CSR: Am I My Brother’s Keeper? Giving “Your” Voice To Values John L. Keifer, JD MBA Brazilian Executive Seminar August 2013 In B-schools and Beyond, Ethics Matter, but the 'Bottom Line' Trumps (Posted on Huffington Post: 07/20/2012 6:14 pm)

Importance of Ethics “ There is no such thing as business ethics ….There ’ s just ethics; and we all have to practice them every day in everything we do. ” – Peter Drucker

Levels of Analysis Macro Analysis Meso Analysis Micro Analysis Micro - Micro Analysis

CSR – A New Paradigm To think comprehensively and systematically about The role of business in development The manner in which the business is conducted Corporate Governance Poverty alleviation Corporate contribution to peace and war against terror Business, government and civil society partnership- common ground and collective action

Barriers to CSR Macro: Country/Society Level –Lack of creative pressure from the government and civil society. –Lack of support from the consumers –Lack of peer support through business associations - reluctance of other companies to follow –Lack of economic/market incentives

CORPORATIONS AS SOCIAL MOVEMENTS We are connected “virtually” Fluid boundaries Reduction of formal procedures Dynamic and shifting authority structures The blurring between social movement and corporation is evidenced in the incorporation of Occupy Portland, an offshoot of the Occupy Wall Street movement in Portland, Oregon. ay.jpg

Meso: Industry Barriers to CSR When in Rome – Moving offshore – Outsourcing – Meeting and beating competition Competition Laws

Barriers to CSR Micro: Corporate/Business Level -Lack of leadership and vision -Too much focus on short-term goals -Inability to recognize opportunities -Lack of entrepreneurial spirit and innovation -Limitations in the area of vital resources

10 Top 5 Challenge Trends 1. Increasing Concern for the Environment2. Greater Personalization and Customization3. Faster Pace of Innovation4. Increasing Complexity5. Increasing Competition for Talent

Competitiveness Corporate Governance Corporate Social Responsibilities Business Conduct/Ethics Leadership and Values

Micro-Micro Barriers to CSR Pressure to meet unrealistic business objectives/deadlines A desire to further one’s caree A desire to protect one’s livelihood

Ethical Lapse Pressure to meet unrealistic business objectives/deadlines A desire to further one’s career A desire to protect one’s livelihood 14

Doing the Right Thing What have we come to learn about human happiness! What neuroscience teaches us about how humans make decisions! What we now know about why we know the right thing to do (even if we do not do it)!