1. • In the Name of ALLAH, Most Compassionate, Ever Merciful
2.
3. Management
Stephen P. Robbins
Chapter
Social Responsibility , Green
5 Management
And Ethics
3–3
4. Social Responsibility
is the obligation of
organization’s management to make decisions and
take actions that will enhance the welfare and
interests of society as well as the organization.
Distinguishing from right and wrong
Being a good corporate citizen
5. Social Responsibility Was:
Maximizing financial returns (PROFITS) operating
business in interests of stake holders.
Primary concerns were financial
If ―social good‖ was conducted by the organization,
it used to be paid off either by consumers or stake
holders.
6. Now Social Responsibility Is:
Working on for improvements in society’s welfare
Moving beyond than making financial returns
Organizations have an obligation to society on a
larger scale
The obligations to different elements of society
should be equal
Selection of fair and right deeds
8. Obligation-Responsiveness-
Responsibility
• Social Obligation Defensive Approach
Meeting the business requirements and focusing on
legal responsibilities.
• Social Responsiveness Accommodative
Approach
Taking actions to fulfill social needs
• Social Responsibility Proactive Approach
Acting in right way; doing good for society
11. Who are Stakeholders?
–People and groups affected by the way a company
and its managers behave
–Supply a company with its productive resources
and have a claim on its resources
When the law does not specify how companies
should behave, managers must decide what is the
right or ethical way to behave toward the people and
groups affected by their actions.
14. Managers Responsibility
• Responsible for using a company’s financial capital
and human resources to increase its performance
• Have the right to expect a good return or reward by
investing their human capital to improve a
company’s performance
• Frequently juggle multiple interests
15. Employees Responsibility
• Companies can act ethically toward employees by
creating an occupational structure that fairly and
equitably rewards employees for their contributions
16. Suppliers and Distributers
Responsibility
• Suppliers expect to be paid fairly and promptly for
their inputs
• Distributors expect to receive quality products at
agreed-upon prices
17. Customers
• Most critical stakeholder
• Company must work to increase efficiency and
effectiveness in order to create loyal customers and
attract new ones.
18. • Community
– Physical locations like towns or cities in which
companies are located
– A community provides a company with the
physical and social infrastructure that allows it
to operate.
• A company contributes to the economy of the
town or region through salaries, wages, and taxes.
19.
20. The Greening of Management
• The recognition of the close link between an
organization’s decision and activities and its impact on
the natural environment.
– Global environmental problems facing managers:
• Air, water, and soil pollution from toxic wastes
• Global warming from greenhouse gas emissions
• Natural resource depletion
21. How Organizations Go Green
• Legal (or Light Green) Approach
– Firms simply do what is legally required by obeying laws, rules,
and regulations willingly and without legal challenge.
• Market Approach
– Firms respond to the preferences of their customers for
environmentally friendly products.
• Stakeholder Approach
– Firms work to meet the environmental demands of multiple
stakeholders—employees, suppliers, and the community.
22. Managerial Ethics
• The development and implementation of moral
principles and values that determine what’s right
and what’s wrong for an individual manager.
32. Firms can promote ethics in three ways:
1. Top management needs to support a strong ethical
climate
2. Companies can adopt a code of ethics – a formal written
set of ethical standards guiding an organization’s actions
3. Companies can promote ethical behavior by rewarding
whistleblowers - employees who report organizational
misconduct to the public
