The Impact of Corporate Social Responsibility on Business Performance - Malte Kaufmann.Pdf Uploaded Successfully
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THE IMPACT OF CORPORATE SOCIAL RESPONSIBILITY ON BUSINESS PERFORMANCE – CAN IT BE MEASURED, AND IF SO, HOW?
The Berlin International Economics Congress 2012, March 7th-10th, 2012 Presented by Dd. Dipl.-Vw. Malte Kaufmann, The Bucharest Academy of Economic Studies email@example.com and Prof. Marieta Olaru, Ph. D., The Bucharest Academy of Economic Studies firstname.lastname@example.org
Abstract This paper examines the question of measurability of the impact of Corporate Social Responsibility on Business Performance. It starts with describing newer trends of measuring business performance, showing that one can observe a shift from the classical short-term analysis with particular focus on indicators like shareholder value, revenue…show more content… Business Performance can be characterized with attributes, for example as “well” or “poor”, depending on the expectations of the individual analyzing the data he or she has chosen to examine in order to gain insight into the state the company is in at a given moment. Business Performance is of key interest for the top management of a company. If Business Performance is weak, managers need to intervene in order to return to the path of growth. Especially in a market in which competition is increasing and globalization demands for better competitivity, business leaders need to pay close attention to Business Performance. However, although the necessity to partake in Business Performance analysis and evaluation in order to improve policies and processes in easily understood in theory, putting this concept into practice is not as easy as it may seem. Figure 1 displays the Business Performance of a company in relation to its management, to the business strategy and to the company´s processes: It shows the two-sided approach to Business Performance. On one hand, there is a normative relation on the side of the company management (top-down relation). The leadership´s inherent responsibility is to set out a Business Strategy in which Business Performance is defined: Business Performance must meet or exceed the expectations of the leadership. On the other hand, the bottom-up