The Importance Of Corporate Social Responsibility Analysis Essay Example

concerns in their business operations and in their interaction with their stakeholders on a voluntary basis. Why is CSR so important? Most importantly, findings from scientific research are becoming increasingly clear with regard to how CSR is essential for the long-term sustainability of a firm. Firms that blindly and narrowly pursue the profit motive, without concern for the broad spectrum of Stakeholders that are relevant to the long run, are increasingly shown to lack sustainability. But it’s not only important to realize the importance of these groups. Firms must also be able to “connect the dots” and understand how various Stakeholders, and the satisfaction of their needs, represent interrelated challenges. For example, the strategic management of human resources is related to customer satisfaction, and it is essential for firms to attempt to understand and deal with this connection. CSR also important in terms of; Social Media Visibility

One of the reasons that corporations should have CSR is due to importance and prevalence of social media. Corporations that want to protect their brand know that social media is a medium of community perception. When a corporation implements social responsibility in the form of fundraising or programs, social media helps to promote these steps and create a positive perceptions of your brand and it is a great way to deal with your consumers that goes beyond your products.

Public Relations Benefits Public relation is important tool for shaping consumer perception and building a company’s image. Corporations that actively promote their social responsibility activities often take steps to make them widely known through media. For example, corporate donations, employee volunteer programs are a powerful tool that

can build publicity.

Government Relations Corporations that take place on social responsibility typically have an easier when dealing with the politicians and government rules. In contrast, businesses that disregard for social responsibility tend to finding themselves various of inquiries and probes, often brought on at the insistence of public service organizations. The more corporation takes social responsibility seriously, the more positive the public perception.

Positive Workplace Environment Implementing social responsibility in the workplace is good environment for your employees. When employees and management feel that they are working for a company that has a true conscience, they will likely be more enthusiastic to their jobs. This can build a sense of community and teamwork which brings everyone together and leads to happier and as a result, productive employees.

Improving Stock Price Most executives believe that CSR can improve profits. They understand that CSR can promote respect for their company in the marketplace which can result in higher sales, enhance employee loyalty and attract better personnel to the firm. Also, CSR activities focusing on sustainability issues may lower costs and improve efficiencies as well. An added advantage for public companies is that aggressive CSR activities may help them gain a possible listing in the FTSE4Good or Dow Jones Sustainability Indexes, or other similar indices. This may enhance the company’s stock price, making executives’ stock and stock options more profitable and shareholders happier.

Attracts Investors CSR can help companies gain a competitive advantage in attracting investors and offer excellent risk management strategies, say a majority of investor relations professionals at Europe’s leading companies. A new CSR Europe/INSEAD study, carried out in cooperation with

the Investor Relations Society, also suggests that the interest in social and environmental issues has risen significantly over recent years and that investors are beginning to ask more informed and detailed questions about companies’ corporate social responsibility performance.

Public Relations Benefits The Corporate Social Responsibility (CSR) is very important in a firm because it helps in shaping the consumer perception about their product or services. Here, a public relations is a potent tool for shaping consumer perception. It is also helps in building a company’s image. The example for this public relations is the relations between the firm and the media. However, the corporations that actively promote their social responsibility activities often take steps to publicize these efforts through media. There is a powerful branding tool that can build publicity for us in both online and print media, and it can be done by getting the word out about corporate donations, employee volunteer programs, or other Corporate Social Responsibility (CSR). Therefore, CSR is really helpful in improves the public image of the firm through this kind of relations and efforts.

Building a Positive Workplace Environment In other situation, the greatest benefit of promoting social responsibility in the workplace is the positive environment that can be built for the employees. For example, when the employees and the management feel they are working for a company that has a true conscience, they will likely be more enthusiastic and engaged in their jobs. Therefore, this can build a sense of community and teamwork which brings everyone together and leads to happier, more productive employees.

Helps to Cut the Business Costs The Corporate Social Responsibility (CSR)

is helps to cut the business costs. For instance, environmental initiatives such as recycling and conserving energy in-house efficiency and cut costs. Here is the one of the easiest places for a company to start engaging in sustainability is to use it as a way to cut costs. It depends whether using less packaging or less energy, these savings add up quickly.

The Business Benefit Many benefits will be experience by the companies who effectively engage in corporate social responsibility. For example, they enjoy a positive effect on staff retention, recruitment, and motivation. Other than that, they experience increased customer satisfaction and loyalty, particularly when customers buy based on relationship, trust, reputation or brand. Therefore, all of the benefits the companies received are really shows that corporate social responsibility is important to ensure the productivity of that firm.

Showing a True Commitment The most successful corporate social responsibility programs integrate these two types of CSR together to show a true commitment to a cause. For example, a company that uses sustainable materials in their products, donates financial resources to environmental causes, and allows employees to take paid time off for volunteering at environmental charities would be showing a true commitment to the environment that goes beyond any single CSR initiative.

The examples below are about on how large companies have been contributing to the social responsibilities.

Tyson Foods & hunger relief Tyson Foods is a major company exercise its corporate social responsibility efforts to its core mission. Tyson has committed its brand to efforts to relieve and ultimately end childhood hunger, and in the past few years been integrating social media

into its hunger relief efforts. Tyson with the Social Media Club and began a string of extraordinarily smart and effective efforts to enlist the community. For example, it launched a campaign in Austin in which it agreed to donate 100 pounds of chicken to the Capital Area Food Bank of Texas for every comment posted on its blog. They received 658 comments in two hours and loaded up two trucks filled with chicken for the hunger.

Greenopolis & recycling Greenopolis was developed as an educational tool to teach people how to be more environmentally sound as they go about their daily lives. The goals for the Web site are summed up in its tagline: “Learn. Act. Reward. Together.” Greenopolis was created by, and is wholly owned by, Waste Management Recycle America, but operates independently. Last year, Beth said, they took part in a Social Media Breakfast in Houston. Greenopolis has a presence on several social media sites for example, offers a daily look at some interesting metrics (Total tons of WMRA recycled: 5,367,009), offers on-street recycling kiosks and has a rewards program (Think Green Rewards earned: 4,074,988) that lets people cash in points for small items. “You get points for blogging, they use the community to create content and they license their logo to qualifying organizations like the Green Housekeeping seal of approval.