Site sections

Editor's Choice:

Advertising

home - Services

Modern trends in the development of csr. Current trends in the development of CSR Social component of corporate business

Send your good work in the knowledge base is simple. Use the form below

Students, graduate students, young scientists who use the knowledge base in their studies and work will be very grateful to you.

What does she represent?

Corporate social responsibility began to be used in the world community around the 60s of the 20th century, when this concept began to be actively used in operating enterprises in Canada and the United States. At that time, it was perceived solely as the concern of managers about the staff, as well as the provision of assistance by the local government. Back in the 70s, due to the fact that the growth of concern on the part of people about the state of the environment increased, corporate social responsibility began to include also concern about the environmental situation in their state.

Today, Western management experts, considering corporate social responsibility, propose the use of the SR concept, which provides that company executives will pay equal attention to working for profit, as well as caring for their own employees, partners, customers and events, the main task of which is to guarantee protection environment.

How is it provided?

The larger the business of a particular company, the more influential it becomes in relation to the vital activity of the environment, and this applies to its employees, partners, customers, economic space, as well as all kinds of cultural and educational processes. In this regard, corporate social responsibility provides for the fulfillment of a number of obligations related to both economic and social properties. In particular, this concerns the timely payment of taxes, providing subordinates with the most comfortable working conditions, providing a number of jobs and much more.

It is worth noting the fact that different companies use different systems for providing subordinates with comfortable conditions, ranging from offering a subscription to a fitness club to providing their own housing to those employees who work for a long time. Most often, the concept of corporate social responsibility is interpreted as conducting active charitable activities of the company.

How is charity done?

Modern companies are actively engaged in the creation of all kinds of charitable foundations. Recently, the approach to charity has been gradually changing in society, starting from the standard financing of various charitable and public organizations that independently distribute money between various objects, and ending with the partnership participation of all parties, that is, government, society and business. Thus, thanks to the active interaction on the part of each of the participants, all kinds of social programs appear that are equally interesting to society and are aimed at solving certain social problems. Such a model is today called social partnership.

Levels

The concept of corporate social responsibility is divided into several levels:

First. It provides for the fulfillment of such obligations as the timely payment of taxes, the salaries of employees, and, if possible, the provision of various new jobs.
Second. It involves providing each employee not only with adequate working conditions, but also with life, as a result of which the professional development of the level of employees, the construction of housing, preventive treatment, and the active improvement of the social sphere are carried out.
The third. The highest level of responsibility, which provides for the conduct of charitable activities.

Internal social responsibility

The development of internal corporate social responsibility provides for the following:

Ensuring labor safety.
Maintaining a stable salary.
Maintaining a socially significant salary for each employee.
Provision of additional social and medical insurance for employees.
Active development of human resources using training programs, as well as programs for training and further professional development.
Assistance to employees in solving various critical situations.

External social responsibility

The external corporate social responsibility of an organization includes the following:

Active sponsorship, as well as the implementation of corporate charity.
Promoting environmental protection.
Interaction local authorities authorities and society.
Willingness to take an active part in various crisis situations.
Ensuring responsibility for the services or goods produced to the consumer (production of high-quality products).

Motivation

There are several motives that force modern businessmen to provide various models of corporate social responsibility:

The development of our own workforce allows us not only to eliminate staff turnover, but also helps to attract the best specialists in the current market.
Increasing productivity in your own company.
The image of the organization improves, its reputation grows.
Provides advertising for a specific product or service.
The activities of the organization begin to be covered in the media.
Sustainable and stable development of the company in the foreseeable future is ensured.
There is an opportunity to attract investments for the development of social campaigns.
Social stability is maintained throughout society.
Tax incentives are used.

