Being ethical
; doing what is right, just, and fair; avoiding harm. Legal Responsibilities. Obeying the law; playing by the rules of the game.
Corporate social responsibility is traditionally broken into four categories:
environmental, philanthropic, ethical, and economic responsibility
.
There are four kinds of social responsibility:
legal, ethical, economic and philanthropic
. Legal dimension of CSR relates to compliance with laws and regulations established by the authorities, which set standards for responsible behavior – the codification of what society thinks is right or wrong.
Explain the four dimensions of social responsibility.
Economic (being profitable), legal (obeying the law), ethical (doing what is right, just, and fair)
, and voluntary (being a good corporate citizen).
17. The dimension of social responsibility that includes charitable donations is
corporate social initiatives
.
Understanding Social Responsibility
This idea suggests that social responsibility has two basic dimensions:
legality and responsibility
.
- Accountability.
- Transparency.
- Ethical behavior.
- Respect for stakeholder interests.
- Respect for the rule of law.
- Respect for international norms of behavior.
- Respect for human rights.
- Reducing carbon footprints.
- Improving labor policies.
- Participating in fairtrade.
- Diversity, equity and inclusion.
- Charitable global giving.
- Community and virtual volunteering.
- Corporate policies that benefit the environment.
- Socially and environmentally conscious investments.
What are the six main characteristics of CSR?
The six core characteristics of CSR follows as the features which shows how CSR is represented with different initiatives and processes ranging from
voluntary activities, managing external factors, stakeholder management, alignment of social and economic responsibilities, considering practices and values and finally
…
there are three concepts of social responsibility:
(1) profit responsibility, (2) stakeholder responsibility, and (3) societal responsibility
. holds that companies have a simple duty: to maximize profits for their owners or stockholders.
Stakeholder responsibility is the driving consideration across the four dimensions of corporate social responsibility:
economic, legal, ethical, and philanthropic
. For-profit firms have a responsibility to their stakeholders to be profitable. Without profits, a business cannot survive.
Arguments for increased social responsibility: …
By helping resolve social issues, business can create a more stable environment for long-term profitability
. 4. Socially responsible decision-making by firms can prevent increased government intervention, which would force businesses to do what they fail to do voluntarily.
To which of the following forms of business can the concept of “social responsibility be applied:
Any form of business
, from sole proprietorships to large corporations.
The biggest difference between CSR for large businesses and SMBs is
that reputation typically has less of an effect
. A large company can lose 20% of their stock value overnight if a negativity story affects their reputation. On top of customers, CSR also applies to shareholders that an SMB wouldn’t answer to.
What are compliance based ethics?
A compliance-based code of ethics is
developed to ensure that the business and its employees comply with all laws and regulations in an appropriate manner
. Three key elements include the prevention, detection and punishment of non-compliant behavior. … Compliance-based codes have an emphasis on not violating laws.
What are the six steps to follow in establishing an effective ethics program in a business?
- Establish an enforceable code of conduct.
- Initial and ongoing training.
- Regular communications.
- Anonymous reporting hotline.
- Enforcement/Action.
- Rewarding employees that live the culture.
