Saturday, September 15, 2012

Corporate Social Responsibility

The basic idea of Corporate Social Responsibility (CSR) is to meet their goals while they take on social responsibilities, like intergrating human rights, inveronmental concerns and ethnical rights. The point is to prevent negative impacts and enhance the positives, all by incorporating appropriate decisions, for example dealing with suppliers and business partners who do the same.

CSR is a common objective for businesses because of various reasons. The positive aattitude toward the environment and public and its influences make a company more valuable. The workers will have better attitude to their employer and will be proud to work for company like that. More job applications means more choices, and that gives more opportunity for the good workers. The customers will be more satisfied, since the staff is welcoming and willing to assist. The customers will be then more likely to come back for your product. Satisfied employees and satisfied customers go hand in hand. As a result, the company doesn't have to waste as much money for advertisments since it hase positive reviews and undergoes free mouth marketing. Hence it receives more opportunities. If everything goes according to plans, these points will be achieved, not even mentioning the right choices themselves which in fact, cause the positive influences. CSR Is a long term objective and therefore it has a future.

An example of a sucessful CSR is Häagen-Dazs® that spreads awarness about honey bees. This well known ice cream and sorbet company created a microsite that raises awarness about decreasing population of honey bees. They highlight the importance of bees by stating facst, for example that they pillinate one thirs of food. the "little heroes buzzing". Hangen-Dazs also gives part of profit from the honeybee brand to reasearch this topic and started a Twitcause campaign rasing thousands of dollars in couple of days. This company in not sucessful only because it makes good icecream, but because it has a good name for good qality and keeping everyone satisfied.
























An example of a CSR fail is Puma's failure to keep business running with suppliers that do not violate human rights. As an aftermath of the controversal Taiway case, when Puma's long time suppliers violated human rights, Chinese Labor Watch (CLW) reported the same problem with company's other supplier, Surpassing. CLW wrote on their website that they appreciate Puma's improvement with Taiway, yet the contrasting situation in Surpassing couldn't get unnoticed. Six to over tenthousand laborers (depending on season) were stepped on and faced horrible treatment. Abuse of workers included 12 hour working shifts, payment 0.64 USD per hour, fine of 43.35 USD in case worker rejects to work over time three times, poor food condition (insets found in food), poor dormitory conditions (garbage in the hallways, up to 80 men sharing bathroom), high risk work conditions, and made it difficult for workers to quit their job.
Considering that Taiway controversy was dealt with only after CLW reported the issue even when it was well-known before and that Surpassing followed the same path proved that Puma is not socially responsible and cannot present itself as a CSR.



No comments:

Post a Comment