Embed Doc
Copy Link
Readcast
Collections

CommentGo Back

Download

CORPORATE THAT CARE

– Corporate Social Responsibilities.By

Prof. Moloy Ghoshal, MBA,PhD(Pu)

This

research paper titled “

Corporate That Care-corporate social responsibilities”

hasbeen published by

Shiva Institute of Management Studies, Ghaziabad

on it’s esteemed journal “ International Journal of Management & Sciences vol-2, No-1,July-2006”.

ABSTRACT

: Corporate in India, just like any where in the world are striving toimprove their image of business through exercising social responsibilities. Theobjective behind the endeavor is to create an image that they are in the society not just to operate business and earn profit but to become a good corporate citizen . Now a days CSR( Corporate Social Responsibilities) is not a mere philanthropy but become an integral part of strategy. Corporate houses in India has realized that tosustain the success in business, investment in social welfare is no longer anexpenditure but a road map to reach into the heart of consumers. It’s became anestablished fact that corporates that exercising their responsibilities towards societyare harvesting a higher returns on a long term basis. Corporates body like TATA,ONGC, BIRLA, NTPC have already established an example in practicing CSR, and built up an image of friend of society in the mind of our citizens.The present article will through light upon various aspects of social responsibility and it’s implication towards the long term survival of companies.

1.Introduction:

1.1

What is CSR

?The question of social responsibility of business has been controversial, at least forsome times. To look at the social responsibility of business in specific terms, oneneeds to recognize the fact that different sections of society- shareholders, employees,

2consumers, government and the society as a whole-are associated with business indifferent ways, some directly and some indirectly and the interest of different sectionsare affected by the business decisions and activities in different ways and differentmeasures. There fore we can say that the question whether business have socialresponsibilities to fulfill is an ethical one and the answer to an ethical question is amatter of opinion and the individual perception about an ethical issue.Ethical problems are truly managerial dilemma, because they represent a conflictbetween an organisation’s economics performance and it’s social performance or wecan say obligations to business. Unfortunately, the dilemma of management is thatthese obligations are costly. It is possible of course to ignore the balance betweeneconomic and social performance and to argue that the managerial dilemma does notexist. Ethical issues are complex as well as interesting. Let us first understand whatdoes it mean by CSR-

Corporate social responsibility (

CSR

) is the alignment of business operation withsocial welfare. It takes into account the interests of stakeholders in the company’sbusiness policies and actions

.It can also be define as, ‘

commitment of business to contribute on a sustainableeconomic development, welfare of employees and their families, the local communityand society as a whole, to improve their quality of life by providing different amenities like hospital, school etc’.

So we can say CSR is the manner, a company operate it’s business which meets orexceed the ethical, legal, commercial and public expectation that society has from thecompany.

1.2 Areas to franchise CSR:

Environment and Ecology

: the exhaust from a diesel engine contains approximately900 chemical compounds. Most of these compounds have been identified but theenvironment effects of only a few of these compounds have been studied and it hasbeen found that some of these compounds have very negative impact on the road sidevegetation.Now here comes the ethical dilemma. The companies manufacturing diesel enginehave two alternatives, either to stop production, which result increase inunemployment and decrease in economic development or they can develop a catalyticconverter to reduce or eliminate the harmful compound and then raise their price,which leads them out of the competition from market. Here comes the role of government to establish a regulatory body which will determine an industrial widestandard so that all producers will compete with the same cost and price structure. Thecompanies should also follow the principle of

4Rs

(reduction in waste, reuse, recycleand recovery) to manage waste of water, energy and other scare resources.In

China

organic waste from thousands of small straw pulp mills is used asagricultural fertilizer.In

Kalundborg

, Denmark, a coal-fired power station, an oil refinery , a plastic boardfactory, a pharmaceutical plant and the municipality have created an ‘industrialsymbiosis’ by exploiting each other’s waste streams.

Health and well beings

: good health is the most precious wealth of human being andwe should ensure that. Generally what we found that temperature, humidity, noiselevels are too high; ventilation and lighting may be too low and dust and fumes arestill found in most of the heavy and small manufacturing plants, like innumerablenumber of sponge iron factories in West-Bengal, the stone crashing mines of Rajasthan , the tanneries of Kanpur and Kolkata to name a few.