Types of programs

There are several most common types of social programs:

Social or administrative budget. It includes various financial resources that the company allocates for the implementation of one or more of its social programs supported on an ongoing basis.
Corporate Code. It is a formal definition of the principles and values of the business relations of the company, and sometimes also its partners or suppliers. The Code includes minimum declared costs, as well as the company's guarantee to fully comply with them and require mandatory compliance from its contractors, subcontractors, suppliers or licensees. The Code cannot be called some kind of law, therefore it is mandatory only for those companies that have independently committed themselves to comply with it.
The goal of a socially responsible company. Represents the official position of the organization regarding its own social policy.
Priorities. The most important directions indicated in the documentary form, which are provided by the implementation of various social programs.
Social programs. These are the company's activities, which are carried out voluntarily and are aimed at developing their own personnel, creating the most favorable working conditions, protecting nature, supporting the local community, charitable activities, as well as maintaining fair business practices. At the same time, in this case, the main criterion is the full compliance of the programs provided for by the corporate social responsibility of the company, its strategy and business goals.
Social activity. It is expressed in the active implementation of various social programs that have both external and internal character. As distinctive features programs of social activity, it is worth highlighting the absolutely voluntary nature of their implementation, systemic nature, as well as a direct connection with the main strategy and goal of the company's development.

Program types

There are also several types into which social programs are distributed:

Own.
Partnerships with federal, local or regional governments.
Partnerships with various non-profit organizations.
Cooperation with various professional associations, as well as various public organizations.
Aimed at informative cooperation with various means mass media.

Control

Corporate social responsibility management provides for the leadership of all leading social programs, and this is an ongoing process in the company, which includes several stages:

Determination of the main goals of the company's social policy.
Formation of a specialized structure for managing active social programs.
Conducting various programs aimed at training in the field of social responsibility.
Implementation of various social programs.
Evaluation, as well as informing all stakeholders about the results of ongoing social programs.

Directions

In addition, the principles of corporate social responsibility provide for the distribution of several areas of social programs.

- Conducting fair business practices. This area of social programs as the main goal provides for the active promotion of the adoption and subsequent cultivation of fair business practices among its own customers, partners and suppliers.

- Nature protection and resource conservation. The concept of corporate social responsibility provides this direction as an initiative of the company, and sets as its main goal the minimization of the harmful impact of the enterprise and its actions on the environment. In particular, all kinds of technologies are beginning to be actively used, aimed at economical consumption of natural resources, recycling or reuse of waste, minimization or complete elimination of environmental pollution, the formation of environmentally friendly production, as well as transportation.

- Active development of the local community. It is also carried out entirely on a voluntary basis and is intended to make the company's own contribution to the development of the local community. It includes holding various actions and social programs to support vulnerable segments of the population, maintaining or further developing the housing and communal services, sponsoring various cultural, sports and educational organizations, taking part in charity events.

Employee Development

Corporate Social Responsibility of business considers the development of employees as one of the most important elements of the strategy, and sets as the main goal the attraction, as well as the further retention of the most talented employees. In particular, training is provided, as well as Professional Development employees, motivational remuneration systems are used, a social package is provided, appropriate conditions for leisure and recreation are formed, various internal communications are supported, and the participation of employees in making all kinds of management decisions is ensured.

What is corporate social responsibility?

The concept of corporate social responsibility (CSR or corporate social responsibility CSR), its various interpretations in the Western world have been known for quite a long time. It is generally accepted that one of the first attempts to implement the principles of social responsibility was the social program of G. Ford in 1914-1920, the central point of which was the establishment of the highest wages for industrial workers at that time, subject to certain conditions, as well as the construction of small enterprises in the countryside. However, many experts believe that the Earth Summit in 1992 turned out to be a turning point in the dissemination of the principles of social responsibility. Despite the fact that the main theme of the summit was environmental protection, the problem was considered more broadly - it was about finding a way to balance the interests of the development of society and business . After this event, companies could no longer completely ignore the problems of society, and today we can state the emergence of a fully formed concept of corporate social responsibility.

In the process of evolution of the concept of corporate social responsibility, three of its main interpretations have been formed.

The first (classical) and most traditional approach emphasizes that the sole responsibility of a business is to increase profits for its shareholders. This view was promulgated by the Nobel laureate in economics Milton Friedman in 1971 in the article "The Social Responsibility of Business - Making Money" and can be called the theory of corporate selfishness.

The main disadvantage of the classical approach is considered to be limited in time. If the company incurs additional costs in the short term, then in the long term it benefits from improving the corporate image and developing relations with the local community.

In particular, M. Friedman noted: “The fight against poverty is not a function of private business. This is the business of the state. Our business is to earn money for shareholders and clients within the law. We have no other obligations. We pay taxes and owe nothing else to anyone but God and conscience.” According to M. Friedman, managers who have goals other than profit maximization assign themselves the role of unelected policy makers. That is, without having a legitimate right and sufficient competence, managers are trying to resolve issues and determine the path of development of society, which should be done by politicians.

