1. ETHICS & CORPORATE SOCIAL RESPONSIBILITY(CSR)
What is Ethics? And law
Importance?
CSR definition
Importance
Advantages & Disadvantages

2. Ethics are about what is right and what is wrong.

3. Ethics: moral guidelines which govern good behavior.

4. Ethical principles and standards in business:
Business ethics reflect the philosophy of a business, in line with its objectives and moral standing of the community.
Ethical principles and standards in business:
Define acceptable conduct in business
Should underpin how management make decisions

5. ETHICS AND LAW
An important distinction to remember is that behaving ethically is not quite the same thing as behaving lawfully:

6. ETHICAL ISSUES AND CSR
WHAT ARE SOME OF THE ETHICAL ISSUES BUSINESSES FACE?
HOW IS BUSINESS ETHICS RELATED TO CSR?
HOW IS CSR DIFFERENT FROM ETHICS?

7. HOW DO FIRMS ENSURE ITS DIRECTORS AND EMPLOYEES ACT ETHICALLY?
A common approach is to implement a code of practice. Ethical codes are increasingly popular – particularly with larger businesses.

8. Importance:
Stop business malpractices Creates good image Survival of business Safeguarding consumers' rights Protecting employees and shareholders

9. Corporate Social Responsibility (CSR)
What is it?
Importance
For and against

10. CSR DEFINITION
Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce & their families as well as of the local community and society at large.

11. Quick Definition:
“CSR is about how companies manage the business processes to produce an overall positive impact on society.”

12. CSR is about the Stakeholders not Stockholders alone.

13. Stakeholder: A person, group or organization that has interest or concern in an organization.
For example: creditors, employees, government, owners (shareholders), customers & the community.

14. Importance: For the business:
An easy way for building its brand, reputation and public profile.
Attracts and retains employees and customers.
Helps to cut business costs e.g recycling & conserving energy.

15. Importance: For the Community:
Basic needs are met e.g food, water, healthcare.
The environment is conserved.
Economic empowerment.

16. How CSR is performed by firms
Environmental CSR: focuses on eco-issues such as climate change.
Community based CSR: businesses work with other organizations to improve the quality of life of the people in the local community.
HR based CSR: projects that improve the wellbeing of the staff.
Philanthropy: businesses donate money to a good cause, usually through a charity partner.
give money or time or in kind to charity
Integrative philanthropy—select beneficiaries aligned with company interests e.g. The Football Association endowing local youth clubs with funds
However, Philanthropy will not enhance corporate reputation if a company
fails to live up to its philanthropic image or
Has consumers who perceive philanthropy to be manipulative

17. Arguments for & against CSR

18. For: SATISFIED EMPLOYEES SATISFIED CUSTOMERS RELEVANT RESEARCH
POSITIVE PR
COSTS REDUCTIONS
MORE BUSINESS OPPORTUNITIES

19. Against:
ROLE OF PROFIT: will a business engage in activities that have no regard to financial gain?
COMPETITIVE DISADVANTAGE: if invest my resources to CSR and my competitors do not I will fall behind in the competition
LOSS OF FOCUS
LASTING IMPACT

20. Class Discussion