Common Types of Corporate Social Responsibility Actions
There are many aspects of corporate social responsibility; whether a company decides to develop one area of CSR, or multiple, the end result is a more profitable company experiencing a higher level of employee engagement. The following is a list of common ways corporate social responsibility is implemented by organizations.
The environmental dimension of corporate social responsibility refers to your business’s impact on the environment. The goal, as a socially responsible company, is to engage in business practices that benefit the environment. For example, you might choose to use recycled materials in your packaging or ad renewable energy sources like solar power to your factory.
• Conserve environmental resources by incorporating environmental protection and rehabilitation during the planning stage and project implementation.
• Strictly comply with standards set by the government on environmental laws, rules and regulations in order to minimize environmental disturbance if not to totally eliminate.
• Support and actively participate with any research work conducted by any agency for thee diverse stewardship of flora and fauna in the locality.
The social dimension of corporate responsibility involves the relationship between your business and society as a whole. When addressing the social dimension, you should aim to use your business to benefit society as a whole. This could involve sourcing fair trade products, for example, or agreeing to pay your employees a livable wage. It could also involve taking on endeavors that benefit society, for instance using your resources to organize charitable fundraisers. Corporate philanthropy often takes the form of investments in the community. Common examples of corporate philanthropy include supporting or fully funding educational initiatives, scholarship programs and community beautification projects. The underlying thought is that the community offers a support system to the corporation that goes beyond mere staffing. By investing in the community, the corporation improves its own support system and enhances the loyalty of its workforce. Corporate philanthropy also serves as a signal to consumers that the business views itself as part of a social fabric, rather than viewing the public as nothing more than a revenue source.
Perform aggressive but prudent exploration, extraction, and utilization of the available mineral resources with considerations and respect to the culture and heritage of the local communities
The economic dimension refers to the effect that corporate social responsibility has on the finances of your company. In an ideal world, where corporate social responsibility had no costs, there would be no reason to limit it. But in the real world it is important to recognize the financial impact that these actions have and to balance being a good corporate citizen with making a profit. Fiscal responsibility also means using the most efficient procedures to minimize wasted capital. This can translate to anything from new equipment or manufacturing processes to using software that streamlines data processing.
Provide superior returns for the community and shareholders in a socially and environmentally responsible manner.
The stakeholders are all of the people affected by your company’s actions. These include employees, suppliers and members of the public. When considering the stakeholder dimension of corporate social responsibility, consider how your business decisions affect these groups. For example, you might be able to increase your output by having employees work more, but you should consider the impact it will have on them, not just your bottom line.
Actions that fall into the voluntariness dimension are those that you are not required to do. These actions are based in what your company believes is the correct thing to do. They may be based in specific ethical values that your company holds. For example, you may believe that using organic products is the right thing to do even if you are not required to do so.
It is expected that companies will be run within the legal guidelines set forth by the federal or state government or by a specific industry itself. Within the free trade market in the United States as well as on a global scale, companies are encouraged to make a profit, but they must follow regulations while doing so. These regulations include everything from their products meeting all health and safety standards to the legally required fair treatment of employees. Companies must earn their money within legal means, following all laws and guidelines.