The second point of view, called the theory of corporate altruism, is directly opposite to the theory of M. Friedman and appeared simultaneously with his publications. The main idea is that business should not only care about profit growth, but also make the most accessible contribution to solving social problems, improving the quality of life of citizens and the community, as well as preserving the environment. The authorship of this theory belonged to the Committee for Economic Development. The Committee's recommendations emphasized that "corporations have a responsibility to make a significant contribution to improving the quality of American life." Companies cannot withdraw from social problems, as they are open systems, actively participating in lobbying for laws and other government decisions sponsoring various parties and other public associations.

The third position is represented by one of the strongest "centrist" theories, the theory of "reasonable self-interest" (enlightened self-interest). It is based on the fact that the social responsibility of business is simply " good business because it reduces long-term profit losses. Spending on social and charitable programs reduces current profits, but in the long run creates a favorable social environment and, therefore, sustainable profits. Philanthropic and sponsorship programs contribute to the legal reduction of the company's tax base and give a good "publicity effect". This is the main motive of the social activity of the company.

In addition to the identified varieties of the concept of socially responsible business in the 1990s. an integrated approach to social responsibility began to take shape, in which the charitable and social activities of companies began to increasingly concentrate around a specific area that was directly related to the main activity of the organization. This approach to understanding the meaning of social responsibility of business is called socially significant areas of activity (Socially anchored competencies), and its main advantage lies in the fact that it alleviates the contradictions between the interests of the company and society, using the entire set of tools available to the company, and social programs are not considered as sources of inefficient costs.

However, despite the ever-increasing attention to the issue under consideration, there is still no single generally accepted understanding of the social responsibility of business or corporate social responsibility.

Some specialists perceive socially responsible behavior primarily in an ethical sense, while others perceive it as a concept of legal responsibility. So, according to M. Palazzi and J. Stutcher, "social responsibility is basically a philosophy or image of the relationship between business circles and society, and for their implementation and sustainability over a long period of time, these relationships require leadership."

According to the position of A. Carroll, corporate social responsibility is multi-level, it can be represented in the form of a pyramid (Fig. 1.1). The economic responsibility at the base of the pyramid is directly determined by the basic function of the company in the market as a producer of goods and services that can satisfy the needs of consumers and, accordingly, make a profit. Legal responsibility implies the need for law-abiding business in conditions market economy, compliance of its activities with the expectations of society, fixed in legal norms. Ethical responsibility, in turn, requires business practices to be in tune with societal expectations that are not specified in legal norms, but are based on existing moral norms. Philanthropic responsibility encourages the company to take actions aimed at maintaining and developing the welfare of society through voluntary participation in the implementation of social programs.

Thus, CSR is a business obligation to make a voluntary contribution to the development of society, including social, economic and environmental spheres, accepted by the company beyond what is required by law and the economic situation.

The CSR pyramid model of A. Carolla, based on the subordination of economic, legal, ethical and philanthropic "levels" of social responsibility, has recently been subjected to severe critical evaluation and rethinking. Critics proceed from the fact that ethics is an essential element at all levels

Rice. 1.1.

CSR, considered by A. Carroll, at the same time, the question of whether CSR is a duty or implies some kind of “optional efforts” remains open.

In foreign sources of information, social responsibility is often interpreted as an obligation of a business, taken on its own, to support sustainable economic development through work with employees, their families, local communities and society as a whole in order to improve the quality of life through actions that are beneficial for both business and society. for the development of society as a whole.

The World Bank Research Institute understands social responsibility in two ways:

1. A set of policies and actions related to key stakeholders, values and fulfilling the requirements of legality, as well as taking into account the interests of people, communities and the environment.

2. Business focus on sustainable development.

The European Commission in its documents relies on the broadest definition: "Corporate social responsibility, in its essence, is a concept that reflects the voluntary decision of companies to participate in improving society and protecting the environment."

Analysis modern approaches presented in the foreign specialized literature devoted to this issue, allows us to conclude that their number is quite large and diverse. Nevertheless, the existing definitions, reflecting the most important aspects of this concept, do not exhaust the whole variety of possible approaches to the content of corporate social responsibility.

