficient executive remuneration policy.
-:CSR ADVATAGES:-There are many tangible and intangible benefits due to CSR activities of the companies.It displays care and concern and fellow feeliThe corporate image improves and it helps to sell their product.The corporate along with Government , improve the standard of living of people.It becomes the duty of the owners to earn huge profits. It becomes inturn duty toreturn to society as CSR.The trend of CSR is a motivator to youngsters.The CSR people are held very high in public opinion.-: There are a number of ways in which CSR practices can helporganization:-Being a good neighborWinning and retaining consumers and business customers (Supply Chainpressures and opportunities)Deepning the local roots especially in communities.Responding to new demands and requirement.Attracting and retaining motivated and committed employees.Developing and training staff.Image and reputation with internal and external stakeholders.Networking opportunities.Product/ market motivation.
-: Drives of CSR:-The smaller the enterprise, the greater would be the relative role of ethical andmoral considerations as drivers for CSR.A cluster – based approach to the promotion of CSR increases the opportunitiesfor training CSR into a competitive advantage.Blending business- CSR motives.Personal and ethical values as CSR drivers.-: RECOMMENDATION:-It is recommended that a lead institution maybe nominated in each area to serve as amediator.It needs to be recognized that companies have a great potential to contribute to thesociety and therefore they need support in their endeavors.