Corporate Social Responsibility
Introduction
Managing corporate social responsibility is an effective strategic planning for all the corporate firms across the globe to make the business ethical and contribute economic development. In the recent era of globalisation, managing corporate social responsibility provides an opportunity to the companies to secure sustainable development in near future by sustaining in the business and running the operational activities of the firms proficiently. The companies across the globe try to manage their responsibility towards the community and environment for creating values for the overall social communities. The corporate social responsibility is the concept that encourages the organisations to consider the interest of the society through managing its responsibility. It has direct impacts on all the stakeholders of the companies including the customers, employees, social communities, gov0ernment, suppliers, distributors, shareholders and managers. The strategies of managing corporate social responsibility mainly provide an opportunity to all the corporate firms across the globe to maximise the quality of life for the employees, local communities and the overall society as a whole. Respect each other, human rights and freedom are the main principles of managing corporate social responsibility in the business firms. It creates more opportunities for the corporate firms in expanding their business strategically by gaining high competitive advantage over other competitive firms.
The first principle of corporate social responsibility is to maintain human rights. Reducing the issue of child labour is another principle where the companies should be against child labour. It is also important to manage social responsibilities so that the companies can contribute for social development and creating values for the social communities. The organisations are also against the issue of forced labour, bribery and corruption. In addition to these, managing corporate social responsibility in the organisations is necessity where the companies try to build strong relationship with all the stakeholders so that it is possible to retain them ion long run. Managing the suppliers is also necessary where the companies try to appreciate the contribution of the suppliers and fulfil their needs and preferences. Additionally, managing environmental protection is another principle where the organisations contribute to the sustainable use of resources for environmental protection and the protection of the climate. The organisations are concerned in managing the production, distribution as well as quality of the products and services for making the environment protected. Moreover, the principle of
the corporate social responsibility includes that the companies should focus on the consumption of energy, water and raw materials so that the resources cannot be over utilised. In addition to these, remuneration, working time, performance related pay is also the principles of corporate social responsibility through which the companies can manage their responsibilities in long run.
Health and safety activities in the workplace is also another principle of corporate social responsibility where the managers and owners of the organisation needs to maintain health and safety of the employees in the workplace so that it is easy to improve trust and loyalty among the employees. In this regard, corporate social responsibility is a company’s concern and commitment towards the society’s sustainability and development. It provides proper principle and tactics of managing ethical behaviour of the company towards its society. It further contributes towards a sustainable economic development as well as towards the improvement of the business and society which are necessary for social environment. It is the responsibility of the companies to carry the business with moral and ethical standard. Moreover, preventing the environmental pollution as well as minimising ecological imbalance is also the responsibilities of the organisations which further contributes towards the development of social health, education, economic development as a whole.
Hereby, overall development of the social communities can be possible through managing corporate social responsibility. In order to manage the corporate social responsibility of the firms, the multinational corporations obey the rules and regulations as well as business ethics successfully. Regular payment of taxes of the business, providing corporate tax and cooperation with the government in order to create social values is also necessary under the strategies of corporate social responsibility. Through these tactics, the companies try to reduce the loophole of the business and cooperate with the government for more economic growth and social development. Hereby the corporate firms try to manage corporate social responsibility in order to maintain transparency and accountability which are further important for managing business reputation and goodwill of the companies. In order to ensure reasonable rate of return over specific period of time, the companies try to develop effective strategic planning where the corporate responsibility of the companies can also be maintained.
Managing corporate social responsibility is important for all the multinational corporations to run their business operational activities efficiently in long run. The strategic planning for managing corporate social responsibility is also advantageous for reducing the social cost which further helps the company to enhance the performance level and creating social values. In order to enhance the performance of the employees, it is also necessary to manage corporate social responsibility so that it is possible to motivate the employees and retain them for long run. It is a type of investment which contributes in maintaining industrial peace as well as improves public image of the brand in long run. Through managing the strategic planning of the corporate social responsibility, the multinational corporate firms also can gain high competitive advantage over other competitive brands which in turn provides an opportunity to the companies to improve their market share across the international nations. Maintaining corporate social responsibility is also effective for maximising the profitability of the firms by ensuring high sales volume.
