Workplace - Corporate Social Responsibility

Question 1

Corporate Social Responsibility (CSR)

Answer 1

Strategic goals achieved through local community relationships around social needs and issues. Looking beyond traditional profit measures of revenue and expenses.

Question 2

Evolution of CSR

Answer 2

1. CSR includes a broader range of a decision on a broader field of stakeholders
2. Attention to CSR has moved from the corporate periphery to center stage
3. Integrated into the orgz mission and core business strategies

Question 3

Triple Bottom Line

Answer 3

A term coined by John Elkington–Applies the 3Ps principle of sustainability (people, planet, profits), arguing that the environmental, social costs and benefits generated by an orgz should be considered as well.

Question 4

Triple Bottom Line as Sustainability Tool

Answer 4

Economic-Profit
Environmental-Planet

Social-People

The 3P can be viewed as the performance measurement of an orgz pursuing a strategy of CSR, its goal, then, is to achieve a + ROI in each area.

Question 5

Social Audit Areas of Examination

Answer 5

1. Ethics
2. Staffing
3. Environment
4. Human Rights
5. Community
6. Society
7. Compliance

Question 6

Forces Shaping CSR (Technology)

Answer 6

1. Corporate actions are immediately known worldwide

2. CSR is readily measurable and understandable

Question 7

Forces Shaping CSR (Environmental Concerns)

Answer 7

1. Increased government regulations and requirements

2. Increased economic return on sustainability

Question 8

Forces Shaping CSR (Economic Pressures)

Answer 8

1. Bigger payback potential for sustainability efforts

2. Enhanced value of CSR to EEs

Question 9

Forces Shaping CSR (Sociopolitical Forces)

Answer 9

1. Increased pressures from civil and social rights group

2. Evolving environmental concerns

Question 10

CSR Maturity Curve

Answer 10

Compliance: a defensive posture

Integration: CSR is integrated in regular functioning of the business

Transformation: orgz have redefined themselves, their brand, to reflect a commitment to CSR

Question 11

International Certification Programs

Answer 11

1. B Corp: measures of social and environmental performance, accountability, and transparency, an orgz receives the B Corp certificate
2. OECD: Sets up framework to ensure you are doing CSR properly.

Question 12

CSR Responsibility and HR

Answer 12

HR has the opportunity to become a CSR resource for corporate leaders

1. Culture change
2. Corporate strategy
3. Orgz effectiveness
4. Human capital development

Question 13

Compliance

Answer 13

Compliance is being in accordance with all national, federal, regional, or local laws, regulations, and government authority requirements for all the locations in which the org operates.

*Fulfilling technical requirements as set forth by law

Question 14

Ethics

Answer 14

Behavioral guidelines that an orgz expects all of its directors, managers, and EEs to follow to ensure appropriate moral and ethical business standards.

*Core ethical beliefs and convictions

Question 15

Ethical Universalism v. Cultural Relativism

Answer 15

Ethical Universalism: fundamental principles that apply across cultures and that global orgz must apply these principles when making decisions in a country w/o regard to local ethical norms

Cultural Relativism: ethical behavior is determined by local culture, laws, and business practices

Question 16

Ethics in the Supply Chain

Answer 16

Ethical supply chain behavior means better products, more satisfied customers, and more sustainable working communities that support the growth of business

Question 17

Focus Areas for Supply Chain Ethics

Answer 17

1. Workplace Safety
2. Child Labor
3. Sustainability

Question 18

Governance

Answer 18

Rules an orgz puts in place to ensure compliance with local and international laws, accounting rules, ethical norms, and environmental and social codes of conduct.

Question 19

Sustainability

Answer 19

The preservation of the environment–projects undertaken by an orgz were considered sustainable to the extent that they minimized the negative impact on the environment

Question 20

Three Spheres of Sustainability

Answer 20

Sustainability:

• Environmental
• Economic
• Social

Question 21

Sustainability Sweet Spot

Answer 21

That place where an action can fulfill expectations in all three categories (economic, environmental, social).

Sustainability can become an engine of innovation and a means of identifying business opportunities–new products, processes, markets *PEPSI

Question 22

Sustainability Stakeholders

Answer 22

Employees
Managers

Exec’s
Internal Departments
Consumers, Vendors, General Public, Regulators, Communities, etc

*A sustainable orgz seeks out internal/external stakeholder input in order to understand stakeholders’ expectations and concerns and to benefit from their ideas and suggestions

Question 23

OECD Guidelines for Multinational Enterprises

Answer 23

Voluntary recommendations from member governments.

*Derived from ILO

Question 24

GRI Standards Sustainability Reporting Guidelines

Answer 24

The GRI is a reporting standard of sustainability program results.

*Adopting this improves transparency in reporting results to stakeholders and enables meaningful and consistent comparisons of orgz sustainability performance

Question 25

ISO 26000

Answer 25

A quality standard that provides guidance on social responsibility

Question 26

SA8000

Answer 26

CSR certification standards focusing on human rights and labor relations

Question 27

CSR Strategic Process

Answer 27

1. Executive Commitment
2. Assessment
3. Infrastructure Creation
4. Plan Implementation
5. Measurement Reporting, and Evaluation
6. Reassessment and Revision

Question 28

CSR Strategic Process 1. Executive Commitment

Answer 28

1. Growth: Includes sustainability sweet spot product innovations
2. Returns on Capital: Include both savings from carbon footprint reduction efforts and improved sales resulting from green marketing efforts
3. Risk Mgmt.: Includes compliance issues as well as effect on corporate reputation and branding

Question 29

CSR Strategic Process 2. Assessment

Answer 29

1. Purpose:
   - Where the orgz is now
   - Visualize where to go
2. Process:
   - Review orgz systems and procedures
   - Gather input from internal and external stakeholders

Question 30

CSR Strategic Process 3. Infrastructure Creation

Answer 30

Creating the infrastructure that will be responsible for guiding, overseeing, administering, reviewing, and championing the CSR strategy.

Question 31

CSR Strategic Process 4. Plan Implementation

Answer 31

1. Set up the strategy
2. Set priorities and objectives–how to intermediate, tactical steps will lead to long term objectives–how results will be measured and who is accountable
3. Implement the action plan created
   - Create a compliance program to ensure all members understand and adhere to the code
   - Have training & education
   - Reporting & Investigation

Question 32

CSR Strategic Process 5. Measurement Reporting, and Evaluation

Answer 32

1. Using GRI standard criteria as a basis, ensure that all objectives have corresponding metrics and that a complete reporting and evaluating infrastructure is in place.
2. All measurements and evaluations should be keyed to the specific goals and objectives set in the 4th step
3. Clear procedures in place for providing access to results to marketing and other orgz functions that can profitably leverage the data

Question 33

CSR Strategic Process 6. Reassessment and Revision

Answer 33

Based on Evaluation of Results

1. Revise tactics and strategic goals
2. Where is the orgz along the sustainability curve?
3. Provide the entire org with a clear sense of: victories won, progress achieved, next steps needed