- Management for sustainability
Environment
Global Warming
A fairly recent increase in the temperature of
earth’s lower atmosphere (the air we breathe), as well as in the
land and water that make up the Earth’s surface.
Environment
preservation of environmental
resources and biodiversity, creation of sustainable access to safe
Social
Examines the ways in which natural
resources, education, skills and social institutions build human quality of life
Economic
refers to an economy’s ability to
create and maintain economic conditions that foster current
economic health and long-term economic development- also
referred to as sustainable development
Corporate Social Responsibility
A form of corporate self-regulation that builds sustainability and public interest into business decision making and activities
View
The classical view
Managements only responsibility is to maximise profits and operate the business in the best interests of the shareholders alone.
When managers spend the organizations resources for the “social good” they are unnecessarily adding to the cost of doing business
Corporate socially responsibility should contribute to maximising organizational profits for shareholders.
The greatest importance is profits. Little attention to social responsibility. Obstructionists engage in unethical and sometimes illegal actions in order to hide socially irresponsible behaviour.
The Obstructionist View
The Defensive Approach
companies only engage in CSR practices which are legally required and enforceable. A company will only comply with the minimal legal requirements.
The socioeonomic view
Companies have a responsibility to the larger society that allows them to operate with in it.
Companies have a responsibility to the consumers who support them by purchasing their products and services.
Companies that only focus on maximising short-run profits may face long term financial consequences.
The Accommodative Approach
The organization is positive in its view of social responsibility. Managers go beyond legal responsibility to address those areas they feel are important from an ethical standpoint.
The Proactive Approach
Setting the highest industry standard possible. A company is actively engaged and integrates socially responsible behaviour in all aspects of the business.