As for domestic literature, a certain discrepancy should be noted here. Thus, according to the definition of the Association of Managers of Russia, which conducts large-scale research in this area, corporate social responsibility of business is a voluntary contribution of business to the development of society in the social, economic and environmental spheres, directly related to the main activity of the company and going beyond the minimum specified by law. To understand corporate social responsibility, the Association of Managers invites companies to look at themselves through the prism of the roles they play:

Employer company: creates attractive jobs, pays “white” wages;

· a company producing goods and services: creates high-quality goods and services;

· taxpayer company: pays all taxes (without gray schemes), observing laws;

· the company is a borrower of capital: repays loans on time, enters international stock markets;

· business partner company: demonstrates good business practices, establishes reliable relationships with suppliers and distributors;

· corporate citizen company (neighbor): prevents possible negative consequences of its activities (for example, in the field of ecology), ennobles the territory, supports social well-being;

· the company is a member of public organizations: contributes to the formation of civil society.

Thus, a socially responsible company makes a profit and without fail complies with laws, follows ethical standards and is a worthy corporate citizen.

There is a view according to which we can talk about the formation of a unified theory of CSR, subject to the dialectic of the normative and instrumental approach. The normative approach considers CSR from the position of obligation and is aimed at moral justification of the behavior of companies and individual managers. In contrast to the prevailing normative instrumental approach, which has recently gained particular popularity, it links socially responsible business conduct with its efficiency in terms of so-called relational assets, the quality of social reporting, and a set of indicators that should be reflected in it.

Recently, scientists have focused their efforts on developing new interpretations of CSR. For example, the American K. Godpaster presented the rationale for the theory of "corporate conscience", which considers the corporation as a subject of morality and implies that managers have equal ethical obligations towards all stakeholders.

Many experts raise the question of integration various concepts CSR (taking into account their weak and strengths) into one fundamental theory. True, the foundations of such integration are also assumed to be different: stakeholder theory, risk management, etc. Thus, according to P. Kozlovsky (Netherlands), CSR is a means of dialogue with the company's social environment, which allows managing the risk of regulatory requirements that are unexpected for the company. A company that is able to effective communications and cooperate with its social environment, makes a kind of investment in its intangible assets and in guarantees against "moral aggression" from the environment in which it operates. It turns out that these ethical investments are both instrumental and normative.

They are instrumental as a means of communication with the company's social environment, normative as a means of "moral learning" that occurs in the process of interaction with its ethical partners.

The idea, in our opinion, is interesting, but requires additional justification and development.

Social responsibility also lies in the fact that companies try to meet public expectations regarding their products or services and at the same time form high social standards, thus contributing to improving the quality and standard of living in the country.

The fig below. 1.2 makes it possible to determine the relationship between CSR and the process of building a company's business reputation.

Rice. 1.2.

For further analysis of the problems associated with the development of the concept of corporate social responsibility, it is necessary to detail and deepen individual characteristics affected by the previously discussed definitions. In doing so, it is advisable to proceed from the following assumptions.

The company's social programs are activities voluntarily carried out by the company in the social and economic spheres, which are systemic in nature, related to its mission and business development strategy and aimed at satisfying the needs of various parties (persons) interested in the company's activities.

Stakeholders (persons) are individuals, organizations or communities directly related to the company's activities (main or indirectly related to its activities).

Social investments are a form of financial or other resource assistance allocated by a company for the implementation of long-term and, as a rule, joint partnership programs aimed at reducing social tension in the regions where the company operates and improving the living standards of various social strata.

The company's social report (corporate social report) is a public tool for informing shareholders, employees, partners and the whole society about how and at what pace the company is implementing the goals set out in its mission or strategic development plans regarding economic sustainability, social well-being and environmental stability . Sustainable development is the concept of finding a balance between the needs of the current generation for economic well-being, a healthy environment and social well-being without compromising the similar needs of future generations.

Of course, the term "corporate social responsibility" is considered by each professional, social group from its own point of view, the most successful for solving their own problems.

For PR managers it is the protection of business reputation, for financial managers and accountants it is an audit within the distribution chain, for NGOs it is the conservation of resources and humanitarian activities, for the government it is an opportunity to share the burden of moral and material responsibility for social development with business .

Tim Kitchin, in his article "Corporate Social Responsibility: Focus on the Brand", provides a detailed analysis of the etymology of the expression "Corporate Social Responsibility".

