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Microsoft

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John Smith

on 7 April 2015

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Transcript of Microsoft

CSR Scorecard
Legal Compliance
Weighted 25%
Ethical
Weighted 25%
Economic
Weighted 25%
Philanthropic
Weighted 25%
4.95
4.1
OVERALL RATING
4.41/5.00
Takes action to fire execs who do not exhibit ethical conduct (Bing)

Have recently won "Most Ethical" award and have made the world's most ethical companies list (2011)
Microsoft has been sued numerous times in the US, Europe, and Korea for monopolistic type behaviors.

Microsoft has been sued many times for patent infringement, copyrights, and trademarks.

Lawsuits expected or callous/unusual?
In the past year, Microsoft has cut the jobs of over 12,000 employees to reduce cost

Rated 4.2/5 for employee happiness according to Forbes

3.8
4.8
Corporate Social
Responsibility

Principle #1:
"Human Rights"
Goal:
respecting fundamental rights in order to help people and businesses throughout the world realize their full potential

Result:
trustworthy computing
Principle #2:
"Responsible Sourcing"
Goal:
making sure suppliers uphold similarly high standards of Citizenship.

Result:
Supplier Code of Conduct
Principle #3:
"Environmental
Sustainability"
Goal:
reducing the environmental impact of operations, products, and services while helping others utilize the power of technology in order to address sustainability challenges

Result:
carbon fees, strict policy adherence
Principle #4:
"Integrity & Governance"
Goal:
promoting business growth in an ethical and responsible manner in compliance with applicable laws and regulatory requirements

Result:
annual employee training, anti-corruption policies, "newspapers of record", Microsoft Integrity Hotline
Principle #5:
"Political Engagement"
Goal:
ensuring that political participation takes place for reasons that are clear and justifiable to shareholders and the public

Result:
The Regulatory and
Public Policy Committee
Markets
Key Execs
Revenues
Profit
Employees
Products/Services
Market Capitalization
Would you invest or work in Microsoft? Why or Why not?
Why We Would!
A Socially Responsible Company.
Investment Opportunity
Why we would not
Forced Retention
Velvet Sweatshop
Good Publicity!
However, CSR does not protect companies from negative service quality or concern for customers
65% of Fortune 500 companies offer donation programs (matching gifts etc.)
Employee Morale
and increases loyalty
REduce
REuse
REcycle
(lower costs and more efficiency)
BUSINESS SUCCESS and INCREASED PROFITS
Does CSR lead to business success?

Works Cited
http://www.microsoft.com/about/corporatecitizenship/en-us/about-citizenship/

http://www.microsoft.com/about/corporatecitizenship/en-us/working-responsibly/

http://en.wikipedia.org/wiki/Microsoft_litigation#Patents

http://www.forbes.com/sites/jacquelynsmith/2012/12/10/the-companies-with-the-best-csr-reputations/

http://techcrunch.com/2014/10/29/microsoft-fires-another-set-of-employees-continuing-its-announced-layoff-strategy/

https://view.officeapps.live.com/op/view.aspx?src=http://www.microsoft.com/investor/Downloads/Investor%20Services/Annual%20Meeting/FY14/Shareholder%20Update.pptx

https://doublethedonation.com/blog/2014/04/microsoft-one-of-the-best-at-communicating-philanthropy-opportunities-to-employees/

http://business-ethics.com/2011/05/12/does-corporate-social-responsibility-increase-profits/

http://www.eiu.com/site_info.asp?info_name=corporate_citizenship&page=noads&rf=0

By: Sianta Anderson, Julie Farmer, Karen Luckie, Daniel O’Connell, Nicholas Shade, Candice Urffer
-Currently 128,000 employees
-They employ more than just computer
programmers
-Anywhere from programmers to janitors
to video game testers
-They sell computer software
-Personal computers
-Consumer electronics
-And all the services to fix and maintain
them
-Computer software
-Personal computers
-Video games/consoles
-Phones
-Internet browsers
-Bill Gates, Co-founder
-Paul Allen, Co-founder
-John W. Thompson, Chairman
-Satya Nadella, CEO
-41 Billion in assets
-8.5 Billion in unsecured debt
-AAA rating
-2011 14.5 Billion in revenues
-2011 Profit was 5.2 billion
-.8 Billion less than Apple
-14.5 Billion in revenue
-Apple had 24.7 Billion
-Market Cap of 343.82 Billion as
of 2014
-#2 most valuable brands (forbes)
-#4 in market value (forbes)
-#13 in profit (forbes)
Principle #6:
"Our People"
"
Citizenship at Microsoft is about serving the needs of communities and fulfilling our responsibilities to the public. Our mission is to help people and businesses around the world realize their full potential.
"
Goal:
promoting a positive work
environment and employee commitment

Result:
employee training, career development, work-life balance
(out of 5 where a
score of 5 is the most
socially responsible)
New Microsoft employees are eligible for a $50 charitable donation to a nonprofit organization of their choice.

Since 1983, Microsoft has donated more than $1 Billion to nonprofits via its corporate giving programs, including matching gifts and volunteer grants.

Employee participation rates across companies, Microsoft is highest at 65% participating in at least one of the company’s corporate giving programs.
Labor Relations
Lawsuits
Smart Phone Potential
Gaming Industry
Fair Valuation
Competitors
Dividends & Buyback
Source: sloanreview.mit.edu
Source: sloanreview.mit.edu
Source: DoubletheDonation.com
Source: BusinessEthics.com
Source: EconoistIntelligentUnit.com
Source: BusinessEthics.com
Corporate Social Performance leads to greater Corporate Financial Performance!
Does this mean that donating leads to the success or that the successful donate?
Full transcript