Corporate social responsibility is defined as
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In addition, many definitions of CSR distinguish it from philanthropy, emphasizing that CSR is generally related to the firm’s core business and contributing to its profitability. CSR, so understood, can be conceptualized as a set of practices integrating social, environmental and profit-related considerations. The ISO 26000 norm, one of the most widely adopted CSR standards, explicitly links CSR with Sustainable Development, by defining it as “the responsibility of an organization for the impacts of its activities on society and environment, through transparent and ethical behavior that contributes to sustainable development […].” CSR, simultaneously pursuing social, environmental, and financial objectives When did CSR emerge?
CSR became mainstream through the 2000s. Evidence for this can be seen in the evolution of CSR reporting rates: While in the late 2000s, merely one of three of the world’s 250 largest companies by revenue published a CSR report, the CSR reporting rate is plateauing at levels consistently above 90% since the early 2010s. Source: The KPMG Survey of Corporate Responsibility Reporting 2017. What standards govern CSR activities?
Other prominent international standards providing guidance for effective CSR management are the Integrated Reporting Initiative and Framework that was launched in 2011, the AA1000 Series of Standards, the ISO 26000 norm, and the SA8000 certification standard for socially acceptable practices at the workplace. What comes next?
Accordingly, several scholars have suggested more ambitious approaches. M. Porter and M. Kramer, for instance, propose the Creating Shared Value (CSV) approach, that views social and environmental challenges as business opportunities and possible sources of innovation.(1) Other authors, like W. Visser, call for a CSR 2.0 approach that attempts to tackle the root causes of today’s problems through innovative business models and a deep transformation of firms’ practices.(2) In view of multinational companies’ power and ability to influence public policy, several first-rank CSR scholars recently called for expanding our understanding of CSR to include what they call a “Corporate Political Responsibility” (CPR).(3) They argue that firms should communicate more transparently about how they advocate for socially and environmentally beneficial public policies, e.g., through donations, lobbying activities, and CEO activism. Corporations should be assessed on their political actions, and the coherence with their business and CSR activity. * Bowen, H. R. (1953). Social responsibilities of the businessman. New York, Harper & Brothers References: 1- Porter, M. E., and Kramer, M. R. (2011). Creating Shared Value. Harvard Business Review, Vol. 89(1), 2-17. 2- Visser, W.(2011). The age of responsibility : CSR 2.0 and the New DNA of business, Journal of Business Systems, Governance and Ethics, 5, 7-22 3- Lyon, T. P., Delmas, M. A., Maxwell, J. W., Bansal, P., Chiroleu-Assouline, M., Crifo, P., Durand, R., Gond, J. P., King, A., Lenox, M., & Toffel, M. (2018). CSR needs CPR: Corporate Sustainability and Politics. California Management Review, 60(4), 5-24. More about the Movement for Social*Business Impact Discover the Inclusive and Social Business Certificate Discover the Master on Sustainability and Social Innovation How is corporate social responsibility defined quizlet?Corporate social responsibility is the managerial obligation to take action to protect and improve both the welfare of society as a whole and the interest of organizations. a companies obligation exert a positive impact and minimize its negative impact on society.
What is meant by the term corporate social responsibility?The concept of Corporate Social Responsibility (CSR) is generally understood to mean that corporations have a degree of responsibility not only for the economic consequences of their activities, but also for the social and environmental implications.
What is corporate social responsibility with examples?Some examples of CSR components are reducing carbon footprint and energy consumption, engaging in wildlife conservation initiatives, encouraging charity and volunteer work, supporting local communities, improving labor policies, ensuring diversity and equality in the workplace, investing in nonprofit organizations, and ...
What are the 4 corporate social responsibility?The four main types of corporate social responsibility are environmental responsibility, ethical responsibility, philanthropic responsibility, and economic responsibility. However, companies can also consider different forms of CSR; such as diversity, inclusion, wellbeing, and employee engagement.
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