In his opinion, the confusion around the term and concept of CSR in general is associated with the following problems: firstly, the inability to abandon a deeply rooted attitude towards social problems and look at CSR from an independent point of view, in this case, from the point of view of society; secondly, it is a deliberate confusion about what CSR really is and what goals it is trying to achieve.

To clarify the concept under study, it is proposed to consider the meaning of each term in the term "corporate social responsibility".

Corporation, corporate means a profitable or profit-seeking structure. With respect to such a group of objects, CSR means the social responsibility of those who are financially motivated, and not financial indulgences for them.

Social means "pertaining to society", more in relation to "needy communities". Therefore, it is no coincidence that T. Kitchin considers it possible to call CSR a corporate public responsibility, i.e. the responsibility of the corporation to the community whose interests it has affected, or to society as a whole.

At the same time, social responsibility does not mean a legal obligation, but something related to generally accepted moral standards; something related to a natural debt that arises from interdependence, suggesting a system.

One can agree with the statement that corporate social responsibility means "the specific obligations of the company and the actions resulting from them commercial organizations in relation to their needy communities, defined and located outside the main operating environment of the business. Consequently, the declared social responsibility does not always guarantee reasonable social actions. The main task is to combine a sense of duty and real social action.

In this regard, it is interesting to analyze the structuring of the concept of CSR. In particular, three main components of the direction of its development are proposed: social obligations (social obligation), social response (social responsiveness) and proper social responsibility (social responsibility). At the same time, social obligation serves as the basis for the socially oriented activity of a business entity.

Responsibility is a relationship guaranteed by society and the state that ensures the observance of the interests and freedoms of interrelated parties. It includes three components: a sense of duty, an assessment of behavior, and the imposition of a sanction. Social responsibility is the firm's obligation to pursue long-term socially useful goals, taken by it in excess of what is required of it in accordance with the law and economic conditions. Hence the concept of social responsibility is characterized by certain moral and ethical accents, namely: the organization must do what is aimed at improving society, and not do what can lead to its deterioration. Therefore, the activities of any company that manufactures products that are essentially harmful to the health of any person (production of weapons, alcohol, tobacco products, etc.) will never be considered socially responsible, despite significant amounts of social investment in personnel development, promotion of a healthy lifestyle life and treatment, such as nicotine addiction. These companies can only be classified as socially responsive.

Social response -- the ability of the company to adapt to changing social conditions. In the process of social response, companies are guided by social norms, the great importance of which lies in the fact that they can serve as convenient and useful guidelines for managers in the process of making managerial decisions. The importance of social response lies primarily in the fact that it replaces general reasoning with practical actions. Proponents of the concept of social response consider their theory more realistic and feasible than social responsibility.

Instead of evaluating what actions are good for society in the long term, managers working in socially responsive companies identify core social norms and adjust the degree of social participation of their organizations in such a way as to ensure that they quickly respond to changing social conditions. For example, today a number of major media corporations such as Prentice Hall, McGrawHill, the Los Angeles Times, the Washington Post, and the New York Times are making significant efforts to improve the literacy rate of the US population. About 60 American banks have created special associations to improve the well-being of residents of the poorest nearby areas; a number of food companies, including General Mills, Grand Metropolitan, Kraft General Foods and Sara Lee, donate some of their products to local hunger relief programs. According to S.P. Robins, these are the most contemporary examples activities of companies, which are based on the concept of social response.

Comparative analysis of the concepts of social responsibility and social response is presented in Table. 1.1 (p. 28).

Thus, when it comes to the company's involvement in social activities, then all structural components must be present: social responsibility, social response and social obligation. Moreover, the social obligation serves, as already noted, as the basis for the socially oriented activity of a business entity. The relationship between these components of CSR is shown in fig. 1.3.

Social obligation - the obligation of a business entity to fulfill its economic and legal obligations in front of society. If a company links its activities with the fulfillment of certain social obligations, then it pursues social goals only to the extent that the latter contribute to the achievement of its economic goals. Unlike social obligation, both social responsibility and social responsiveness go beyond the mere compliance by companies with basic economic and legal requirements.

Rice. 1.3.

