this ppt include approaches to csr

1. Approaches to csr
By Sajal khandelwal
Yash Maheshwari
Versha dixit
Siddhant goel

2. Introduction
What is Csr?
• “A concept where companies voluntarily
decide to contribute to a better society and a
cleaner environment.”

3. 4 approaches to csr
There are 4 approaches to csr these are:-
1. Obstructive
2. Defensive
3. Accommodating
4. Proactive

5. Obstructive
• Perhaps the most deceitful approach to social
responsibility is obstructive. Obstruct means
to block or get in the way. So, an obstructive
stance blocks out its social responsibilities. It is
more concerned with profits. Obstructive
companies are known to pollute, deceive
customers, and even exploit their
own employees

6. Example 1
• manufacturers of fruit juices who hide
evidence about using industrial sugar in the
manufacture of pure fruit juice products this
is clearly exploitation of consumers as
companies are trying to make juice more
tastier thus attracting more consumers but by
adding sugar they are making juice unhealthy
for consumption

7. Example 2
• obstructionist approach in the United States was the handling
of the Homestead Strike of 1892. Management placed an
emphasis on opposing any business activity that threatened
profits. 3000 workers from Andrew Carnegie's Homestead
Steel Mill went on strike for better wages and working
conditions. Instead of trying to come to a mutually beneficial
agreement, management choose to hire a private army to
quell the strike. The following confrontation led to the deaths
of nine workers and three detectives. These types of incidents
were not uncommon and were the result of the obstructionist
view commonly taken by management during the late 1800's.
Historian Joseph Frazier Wall said, "Frick was the norm, not
Carnegie, in management's relationship with labor at that
time". (PBS, The Homestead Strike, 1999).

8. Defensive
• In most cases, companies that take a defensive
stance towards social responsibility are not
particularly responsible. These companies may
consider themselves neutral, and they make
profits a more important motive than performing
actions in a socially responsible way. These
companies make a point of following the law to
ensure that others cannot take legal action
against them but they do not more than what is
legally required

9. Example 1
• a company may create more waste than
necessary, but it will remove all the waste in a
legal method rather than dumping it illegally
so this way the company is over exploiting
resources which is unethical but to cover it up
they are using legal disposable methods thus
showing that they are contributing to the
society

10. Example 2
• Another example of it can be that companies
as per law are required to contribute 2% of
their net profit as csr and the companies are
contributing only 2% not more than this thus
fulfilling the legal requirements so that no one
can take any legal actions against them and no
one can cross question them on this

11. Example 3
• When making ethical choices, they put the
interests of their shareholders first at the
expense of other stakeholders. Like when
dividend decision is to be taken they give
more dividend to shareholders but cut salaries
or do not promote deserving candidates in the
organisation this way they are keeping the
shareholders happy and satisfied but
employees are getting dissatisfied

12. Accommodating
• An accommodating stance signifies that a
company believes social responsibility is
important -- and perhaps as important as
making a profit. These companies satisfy all
legal requirements and attempt to meet
ethical standards. An accommodating
company does not attempt to hide its actions
and remains open about why it takes specific
actions.

13. Example 1
• Walmart, Disney, and Google are great
examples of companies going above and
beyond. The three companies have been
known to give great benefits to their
employees.

14. Example 2
• it may decrease its creation of waste, source
products that are not tested on animals and
pay its employees a fair wage. The company
would keep its records open to the public.
Though these companies are often socially
responsible, they may change their policies in
response to criticism.

15. Proactive
• Like an accommodating company, a proactive
company makes social responsibility a priority.
Instead of reacting to criticism, a proactive company
attempts to remain ahead of the curve when it
comes to social responsibility. It may make ethics
part of its mission statement and attempt to avoid
any harm to the environment or its employees. A
proactive company may go out of its way to institute
new recycling programs, give all of its employees a
living wage and benefits, and donate a portion of its
profits to charity.

16. Example 1
• An excellent example of proactive stance is
the Ronald McDonald House program
undertaken by McDonald’s. These houses,
located close to major medical centres, can be
used by families for minimal cost while their
sick children are receiving medical treatment
nearby. This program has been widely
applauded

17. Example 2
• Toro Company, Exmark Manufacturing and
Dixon Industries Inc. They collectively recalled
62,000 faulty commercial riding mowers.
These companies worked directly with their
dealers, distributors and customers during the
recall campaign to proactively fix or replace
the affected units already on the market

18. Example 3
• Kingfisher, a company that owns the British chain
B&Q, has successfully implemented a proactive
stance on waste reduction, chemicals and green
issues in 2007. The company had goals for waste
reduction and use of certified timber, sourcing the
majority of its timber from sources that the Forest
Stewardship Council has certified. Kingfisher's
policies on chemicals in 2007 required its operating
companies to have an action plan available by 2008
to identify products containing certain chemicals and
to work with vendors on plans to remove or
substitute them

19. THANK YOU…....