486G!

http://www2.macleans.ca/2009/06/18/jantzi-macleans-50-most-socially-responsible-corporations/43/

Now here is a real, breathing, money making, and socially responsible corporation.  Suncor Energy Inc. makes money, and stays competitive by practicing traditional energy harvesting methods (mainly the harvest of the Albertan oil sands). Additionally, Suncor’s has a strong reputation as an ecologically focused organization, however, this green giant is not afraid to make a profit.

As recently as November, Suncor recorded a 14% rise in net income, $929 million (Cdn.), and Suncor actually legitimately contributes to helping not only the environment, but also the impoverished native community. And, converse to Friedman’s ideas about illegitimate social responsibility, it’s not afraid to hide it’s intents on making a profit.

How can this be viewed as environmentally friendly?

Suncor’s primary focus are the Albertan oil sands, and oil fields abroad, however, their focus in the environmental comes from a mixture of traditional energy combined with cutting edge clean energy. They currently produce 200 million litres of ethanol (corn fuel), and are currently involved in a wind turbine operation which produces 147 megawatts.  No small amount when one realizes that is more power than the average Boeing 747’s power consumption, and just below the peak power consumption of a Nimitz class aircraft carrier.

Suncor also seems to gain from hiring untapped talent from Canada’s Aboriginal community. By doing so, they help bring money to the impoverished native communities, and in turn, find environmentally conscious and talented workers, free of competition among hiring employers.

While Friedman argues that a socially responsible corporation spends their money at the cost of the employee, likening it to a tax on the employee’s salary of which they have no choice but to abide by, one could also argue that the strong reputation of a company which is socially responsible would attract like minded employees who are willing to sacrifice a small amount of pay for the company’s social beliefs.

As for the shareholders, they too are aware of a company’s beliefs, and should expect the company to focus on it’s social endeavors.  Furthermore, in today’s world, shareholders should be encouraging their companies to become more socially aware, and especially more environmentally aware as the wave of social activism sweeps the minds of the public and carries on to the markets.

There is profit to be made being socially responsible, whether or not it is ethical to pursue such social values purely for profit is another issue. As for now, Suncor is one company which defies Friedman’s arguments that social responsibility is merely a guise which strips the unwilling employee of his or her money.

Tags:   milton friedman · social responsibility · suncorNo Comments