Corporate Social Responsibility Approaches-Samples for Students

Question: Briefly define CSR with reference to its purpose. To what extent should ethics be the basis of CSR decisions? Answer: Introduction: Corporate social responsibility has emerged as a priority that is inescapable for business leaders in every country. It is an approach contributing to sustainable development by providing social, environmental and economic profit to all stakeholders. Activities involved in social responsibility are a platform of innovation, prospect and competitive advantage. For this purpose, corporations are required to use the framework guiding core business activities for analyzing the social responsibility prospects. The current corporate social responsibility approaches are disconnected in the sense that greatest opportunities for providing benefit to society is uncertain (Hansen et al., 2016). Companies considered factor of being socially responsible after they were surprised of public issues being a part of business responsibilities. Enlightened self-interest is appealed by sustainability principles that invoke the foundation line of social, economic and environmental performance. Discussion: Ethics of business incorporates responsibilities that are within cultural, environmental and social structure of communities along with the factors inside workplace. In many areas, ethical responsibilities have exemplified through acceptable standards of social practice of company. The operations of company might have impact on environmental, social and financial aspects of society that are mainly regarded as ethical issues as it involves obligations and responsibilities to all stakeholders along with environment and society. Environmental issues such as property rights, liability and negligence and basic ethical concepts such as responsibilities and rights influence businesses (Wood Logsdon, 2016). Ethics is regarded as one of corporate social responsibility approaches, which focuses on ethical aspects rather than generating the profits from engaging in socially responsible activities. It is believed by the supported of ethical approach to CSR that organization should engage in such activities as it is considered as morally right thing to do. Moral consideration is one of the issues that take precedence over factor of companys interest in an event of conflict between narrow economic interest of company and moral considerations. The ethical approach to corporate social responsibility necessities that company for some moral reasons accepts potential loss for profit. The reason is attributable to the fact that sometimes the demands for profits are overridden by ethical demands such as interest concerns. As per Utilitarianism theory, interests of all stakeholders is taken into account by company indicates that they should consider the interest of groups such as local community as i mportant as faraway strangers (Mason Simmons, 2014). The core process of organization integrates corporate social responsibility factor and it is argued that resource dependency theory of firm form the basis of CSR. Business case approach to social responsibility leads to creation of opportunism that will favor the most profitable cases of CSR. Factor that are considered profitable are regarded as ethically desirable on part of CSR. A severe ethical detachment and ethical complacency risk might be created by business case model that leads to deficiency in CSR direction. CSR should be included in broader terms in decision making of company due to increasing public debate and globalization. Market dynamics of competitors helps in determining the success strategy of the social responsibility (Shaukat et al., 2016). Such approach help in embedding the social responsibility factor into entire business process so that related issues are triggered to all level in organization and people act and communicate on the same. Changing the mindset of corporate will help in initiating CSR activities on part of employees and acts in a more responsible way and creating long-term benefits for organization (Christensen et al., 2014). Business case approach can be regarded as self-determination theory that can be used to motivate people within organization who are skeptical about CSR. Furthermore, organization should take efforts to legitimize using instrumental arguments for increasing corporate profits. However, there are inherent limitations to approach of business case CSR because it leaves institutional blockades and results in opportunism because of social issue agenda. It is essential for organization to make the combination of orientation and economic constraints towards collective and individual moral values and integration of such values in decision-making process of organization (Porter Kramer, 2006). The article provides with the implication of stage model of CSR and the last stage of the model emphasize on addressing the moral foundations of social responsibility. With the evolvement of social standards and progressing of science, the force of operations of company on society changes over time. Difference in competitive positioning in any industry is attributable to different cut of social issues. Issues relating to corporate social responsibility can be important for business locations and units that offer opportunities for undertaking CSR initiatives. Apart from strong leadership, integrating of business with social requirements requires good intention. For prioritization and identification of social issues, some companies have engaged operation management into the process. The management of CSR efforts incorporates philanthropy and has embedded social responsibility into social dimension. If the corporate philanthropy were embedded in the efforts of social responsibility, it would help business in generating profit if consistent investment is made using the socially responsible principle. Strategic CSR is considered as far more effective that helps in addressing the social harm created by business activities (Schrempf et al., 2016). Social issues that affect the performance of company is categorized into standard social issues, social impacts of value chain and social dimensions of concepts that are competitive in nature. Business will be required to think in a dynamic way for perceiving social responsibility. Creation of shared values will help in addressing social issues as it will help in brining self sustaining solutions that are independent of government or private subsidies. Organization can create positive influence on society in the form of purchasing of goods and capital investment (Nijhof Jeurissen, 2010). Increased awareness of social issues would result in boarder level of employee engagement and considering environmental care as crucial part of their working life. There are some ethical challenges confronted that business leaders confronts when revising and constructing policy of CSR. In this regard, companies face dilemma whether they focus actively doing right things or they should focus on avoiding harmful actions. Economic and social values are created within organizations using powerful tools such as addressing of constraints to social competitiveness and pioneering innovations of value chain (Hansen et al., 2014). Conclusion: Ethics is not regarded as matter of choice that is to be exercised by company and top management cannot preach it. The basis of ethical organizations is leadership and ethical decision-making. In order to make progress in area of CSR, workforce group should be willing to commence change on social front. Analysis of article depicts that exits paradox between mechanisms for removing institutional blockades and development of CSR framework on intrinsic employee motivation. Organization that works in a competitive environment has the prerequisite of paying attention to economic constraints. In order to embed CSR into the corporate framework, economic constraints should be combined with ethical and moral values. It has been ascertained from the analysis of article that organization that uses business case approach on CSR front will help in addressing a range of broad social and ethical issues faced by company. Strategic CSR employed by companies go beyond the mitigation of value chain imp acts and corporate citizenship. Therefore, strategic CSR will help in monitoring environmental and social consequences of activities. References list: Christensen, L. J., Mackey, A., Whetten, D. (2014). Taking responsibility for corporate social responsibility: The role of leaders in creating, implementing, sustaining, or avoiding socially responsible firm behaviors.The Academy of Management Perspectives,28(2), 164-178. Hansen, S. D., Dunford, B. B., Alge, B. J., Jackson, C. L. (2016). Corporate social responsibility, ethical leadership, and trust propensity: A multi-experience model of perceived ethical climate.Journal of Business Ethics,137(4), 649-662. Herrera, M. E. B. (2015). Creating competitive advantage by institutionalizing corporate social innovation.Journal of Business Research,68(7), 1468-1474. Huang, C. C., Yen, S. W., Liu, C. Y., Huang, P. C. (2014). 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