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CSR 1

Corporate Social Responsibility

(Steiner. P. 120) Corporate duty, to

Create wealth, and

Protect social assets

Avoid harm

Preserve

Enhance

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CSR 2

History of Corporate Social

Responsibility (CSR) Corporate lesson in the Rodney King Riots?

McDonalds

Shell Corporation

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CSR 3

Justification for CSR--Bowen

Ethical duty to consider broad socialimpacts of decisions

Reservoirs of skill and energy Power in keeping with a broad social

contract

Enligtened self-interest to improve society Voluntary action will head off negative

reactions?

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CSR 4

Case Against CSR--Friedman

Use its resources for profit

Engage in activities for profit

Increase its profits

Within rules of the game

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CSR 5

Case Against CSR (cont.)

CSR money reduces shareholder profit

Is it what stockholders want?

Consumers paying for it

Separation

church/state

corporate/state

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CSR 6

General Principles forStrategic

CSR Law: corporate and stakeholder regulations

Primarily by economic criteria:

Address the adverse social impacts theycause

Varies by corporate characteristics

Meet legitimate shareholder needs Guided by winds of social direction

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CSR 7

CSR and ProfitRelated?

Investing on CSR is noble but less

profitable p. 139

Scholars and profitno conclusions

Local programsexamples that work?

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CSR 8

IMPLEMENTING

CORPORATE SOCIAL

PROGRAMSSteiner & Steiner, Ch. 6

Business Environment

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CSR 9

Royal Dutch Shell

Responsible corporate member

Observe county laws

Support human rights

Proper regard or health, safety, &

environment

Sustainable development

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CSR 10

Six Patterns of Social Response

Rejection

Adversary strategy

Resistance strategy

Compliance

Accommodation Proactive strategy

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CSR 11

Pressures for Undertaking

Programs Governmentjaw boning

Community interests & demands

Environmental concerns

Competitive responses

Stockholder/investor pressures Philanthropy

Crises

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CSR 12

Implementation Procedures

(SKILL SETS) Issues Management

Crisis management

Corporate philanthropy

Business in education

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CSR 13

Issues management

What is it?

Identify important social issues

Potential of concern to the company

Develop responses

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CSR 14

Corporate philanthropic

allocations Priorities: education, health,

10% of pre-tax profits vs 1-2% actual

Buffett & Gates are significant contributors

How will you give?

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CSR 15

Philanthropic Programs

Community Economic Development

Target and Home Depot at Habitat

Strategic philanthropic self-interest

Cause related marketing

Current web sites

Business in Education

How much is OK?