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Chapter 5: Ethics and Corporate Social Responsiblity For Bus

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ian earl pioquinto

on 14 March 2015

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Transcript of Chapter 5: Ethics and Corporate Social Responsiblity For Bus

Concept of corporate social
responsibility (CSR) has continued to grow in
importance and significance. It has been the subject
of considerable debate, commentary, theory build-
ing and research. In spite of the ongoing delibera-
tions as to what it means and what it embraces, it
has developed and evolved in both academic as well
as practitioner communities worldwide. The idea
that business enterprises have some responsibilities
to society beyond that of making profits for the
shareholders has been around for centuries. For all
practical purposes, however, it is largely a post-
World War II
phenomenon
"Archie B. Carroll and Kareem M. Shabana" The Business Case for Corporate Social
Responsibility: A Review of Concepts,
Research and Practice

Chapter 5: Ethics and Corporate Social Responsibility For Business
Multiple Forms In Different Nations And Regions Worldwide
Introduction
The 3rd Area of Emerging Concern
Corporate Social Responsibility
Ethics are the moral standards you rely on when you make a decision. They define what’s right and wrong, and outline the kind of behavior that businesses should not engage in. For responsible decision making in a business environment, a good set of ethics is the key. "what should be done"
Emergence of ethics and corporate social responsibility during the last 20 years.
Four Sections
Sustainability
refers to an organization’s activities, typically considered voluntary, that demonstrate the inclusion of social and environmental concerns in business operations and in interactions with stakeholders (van Marrewijk & Verre, 2003).
This Chapter Provides The Relevance of
Ethics
and
Corporate Social Responsibility (CSR)
for Business.
Honesty
Accountable
Morale
Being a Leader
Excellence
Obeying the law
Respect
Caring
Fair
Loyalty
Integrity
Keep your Promises
is a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders.
Undertakes to clarify key ethical concepts of morality, ethics, responsibility, and business ethics.
"Global business place" is characterized of applied ethics with implications for business ethics.
Evolving perspectives are delineated for business ethics in global arena.
Although the two are linked in most firms, CSR activities are no guarantee of ethical behavior
Phenomenon
In the 1980's we hardly could have predicted the explosive and rising ethical expectations and initiatives regarding business behavior that have emerged worldwide over the past two decades.
Emergence of Ethics and Corporate Social Responsibility
Research!
To meet the needs of the present without compromising the ability of future generations to meet their own needs.
World Business Council on Sustainable Development (WSBCSD) has taken multiple initiatives to promote environmental awareness and business conduct that is sustainable.
Eco-efficiency denotes both economic and ecological efficiency
Sustainable Profit - Sustainable Business

1980's, we can safety state, that the challenge of sustainability is now recognized by more people and businesses.
The Equator Principles is a risk management framework, adopted by financial institutions, for determining, assessing and managing environmental and social risk in projects and is primarily intended to provide a minimum standard for due diligence to support responsible risk decision-making.
Corruption - a very serious problem in developing and developed countries.
The World Bank was not ready to tackle corruption head-on in the early 1990's, in 1991 a senior officer of the WB, Dr. Peter Eigen, left the bank and organized.
Transparency International (IT), an nongovernmental organization with the mission to fight corruption, it is headquartered in Berlin because corruption should be considered primarily a challenge for developed countries.
Traditionally it was up to specific countries to make sure that the human rights codified in international declarations and conventions were incorporated into national laws and enforced by national governments.
Government
Business
Civil society
The power of multinational corporations has increased dramatically. Nongovernmental organizations have multiplied, become more vocal and applied more pressure; the government in many countries have become weak.
Business, Like all actors in the society, has to operate in responsible manner, including through respecting human rights, Business has an enormous potential to provide an enabling environment for the employment of the human rights through investment, employment creation and the stimulation of economic growth. its activities have also threatened human rights in some situations and individual companies have been complicit in human rights violations. "Chandler 2005"
UN Global Compact (UNGC) - submitted a " Communication of Progress"
(GRI) Global Reporting Initiative
20,000 people - (GRI) February 2008
Economic, Social, and Environmental
The efforts of companies (multinationals) in developing more coherent CSR strategies has been documented in a number of recent sources.
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