If your existing customers find out the flaws of your products, they are most likely to lose faith in your company. Concept of Corporate Social Responsibility 2. Lets us understand the concept of relative velocity with this example. (4) Science concepts. However, there are some gray areas within CSR activities. Corporate Social Responsibility is a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders. These four … As per section 135 of the Act every company having net worth of Rs 500 crore or more or turnover of Rs 1,000 crore or more or a net profit of Rs 5 crore or more during any financial year will have to spend, in every financial year regularly, at least 2 per cent of the average net profits of the company made during the three immediately preceding years. This website includes study notes, research papers, essays, articles and other allied information submitted by visitors like YOU. Visser (2011, p.1) states that CSR is “the way in which business consistently creates shared value in society through economic development, good governance, stakeholder responsiveness and environmental improvement”; and the European Commission (2011, p.2) defines CSR as “a concept whereby companies integrate social and environmental concerns in their business operations and in their interactions with their stakeholders on a voluntary basis”, … Both concepts are closely inter-related. It's a 2019 model priced at $1.6 million. Disclaimer Copyright, Share Your Knowledge Share Your PPT File. Learn vocabulary, terms, and more with flashcards, games, and other study tools. Browse. Corporate social responsibility (CSR) is a broad business concept. In most examples we have examined so far, this reference frame has been Earth. of the early CSR literatu re evolved around the normative question whether f irms have . Gravity. The emerging concept of CSR goes beyond charity and requires the company to act beyond its legal obligations and to integrate social, environmental and ethical concerns into company’s business process. Here the term ‘net profit’ shall indicate net profit before tax as per book of accounts and shall never include profits earned from branches outside India. Charles Dickens wrote about the effects of the coal economy on … Therefore, there will always be some ambiguity in the concept. It usually describes a company's commitment to carry out their business in an ethical way. Corporate social-Responsibility (CSR) has been made mandatory under Companies Act, 2013 passed in August 2013 which replaced the 57 years old Companies Act, 1956. Corporate social responsibility is a broad concept that can take many forms depending on the company and industry. UNIDO based its CSR programme on the Triple Bottom Line (TBL) Approach, which has proven to be a successful tool for SMEs in the developing countries to assist them in meeting social and environmental standards without compromising their competitiveness. Based on literature, the concept of CSR dilemma will be categorized and discussed in depth. Relative. You are driving east along the highway at 100 km/h. Promoting the uptake of CSR amongst SMEs requires approaches that fit the respective needs and capacities of these businesses, and do not adversely affect their economic viability. Thus, spending on CSR by a company is a simple process of giving back to the society in which it is doing its business activity and making profits for its shareholders sincerely. Create. Moreover the modalities suggest that the companies identified for mandatory CSR spending will have to constitute a CSR Committee of the Board which will include three or more directors along with at least one independent director. Carroll argued that CSR is a continuum of responsibilities to society, Sethi argued that CSR is a relative concept that changes over time Crazy Coffee Corporation decides to survey all of its employees on whether they feel they are making a livable wage. CSR is a concept describing organizations that voluntarily contribute to a cleaner environment and to social prosperity by integrating such non*financial concerns into their business procedures (European Commission, 2001). TOS4. Log in Sign up. The corporate sector has responsibility towards its own business entity, shareholders as well as towards society. Upgrade to remove ads. PLAY. Key CSR issues: environmental management, eco-efficiency, responsible sourcing, stakeholder engagement, labour standards and working conditions, employee and community relations, social equity, gender balance, human rights, good governance, and anti-corruption measures. This counterargument also helps to explain the difficulties in operation-alizing the concept: CSR has to be specified in each company, taking into account its changing environment. Nature of social responsibility CSR is normative in nature. In a nutshell, CSR refers to the moral and ethical obligations of a company with regards to their employees, the environment, their competitors, the economy and a number of other areas of life that its business affects. What are the four basic approaches to social responsibility? Flashcards. 4-1 Relative Velocity in One Dimension Before we generalize to two dimensions, let’s consider a familiar situation involving relative velocity in one dimension. Corporate Social Responsibility is a management concept whereby  companies integrate social and environmental concerns in their business  operations and interactions with their stakeholders. the velocity of the other train appears to be zero. Welcome to EconomicsDiscussion.net! A disc is kept on a smooth horizontal plane with its plane parallel to horizontal plane. Our mission is to provide an online platform to help students to discuss anything and everything about Economics. In present times, the concept is gradually more and more acceptable with changing situations. Soft-law. Introducing Mandatory CSR under Companies Act, 2013 3. This means managing their business processes while taking account of their social, economic and environmental impact, and considering human rights. In this essay we will discuss about Corporate Social Responsibility. Matten & Moon (2004) provides the following “CSR is a cluster concept which overlaps with such concepts as business ethics, corporate philanthropy, corporate