Strategic Management- A New Perspective!!!

Because of the uncertainty surrounding the nature of CSR activity, it is difficult to define CSR and to be certain about any such activity. There are three basic principles which together comprise all CSR activity. 1.Sustainability: If the resources are utilized in the present, then they are no longer available for use in the future. This is particularly pertaining to those resources which are finite in nature. Measures of sustainability would consider the rate at which resources are consumed by the organization in relation to the rate at which the resources could be generated. 2.Accountability: Accountability is concerned with the organizations realization that its action affects the external environment therefore assuming responsibility for the effects of its actions. It implies that the organization is a part of wider societal network and has responsibilities to the entire network rather than just to the owners of the organization. 3. Transparency It means that the external impact o

In a global perspective Corporate Social Responsibility is a relationship between Global corporations, government of countries and individual citizens. More locally Corporate Social responsibility is concerned with the relationship between a corporation, the local society in which it resides or operates and its other stakeholders. An exact definition of CSR is difficult since beliefs and attitude regarding the nature of this association fluctuate with the relevant issues of the day. This raises the question as to what exactly can be considered as Corporate Social Responsibility. Niall Fitzerland Former CEO, Unilever says, "Corporate social responsibility is a hard-edged business decision. Not because it is a nice thing to do or because people are forcing us to do it... because it is good for our business" According to Sunil Misser, Head of Global Sustainability Practice, PwC, "Corporate social responsibility is not just about managing, reducing and avoiding risk, it is

There is no one right integrity strategy. Factors such as management personality, company history, culture, lines of business, and industry regulations must be taken into account when shaping an appropriate set of values and designing an implementation program. Still, several features are common to efforts that have achieved some success: 1. The guiding values and commitments make sense and are clearly communicated. They reflect important organizational obligations and widely shared aspirations that appeal to the organization’s members. 2. Company leaders are personally committed, credible, and willing to take action on the values they espouse. They are not mere mouthpieces. They are willing to scrutinize their own decisions. Consistency on the part of leadership is key. 3. The espoused values are integrated into the normal channels of management decision making and are reflected in the organization’s critical activities: . The development of plans, the setting of goals, the searc

Many managers think of ethics as a question of personal scruples, a confidential matter between individuals and their consciences these executives are quick to describe any wrongdoing as an isolated incident, the work of a rogue employee. The thought that the company could bear any responsibility for an individual’s misdeeds never enters their minds. Ethics, after all, has nothing to do with management. In fact, ethics has everything to do with management. Rarely do the character flaws of a lone actor fully explain corporate misconduct. More typically, unethical business practice involves the tacit, if not explicit, cooperation of others and reflects the values, attitudes, beliefs, language, and behavioral patterns that define an organization’s operating culture. Ethics, then, is as much an organizational as a personal issue. Managers who fail to provide proper leadership and to institute systems that facilitate ethical conduct share responsibility with those who conce

Key Elements for Successful Development of Corporate Values. 1) SELF ASSESSMENT : The organization analyses its structure, the corporate culture and the business environment to identify potential risks and determine levels of responsibility. 2) COMMITMENT FROM THE TOP: To be successful in the long term, any values initiative needs the explicit commitment of the most senior levels of management. 3) CODE OF ETHICS: There should be a document which includes a general statement on corporate principles and specific rules of behavior making explicit what employees need to do - and should not do - to implement them. 4) COMMUNICATION: A two-way communication process must be in place to transmit to all organizational members the company's philosophy and core values. 5) TRAINING: To enable all organizational members to understand, share and apply the values state

Recent business scandals have shaken public confidence in corporate world. The Satyam scandal of falsified accounts and Lehman brothers collapse has placed such unethical behavior front and centre by the media. Such scandals may have exacerbated events such as 26/11, the economic downturn causing investors to abandon the stock market in search of investment opportunities. In the aftermath of these acts the business community should be rethinking its responsibilities to various public concerned in the operations. For Example “A new Guide from Non government Profit business for social responsibility out lies how ethical behavior should be embedded in company’s operation. Thus the Public is focused now more than ever on what firms is saying about “Corporate Social Responsibility” CSR describes the relationship between business and society. An exact definition of CSR is difficult since beliefs and attitude regarding the nature of this association fluctuate with the relevant issues of the