POINTS FOR DISCUSSION

 Introduction to CSR
 Definition and idea behind CSR
 Benefits of CSR
 Current CSR practices of firms
 INTRODUCTION

 In the 1970s and 80s environmental concerns such as loss of the rainforest
and the effects of pollution led to a recognition that something had to be
done to change the way we were using the planet resources.
 As a result, heads of state came together at Rio, Brazil in 1992 for what
was called the Earth Summit.
 At Rio, governments pledged action to stop the unsustainable use of
resources and to promote sustainable development.
 Put simply, sustainable development is about society growing in such a
way that future generations are not compromised and have access to the
same resources that we have.
 CONTD..

 The 1990s saw social concerns come to the fore. Poverty and disease
became global concerns, as did examples of poor business practice in
dealing with social issues such as child labour, bribery and corruption
that were exposed by the media.
 Society began to recognize that governments alone could not solve these
problems.
 There appeared to be a role for everyone – governments to provide fair
and socially just laws, business to behave responsibly and consumers to
think about their actions by reducing waste or asking questions about
how and where their goods came from.
 Thus giving way to the idea of CSR practices. CSR is now sometimes
considered as the business response to the challenge of sustainable
development.
DEFINITION AND IDEA BEHIND CSR

Corporate social responsibility (CSR)

can be simply and broadly defined as the
ethical role of the corporation in society.
The genesis of CSR lies in the ethics of
business. What the public thinks of your
company is critical to its success. By
building a positive image that you
believe in, you can make a name for your
company as being socially conscious.
 Corporate social responsibility (CSR) is also often referred to as business responsibility
and an organization's action on environmental, ethical, social and economic issues.
 CSR simply as ensuring that your business is aware of its impacts, is accountable for its
actions, and that it undertakes these actions in a responsible manner. 
 CSR can be described as an approach by which a company does the following:
• Recognizes that its activities have a wider impact on the society in which it
operates, and that developments in society in turn impact on its ability to pursue its
business sustainably.
• Actively manages the economic, social, environmental and human rights impact
of its activities both locally and across the world.
• Seeks to achieve these benefits by working closely with other groups and
organizations – local communities, civil society groups, other businesses and home
and host governments.
COMPONENTS OF CSR

Social responsibility identifies the impact of the company’s

business and actions on the society as a whole. It assumes that
the company has a responsibility not just to its stakeholders, but
to the entirety of the society. Companies must be committed to
the values of the society, they must be contributors to the
environment and they must contribute to the economic and
social goals of society -- people, planet, profits.
Economic
Corporate stakeholders expect companies to make a profit. In the past, profit maximization
was at the top of a company’s goals. Now, however, contributing to the society as a whole
encourages stakeholder and customer loyalty -- and increases profits. In the pursuit of
maintaining competitive advantage in their market and industry, companies must at the same
time seek to exploit efficiencies to eliminate waste.
Ethical
Companies must respect the society's values and norms and operate consistently with the
society’s expectations. Companies must recognize new ethical movements that the society
adopts. Corporate goals must never overshadow the society’s ethical principles. Legal
compliance is not enough, however. Corporations must act fairly, morally and respectfully.
Legal
In the legal component of social responsibility, companies must work within the law and the
government. Companies must be aware of all local, state and federal regulations. Managers
must stay current on legal issues so they can adapt operating procedures to comply with new
laws. Goods producted must not harm consumers and must meet or exceed product safety
requirements.
Discretionary
Companies must be philanthropic. Philanthropy can include charitable donations, fundraising,
encouraging the staff to volunteer or adopting special projects. Fine arts and performing arts
contributions are options for philanthropy. Public and private school assistance shows the
company’s dedication to students and education. Projects that enhance the quality of life for
the residents of a community show the company’s commitment to the society's quality of life.
BENEFITS OF CSR
.
Benefits of corporate social investment for businesses:

 better brand recognition

 positive business reputation
 increased sales and customer loyalty
 operational costs savings
 better financial performance
 greater ability to attract talent and retain staff
 organizational growth
 easier access to capital
 CURRENT CSR PRACTICES OF FIRMS
1. Ford Motor Company

Ford plans to reduce their greenhouse gas emissions using their EcoBoost engine to
increase fuel efficiency. It also plans to introduce 40 electrified vehicles (electric and
hybrid) by 2022, in an investment of $11 billion. According to Ford: “We’re all in on this
and we’re taking our mainstream vehicles, our most iconic vehicles, and we’re electrifying
them. If we want to be successful with electrification, we have to do it with vehicles that
are already popular.”
In addition, American Ford dealerships rely on wind sail and solar PV systems to power
their locations greatly reducing their use of electricity.
2. Google
Google is trusted not only for its environmentally friendly initiatives but also due to their
outspoken CEO Sundar Pichai. He stands up against social issues including President
Donald Trump’s anti-Muslim comments. Google also earned RI’s highest CSR score much
in part due to their data center using 50% less energy than others in the world. They also
have committed over $1 billion to renewable energy projects and enable other businesses to
reduce their environmental impact through services such as Gmail.
3. Netflix

From a social perspective, companies such as Netflix and Spotify offer benefits to support
their employees and families. Netflix offers 52 weeks of paid parental leave, which can be
taken at any time whether it is the first year of the child's life or another time that suits their
needs. This compares to 18 weeks at other tech companies.

4. Pfizer

Pfizer uses the term corporate citizenship to coin their CSR initiatives and believes it is a
core part of their company and 'simply how they do business'. Across the globe, the company
drives initiatives that raise awareness for non-infectious diseases as well as providing
healthcare for women and children who otherwise would not have the care they need. One
example of this is the reduction in the price of their Pevenar 13 vaccines (for pneumonia, ear
and blood infections) for those in need and in situations such as refugees and emergency
settings.
5. Starbucks

With an eye to hiring, Starbucks is looking to

diversify their workforce and provide
opportunities for certain cohorts. By 2025 it has
pledged to hire 25,000 veterans by 2025 as part of
their socially responsible efforts. This hiring
initiative will also look to hire more younger
people with the aim of "helping jump-start careers
by giving them their first job'. While globally the
company has joined with the UN Refugee Agency
to scale up the company’s support and efforts to
reach refugee candidates to hire 10,000 refugees
by 2022.
6. TOMS

TOMS mission is to donate a pair of shoes for every pair they sell and has resulted in the
donation of over 60 million pairs of shoes to children in need. Profits are used to assist the
visually-impaired by providing prescription glasses and medical treatments, provide'safe'
drinking water and build businesses in developing countries to create jobs. They are also
strong anti-bullying advocates and work with several non-governmental organizations and
nonprofits to set examples of ethical behavior
Thank You!

Presented by (Group 5)
IFLAH IMTIYAZ
IMRAN KHAN
IRFAN HAIDAR
JATIN SETHI
KANCHAN SINGH