The considered structural approach allows solving a number of problems of deepening the concept of CSR. Thus, to a large extent, difficulties are overcome regarding the development of criteria for socially responsible behavior and the classification of companies of a particular type of activity as socially responsible, as well as determining the level of business reputation. In addition, it becomes clear why one-time charitable and philanthropic activities fall out of the arsenal of tools for implementing CSR (it is not the cause that is eliminated, but the consequence of the corporation's activities). Within the framework of this approach, most of the world's largest companies should be classified as socially responsive, guided by the theory of "corporate selfishness" or "reasonable selfishness". However, it is precisely this circumstance that indicates the yet unused potential of the concept of corporate social responsibility and allows us to outline the most likely range of its promising areas in Russia.

The analysis of the main definitions and essence of the concept of corporate social responsibility shows that this concept reflects the social aspect of management and, therefore, indicates that social efficiency criteria should be applied in management, revealing the impact of management on social relations and processes.

Essence of CSR.

Corporate Social Responsibility is the voluntary obligation of businessmen to pursue such policies, make such decisions and follow such lines of activity as are desirable from the point of view of the goals and values of society. In other words, this is a kind of social contract between business, consumers and government, the purpose of which is to promote the good of the whole society.

in relationships with partners;

In relation to consumers;

in relation to their employees;

Environmental responsibility;

To society as a whole.

Origins of CSR

The concept of corporate social responsibility has appeared in business relatively recently. It is believed that the American economist Howard Bowen introduced this term in 1953 when he published The Social Responsibility of the Businessman, in which he defined business as “the part of society responsible for its stable development.”

If in Western society the concept of corporate social responsibility began to take shape as an independent trend in the middle of the last century, then in Russian business the practice of social responsibility is at the stage of inception. The main reason for this is the "youth" of independent Russian business, which has replaced the planned economy. In the conditions of the country's absolute instability in the 1990s, the problem of social responsibility was inferior in importance to the problem of profit maximization. As the economic situation stabilized, favorable conditions appeared for the emergence of CSR: firstly, the growth of economic prosperity gave grounds for the emergence of an active civil society, and secondly, the enhanced establishment of partnerships with foreign corporations, which traditionally require compliance with CSR principles from their partners.
2002 can be objectively considered the moment when CSR practice appeared in Russia: it was at this time that the first non-financial reports were published in our country (Gazprom published environmental reports, BAT Russia published a social report).

Stages of CSR Development

According to a number of scientists, in its development, corporate social responsibility (in developed countries world) over the past decades has passed three stage.

1. First stage (60s - mid-70s of the last century) was characterized by the flourishing of traditional philanthropy (or charity). Companies tried to separate business and social activities as much as possible, focusing on helping the most vulnerable categories of the population (children, the disabled) or cultural institutions. Assistance was allocated in the form of in-kind or monetary donations based on the leader's personal sympathies.

2. On second stage (mid-70s - early 80s) strategic philanthropy was a business response to the economic crisis, pressure from the public and authorities due to the unwillingness of corporations to take care of their own employees and local communities, as well as neglect of environmental issues, quality standards and safety at workplace. Forced to engage in social activity, companies decided to get the most out of it.
Strategic business philanthropy is characterized by a readiness to obtain optimal profit instead of maximum, a focus approach to solving social problems (focus on solving the problem itself, and not on fighting its results). This approach is based on the desire of business to link the solution of social problems with strategic goals companies.

3. In the mid-80s. of the last century around the world, strategic philanthropy has been replaced by the concept of corporate citizenship ( third stage ). At the local level, corporate citizenship manifests itself in the form of social investment by business, which means the joint work of the commercial, non-profit and public sectors to solve urgent socio-economic problems of local communities. Companies do not just allocate goods, money or their employees, but are included in affiliate programs with all their resources.

The main areas of manifestation of CSR.

Areas in which the social responsibility of business is manifested:

· Payment of taxes to the local insurance fund;

· Staff development;

· Socially responsible restructuring;

· Financing by the corporation of environmental protection measures;

· Resource saving;

· Charity;

· Socially-oriented policy towards employees of the corporation;

· State target programs;

· Participation of corporations in the affairs of local communities.

Modern trends in the development of CSR.

Current trends in the development of CSR in Russia are based on social state policy, focused on the formation of political and social stability in the country, the responsibility provided for by labor and tax legislation. At the same time, the business community continues to anachronistically adhere to the concept focused on maximizing profits.

