Social responsibility is an ethical framework and suggests that an individual has an obligation to cooperate with other people and organizations for the betterment of society in general. Social responsibility is a duty that every individual must fulfil to maintain a balance between the economy and the ecosystem. There may be a trade-off between economic growth in the physical sense and the well-being of society and the environment, although this has been questioned by several reports over the past decade. It concerns not only professional associations, but also all those whose actions have an impact on the environment.
Another example is keeping the exterior free of waste and debris by using an ethical framework that brings together the resources of land managers, communities, nonprofits, educational institutions, businesses, manufacturers and individual volunteers to resolve microplastics in the ocean. This responsibility can be passive, by avoiding participating in socially harmful acts, or by engaging in active activities that directly promote social goals.
What is Corporate Social Responsibility (CSR)?
Corporate Social Responsibility (CSR) is the idea that a company has a responsibility to the surrounding society in accordance with the online course Sustainable Business Strategy.
The exact meaning of “socially responsible” varies from organization to organization.
Organizations are often guided by a concept known as the triple bottom line, which dictates what a company must commit to measuring its social and environmental impact as well as its profits.
The adage “Profit, People, Planet” is often used to summarize the driving force behind the triple bottom line.
Types of Social Responsibility:–
Social responsibility is traditionally divided into four categories: environmental, philanthropic, ethical and economic responsibility.1. Environmental Responsibility
Environmental management refers to the belief that organizations should be as environmentally friendly as possible.
It is one of the most common forms of corporate social responsibility. Some companies use the term “environmental responsibility” to refer to these types of initiatives.
Companies that want to fulfill their environmental responsibility have several options:
Increased reliance on renewable energy, sustainable resources and recycled or partially recycled materials.
Compensation for negative environmental impact; For example planting trees, funding research and donating for related purposes
2. Moral Responsibility
Ethical responsibility is about ensuring that an organization operates fairly and ethically.
Organizations that take ethical responsibility strive to treat all stakeholders fairly, including executives, investors, employees, suppliers and customers.
There are many ways in which companies can fulfill their ethical responsibilities. For example, a company may set its own higher minimum wage if the state or federal minimum wage is not a “living wage.” Similarly, a company may request that products, ingredients, materials or components be sourced by free trade standards. With this in mind, many companies have procedures in place to ensure that they are not buying products made from slavery or child labor.
3. Philanthropic Responsibility
Philanthropic responsibility relates to the company’s objective to actively improve the world and society.
Organizations driven by philanthropic responsibility not only make use as ethical and environmentally friendly as possible, but they often spend part of their profits on it. While many companies donate to charities and nonprofits that align with their governance mission, others donate to worthy causes that are not directly related to their business. Others even go so far as to set up their charitable organization or back a foundation.
4. Financial Responsibility
Financial responsibility is a company’s practice of supporting all of its financial decisions in its commitment to do well in the areas listed above. The primary goal is not only to maximize profits but also to make a positive impact on the environment, people and society.
BENEFITS OF SOCIAL RESPONSIBILITY:–
There are many benefits to being a company that chooses Social Responsibility, such as:
Give a company a competitive advantage
Being a socially responsible company is also a message you can use to position and market your brand.
Attract strong candidates and increase loyalty
The success of your company is greatly influenced by the people who work for you. By consistently offering your employees a socially responsible culture and having a good reputation for it, you can attract and retain the best talent in your company.
Makes your business attractive to investors
Investors generally believe that committing to social change is a great way to set a company up for long-term success.
While a balance needs to be struck between business profitability and a focus on social initiatives, doing business successfully can open up endless opportunities for businesses.
Improving corporate culture
When your employees see social initiatives taking place, they are likely to be more motivated and committed to the company. Giving employees time to support your social initiatives can also build pride, loyalty, and motivation among your team members. This in turn makes everyone more engaged and productive.
Increase customer loyalty and advocacy
Consumers are attracted to companies that have a good reputation for good corporate citizenship. In addition, customer advocacy is essential to attracting new customers. If your loyal customers tell people they know about your product and share positive reviews, they’ll generate more business their way.
ALSO READ
