Business and Social Responsibility

Being a corporation comes responsibility, social to be exact. KLM’s corporate social responsibility, or CSR for short, is a set standard of an integrated approach in the airline sector.The CSR policy is directed at customers, employees and society (Company Profile, 2015). Not only did KLM earn their tenth top position of Dow Jones Sustainability Indexes for airlines, but also, sector leader in the umbrella category Transport. KLM’s merge with Air France only made the company stronger as they work together to keep the values of an honest carrier alive. They care about the quality and innovation of their service. KLM listens customers and other carriers ideas as they have more an outlook of the company as they view in a different

When trust is damaged employee performance declines, employee loyalty declines, employee theft rises and the relationship a company had with its clients ultimately fails.

Is the deception of consumers worth making a profit? The Ford Pinto, popular car of the 1970s, made a profit off of a vehicle that endangered the lives of hundreds of people. In his essay “Pinto Madness” Mark Dowie, author and Pulitzer Prize nominee, exposed the unethical decisions made by Ford Motor Company. When it came to their customer’s safety and profit for the company, Ford made a decision that led to consequences their customers had to pay the price for. Should the business be held accountable for these actions? In his essay “The Social Responsibility of Business Is to Increase Its Profit” Milton Friedman, powerful economist, discusses what a business should prioritize in the economic system. Friedman declares what a business is responsible for and the guidelines they must follow. Due to Friedman’s view, he would not have condoned the actions and decisions that the executives at Ford Motor Company took.

It is to a wide extent voluntarily engrained into the corporate strategy. Moreover, it covers the most important areas of CSR – environment and society. How the strategy is really implemented into practice will be discussed in the following parts. However, it shall be mentioned that the strategy “ONE” still makes the impression of a traditional growth orientated strategy. In the appendix three and four two additional figures regarding stakeholder vs. company goals and the CSR key areas can be

To assure how CSR can be implemented in corporate, some researchers uses a developmental platform to show changes in strategy , public awareness and posits the stages of CSR . In 2004 Jackson and Nelson takes more of a how-to-approach, offers a principle-based platform for mastering what they called the “upcoming rules of the game.”

MF believed that a business itself cannot have any social responsibility. Only the people who own or are affiliated with the business can have any form of social responsibly. His article, A Friedman Doctrine--: The Social Responsibility of Business if to Increase Its Profits, outlines what this means for a business’s corporate executive. The corporate executive is the employee of the business owner and, therefore, is directly responsible to them. Friedman states that the corporate executive’s responsibility, “…generally, will be to make as much money as possible while conforming to the basic rules of the society, both those embodied in law and those embodied in ethical customs (Friedman).” In this sense, the corporate executive’s role

These three strategic components can lead to successful CSR practices that improve the company’s image and profits, satisfy its stakeholders, and make a positive difference with regards to its social or environmental concerns. While the definition of CSR varies within the literature, I suggest that a customized CSR process that incorporates CSR fit, stakeholder engagement and strategic communications will lead to successful CSR practices.

Many companies think that corporate social responsibility is a peripheral issue for their business and

The responsibility of a business goes beyond just turning a profit, they also have an obligation to society. The stakeholders; consumers, employees, the community and the environment, all have a variety of needs that should be met by the company. These needs can include things such as safer more affordable products for the consumer, fair wages and good working conditions for the employee, or environmentally safe production practices that cut down on pollution for the community. Meeting these needs is known as Corporate Social Responsibility (CSR) and can have a profound impact on the company. Businesses, big and small, have an obligation to society to provide quality services while protecting the integrity of the environment and community surrounding them.

The essential aim is to hold corporations responsible for their actions and encourage a positive result through their business activities that affect communities, stake holder, consumers and society.

The role of business in the society became a major aspect across business after Milton Freedman wrote the most provocative article in 1970. As an economist, Freedman stated that the main purpose of businesses is to generate profits for its shareholders. Furthermore, he argued that companies with responsible attitudes were likely to encounter increased binding constraints unlike those that lacked these attitudes, resulting in them becoming less competitive. As a hotly debated topic, Freedman's article has both positive and negative points regarding the societal role of businesses.

The term social responsibility means different things to different people. Generally, corporate social responsibility is the obligation to take action that protects and improves the welfare of society as whole as well as organizational interests. According to the concept of corporate social responsibility, a manager must strive to achieve both organizational and societal goals.

CSR plays vital role in today business organizations.CSR is stands for corporate social responsibility. Corporate social responsibility also referred to as "corporate citizenship. The main motive of CSR is that the company makes profit not only for themselves while it also profitable for society. we can say that also Corporate Social Responsibility business behave ethically and contribute to economic progress while improving the quality of life of the workforce and their families as well as of the local community and society at large. There are many ways business to incorporate CSR into business models. In this essay I will describe how businesses can incorporate CSR into their business models by providing good working conditions for

Today enterprises are more and more aware that their business success does not depend only on a strategy of maximizing short-term profits, but on protecting the environment and on promoting their social responsibility, including the interests of consumers. In a recent book by business and public policy consultant Adrienne von Tunzelmann called “Social Responsibility and the Company: A New Perspective on Governance, Strategy and the Community”, Ms.Tunzelmann argues that it is not necessary to suppose that companies face an inherent conflict in the choice between the pursuit of commercial success and contributing to the goals of society and the community in which they operate. She suggests that incorporating CSR policy into business strategy offers a number of advantages. It may, for example: be a way of motivating and building pride in employees and managers, contribute to the development of a “healthier” community, assist in identifying new markets, allow differentiation from competitors, maintain public confidence in the legitimacy of business operations, encourage a climate of trust and goodwill etc.

There were arguments that obligation of business is to maximize long term profit for shareholders in a sustainable way, while others call them to involve more to social responses. Each judgment has its own reasons which this research sought to analyze. Based on that, certain social obligations of business will be addressed with evidences, showing their necessary of being more responsible to social outcomes.