The recent credit crash has clearly shown that economies with the goal of thinking different are likely to last. The globalisation of markets has shown a strong impact. If it is not distinguished, Jack Trout claims that brands are gone and companies should make sure that customers know that they are different, making them more lucrative eventually. Now, it is widely believed that strategies would succeed as a result of the intention to practise the Blue-Ocean strategy as detailed by W. Chan Kim and Renee Mauborgne and, in the long run, the rest will have difficult time surviving in the already Red Sea. C K Prahalad is an eye-opener for large corporations that indicates that poverty might become opportunity in his classic “the fortune at the bottom of the pyladi: eradication of poverty by profit.” The Secretary-General of the United Nations Kofi Anan advocated a compact principle which stated that there should be four fundamental pillars to concentrate world survival – human rights, labour rights, environmental protection and initiatives to combat corruption.
The perspective clearly illuminates one of the most forward-looking weapons for business strategies. These arms are the social duty of corporations (CSR). Let’s visit this gold mine briefly before embarking on the strategy. There has been a large number of meanings outlined for CSR, but let us see the etymological meaning of the word “business” before looking at the definition or strategic placement of CSR. The word business has Latin origins, like many contemporary words in English. It is derived from two Latin words, cum and Panis, meaning ‘breaking bread together’ as Arndt put it. The initial concept of an organisation therefore has a communal or social connotation.
The etymology of the term “business” is important here because, as correctly suggested by the terms “company,” “social” and “responsibility,” CSR encompasses the responsibility that businesses or companies have for their communities and companies. From a realistic viewpoint, CSR includes an organisation that recognises its stakeholder groups in a plan and everyday decision-making process and integrates their needs and values. Their importance and perception are influenced by the development of culture, nations and shifts in their knowledge of the cultural heritage and history. The layman is not just reflecting the passing of time in their influence and transformation. The CSR concepts are clarified in Mahbub ul Huq that the fundamental aim of business growth is primarily to increase customer choices, while the development goal is to encourage a world that enables people to enjoy a long, safe and creative life; CSR combines both. By placing a 3D view of social, public and corporate cooperation for safe and meaningful business development, Saxena & Gupta have put another interesting dimension on CSR.
Practitioners also associate CSR with philanthropy, while others equate it with the promotional policy of companies. You need a long-term strategy to do the exercise. It must be clear that the most successful corporations have a strategy at all times. You know where you want the organisation to be in one, three and five years. You know how many customers you have, how many workers and what services you provide. They have a mission and a strategy to do so. CSR is a strategy that makes sure you plan for your progress and develop a roadmap.
Any company’s aim is, by definition, to make profit. It’s not good or bad in itself – it’s a fact. A fully integrated CSR strategy is a long-term plan which can add value to the efforts of all companies and go even further to improve the CSR investment’s brand equity, credibility and financial returns. Furthermore, CSR can be a strategic instrument to promote the active participation of the private sector in production. This development process can enhance society per capita spending, creating new business opportunities, synergies and private-public partnerships and linking consumers, suppliers, stakeholders and communities to a common value chain.
The following description can be considered acceptable on the basis of the above theoretical discussion. ‘To contribute to the sustainable development of stakeholders on the supply chain in the best interests of society, industry and the environment, proactive business practises are set out by ethical principles.’
There should be no doubt that the first and defining step in the personality creation of an organisation is corporate identity. We must not lose sight of the fact that CSR’s performance is not new to the world but is perhaps overlooked by many because its practise was not aimed at business targets or was performed in an unplanned way. The following company discipline should be incorporated into the culture and processes of the enterprise to ensure that companies can reach this objective.
Managers should exercise the position of responsible corporate citizenship to demonstrate leadership. This means that managers must retain discipline in the company in order to ensure optimal treatment to workers and to ensure socially responsible retail products and services.
Organizations with good representatives have always been interested in citizen-friendly programmes with the intent of providing socially beneficial goods and services. This is possible if the leader is geared to the vision and purpose of the organisation. Steve jobs can possibly be considered the most successful company leader in recent years, and is known as the most successful businessman of 2007 in the Computer and Entertainer industry. One of its features was to keep staff and customers highly happy by guaranteeing top-of-the-range goods and services.
Convenient, contemporary and related strategies should be sought for the globalisation of cultures in a multi-stakeholder setting in a bid to achieve economic growth and company accountability. This calls for an integrated approach, aimed not just at stakeholders but also at the nation in its entirety.It was already clear to multinationals and transnationals that developing strategies aimed at mere company growth without solving country-specific problems would trigger concerns not only to the company but also to the country and to all business-related groups. As a result of the crunch in the United States the effect of the lack of international recognition is vivid. However, it does also become a reality in the global village, where global recruiting, cultural exchange and effective indigenous practises are incorporated into global practises. This is also the answer to globalisation of a local issue that eventually helps to create a global solution package. ‘There is a widening potential to localise and add social, financial and cultural ethics to the products, and the more responsive businesses know that,’ This declaration has already been made in fora representing multinational enterprises.
Risk management by a constructive approach to sensitive issues. This ensures the long-term, risk-averse and reactive strategic strategy, thus ensuring that the entire gain is not the share. The plan must include long-term strategic benefit.
CSR is like a heating air ball, and before the launch it takes a long time to plan. With a well formed root, a tree grows stronger. Only healthy soil, diligent fertilisation, irrigation, and time will do this. Long-term companies are likely not only to take into account a profit motive with a skimming strategy, but to remain onto the market with a view to capturing the cordial share. Therefore, this particular approach contributes to an inclusive strategy.
Management should enhance partnerships with governments, companies, civil society and other parties concerned. There is a partnership solution to ensure not only social contact, but a win-win plan that serves external partners.
The world of business is highly competitive and sensitive to rapid changes while civil society and the government in particular are sluggish. It is therefore necessary for them to work together to ensure that they benefit from each other. Who should lead? The question is. Response is simple; someone more quickly should pull, not drive, someone important. Participating in public sector training programmes is likely not only to adjust the office’s mental structure, but to help strengthen public-private partnerships.
The staff must share best practises and education. Improving quality should be the focus of information communication in the company which will contribute to improving national standards with a view to informing society about good practises.
The greatest tool in ensuring that successful victory and people’s mind shift towards development is clear, full and succinct customer training. This is where the majority of ads collapse and you can stand up to the crowd head and shoulders. Tell the whole thing. Tell it. Don’t make people try to find out for themselves why they should do business with ethical organisations. Simple sense forever