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2014 | OriginalPaper | Buchkapitel

6. Corporate Social Responsibility: Can Companies Make a Difference?

verfasst von : Shashank Shah, V. E. Ramamoorthy

Erschienen in: Soulful Corporations

Verlag: Springer India

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Abstract

Corporate Social Responsibility (CSR) is variously known as Society and Business, Social Issues Management, Public Policy and Business, Stakeholder Management, Corporate Accountability, Corporate Citizenship, Corporate Sustainability and so on. It defies exact definition since there are widely varying beliefs and perceptions on what corporate enterprises owe to the society and stakeholders. Votaw (1972) observed:

Corporate Social Responsibility means something but not always the same thing to everybody. To some it conveys the idea of legal responsibility or liability; to others it means socially responsible behaviour in the ethical sense; to still others the meaning transmitted is that of ‘responsible for’ in a causal mode; many simply equate it with a charitable contribution; some take it to mean socially conscious; many of those who embrace it more formally see it as a mere synonym for legitimacy in the context of belonging or being proper or valid; a few see a sort of fiduciary duty imposing higher standards of behaviour on businessmen than on citizens at large.

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Vorheriges Kapitel Business Responsibility Through the Ages: A Journey from Scriptural Insights, with Noble Philanthropists, to Committed Institutions and Leaders

Nächstes Kapitel Corporate Social Responsibility: The Indian Story Comes a Full Circle

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Ferrel, O.C. and Fraedrich, J. (1997), Business Ethics, Boston: Hongldon Miflin.

Kok P.T., V.D. Weile, R. McKenna, and A. Brown (2001), ‘A Corporate Social Responsibility Audit within a Quality Management Framework’, Journal of Business Ethics, Vol. 31(4), pp. 285–297.

Lal Bahadur Shastri (1904–1966) was the second Prime Minister of independent India. Though diminutive in physical stature, he was a man of great courage and will. He successfully led India during the 1965 war against Pakistan. His slogan of ‘Jai Jawan Jai Kisan’ (Hail the soldier, Hail the farmer) became very popular during the war and was oft quoted in later times. He also played a key role in India’s freedom struggle. He led his life with great simplicity and honesty and was a great source of inspiration for all the countrymen. Though he had been a cabinet minister in the central government for more than a decade, he died a poor man. At the time of his death, all he owned was an old car, which he had bought in instalments from the government and for which he still owed money. He was a member of the Servants of India Society which asked all its members to shun accumulation of private property and remain in public life as servants of people. He lived by these ideals till the very end. He was the first railway minister who resigned from office following a major train accident as he considered it to be his moral responsibility.

Corporate Social Responsibility: Perceptions of Indian Business, Centre for Social Markets, New Delhi, July 2001.

The current Prime Minister of India, Dr. Manmohan Singh, is a world-renowned economist, known for his role as the Finance Minister of India in 1991, when he introduced policy reforms leading to liberalisation, privatisation and globalisation of the Indian economy.

World Business Council for Sustainable Development, Corporate Social Responsibility: Making Good Business Sense, WBCSD, Geneva, 2000.

European Commission’s Green Paper for Promoting a European Framework for Corporate Social Responsibility, Brussels, 2001.

Carroll, A. (1991), ‘The Pyramid of Corporate Social Responsibility: Toward the Moral Management of Organizational Stakeholders’, Business Horizons, Vol. 34(4), pp. 39–48.

Drucker, P.E. (1954), The Practice of Management, New York: Harper & Row Publishers.

Frederick, W. C. (1978), ‘From CSR1 to CSR2: The Maturing of Business and Society Thought’, Working Paper No. 279, Graduate School of Business, University of Pittsburgh.

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Mitchell, N. T. (1989), The Generous Corporations: A Political analysis of Economic power, New Haven CT: Yale University Press.

Friedman, M. (1970), ‘The Social Responsibility of Business is to Increase its Profits’, New York Times Magazine, September 13, 1970.

Carroll A.B. and Davis K. (1973), ‘The Case For and Against Business Assumptions of Social Responsibilities’, Academy of Management Journal, Vol. 16, pp. 312–321.

Quinn, D and Jones, T. (1995), ‘An agent morality view of business policy’, Academy of Management Review, Vol. 20 (1), pp. 22–42.

Steiner, G. A. (1971), Business and Society, New York: Random House.

