BSBA FM 3

1. CONCEPT OF CSR

2. 1960
CSR widely used
18th Century
Adam Smith
Late 19th Century
Social Darwinism

3. 20th Century
Too powerful business
Sherman Antitrust Act
Social Gospel
1900 and 1970s
Civil rights movement, consumerism,
environmentalism

4. CSR
 Refers to a company linking itself with ethical
values, transparency, employee relations,
compliance with legal requirements and overall
respect for the communities in which they
operate.

5. CSR vision:
business accountability to a
broad range of stakeholders not
just to shareholders huge
investors of the enterprise.

6. AREAS OF CONCERN OF CSR
Environmental
protection
Employee’s welfare
Community

7. ARGUMENTS FOR AND AGAINST CSR
Capability arguments
Managers training Lack skills with social issues
Caroll and Buchholtz
Global concern Lessen differences
Milton Friedman
Profit Positive outcome

8. BASIC PREMISES OF CSR
Business leaders
consumers
investors
Local
communities
employees
media

9. BASIC PREMISES OF CSR
NGOs
Regulators

10. SPECIFIC RELEVANCE OF CSR
Changing social expectations
Competitive labor markets
Disclosure demands by stakeholders
Dwindling government role
globalization
Pressure from investors

11. SPECIFIC RELEVANCE OF CSR
Supplier relations
Wealth and vulnerabilities

12. ETHICAL LEADERSHIP
Respect the
rights
dignity
stake
Level of
integrity
Honesty and
accountability

13. ETHICAL DECISION MAKING PROCESS IN
ORGANIZATIONS
Ethics in an organization refers to
system, values , philosophies and
principles that govern the behavior of
organizational members which are the
consequences of organizational
pronouncement.

14. CSR PRINCIPLES ALIGNED WITH
MANAGEMENT DECISIONS
withdraw
Be an
archivist
The option
of doing
nothing
Be conscious
of long-term
effects
Consider
legalities
and ethics

15. Ask around
Be
comprehensively
sensitive
Do not be a
dangerous
“alpha mate”
Find a win-win
solution

16. MYTHS ABOUT ORGANIZATIONAL ETHICS
Being ethical is easy
.. is not part of doing business
.. Brings no benefit

17. WHAT ETHICS IS NOT
The same as
feelings
Religion
Just following
the laws
Following
culturally
accepted norms
Science

18. CORPORATE CITIZENSHIP
 Refers to the acceptance by business of a
conscious effort in focusing and in satisfying the
economic, legal, ethical, philanthropic and social
responsibilities and other acts expected from the
corporation to do to its stakeholders.

19. AREAS OF CORPORATE CITIZENSHIP
Business ethics
Social responsibility
Religious
compliance
Reputation
management
Corporate
volunteerism

20. KEY ELEMENTS OF CORPORATE
CITIZENSHIP
Commitment to quality
Ethical legal compliance
Stewardship and governance

21. KEY ELEMENTS OF CORPORATE
CITIZENSHIP
Superior
employee
relation
Social
advocacy
Environmental
advocacy
Community
involvement

22. PHILANTHROPY AND SOCIAL INITIATIVES
Philanthropy – is a practice of giving
money and time to help make life
better for other people.

23. Corporate
philanthropy
Giving
company’s
profit
Charitable
institutions

24. Corporate
philanthropy
Cash,
employee
volunteerism
Product
donations

25. BENEFITS OF CORPORATE PHILANTHROPY
Benefits to the community
Improves quality of life
Provides human & capital
resources
Benefits to stakeholders
Build E. Morale and
engagements, future workforce
Enlarges sense of com and soc.
obligations
Benefits to business
Enhance reputation
Improve relation, support
strategies

26. FOUR ASPECTS OF SOCIAL
RESPONSIBILITY