The socialization of the goals of world business forms new targets for enterprises (organizations, firms): when carrying out production and economic activities, they must focus primarily on universal values, implementing the concept of corporate social responsibility (CSR), and only secondarily on the needs of the market in high-quality goods and services driven by consumer demand.

There are several characteristic trends that have arisen against the background of increasing corporate social responsibility:

1. Reducing the role of the state. In many countries, especially small and developing ones (that is, where the state is not able to bear the burden of social responsibility), the solution of environmental issues and the development of human capital falls almost entirely on large multinational corporations.

2. Increasing demands on the part of consumers. More and more corporate and private consumers are entering into long-term relationships with this or that company, being confident in the “social reliability” of a supplier that does not harm nature and does not violate human morality.

3. Distribution of responsibility between partners and pressure from investors. Many socially responsible companies make sure that there are no socially irresponsible partners in their production chain, as this can damage their image. They are also under strong pressure from socially responsible investors, who use their rights as shareholders to change the policies of companies. It is not uncommon for activists to buy blocks of shares in unreliable companies in order to gain access to its management and reorient their activities.

Exist various definitions corporate responsibility.

CSR- this concept, according to which organizations take into account the interests of society, taking responsibility for the impact of their activities on customers, suppliers, employees, shareholders, local communities and other interested parties in the public sphere. This obligation goes beyond the statutory obligation to comply with the law and involves organizations voluntarily taking additional steps to improve the quality of life of workers and their families, as well as the local community and society at large.

CSR is a system of voluntary relationships between an employee, employer and society, aimed at improving social and labor relations, maintaining social stability in the workforce and the surrounding community, developing social and environmental protection at the national and international levels.

The practice of CSR is the subject of much debate and criticism. Advocates argue that there is a strong business case for CSR, and corporations reap numerous benefits from operating for a broader and longer term than their own immediate short-term profits. Critics argue that CSR detracts from the fundamental economic role of business;

Some argue that this is nothing more than an embellishment of reality; others say it is an attempt to replace the government's role as controller of powerful multinational corporations.

Three main interpretations of CSR:

1. The first (classical approach) and the most traditional.

Emphasizes that the sole responsibility of a business is to increase profits for its shareholders. This point of view was promulgated by the Nobel Laureate in Economics Milton Friedman in 1971 in the article "The Social Responsibility of Business - Making Money" and can be called the theory of corporate selfishness.

The main shortcoming of the theory is time limitation. If the company incurs additional expenses in the short term, then in the long term it benefits from improving the corporate image and developing relations with the local community. In particular, M. Friedman noted that the fight against poverty is not a function of private business. This is the business of the state. the main task business - to make money for shareholders and customers within the law. The business has no other obligations. The organization must pay taxes and owes nothing to anyone except God and conscience. According to M. Friedman, managers who have goals other than profit maximization assign themselves the role of unelected policy makers. That is, without having a legitimate right and sufficient competence, managers are trying to resolve issues and determine the ways for the development of society, which politicians should do.

2. the theory of corporate altruism.

This theory is directly opposite to the theory of M. Friedman.

Main idea is that business should take care not only of profit growth, but also make the most accessible contribution to solving social problems, improving the quality of life of citizens and the community, as well as preserving the environment. The authorship of this theory belongs to the Committee for Economic Development. The recommendations of the Committee emphasized that "corporations are obliged to make a significant contribution to improving the quality of life of citizens and communities, as well as to the preservation of the environment. Companies cannot remove themselves from social problems, as they are open systems, actively participating in lobbying for laws and other government decisions, sponsoring various parties and other public associations.

3. the theory of "reasonable egoism".

It is based on the idea that corporate social responsibility is simply "good business" because it reduces long-term profit losses. Spending on social and charitable programs reduces current profits, but in the long run creates a favorable social environment and, therefore, sustainable profits. Philanthropic and sponsorship programs contribute to the legal reduction of the company's tax base and give a good "publicity effect". This is the main motive of the social activity of the company.

Despite the ever-increasing attention to the issue under consideration, there is still no single generally accepted understanding of the social responsibility of business or corporate responsibility.

Some experts perceive socially responsible behavior primarily in an ethical sense, while others perceive it as a concept of legal responsibility.

According to M. Palazzi and J. Stutcher, "social responsibility is basically a philosophy or image of the relationship between business and society, and for its implementation and sustainability over a long period of time, this relationship requires leadership.