Eels, R. and Walton, C. (1974), Conceptual Foundations of Business, Homewood, IL: Richard D. Irwin.

Vaughn, Susan (1997), ‘Firms Find Long-term Rewards in Doing Good’, Los Angeles Times, November 3, 1997, pp. 13–14.

Porter, Michael and Kramer, Mark (2006), ‘Strategy and Society: The Link Between Competitive Advantage and Corporate Social Responsibility’, Harvard Business Review, Vol. 84(12), pp. 76–92.

Zadek, Simon (2001), The Civil Corporation: The New Economy of Corporate Citizenship, London: Earthscan.

Keys, Tracey, Malnight, Thomas W. and Kees van der Graf (2009), ‘Making the Most of Corporate Social Responsibility’, McKinsey Quarterly, December 2009 Issue.

Elisabeth, Garriga and Domenec, Mele (2004), ‘Corporate Social Responsibility Theories: Mapping the Territory’, Journal of Business Ethics, Vol. 53, pp. 51–71.

Prahalad, C.K. and Hammond, A. (2002), ‘Serving the World’s Poor Profitably’, Harvard Business Review, Vol. 80(9), pp. 48–58.

e-Choupal, an initiative of ITC Ltd., directly links with rural farmers via the internet for procurement of agricultural and aquaculture products such as wheat, rice, pulses, soya, maize, spices, coffee and aqua products. The reverse flow carried FMCG, durables, automotives and banking services back to villages. This unique and first of its kind initiative was conceived to tackle the challenges posed by the unique features of Indian agriculture such as weak infrastructure, involvement of numerous intermediaries and fragmented farms. Through the e-Choupal projects, computers with Internet access were installed in rural areas of India to provide latest marketing and agricultural information to farmers. By November 2012, 4 million farmers used 6,500 e-Choupal hubs across 40,000 villages in 10 states of India by adopting best practices and matching up to food safety norms. e-Choupal was cited in the Government of India’s Economic Survey of 2006–2007, for its transformational impact on rural lives.

The biggest innovation spearheaded by EID Parry was for the 100,000 sugarcane farmers associated with it. The company introduced complete IT-enabled services for farmers such as Remote Sensing, Geographic Information System and Global Positioning System for mapping and monitoring sugarcane growing area. Village-wise soil nutrient analysis, detailed farm boundary mapping, integration with Cane Management System and soil maps ensured efficient cane management. The company also introduced the Namadhu Parry Maiyam, a concept where a local entrepreneur (usually a sugarcane farmer) was trained to become a Namadhu Parry Maiyam operator. The company extended interest free loans to these operators for buying high-end farm equipment, which could then be hired out to small farmers who were unable to afford such sophisticated equipment.

Bhagwan Mahaveer Viklang Sahayata Samiti (BMVSS), Jaipur was set up in 1975, as an NGO, for helping the physically challenged, particularly the financially weak. It is the largest organisation in the world for the handicapped in terms of fitment of artificial limbs and calipers to the handicapped. It provides all the artificial limbs; calipers; crutches; ambulatory aids like wheelchairs, hand-paddled tricycles and other aids; and appliances totally free of charge to the physically challenged. Founded by Devendra Raj Mehta, BMVSS designed the prosthetic leg, popularly known as the Jaipur foot, which was designed to be inexpensive, quick to fit and manufacture and to be water resistant. By March 2011, BMVSS provided over 393,267 artificial limbs and 333,213 calipers, besides many other initiatives.

Details on HUL’s health and hygiene-related initiative called the Lifebuoy Swasthya Chetana Yojana have been provided in Chap. 10.

Prahalad C.K. (2006), The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits, Wharton School Publishing.

Varadarajan, P.R. and Menon, A. (1988), ‘Cause-Related Marketing Strategy and Corporate Philanthropy’, Journal of Marketing, Vol. 52(3).

Wartick, S.L. and Rude, R.E. (1986), ‘Issues Management: Corporate Fad or Corporate Function’, California Management Review, Vol. 29(1), pp. 124–132.

Preston, L.E. and Post, J.E. (1975), Private Management and Public Policy: The Principle of Public Responsibility, New York: Prentice Hall.

Kaptein, M. and Van Tulder, R. (2003), ‘Toward Effective Stakeholder Dialogue’, Business and Society Review, Vol.108 (Summer), pp. 203–225.

