Corporate social responsibility

1. 1
Samia Ayyub
In the Name of Allah, the most
Beneficent, the Most Merciful.

2. Nestle Pakistan CSR Initiatives

3. Nestle Pakistan CSR Initiatives

4. Defining CSR
• In general terms, CSR encompasses the responsibilities that
businesses have to the societies within which these businesses
operate.
• The European Commission defines CSR as “a concept whereby
companies decide voluntarily to contribute to a better society
and a cleaner environment.”
• Specifically, CSR suggests that a business identify its stakeholder
groups and incorporate their needs and values within its strategic
and operational decision-making process.

5. Common Terms About CSR
• Corporate Social Responsibility (CSR),
• Business Ethics,
• Corporate Citizenship,
• Sustainability,
• Business and Society,
• Business and Governance,
• Business and Globalization,
• Stakeholder Management,
• Governance
• Corporate Environmental Management,

6. Evolution of CSR

7. Carrols’s CSR Pyramid

8. Difference between CSR & Ethics
Issue Legal Aspects Ethical
Domain
Socially
Responsible (CSR)
Employment
Practices
No illegal
discrimination
Fair &
equal
treatment
Diversity
Environment Do not violate
environmental
laws
Don't
pollute
Conserve, reduce,
recycle
Supplier
Sourcing
Don't violate
laws
Don't use
suppliers
who violate
laws or
standards
Reward suppliers
who go above and
beyond

9. Philosophical priorities in CSR
• Do good
Maximize economic, social
and environmental value
• Do no harm
Even in those cases
where one is not the cause
• Do no harm
Avoid economic, environmental and social harm

10. “ Social license is a privilege,
not a right.”
- James Quincey, President and CEO, The Coca-Cola Company
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11. Our Sustainability Commitments 2020
WATER
WOMEN
WELL-BEING
$820Million+
1
GIVING BACK
Coca Cola Sustainability Commitment 2020

12. Building Consistently On Key Sustainability Pillars
WOMEN WATER WELL BEING
•
10 Projects for Water
Stewardship in KPK, Punjab &
Sindh
•
Replenished 800+ million
liters of water in Ayubia National
Park
•
Watershed, water filtration
plants, bioengineering,
plantations, energy
conservation
•
Rotary Responsible Business
Partner 2016 - Rotary Day at
UN
•
2nd TCF School, Coca-Cola
Campus near Lahore. 1st was in
2012 in Muzaffargarh
•
Coca-Cola Aquatic Center at
LUMS – FINA approved
swimming facility indoors
•
Coca-Cola Endowment Fund
in LUMS for scholarships under
National Outreach Programme
•
Separate latrines for female
students to reduce student
drop out percentage
•
Economically empowered 7,000+
women through microfinancing in
partnership with Kashf Foundation
•
Financial management workshops
•
83% of the respondents reported
increase in savings
•
Vocational trainings to women for
better employment opportunities
•
Improved health conditions and
infant mortality rate
2
Coca Cola CSR Initiatives in Pakistan

13. Building Consistently On Key Sustainability Pillars
Diverse CSR Portfolio worth $8m
across Pakistan
The Most Well-Respected
Company since 3 years in a row
SABRE AWARD 2016 FOR Best
CSR Campaign with Kashf
Foundation
4th Highest Corporate Reputation
Score across 200+ countries
3
Coca Cola CSR Initiatives in Pakistan

14. Our CSR Partners
4
Coca Cola CSR Initiatives in Pakistan

15. CSR Initiatives by Pakistani Brands
• Sapphire implanted Plant/Tree Seeds in shopping bags for
Greener Pakistan

16. CSR Initiatives by Brands in Pakistan

17. CSR Initiatives by Pakistani Brands
• Khaadi will donate all Profit on sales of independence day for CSR
activities.

18. Consumer’s & CSR
• Source: Nielsen Global Survey of Corporate Social Responsibility, Q1 2015

19. Consumers & CSR
• Source: Nielsen Global Survey of Corporate Social Responsibility, Q1 2015

20. Consumers & CSR
• Source: Nielsen Global Survey of Corporate Social Responsibility, Q1 2015

21. Consumers & CSR
• Source: Nielsen Global Survey of Corporate Social Responsibility, Q1 2015

22. Consumers & CSR
• Source: Project ROI: Defining the competitive and financial advantages of corporate responsibility and sustainability, IO
Sustainability and Babson|Social Innovation lab, 2015.

23. Consumers & CSR
• Source: Nielsen Global Survey of Corporate Social Responsibility, Q1 2015

24. Consumers & CSR
• Source: Nielsen Global Survey of Corporate Social Responsibility, Q1 2015

25. Consumers & CSR
• Source: Nielsen Global Survey of Corporate Social Responsibility, Q1 2015

26. Why to engage in CSR ?
• The following were cited in a poll throughout eight Western,
developed countries by citizens as the main reasons why firms
want to be socially responsible, good citizens. Note how most
could fall under one umbrella: Company long term strategic
interest
1. Reduced risk
2. Market reputation/brand image
3. Relations with stakeholders (attracting & retaining
employees, morale, expedited permits, happy regulators)
4. Putting something back
5. The right thing to do/corporate values
6. Offers social capital or license to operate or grow (give
and take)

27. Why to engage in CSR activities ?

28. Profits = Optimal resource allocation
• This common view of CSR has its roots in the utilitarian tradition
and in neoclassical economics.
• As the agents of the owners of business, managers have
primary responsibility to pursue maximum profits for
shareholders.
• By pursuing profits, a business manager functions to allocate
resources to their most efficient uses. Consumers who most
value a resource will be willing to pay the most for it; thereby
profit is the measure of optimal allocation of resources. Over
time, the pursuit of profit will continuously work towards
the optimal satisfaction of consumer demand, which in one
interpretation of utilitarianism, is the optimal social good.

29. Where to invest ?

30. Prioritization of Stakeholders
• The prioritization of stakeholders is often determined by a
company’s mission, practice, board or custom.
• All too often, however, the prioritization is presumed rather than
intentionally discussed and challenged, which might lead to
entrenchment rather than enhancement of the firm.
.

31. The Nature and Extent of the Responsibility
• Is profit, legally made, the only guiding principle of socially
responsible business activities, or should the impact of a decision on
others be considered, even where the law does not require it?
• What do we mean when we say “responsible?”
– We might mean that it is reliable, dependable or trustworthy.
– A second meaning of responsible involves attributing something as a
cause for some event or action.
– A third sense involves attributing liability or accountability for some
event or action and creates a responsibility to make things right again.
Social “responsibility” is what a business should or ought to do for the sake of society.

32. What should a business do?
• Business has the social responsibility to obey the law.
• Philosophers would contend that we have responsibilities beyond
the law and they distinguish between different types of
responsibilities, on a scale from more to less demanding and
binding.
– First, we have responsibilities not to cause harm to others.
– A second, perhaps less binding responsibility, is to prevent harm even
in those cases where one is not the cause.
– Finally, there might be responsibilities to do good.

33. Thanks