The introduction of corporate social responsibility (CSR) has significantly impacted the business world. For this reason, the given paper is devoted to the in-depth and comprehensive investigation of this practice, its influence of the modern society, and the future implementation of CSR regarding the development of companies and their growing power. Today, there are multiple definitions of the term corporate social responsibility because of the wide scope of practices and regulations in encompasses.
However, one of the most generalised ones states that CSR is a self-regulating business model focused on the achievement of the high levels of social accountability involving the main stakeholders, and the public (Beal 2013). In some cases, it can also be called corporate citizenship to emphasise its focus on the cultivation of humanistic and socially acceptable values.
It is assumed that the given framework is the only possible option for corporations and organisations to remain in contact with people who are the main value of the contemporary world. The practice helps to cultivate the environment beneficial for the successful development of both companies and individuals who are affected by these agents work (Sultan 2017).
In the course of the investigation, a conclusion is formulated that CRS correlates with the modern principles cultivated by humanists and new tendencies in the organisational behaviour that are focused on the cooperation at all levels of companies functioning. In such a way, the discussed self-regulation mechanism can be considered a perfect option for all companies regardless of their nature, a sphere of activity, and the situation at the market.
The beginning of the 20th century can be characterised by the rapid rise of small and big business. The development of technologies along with the emergence of new opportunities to earn money served as the stimuli for the emergence of new business ventures and their gradual transformation into one of the most powerful social institutions. Today, business can be considered the fundament of the world as it impacts all spheres of our activity and generates a significant profit for millions of people across the globe (Haski-Leventhal 2018). However, the development of this sphere turned out to be a two-edged weapon as multiple ethical concerns emerged. Trying to earn more, individuals ignored ethical issues and harm they did to the environment. As the response to these actions, CRS appeared.
The initial idea of the suggested framework was to minimise the harm done to the society and environment by the unwise and unethical actions of corporations that had acquired enormous power and impacted all spheres of human activity. The company that adheres to this model demonstrates its sensuousness about the impact it promotes on the environment, society, economy, and peoples lives; in the broader sense, all companies that utilise the CSR approach work to improve the state of aspects mentioned above and cultivate a new world free from the negative impact of corporations (Haski-Leventhal 2018).
One of the key factors preconditioning the success of this organisational policy is its integration into the existing business model and consideration by all stakeholders that can affect the results and alter the course to avoid serious complications.
CSRs Current Role in Organisations
In modern organisations, CSR is becoming one of the integral parts of their functioning. For instance, the number of companies that adhere to the given practice increases every year and the majority of corporations in developed countries reconsider their work with the primary aim to implement the basic assumptions of the given model and ensure minimisation of the negative impact of their work along with the cultivation of the new environment.
The most important spheres of organisations are affected by the CSR paradigm. For instance, it presupposes drastic alterations in accounting and communication to attain better results and improve cooperation with local communities and representatives of various classes (Chandler 2016).
It focuses on corporate accountability which is the approach that includes reporting the firms activities for the formulation of appropriate socially relevant behaviour that is needed to avoid deterioration of the financial state of the society (Chandler 2016). It also presupposes better salaries to achieve the balance between taxation, sponsoring, and income (Chandler & Werther 2013). There are many other areas where CRS is implemented. However, the main idea is that there is an obvious need to spread the approach and make it the basis of a new sort of relations.
The idea of CSR is closely related to social conscience. It is defined as a particular paradigm of responsibility or awareness of the problems and injustices that can be observed in society (Chandler 2014). At the same time, it is closely related to the moral conduct of people in their day-to-day activities. Thus, CSR also has the moral basis that is demanded to implement particular protocols needed to avoid the rise of injustice and provide support to people and actors who might need it. The modern giant corporations, as one of the central actors preconditioning the evolution of the business world and the society, become responsible for the empowerment of social justice.
For instance, Google launched a campaign to help people with Ebola, saying that every $2 from donations made at the website will be devoted to this issue (Data-driven, human-focused philanthropy—powered by Google n.d.). In such a way, corporations can cultivate certain behavioural patterns and models in their employees and, at the same time, introduce practices promoting the increased attention to existing problems and elimination of the pernicious impact of previous business activities or unethical actions that are dangerous to the environment or peoples personal and professional development.
The idea of social conscience goes along with basic ethical principles that are cultivated in the comprehensive society. Today, humanism and respect of peoples basic rights are considered two fundamentals that should direct the functioning of all organisations, actors, and impact their course. CRS also emphasises the outstanding significance of ethics and its integration with modern corporations. In accordance with the paradigm offered by this model, the work of the company should be ethical which means that it should encompass such pillars of the business world as honesty, integrity, trustworthiness, loyalty, fairness, and respect (Fleming & Jones 2013).
