PROFESSOR: DR. EDGAR. MORENO,SR. DBA. PREPARED BY: ROBIN PAUDEL

TOPIC : 2 Fundemental concepts of CSR……….. Why should corporation be socially responsible? The social purpose of the corporation -the basis of CSR

CSR is a set of actions of a company that changes business operations to improve, maintain, or mitigate a company’s impact on society and the environment.

What is CSR? CSR is about how companies manage the business processes to produce an overall positive impact on family, society and in World.

Corporate social responsible behavior We might define socially responsible behavior as that which does not ruin the local environment and jeopardize the community’s health as measured against internationally accepted standards of environmental quality or health.

Why should corporation be socially responsible? A. The growing interest B. Need for a locally C. History D. The social purpose of the corporation  foundation in Philippines  Concept of common goods  Corporate code  Hindrance

A. The growing Interest Rapidly Increasing in the west to Philippines Not just to government and Business world but also to educators and Various sectors : banks, school, telecom, Petron, manufacturing companies etc.

B.Need for a locally Philippines context, Iran Context, Nepal Context There can be a difference in each country about CSR and systems Realities of globalization make foreign influences “We must be careful”

Legitimacy Ligitimacy of Philippines: Legimacy is a generalized perception or assumption that the action of an entity are desirable, proper, or appropriate within socially system of norms, Values, beliefs.

C. History Corporation is not a natural phenomenon but it is a historical development Law enforcement Earlier in 1555 In 17 th and 18the century: Stock companies Involvement : bridge, canals, fire, 19 th : Railroad compinies, corporation and privities property

History 1980: The code “ clarified the obligation of coroprate director and officers, expressed in statutory language established principles and doctrines”.

Foundation in Philippines Article 2, section 9 The State shall promote a just and dynamic social order that will ensure the prosperity and independence of the nation and free the people from poverty through policies that provide adequate social services, promote full employment, a rising standard of living, and an improved quality of life for all.

Section 13, section 1 The Congress shall give highest priority to the enactment of measures that protect and enhance the right of all the people to human dignity, reduce social, economic, and political inequalities, and remove cultural inequities by equitably diffusing wealth and political power for the common good.

Common Good The common good describes a specific "good" that is shared and beneficial for all (or most) members of a given community.

Common Good Philippines constitution often refers Lutz defination: Provision of all member of a community, not just for the most of members The greatest good for greatest number Catholic tradition Individual and Collectively

Corporation Code November 5, 1979, Estelito Mendoza, Solicitor Genral The proposed code recognizes the value and seeks to inspire confidence in the value of corporate vehicle in the economic life of society.

Responsible

Hindrance Lack of awareness Popularity Misconception Neglect

Why corporation socially Responsible? Wider Community involvement Priority and expectation of society Being good company and Citizen and society Responsible marketing Spread the benefits of capitalism Social development Common interest Total development of Man and humanity

Why corporation socially responsible? Transformation Meet the needs of people : any levels Environment : cleanliness Connection link to finance and social activities Reputation: Bad or even ugly information about environmental, social or governance practices can spread instantaneously and dissolve years of goodwill and brand reputation on the spot.

To identify and improve a company’s impact on society and the environment, while driving stronger business results such as brand enhancement, market differentiation, and employee satisfaction.

Discuss topic in Class…. Example: Purpose and Why?

Thank you for listening God Bless you….