Final Flashcards
is a concept that encompasses transparent, accountable and effective decision- making processes within a system, promoting fairness, participation, and the rule of law to achieve the well being of the stakeholders.
Good Governance
refers to a company’s voluntary actions to address social and environmental impacts beyond legal requirements, often encompassing philanthropy, ethical practices, and community engagements
Corporate Social Responsibility
refers to the processes, policies and procedures that organizations put in place to safeguard their assets, ensure the accuracy of financial information, and promote compliance with laws and regulations.
Internal Control
Is the person responsible for leading and managing the entire organization in achieving its organizational goals.
CEO
It refers to the systematic endeavor to understand moral concepts and justify moral principles and theories. it involves the collection and interpretation of data on what people from various circumstances believe, without consideration of appropriateness or reasonableness.
Ethics
aims to protect investors by requiring more reliable and more accurate corporate disclosures.
SOX Law
is a regulatory body responsible for supervising and overseeing the securities industry in the country. It ensures compliance with securities laws, protects investors, and maintains integrity of the financial markets in the Philippines
Security and Exchange Commission (SEC)-
a legal system that controls and regulates the business activities of a certain country.
Regulation
ensure that the company adheres to legal requirements and industry standards, reducing the risk of legal penalties and damage to the company’s reputation.
Compliance
helps identify and mitigate risks, such as financial mismanagement or data breaches, protecting the economy and its stakeholders
Risk Management
often include provisions to safeguard consumer’s rights, ensuring fair and ethical business practices.
Consumer Protection
promote fair competition by preventing anti-competitive behavior and ensuring a level playing field for all participants in the market.
Fair Competition
Often align corporate actions with the broader public interest, addressing societal concerns and ensuring corporate contributions to the common good.
Public Interest
broad discipline that attempts to address improper attitudes and actions that could be detrimental to the company.
Business Ethics
Are actions of the corporations, as a legal entity, as well as the actions of corporate officers and employees that are contrary to prevailing laws and government regulations.
Illegal Acts
involve behavior that goes against moral principles or accepted standards, even if not necessarily against the law.
Unethical Acts
encompasses the professional interactions and contractual agreements between individuals working for an organization and their employers.
Employee & Employer Relationship-
This outlines the terms and conditions of employment and are negotiated thru the process of collective bargaining where both parties discuss and agree on this terms. Important to maintain peace and assurance that both workers and employers have clear expectations about a working relationship.
Collective Bargaining Agreement (CBA)
sees the workplace as a unified and harmonious entity. Assumes that there is a single source of authority and that conflicts of interest are minimal.
Unitarism
acknowledges that organizations consist of diverse groups with different interests. It assumes that conflicts through negotiation and collective bargaining.
Pluralism
views that employment relationship has an inherent conflict of interest between owners and the working class. Employers are using the employees for gaining profit.
Marxism
is a foundation of modern internal controls and fraud deterrence. This framework has been used to guide and help develop other existing compliance frameworks.
COSO Framework
they express opinion on truthfulness of the financial statements of the company. They focus on the fairness of corporate financial statements insofar as adherence to applicable accounting standards are concerned.
External Auditors
involves in the interactions and communications between a business and its customers. It encompasses customer service, support, feedback mechanisms and efforts to build positive relationships with consumers.
Consumer Relation
is often referred to as a process, strategy, or software/technology that enables organizations to manage relationships with their customers, vendors, and suppliers.
Consumer Relationship Management (CRM)
refers to the interactions and connections a business has with the local community. This involves social responsibility, corporate philanthropy, and efforts to contribute positively to the community.
Community Relation
is about ensuring long-term business success while contributing towards economic and social development, a healthy environment and a stable society.
Sustainability
is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.
Sustainable Development
The organization hold it as social responsibility to uphold human rights by ensuring employees rights are protected, diversity are respected and all forms of discrimination is eliminated in compliance with International Human Rights Law.
Human Rights
Job creation, payment of wages, payment of compensation and benefits for work performed are among an organization’s social and
economic responsibility.
Labor Practices
Organizations are expected to make meaningful contribution to the community which they operate by guaranteeing employment and a healthy society that improves the quality of life of the population.
Community Involvement & Development
HR should initiate or support the development or upgrade of the mission, vision and values foundation if one does not exist or does not address CSR.
Mission, Vision & CSR Strategy
promoting diversity and inclusion within the workplace reflects positively on CSR, demonstrating a commitment to social values and equal opportunity.
Diversity & Inclusion initiatives
ensuring fair and ethical recruitment practices align with CSR goals, demonstrating a commitment to treating employees and candidates with integrity and respect.
Ethical Hiring Practices
Investing in employee development not only enhances skills but also demonstrates a commitment to the well-being and growth of employees, aligning with CSR practices.
Orientation, Training and Competency Development
HR should put in place policies that guarantee
equality, well-being and fair payment. Employees should also be rewarded for adhering to sustainable and socially responsible business practices.
Rewards & Compensation
HR should be at the fore-front of transmitting the culture of sustainability of Parent companies in developed economies to Multi-National Companies in emerging economies in their engagement with employees and other internal and external stakeholders.
Change Management & Corporate Culture
encouraging employees to participate in volunteer activities contributes to CSR by addressing community needs and fostering a sense of social responsibility among staff.
Employee Volunteering Programs
HR is also in a position to drive policy development and program implementation in HR areas that directly support CSR values, like: Wellness, Diversity, Work-life Balance and Flextime Policies.
CSR Policy & Program Development-
It is an idea that a corporation is not a single entity but rather a complex web/ network of contracts among various parties that include shareholders, employees, creditors, suppliers and other stakeholders.
Nexus of Contract Approach
This highlights the idea that in some industries or organizations, the production process is a collaborative effort of multiple individuals or teams.
Team Production Model
The organization use to empower their employees with decision-making authority within certain parameters
The Operational Discretion Model
This typically involves a commitment to social and political progress thru policies that address inequality, promote inclusive and prioritize environmental sustainability.
The Progressive View
Is a legal principle that protects corporate directors and officers from personal liability for decisions made in good faith and in the best interests of the company.
The Business Judgement Rule
Socially responsible practices can enhance company’s reputation, attract customers and positive business environment.
Economic Impact
Investing in social & environmental initiatives can build trust with consumers, investors and communities, potentially leading to enhanced brand loyalty and financial performance over time.
Long Term Value
They argue that businesses have a responsibility beyond profit- making and should actively contribute to societal well being by addressing environmental concerns, supporting communities and promoting ethical business practices.
Ethical Considerations
While some argue that socially responsible initiatives may involve additional costs, other contend that the long-term benefits, such as improved reputation and customer loyalty, outweigh the initial investments
Costs & Benefits
In regions where there are legal requirements related to social and environmental practices, companies may engage in CSR to meet these obligations and avoid legal issues.
Regulatory Compliance
A growing perspective is that businesses should engage with a broader range of stakeholders, including customers, employees and communities.
Stakeholders Engagement