According to the position of A. Carroll, CSR is multi-level, it can be represented as a pyramid (Figure 2).

Lying at the base of the pyramid economic responsibility is directly determined by the basic function of the company in the market of a producer of goods and services that can satisfy the needs of consumers and, accordingly, make a profit.

Legal liability implies the need for a law-abiding business in a market economy, the compliance of its activities with the expectations of society, fixed in legal norms.

ethical responsibility, in turn, requires business practice to be consonant with the expectations of society, not specified in legal norms, but based on existing moral norms.

Philanthropic Responsibility encourages the company to take actions aimed at maintaining and developing the welfare of society through voluntary participation in the implementation of social programs.

Thus, CSR- is the obligation of business to make a voluntary contribution to the development of society, including social, economic and environmental spheres, accepted by the company in excess of what is required by law and the economic situation.

In foreign sources of information, social responsibility is often interpreted as:

"Business' self-made commitment to support sustainable economic development by working with workers, their families, local communities and society at large to improve the quality of life through actions that benefit business and the development of society as a whole."

The World Bank Research Institute understands social responsibility in two ways:

1. A set of policies and actions related to key stakeholders, values and fulfilling the requirements of the rule of law, as well as taking into account the interests of people, communities and the environment
2. Business focus on sustainable development

The European Commission in its documents relies on the broadest definition:

"CSR is a concept that reflects the voluntary decision of companies to participate in improving society and protecting the environment."

According to the definition of the Russian Managers Association CSR business- voluntary contribution of business to the development of society in the social, economic and environmental spheres, directly related to the main activity of the company and going beyond the minimum specified by law.

The main task of CSR- combine a sense of duty and real social action.

In this regard, it is interesting to analyze the structuring of the concept of CSR. In particular, they offer three main components of CSR development:

1. social obligations;
2. social response;
3. own responsibility;

At the same time, social obligation serves as the basis for the socially oriented activity of a business entity.

social obligation- the obligation of a business entity to fulfill its economic and legal obligations to society. If a company links its activities with the fulfillment of certain social obligations, then it pursues social goals only to the extent that the latter contribute to the achievement of its economic goals. Unlike social obligation, both social responsibility and social responsiveness go beyond the mere compliance by companies with basic economic and legal requirements.

Responsibility- this is a relationship guaranteed by society and the state that ensures the observance of the interests and freedoms of interrelated parties . It includes three components:

1. awareness of duty;
2. assessment of behavior;
3. imposition of sanctions;

Social responsibility- the company's commitment to pursue long-term public benefit goals. Hence the concept of social responsibility is characterized by certain moral and ethical emphases, namely: the organization must do what is aimed at improving society, and not do what can lead to its deterioration. Therefore, the activities of any company that manufactures products that are essentially harmful to the health of any person will never be considered socially responsible, despite significant amounts of social investment in staff development, promotion of a healthy lifestyle and treatment. These companies can only be classified as socially responsive.

social response- the company's ability to adapt to changing social conditions. In the process of social response, companies are guided by social norms, the great importance of which lies in the fact that they can serve as convenient and useful guidelines for managers in the process of making managerial decisions. The importance of social response lies primarily in the fact that it replaces general reasoning with practical actions. Proponents of the concept of social response consider their theory more realistic and feasible than social responsibility.

It is important to note that, rather than assessing what actions are good for society in the long term, managers working in socially responsive companies identify core social norms and adjust the degree of social participation of their organizations in such a way as to ensure that they quickly respond to changing social conditions. The most modern examples of companies based on the concept of social response are Prentice Hall, McGraw-Hill, Los-Angeles Times, Washington Post, New York Times, Grand Metropolitan, Kraft General Foods, etc.

Comparative analysis of the concepts of social responsibility and social response:

Thus, if we are talking about the company's involvement in social activities, then all structural components must be present: social responsibility, social response and social obligation. Moreover, the social obligation serves, as already noted, as the basis for the socially oriented activity of a business entity.

There are interrelations between these three components of the direction of CSR development. (picture 3)

Read:

Firm offer. Offer - what does it mean? Offer and its varieties Retail specifics Economic theory. Complete MBA course. Irina Sagittarius - Economic theory. Full MBA Course Full MBA Course The most profitable business: criteria and examples Business opening and closing statistics by year Moscow State University of Printing Arts Business opening and closing statistics