Juran, J (1988), Juran on Planning for Quality, New York: The Free Press, McMillan.

Milier Merle (1973), Plain Speaking: An Oral Biography of Harry S. Truman, New York: Berkley.

Caulkin, S. (2002), ‘Good Thinking, Bad Practice’, The Observer, April 7, 2002.

Wilson, D. (2002), ‘The Juvenile Posturing is for Punks’, The Guardian, January 16, 2002.

The Confederation of British Industry came out with an interim report, ‘A New Look at the Responsibilities of the British Public Company’, for discussion. Shell UK Ltd. gave an account of its ethical stance in its publication, ’Towards a New Management Philosophy’. The concepts of ‘Social Contract’ and ‘Social Audit’ have also been discussed at different platforms in the UK.

Rayes, Iris M. (2002), ’Corporate Social Responsibility’, Business World, Manila, April 30, 2002.

Fil Alfonso, Executive Director, RVR Centre for Corporate Responsibility, Asian Institute of Management.

Irving Wallace, Chairman, British Telecoms, Business in the Community, London, 1997.

Jenny Dawkins and Stewart Louis (2003), ‘CSR in Stakeholder Expectations and Their Implications for Corporate Strategy’, Journal of Business Ethics, Vol. 44 (2/3), pp. 185–193.

Presided over by Charles, the Prince of Wales, BITC is a non-profit organisation and a business-led charity focused on promoting responsible business practice, which was founded in 1982. It has a membership of over 850 companies, and 10, 700 companies are engaged in its campaigns globally. BITC members help transform communities by tackling key social and environmental issues. Its vision is to ensure that every business acts responsibly to ensure a sustainable future for all.

Account Ability is a leading global organisation providing innovative solutions to the most critical challenges in corporate responsibility and sustainable d3evelopment. Since 1995, it has assisted and guided corporations, non-profits and governments embed ethical, environmental, social and governance accountability into their organisational DNA. It caters to the Financial Services, Pharmaceuticals, Energy and Extractives, Telecommunications, Consumer Goods and Food and Beverages industries and operates across North America, European Union, Latin America, Middle East, Southern Africa and the developing world. At the core of its work is the AA1000 Series of Standards based on the principles of inclusivity, materiality and responsiveness.

BSR works with its global network of nearly 300 member companies to build a just and sustainable world. From its offices in Asia, Europe and North and South America, it develops sustainable business strategies and solutions through consulting, research and cross-sector collaboration.

IBLF is an independent, global members organisation of over 150 leading multinational companies, working across the sectors of business, governments and civil society, focusing on critical sustainability, growth and leadership issues. Since 1990, IBLF has focused on the themes of business leadership and corporate responsibility, working directly with CEO and board level executives to drive change across their companies and networks. Headquartered in London, and originally founded by the Prince of Wales and late Robert Davies, IBLF is supported by a network of over 150 companies from Europe, America and Asia and more than 200 partners and affiliated organisations worldwide.

Levy, Raymond (1999), Give and Take—A Candid Account of Corporate Philanthropy, Boston: Harvard Business School Press.

Burke, Lee and Logsdon, Jeanne (1996), ‘How Corporate Responsibility Pays Off’, Long Range Planning, Vol.29 (4), pp. 498–502.

3M pioneered the concept of pollution prevention with the creation of the Pollution Prevention Pays (3P) programme in 1975. The 3P programme is based on the premise that pollution prevention is more environmentally effective, technically sound and economical than conventional pollution control equipment. It seeks to eliminate pollution at the source through product reformulation, process modification, equipment redesign and the recycling and reuse of waste materials. Between 1975 and 2009, the programme had prevented 2.9 billion pounds of pollutants and saved more than US$ 1.2 billion worldwide.

Director, Center for Sustainability Management and Social Entrepreneurship, NIMIMS, Mumbai.

Bonini, Sheila, Koller, Timothy M. and Mirvis, Philip H. (2009), ‘Valuing Social Responsibility Programs’, McKinsey on Finance, Number 32, Summer 2009.

Bonini, Sheila, Brun, Noemie and Rosenthall, Michelle (2009), ‘Valuing corporate social responsibility’, McKinsey Global Survey Results.

CSR Professionals are senior corporate executives with dedicated responsibilities for managing Corporate Citizenship issues and staff in the areas of community and public affairs, communications and reporting and environmental health and safety.

