Business Models & Social Responsibility
Business ethics has historically been considered an important element of good business operations. However, in the 21st century business environment, integrity and ethical accountability with customers, suppliers, employees and communities is of equal importance to profits for shareholders. Corporate social responsibility (CSR) is the prominent name for the business ideology that combines traditional ethics with increased expectations for social and environmental accountability.
Other People Are Reading
-
Leaders with Integrity
-
Having business leaders with integrity is an important consideration for organizations that want to adhere to CSR requirements. Integrity is still the foundation of the evolution of CSR. Business strategist Robert Moment in his WebProNews article "The 7 Principles of Business Integrity" notes that companies must prove themselves trustworthy to build long-lasting relationships with key customers. Leaders establish a culture of ethics in their organizations, which ideally trickles down to other managers and employees.
Community Involvement
-
Moment explains that a main way in which CSR expands basic business ethics is with its core requirement of community involvement. Companies must balance the desires of shareholders to profit with society's expectations for responsible social behavior. This means getting involved in community activities and becoming active community citizens. It also means giving back to the communities you profit from through employee volunteer programs and financial support of charitable organizations and community projects.
-
Employee Programs
-
Respectful and motivating management of employees is another core requirement of CSR, according to the As You Sow Foundation. This includes allowing employees to participate in decision-making activities within their departments and in the organization. It also means leaders establish equal employment opportunities and develop a non-discriminatory work culture. Diversity is a benefit to 21st century organizations, but this requires training and a systematic culture of acceptance, openness and cooperation with others.
Environmental Programs
-
Environmental accountability is one of the most prominent components of CSR. As You Sow highlights guidelines of environmental friendliness within CSR. They include basic commitment to environmental preservation, along with established green-friendly operations with recycling programs, natural resources utilization efficiency and reduction of waste, and employee awareness seminars and training. Some companies have built their brand images through innovative programs that help the environment. Others have simply caught on with government regulations and environmental groups that demand certain levels of environmental responsibility for 21st century companies.
-