Only companies that promote the implementation of these principles can also have high levels of corporate social responsibility and remain in the direct connection with communities surrounding them (Chandler 2014). At the same time, the necessity of ethical concerns consideration is evidenced by the fact that agents adhering to these principles are appraised by the society and face fewer negative claims in the course of their development.
Impact on the Business World
Another positive side of CSR is its beneficial impact on the modern business world and cultivation of innovative ways to work with communities, and people who are affected by organisations in the process of their development. In accordance with the existing reports, numerous positive shifts have been observed since the wide implementation of the paradigm in relations between giant corporations and populations regarding various spheres of these actors activities (Elving 2012).
At the same time, the use of CSR can also be considered one of the factors that have a positive effect on the work of companies. Reports admit a minimal 5% rise in incomes of companies that implement the given approach in their functioning. It can be explained by several aspects (Fordyce & van Ryn 2014). First, better relations with the society help to initiate projects that are supported by influential actors and provide high incomes. Second, new projects regarding CSR can also generate revenue from a long-term perspective. In this regard, the new paradigm is the aspect promoting the rise and development of the business world along with its becoming more ethical and focused on peoples needs and their interests.
Individuals and Organisational Behaviour
CSR cannot be discussed separately from the concept of organisational behaviour also playing a critical role in the functioning of organisations. It can be determined as a specific code of conduct and a set of recommendations to employees and managers regarding the staffs actions in various situations occurring in the process of companies evolution (Chandler 2014). Comparing the definition of CSR (see in the introductory paragraph) and organisational behaviour, one notices similarities between these two terms.
They both are applied to employees and central stakeholders of companies to achieve a particular goal and reconsider the functioning from old to innovative models. In such a way, there is a direct correlation between these two notions (David, Kline & Dai 2005).
The successful integration of the framework that presupposes social responsibility should be proceeded by the creation of the code of conduct introducing a new organisational behaviour that will help to prepare workers for their new functions and explain the necessity of new values cultivation to achieve high levels of social justice and ensure that the new paradigm will be successfully implemented. In such a way, CSR positively impacts the organisational behaviour and preconditions the emergence of positive alterations in all stakeholders motifs and actions.
Peter Frenchs View
The idea discussed above also correlates with Peter Frenchs view. In his article, the author suggested to model that presupposes moral personhood for companies that serve as the embodiment of the existing values and bear fully-fledged responsibility for their actions (French 1979). That is why they can be taken as metaphysical persons that possess particular duties and obligations to the community in which they exist (French 1979).
The given perspective perfectly describes the central idea of CSR and the way it is implemented in the modern environment. The introduction of particular responsibility for all actions regardless of their nature coincides with the assumptions of the discussed model and can serve as one of the central factors triggering change and promoting the growth of the new society focused on the cultivation of new approaches and values. In such a way, Frenchs idea can be taken as the central one for the successful integration of CSR with the modern business world and its further evolution in the way that presupposes wise actions performed by corporations that want to remain in contact with communities and create the basis for their growth.
Future of CSR
The discussion of CSR and its role in the sphere of business reveals several facts. First of all, the given approach preconditions the emergence of multiple positive changes in the structure of modern corporations. The adherence to this idea means involvement of all stakeholders that should reconsider their actions to remain in touch with the society. Second, a new format of companies become appraised by communities and other potent actors as they have a positive impact on the environment and empower local communities. For this reason, the further development and continuous integration of off CSR cannot be doubted.
The shift of priorities towards the humanistic values and need for attention to the environment create the basis for the blistering rise of this approach. In future, it will become the inevitable part of the business world because of the critical need for interactions between all actors to eliminate social injustice and promote the development of companies and communities affected by their work (Schwartz 2011). That is why corporate social responsibility can be considered the future of the business world and the only possible option of the further rise of corporations.
Altogether, CSR can be considered one of the integral parts of the modern world that depends heavily on corporations and business. The empowerment of these agents cannot but trigger the radical alteration of the society; however, to ensure that only positive shifts will occur, it is critical to reconsider the work of organisations in accordance with the central principles of CSR presupposing the focus on social justice, cultivation of humanistic values, better cooperation with local agents, and care for the environment. This option becomes the only possible variant of the business spheres development as companies are responsible for all their actions and should embody the moral values that are needed for the future successful cooperation and growth.
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