Prahalad, C.K. (2006) Fortune at the Bottom of the Pyramid, Pearson Prentice Hall.

Bonini, S., Koller, T. M., & Mirvis, P. H. (2009b). Valuing social responsibility programs. McKinsey on Finance, 32(Summer), 11–18.

Burke, L., & Logsdon, J. (1996). How corporate responsibility pays off. Long Range Planning, 29(4), 498–502.CrossRef

Carroll, A. B. (1991). The pyramid of corporate social responsibility: Toward the moral management of organizational stakeholders. Business Horizons, 34(4), 39–48.CrossRef

Caulkin, S. (2002, April 7). Good thinking, bad practice. The Observer.

Drucker, P. F. (1954). The practice of management. New York: Harper & Row Publishers.

Eels, R., & Walton, C. (1974). Conceptual foundations of business. Homewood: Richard D. Irwin.

Ferrel, O. C., & Fraedrich, J. (1997). Business ethics. Boston: Hongldon Miflin.

Friedman, M. (1970, September 13). The social responsibility of business is to increase its profits. New York Times Magazine.

Galliara, M. (2012, November 2). Measurement of CSR: Tools and Techniques. Workshop on corporate social responsibility, Conducted by the Bombay Chamber of Commerce and Industry in collaboration with NMIMS and Hindustan Petroleum Corporation Ltd., Mumbai.

Jenny, D., & Stewart, L. (2003). CSR in stakeholder expectations and their implications for corporate strategy. Journal of Business Ethics, 44(2/3), 185–193.

Juran, J. (1988). Juran on planning for quality. New York: The Free Press, McMillan.

Kaptein, M., & Van Tulder, R. (2003). Toward effective stakeholder dialogue. Business and Society Review, 108, 203–225.CrossRef

Keys, T., Malnight, T. W., & Kees van der Graf. (2009). Making the most of corporate social responsibility. McKinsey Quarterly, December 2009 Issue.

Kok, P. T., Weile, V. D., Mc Kenna, R., & Brown, A. (2001). A corporate social responsibility audit within a quality management framework. Journal of Business Ethics, 31(4), 285–297.CrossRef

Kolb, R. W. (2007). Encyclopedia of business ethics and society. Los Angeles: Sage Publications.

Milier, M. (1973). Plain speaking: An oral biography of Harry S. Truman. New York: Berkley.

Mitchell, N. T. (1989). The generous corporations: A political analysis of economic power. New Haven: Yale University Press.

Porter, M., & Kramer, M. (2006). Strategy and society: The link between competitive advantage and corporate social responsibility. Harvard Business Review, 84(12), 76–92.

Prahlad, C. K., & Hammond, A. (2002). Serving the world’s poor profitably. Harvard Business Review, 80(9), 48–58.

Preston, L. E., & Post, J. E. (1975). Private management and public policy: The principle of public responsibility. New York: Prentice Hall.

Quinn, D., & Jones, T. (1995). An agent morality view of business policy. Academy of Management Review, 20(1), 22–42.

Steiner, G. A. (1971). Business and society. New York: Random House.

Varadarajan, P. R., & Menon, A. (1988). Cause-related marketing strategy and corporate philanthropy. Journal of Marketing, 52(3), 58–74.CrossRef

Vaughn, S. (1997, November 3). Firms find long-term rewards in doing good. Los Angeles Times, 13–14.

Votaw, D. (1972). Genius became rare: A comment on the doctrine of social responsibility. California Management Review, 15(2), 25–31.CrossRef

Wartick, S. L., & Rude, R. E. (1986). Issues management: Corporate fad or corporate function. California Management Review, 29(1), 124–132.CrossRef

Wilson, D. (2002, January 16). The Juvenile posturing is for punks. The Guardian.

Zadek, S. (2001). The civil corporation: The new economy of corporate citizenship. London: Earthscan.

Titel: Corporate Social Responsibility: Can Companies Make a Difference?
verfasst von: Shashank Shah
V. E. Ramamoorthy
Verlag: Springer India
Buch: Soulful Corporations
Print ISBN: 978-81-322-1274-4

Electronic ISBN: 978-81-322-1275-1

Copyright-Jahr: 2014
DOI: https://doi.org/10.1007/978-81-322-1275-1_6

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