citizenship, sustainability, 3 and environmental responsibility. Before publishing your Articles on this site, please read the following pages: 1. institutional pressures, which is clearly not the case However, while the CSR concept still suffers from a in Syria and Lebanon and hence the relegation of the level of abstraction, the stakeholder approach offers a environment to the lowest priority in both contexts. (iv) Reducing child mortality and improving material health; (v) Combating human immune deficiency virus and control acquired immune deficiency syndrome, malaria and- other diseases; (vi) Promoting employment enhancing vocational skills. The first confusion is related to whether an activity comes under CSR or not. Pushback is not new. The Green Paper (EU, 2001: 4) indicated that CSR is “a concept whereby firms decide voluntarily to contribute to a better society and a cleaner environment,” adding that its implementation will be by integrating “social and environmental aspects into business operations and their interaction with stakeholders” (EU, 2001: 6). A groove is mass in the is as shown in the figure. Share Your PDF File After the literature review chapter, the research methodology of the study will be described. Sometimes it is found that the boundary between normal business activities and CSR activities is hazy. The coefficient of friction between mass m and surface of the ground is 2 / 5 and sin θ = 3 / 5.Find the acceleration of mass with respect to the frame of reference of the disc Only $2.99/month. All firms do not follow the same patterns of CSR. Andrew, “Social responsibility may be taken to mean intelligent and objective concern for the welfare of the society.”. Rimac built seven units of the Concept_One, its first car, and one is listed for sale by Manhattan Motorcars. To discuss relative motion in one or more dimensions, we first introduce the concept of reference frame s. When we say an object has a certain velocity, we must state it has a velocity with respect to a given reference frame. Corporate social responsibility (CSR) is a concept which has many interpretations and typically has economic, social and environmental dimensions. After reading this essay you will learn about: 1. Through CSR programs, philanthropy, and … Whether the CSR spending of certain company will be eligible for tax exemptions or not will be depending on the discretions of related tax authorities. Test. It will also earmark the amount of expenditure to be incurred on CSR activities and will also monitor the CSR policy of the company and its implementation regularly. It depends on the demands of society in a specific location and at a given moment, based on its values and expectations. The student is expected to: (B) describe and analyze motion in one dimension using equations with the concepts of distance, displacement, speed, average velocity, instantaneous velocity, and acceleration; CSR may be started as a proactive or reactive. Share Your Word File Corporate responsibility can cut across almost everything your business does. The CSR makes reference to a relative concept; social demands vary in time and space and even within the same group of stakeholders (e.g., employees). (vii) Ensuring environmental sustainability; (viii) Undertaking social business projects; (ix) Contributing towards Prime Minister’s National Relief Fund or any other fund set up and managed by either central government or state government for socio-economic development and relief purposes and also to the funds for the welfare of Scheduled Castes, Scheduled Tribes, other backward classes, minorities and women; and. CSR is generally  understood as being the way through which a company achieves a balance  of economic, environmental and social imperatives (“Triple-Bottom-Line-  Approach”), while at the same time addressing the expectations of  shareholders and stakeholders. It can be framed as a response to the backlash corporations face for a long track record of harming environments and communities in their efforts to be more efficient and profitable. For example, depending on the country where the firm operates, the non-use of child labor may or may not be a CSR action. The draft rules suggest the following activities to be included under CSR: (i) Activities related to eradicating poverty and hunger; (ii) Activities related to promotion of education; (iii) Empowerment of women and promoting gender equality. Thus every corporate unit must have a responsibility for the upliftment of society which is broadly considered as Corporate Social Responsibility (CSR). Corporate engagement with society, also termed corporate social responsibility (CSR), has become a commonly used term in contemporary society and refers to one process by which an organization expresses and develops its ‘corporate culture’ and social consciousness (Rupp et … The second confusion arises in respect of tax implications of the CSR activities. The In 1919, the concept of social responsibilities concept of CSR, particularly in terms of how of a corporation was vaguely framed in moral it relates to other organizational goals, has and macro-social terms such that shareholders been steadily evolving ever since the concept could not see how it served their interest or how was introduced half a century ago. Social responsibility of business indicates norms and obligations of decision making authority to take appropriate actions which can protect and improve the welfare of society as a whole along with protecting the interest of business concern. Log in Sign up. Here CSR reporting will have to be done on an annual basis and that too commencing from the financial year 2014-15. conor-111. Privacy Policy3. We each have a responsibility in moving our agenda forward. Legal but socially irresponsible. These programs center around the idea that businesses can make the world a better place, or at the very least, they can reduce their negative social and environmental footprint on the world. CSR is a relative concept. In the mean time, a number of companies have welcomed the new mandatory CSR Act and they are of the view that this Act will strengthen their CSR initiative and will permit them to continue with such activities genuinely for a longer period. A properly implemented