globalization
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Globalization. Sustainability. CSR. - PowerPoint PPT PresentationTRANSCRIPT
Globalization
Sustainability CSR
T. L. Ceranic
T. L. Ceranic
“Business has become, in the last half century, the most powerful institution on the planet. The dominant institution in any society needs to take responsibility for the whole…Every
decision that is made, every action that is taken, must be viewed in light of that kind of
responsibility.”-D.C. Korten
Iron Law of Responsibility:
In the long run, those who do not use power in ways society considers responsible will lose
T. L. Ceranic
T. L. Ceranic
CSR vs. Citizenship
Corporations should be held accountable for any actions that affect people, their communities, and the environment: Academic
The corporation recaptures its rightful place in society, next to other “citizens” with whom the corporation forms a community: Practitioner-driven
T. L. Ceranic
Legal requirements vs. CSR/CC
Laws and regulations are enacted to ensure socially responsible conduct by business
Businesses that comply with the laws are meeting MINIMUM levels of CSR
CSR is bringing corporate behavior up to a level where it is in congruence with currently prevailing social norms
T. L. Ceranic
Roots of CSR
Turn of 20th century Corporations were being accused of being too big, powerful, anticompetitive, and antisocialCarnegie/Ford/RockefellerShift in 1920s again
•Community Chest movement
CSR pyramid
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What about Corporate Responsibility?
approach to Corporate Responsibility
Ethics Policy & Code
Ethical Values underpin….
CSR Programme
doing things ethically doing ethical things
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Forms of CSR
Stewardship Principle: TimberlandCharity PrincipleShareholder view
CSR: All grown up
Multiple stakeholder view!
Philanthropy and community involvement: Sophisticated partnerships
Social auditing
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Current hallmarks of CSR
Rapid development
Gradual regulatory support
Growing corporate enthusiasm, right?
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Who cares?
Stakeholders! Especially in a down economy: consumers =
risk averse
Risk averse consumers are 50 percent more likely to agree that companies have a duty to
be socially responsible and support the communities in which they operate
(Microfinance Monitor: September 21, 2011)
T. L. Ceranic
Companies spend millions of dollars every year on corporate social responsibility; they invest in
programs to support local communities, give away products to support people in need, invest in clean technology to lower their environmental footprint, donate money from sales, and engage their employees in nonprofit work. But many are
mismanaging their CSR investments.
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CSR Sweet Spot
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Triple bottom line
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Companies need to reassess how to spend their money if they want to improve their return on
investment.
“You don’t do CSR for the sake of CSR. You do CSR as part of your reputation management strategy to drive business growth, customer
loyalty, and employee alignment.”
Only a few companies get it right.
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How to enact CSR/CC
Social performance audits
•Benchmarks: mission statement + other organizations
•Global benchmarks are available
Social/environmental reports
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Who’s best @ CSR?
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T. L. Ceranic
T. L. Ceranic
T. L. Ceranic
T. L. Ceranic
# 6-10
Daimler (Mercedes-Benz) Volkswagen Sony Colgate-Palmolive LEGO Group
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Who do you see doing a good job with CSR?
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CSR as for-profit foundation
Should consumers have to do something for the CSR to happen?
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Does it matter why they do it?
T. L. Ceranic