1. Topic 1: Business Organisation and Environment

2. 1.3 Organisational Objectives LO1: Explain the different views that firms may take of their social responsibility in an international context. LO2: Analyse the value of social and environmental audits to different stakeholders

3. Corporate Social Responsibility (CSR) Social responsibility is role of business to serve society by responding to its concerns. In this respect there are different types of ethical positions.

4. Different Views Business that only wants shareholders to be granted higher returns on their investment are aligned to what is called the Inherence School of thought. Business from the enlightened self–interest school of thought recognizes that shareholders do well by being responsive to the society.

5. CSR in ELDCs When business organizations are in ELDCs and follow the inherence school of thought, the issue of ethics as a component of social responsibility is critical to understand.

6. Social/Environmental Auditing Assess impact of business on its stakeholders Social “accounts” Highlight potential problems Usually done independently

7. The NEF says... “Social auditing is the process whereby an organisation can account for its social performance, report on and improve that performance. It assesses the social impact and ethical behaviour of an organisation in relation to its stakeholders.” – The New Economics Foundation