CSR concept can bring along a variety of competitive advantages, such as enhanced access to capital and markets, increased sales and profits, operational cost savings, improved productivity and quality, efficient human resource base, improved brand image and reputation, enhanced customer loyalty, better decision making and risk management processes. Consider two trains moving with same speed and in the same direction. In this sense it is important to draw a  distinction between CSR, which can be a strategic business management  concept, and charity, sponsorships or philanthropy. (x) Any other matter as may be prescribed time to time. It can involve a range of CSR activities, such as: 1. environmental management, eg waste reduction and sustainability 2. responsible sourcing, eg using only fair trade ingredients 3. improvement of working standards and conditions 4. contributing to educational and social programmes 5. employee volunteering 6. socially responsible investment 7. development of employee and community relations Those are a voluntary comprehensive reports involving not only economic data, but also information from environmental and social field. The car in the next lane looks like it is barely moving relative to you, while a car traveling in the opposite direction looks like it is traveling at 200 km/h. CSR in its ideal form focuses managers on demonstrating the social good of their new products and endeavors. Again, the United Nations Industrial Development Organisation (UNIDO) defines Corporate Social Responsibility (CSR) as “a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders”. CSR is a relative concept that depends on stakeholders' socials demands and we must not confuse it with ethics. … Thus CSR is a way through which a company usually attains a balance between economic, social and environmental activities. CSR policies mandate the companies to reveal the shortcomings of their own products in case they are found to violate the CSR program. Search. The student knows and applies the laws governing motion in a variety of situations. Thus social responsibility broadly refers to the obligations and duties of business to the society as a whole. Illegal but socially responsible. Even though the  latter can also make a valuable contribution to poverty reduction, will  directly enhance the reputation of a company and strengthen its brand,  the concept of CSR clearly goes beyond that. CSR is generally understood as being the way through which a company achieves a balance of economic, environmental and social imperatives (“Triple-Bottom-Line- Approach”), while at the same time … Policy makers understand CSR as a concept whereby companies integrate so-cial and environmental concerns in their business operations and in their interactions . CSR, Ethics and Sustainability. CSR reports, respectively triple-bottom-line reports have become tool of communication for Corporate Social Responsibility. So, it can reflect negatively on your sales figures as well. STUDY. Again, the United Nations Industrial Development Organisation (UNIDO) defines Corporate Social Responsibility (CSR) as “a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders”. on the other. According to K.K. This CSR Committee will formulate the CSR policy and recommend to the Board for undertaking activities to be undertaken by the company. 12 The concept has increasingly gained interest among businesses and Governments and other stakeholders and has triggered a Illegal & … Learn. The TBL approach is used as a framework for measuring and reporting corporate performance against economic, social and environmental performance. The concept of CSR initia lly developed in the context of a norm ative debate, as much . CSR is a relative concept. It is not easy to … Activities to be Incorporated. Corporate social responsibility (CSR for short) is the internationally regarded concept for responsible corporate behavior – although it is not clearly defined. CSR is a trend that appeals to change of business orientation from short-term to long-term goals and from maximum to optimum profit. Similarly, arguments are also made against those companies involved in CSR activities on our hand but flouting the norms related to environment, labour welfare etc. Social Responsibility (CSR), the concepts of dilemma and CSR dilemma will be defined with a short review of literature on them. Categories of CSR. "Friends, together, we can achieve a new phase of globalization - one that creates inclusive and sustainable markets, builds development and enhances international cooperation. Legal & socially responsible. Even if both the trains are in motion with respect to buildings, trees along the two sides of the track, yet to the observer of the train, the other train does not seem to be moving at all. Corporate social responsibility, or CSR, is the act of incorporating environmental and social concerns into a company’s planning and operations. Write. CSR is managed, measured and communicated using several soft-law instruments. Spell. Visit http://ilectureonline.com for more math and science lectures! It is an attempt to align private enterprises to the goal of sustainable global development by providing them with a more comprehensive set of working objectives than just profit alone. ", Inclusive and Sustainable Industrial Development, Third Industrial Development Decade for Africa, GMIS - Global Manufacturing & Industrialisation Summit, Upgrading businesses and industrial infrastructure, Supporting small and medium industry clusters, Setting up and supporting export consortia, Competitive trade capacities and corporate responsibility, Corporate social responsibility for market integration, Branding for Competitiveness and Sustainable Growth. Corporate social responsibility (CSR) refers to strategies that companies put into action as part of corporate governance that are designed to ensure the company’s operations are ethical and beneficial for society. The perspective taken is that for an organization to be sustainable, it must be financially secure, minimize (or ideally eliminate) its negative environmental impacts and act in conformity with societal expectations. Content Guidelines 2. Match. Created by. 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