What exactly is Corporate Social Responsibility?
Corporate Social Responsibility can be defined as the actions company’s do to ensure they are working in a economic, social and environmentally sustainable manner. Keeping a positive CSR is beneficial for company’s because it gives them a chance to create shared value and it gives them a good brand image. Respecting all applicable laws and international standards, cooperating with other organizations, and performing day-to-day activities in a socially and environmentally responsible way are all things that contribute to a positive CSR.
In George Kell’s blog he is explaining why Corporate Social Responsibility is something that every company must focus on. He is addressing the question of whether CSR is just a passing trend or if it is going to remain instrumental in business as we know it. He believes that “a company’s long-term financial success goes hand in hand with its record on social responsibility, environmental stewardship and corporate ethics.”
I completely agree with what Kell is saying about how a positive Corporate Social Responsibility will be vital to any successful business. A good CSR leads to a better reputation which in turn leads to more customers and increased revenue. Although it may be costly to perform actions that improve CSR in the short run it will be beneficial in the long run for the company’s. Some examples are gas companies increasing oil clean up programs or forestry businesses replanting a tree for every tree they cut down. Consumers pay attention to the ways companies operate and if they see any problems they will move to the nearest competitor. It isn’t just about the customers but about everyone involved in a business like employees, managers, shareholders and anyone else that is affected by the company.
In conclusion, I believe George Kell is right by saying that Corporate Social Responsibility is an emerging component of a successful business and will not be disappearing any time soon. If companies ignore it they will eventually be caught and will be put in a big hole. No company wants to be in the situation where they have to dig themselves out of a hole that may be too deep to get out of. The point is that if companies are willing to make a few sacrifices they will see the benefits of their good decision making
This picture illustrates the care a company needs to put into its own Corporate Social Responsibility.
This picture shows the three aspects of Corporate Social Responsibility
Source(s) Used:
Kell, George. “Five Trends That Show Corporate Responsibility Is Here To Stay.” 3BL Media. N.p., 7 Nov. 2014. Web. 10 Nov. 2014. <http://3blmedia.com/blog/George-Kell/Five-trends-show-corporate-responsibility-here-stay>.
http://3blmedia.com/blog/George-Kell/Five-trends-show-corporate-responsibility-here-stay
“Corporate Social Responsibility.” International.gc.ca. Foreign Affairs, Trade and Development Canada, 10 Oct. 2014. Web. 10 Nov. 2014. <http://www.international.gc.ca/trade-agreements-accords-commerciaux/topics-domaines/other-autre/csr-rse.aspx?lang=eng#CSR>.