Corporate social responsibility: Difference between revisions
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'''Corporate Social Responsibility''' is the obligation to select by the manager such [[Decision making|decision]]s and actions that contribute both to self-interest (multiplying [[profit]]s of the [[company]]), as well as to protect and multiplication of [[social welfare]] | '''Corporate Social Responsibility''' is the obligation to select by the manager such [[Decision making|decision]]s and actions that contribute both to self-[[interest]] (multiplying [[profit]]s of the [[company]]), as well as to protect and multiplication of [[social welfare]] | ||
This definition points to two aspects of corporate social responsibility. Speaking of protection, the emphasis is on preventing [[Company|companies]] from activities that are socially harmful, even if they are making [[profit]]. Furthermore, companies should take [[action]] that will be aimed at preventing and eliminating various negative [[Social bond|social phenomena]] of their activity. Speaking of multiplication, the emphasis is on the creative role of business in creating social welfare. [[Business ethics]] is important part of corporate social responsibility]] | This definition points to two aspects of corporate social responsibility. Speaking of protection, the emphasis is on preventing [[Company|companies]] from activities that are socially harmful, even if they are making [[profit]]. Furthermore, companies should take [[action]] that will be aimed at preventing and eliminating various negative [[Social bond|social phenomena]] of their activity. Speaking of multiplication, the emphasis is on the creative role of business in creating social welfare. [[Business ethics]] is important part of corporate social responsibility]] | ||
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* about minimum level of economic and legal responsibility decide societies having particular [[standard]] of living, and in a particular stage of social development (mainly their demands for corporate responsibility regarding economic [[efficiency]] and law enforcement in their activities), | * about minimum level of economic and legal responsibility decide societies having particular [[standard]] of living, and in a particular stage of social development (mainly their demands for corporate responsibility regarding economic [[efficiency]] and law enforcement in their activities), | ||
* every action of the company is taken in care about [[customer]], [[workforce]] and [[environment]]. | * every action of the company is taken in care about [[customer]], [[workforce]] and [[environment]]. | ||
* consequence of the kind of responsibility adopted by the company is its [[organizational structure]] prepared for the implementation of social objectives corresponding to the demands and expectations of target groups of consumers. | * consequence of the kind of responsibility adopted by the company is its [[organizational structure]] prepared for the implementation of social objectives corresponding to the demands and expectations of target [[groups of consumers]]. | ||
Revision as of 15:45, 19 March 2023
| Corporate social responsibility |
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| See also |
Corporate Social Responsibility is the obligation to select by the manager such decisions and actions that contribute both to self-interest (multiplying profits of the company), as well as to protect and multiplication of social welfare
This definition points to two aspects of corporate social responsibility. Speaking of protection, the emphasis is on preventing companies from activities that are socially harmful, even if they are making profit. Furthermore, companies should take action that will be aimed at preventing and eliminating various negative social phenomena of their activity. Speaking of multiplication, the emphasis is on the creative role of business in creating social welfare. Business ethics is important part of corporate social responsibility]]
Assumptions of Corporate Social Responsibility
The concept of Corporate Social Responsibility, is based on following assumptions:
- businesses and the public are immanent elements of a complex whole in which the idea of mutual solidarity between people has the primary importance. Strategic goal of business is to contribute to increased prosperity and improved quality of life of citizens,
- dynamic nature of the social system encourages companies to conduct mainly preventive actions and anticipate the risks in the social field, in order to maintain its role in the long run,
- about minimum level of economic and legal responsibility decide societies having particular standard of living, and in a particular stage of social development (mainly their demands for corporate responsibility regarding economic efficiency and law enforcement in their activities),
- every action of the company is taken in care about customer, workforce and environment.
- consequence of the kind of responsibility adopted by the company is its organizational structure prepared for the implementation of social objectives corresponding to the demands and expectations of target groups of consumers.
Effects of Corporate Social Responsibility
To social benefits include: improvement of the environment, contributing to economic development, educating the public, promoting charitable attitudes. Such activities also brings benefits to businesses, both internal and external. The company is seen as an attractive employer leading to increased motivation and commitment of employees, an increase of organizational culture and innovation. The external benefits include, in particular increasing the efficiency of business, increase investor interest, competitiveness in the market, attract new customers and deepen loyalty, thereby gaining a positive image of the company and its mission more reliable.Companies that undertake social activities, can count on help from the authorities in the form of subsidies or tax reductions.
See also:
- Ethical factors affecting business
- Social and cultural factors affecting business
- Determinants of culture
References
- McWilliams, A. (2000). Corporate Social Responsibility. Wiley Encyclopedia of Management.
