CORPORATE SOCIAL RESPONSIBILITIES

       Figure 1: corporate social responsibilities – source (Stobierski, 2021)

What are corporate social responsibilities(CSR)?

Business self-regulation aimed at social responsibility. There is no specific framework by which this can be implemented. Corporate social responsibility affects the employees in the organization, the society as a whole, the economy, and the environment of the country. The main purpose of this is to bring good to the whole society. (Schooley, 2021)

Types of CSR

Corporate social responsibility is discussed in four types.

Figure 2: Archie Carroll’s Pyramid of Corporate Social Responsibilities – source (Thacker, 2019)

 

Economic Responsibility

Is the lowest level of the pyramid, in order to run a business, you must make a profit.

 These are the main objectives,

·         Institutional maintenance and payment of salaries to employees.

·         Production of goods and services required by consumers at reasonable prices.

Legal Responsibility

This is the second and most important level of the pyramid. This shows how companies are doing their business in the market. If you can’t legally assume responsibility, then the company's business is weak. Examples of employment laws, competition, tax conditions, and employee health and safety are the legal obligations a company must comply with.

Ethical Responsibility

 Creating and maintaining a good working environment for employees, suppliers, and non-employees working in an organization.

Philanthropic Responsibility

This is the highest point of the pyramid. This means that the business works for the well-being of the individual in society. (Ott, 2021)

 

Why CSR is important for the company?

The main objectives of corporate social responsibility are to do good to society as a whole. There are three main related aspects of an organization.

Employees

When the business treats its employees better, they work to the fullest.

Clients

Customers wonder if the money spent on the goods and services they buy is reasonable. So if that price is welcome then stay with the customer.

Positive open consideration

Companies do good deeds in society by setting an example for other companies.

Objectives of CSR

·         Encouraging sustainable development

·         Establishing relationships between various associations around the world that promote corporate social responsibility activities.

·         Helping any individual or organization to adopt the different practices of CSR.

·         Any possible steps to be taken to improve the CSR.  (Ott, 2021)

Conclusion

Finally, CSR is a positive aspect that extends to the employee, client, and community of a company or organization. It will improve the economic and environmental conditions of the country and thus create a pleasant employment environment.

It is not a rule to be followed, but a responsibility that everyone must take.

 

References

Ott, D. (2021) The Complete Beginner's Guide to Corporate Social Responsibility (CSR). [Online]
Available from https://www.eura-ag.com/en/blog/the-complete-beginners-guide-to-corporate-social-responsibility
[Accessed 16 12 2021].

Schooley, S. (2021) What Is Corporate Social Responsibility?. [Online]
Available from https://www.businessnewsdaily.com/4679-corporate-social-responsibility.html

[Accessed 16 12 2021].

Stobierski, T. (2021) 15 Eye-Opening Corporate Social Responsibility Statistics. [Online]
Available from https://online.hbs.edu/blog/post/corporate-social-responsibility-statistics
[Accessed 16 12 2021].

Thacker, H. (2019) Understanding the Four Levels of CSR. [Online]
Available from Archie Carroll’s “Pyramid of Corporate Social Responsibility”
[Accessed 16 12 2021].