The sales volume of the companies can also be increased through managing the corporate social responsibility as it helps the companies to create positive brand image in the market. The customers will be beneficial if the companies are concerned in managing their corporate social responsibility. Hereby, the companies also can retain more long run customers by ensuring loyalty and trust as the corporate social responsibility is effective for improving loyalty among the customers. Hereby, the corporate firms can strengthen their customer base by managing the corporate social responsibility. Moreover, the companies have moral justification as well as the firms can satisfy all the stakeholders engaged with the business. Through managing the corporate social responsibility, it is possible to make the stakeholders satisfied by making the operational activities ethical. Hereby, it is also possible for the companies to retain the stakeholders for long run and run the business activities strategically. It is the responsibilities of the companies to satisfy all the stakeholders including employees, managers, suppliers, distributors, government, customers and overall social communities. It also helps to manage the government regulations and control in long run which provides a systematic path to the corporate firms to run their business ethically. Through corporate social responsibility the companies also can provide positive impacts on the environment where it is the responsibility of the companies to maintain the environmental sustainability so that the organisational operational activities can not affect the environment negatively. In addition to these, through managing the corporate social responsibility, the corporate firm can reduce the issue of environmental damage, improper treatment of the workers, and faulty related to production procedure as well as customer inconvenience.
There are some consumers who are concerned about the corporate social responsibility so that there will no such negative impacts for the organisational operational activities. This is important to satisfy the customers by providing positive environment and it can also be possible for the brands through managing corporate social responsibility. In order to satisfy the investors and shareholders, the companies also try to maintain their corporate social responsibility so that they can provide high return on investment and ensure that the investment will be fruitful. The use of the strategic planning of managing corporate social responsibility is increasing in such an era of globalisation, to make the business activities ethical as well as fulfil the requirements of the stakeholders. The customers and investors in the recent years are sensitive towards the environmental and social issues and it is difficult for the companies to resolve the issues. The corporate social responsibility is one of the main strategic planning through which it is easy to reduce the social and environmental issues and maximise the values for all the stakeholders including the customers and investors. Hereby, managing corporate social responsibility is important as it minimises the negative impacts of the business activities and it further creates wealth and values for all the stakeholders including the overall social communities. Hereby, through managing corporate social responsibility the corporate firms can establish their business ethically across the international market.
In addition to these, managing corporate social responsibility helps to build strong relationship with local communities, customers, shareholders and other stakeholders which are necessary for running the business in long run. Moreover, the corporate social responsibility is important to built good corporate image so that it is possible to secure future sustainable development. In order to run the business internationally and improve market share it is essential to manage the corporate social responsibility where the companies can provide positive brand image. The strategic planning for managing corporate social responsibility is also beneficial for increasing branding and promoting the products and services successfully. Hereby, managing corporate social responsibility of the business activities is one of the main strategic planning of the corporate firms in order to run their business sustainably without any ethical issues and environmental problems. Therefore, all the multinational corporate firms are concerned about managing the corporate social responsibility so that it is possible to retain more loyal customers in long run and secure sustainable development in near future.
Moreover, through managing corporate social responsibility the companies also can establish the brand ethically and maximise social values by fulfilling the requirements and preferences of the stakeholders. As it is the responsibility of the organisations to maximise the benefits for all the stakeholders, it is necessary to manage corporate social responsibility and run the business ethically. Through maintaining corporate social responsibility, the companies can have the practice of fair business where the managers and owners of the companies can ensure transparency and accountability of the business activities which further provides a scope for building trust and loyalty making all the stakeholders. Additionally, managing corporate social responsibility is helpful to encourage healthy competition and to provides an opportunity to the corporate firms to gain high competitive advantage as compared to other competitive firms operating in the market by strengthening their customer’s base and maximising organisational profitability.