Corporate Social Responsibility in the C0-Operative Bank

My company is a Canadian company called TD Bank. Yes banks are mega-glutinous, self-serving machines and TD has these characteristics similar to what we expect and perceive of such institutions. However, I like the leaders of this bank. They play the big boys game but over the years, their community support initiatives, programs, education and financial funding have proven their backing for various communities and entrepreneurial efforts. The following describes how TD Bank has embedded an element of long-term wealth creation into their enterprise.

Bank of America provides its products and services through operating 5,100 banking centers call centers and online and mobile banking platforms. Its Consumer Real Estate Services segment offers consumer real estate products comprising fixed and adjustable rate first lien mortgage loans for home purchase and refinancing needs home equity lines of credit, and home equity loans. In 2014, we strengthened our corporate social responsibility governance structure by launching a new Global Corporate Social Responsibility Committee, chaired by our global chief strategy and marketing officer and comprising senior leaders from across every business line and support group.

Because corporations are established to profit and shareholders invest money with expectations of a greater return, managers cannot be given a directive to be “socially responsible” without providing specific criteria of checks and balances to which needs to adhere. Therefore, it is imperative to the success of a corporation for managers to not act solely but rather to act within the policies of the shareholders.

Since 1998, Bank of America has become one of the most successful financial institutions in the industry. With the mission to “make financial lives better, through the power of every connection”, Bank of America has operated its business align with its purpose. While assisting its clients understand their money, the company also put on a lot of effort on helping the communities by executing Corporate Social Responsibility (CSR). It is undeniable that the company has successfully addressed many critical problems in the environmental, social and economics arenas, as it continually receive awards and recognitions for its CSR efforts.

Maximising long-term value for its customers, shareholders and its employees is the organisation’s main strategic priority. Commonwealth bank’s strategy is to create long- term value and maintaining competitive advantage by differentiating itself from its competitors.

The framework of corporate social responsibility is such that it is relatively complex and multidimensional. A three-dimensional

Nowadays, organizations have a corporate social responsibility to fulfill in the business industry. There is a variety of definitions for corporate social responsibility however; a common definition is a business integrates social and environmental concerns in their everyday business operations on a voluntary basis (Murphy, 2010). It is important that managers behave ethically and morally so other individuals will follow their guidance. A manager is responsible for fair treatment of employees, customers, and suppliers, building trustworthy relationships, and being transparent (Murphy, 2010). As a result, managers that are in executive level positions are oftentimes, most responsible for any unethical or

Archie B. Carroll created a pyramid model to describe the economic responsibility, legal responsibility, ethical responsibility and philanthropic responsibility that a company should have toward the global economy (Kreitner and Kinicki, 2013). Within these four domains, a corporation is expected to be profitable, be legal, be ethical and be a good corporate citizen. There are expectations of the model in which economic, social and environmental responsibilities are fulfilled simultaneously (Shum and Yam, 2011). However, it is not feasible to expect the economic responsibility to automatically translate into the social responsibility aspect. Corporations can be led to engage in social responsibility voluntarily to achieve social good when appropriate legal and ethical influences are established (Shum and Yam, 2011).

One Major Factor that effects CBA’s business is the Political and legal environment. this is because legislation, regulation and court decisions that govern and regulate business behaviour have the power to dictate many different aspects of the organisation. As one of big four banks, that maintain market control in Australia, CBA has strict legislation and regulations it must abide, such as the 1959 Commonwealth Banking Act (Austlii.edu.au, 2016), which defines the “banking business”.

jEthics can be addressed within financial performance in stating how companies remain consistent by implementing corporate social performance and how recent trends can impact the result. In the research article ‘A Study of the Link Between a Corporation’s Financial Performance and its Commitment to Ethics’ Verschoor (1997). He presents the latest trends of companies that are within an ethical perspective. “26.8% of US 500 largest corporations commit to ethical behaviour towards their stakeholders or emphasise compliance with their code of conduct.”(p.1509). Although a small proportion of major companies in US apply ethics, this demonstrates that competition is considered to be a significant factor through financial performance. Hence, in establishing corporate social responsibility this examines the level of ethics within the balance of standards between right and wrong through a financial performance perspective.

With the development of the society, the mean purpose of corporations is no longer only being profitable. According to Lee, Companies and organizations are expected to have more optimistic contribution on society (2008). Social responsibility has become a regular part of the corporations’ mission. Each organization have their own ways to involve in the corporate social responsibilities activities (as cited in Jong & Meer 2017). Environment is always an essential part in CSR, and a lot of strategies are used to improve the environment. As one of the five biggest banks in Canada, Scotiabank has made a lot of effort on environmental protection.

Operating in the ever challenging banking industry in Australia, Commonwealth Bank of Australia (CBA) aims to succeed through focusing on 5 main strategic areas:

Carroll (1991) organized different corporate social responsibilities as a four-layered pyramid model and called it the pyramid of responsibilities. The four different responsibilities - economical, legal, ethical and philanthropic are the layers of the pyramid. Corporate social responsibility involves the conduct of a business so that it is economically profitable, law abiding, ethical and socially supportive. To be socially responsible then means that profitability and obedience to the law are foremost conditions when discussing the firm’s ethics and the extent to which it supports the society in which it exists with contributions of money, time and talent”. And the different layers in the pyramid help managers

Corporate social responsibility has been one the key business buzz words of the 21st century. Consumers' discontent with the corporation has forced it to try and rectify its negative image by associating its name with good deeds. Social responsibility has become one of the corporation's most pressing issues, each company striving to outdo the next with its philanthropic image. People feel that the corporation has done great harm to both the environment and to society and that with all of its wealth and power, it should be leading the fight to save the Earth, to combat poverty and illness and etc. "Corporations are now expected to deliver the good, not just the goods; to pursue

Hongkong Shanghai Banking Corporation (HSBC) is one of the largest banking and financial services organizations in the world. We are the world's local bank.