...The impact of social performance - Unilever and its environmental responsibility Unilever is one of the world largest multinational companies, merged by British soapmaker Lever Brothers and Dutch margarine producer Margarine Unie in 1929, which is related with lives of over two billion people every day mainly in the area of food and beverage, home care and personal care. The corporate purpose of Unilever indicates that they require "the highest standard of corporate behavior towards everyone we work with, the communities we touch, and the environment on which we have an impact (Purpose & principles 2010)". This corporate purpose highlights the importance of social performances and the interactions with their shareholders. Corporate social responsibility (CSR) is increasingly essential in the global environment (Wilburn 2009, 111), especially for large multinational companies who confirm that making contributions to shareholders is the driving force to increase the value of the corporations. Unilever claims that corporate social responsibility is at the heart of its business (Cescau 2007). “We've always believed in the power of our brands to improve the quality of people’s lives and in doing the right thing. As our business grows, so do our responsibilities (Our vision 2010)” Unilever has made a clear direction about their vision. These years Unilever has focus on building their corporate image with full consideration and improvement of social performance, varying from...
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...Introduction As the theoretical framework of CSR evolves, there is increasing focus on the interaction between internal capabilities and business activities with the external environment. Aras and Crowther (2007) integrated key attributes of sustainable activities, namely Societal influence, Environmental impact, Organisational culture and Finance, in conjunction with internal-external and short-term long-term context to develop the sustainable development guiding framework for corporations, i.e. Model of Sustainable Development. Visser (2010) proposed the concept of CSR 2.0, highlighting five dimensions (C)reativity, (S)calability, (R)esponsiveness, (2) glo-cality and 0) or circularity as the five targets for future CSR activities. Unilever’s CSR efforts in 2012 are analysed using the above models and short conclusions are drawn about the effectiveness and overall accountability and transparency achieved by the company. Model of Sustainable Development Theoretical Background Many executives are realising that an enterprise’s environmental and societal impacts influence business long term viability as much as financial performance (Lawler and Worley, 2012). This trend is clearly presented in a recent study by the United Nations (2013) since 96% of surveyed CEOS believe that sustainability is crucial to future success of their companies and they have certain plans to ensure sustainability. Owing to the importance of sustainability in contemporary business, it is of utmost...
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...Corporate Social Responsibility And Performance Of Unilever Corporation Management Essay Consumers today are progressively watchful and conscious of social performance undertaken by large corporations on how they conduct their business activities. As we all know, social performance of a corporation is heavily stressed upon and people in general have high expectations on of a company’s corporate social performance (CSR) (Golob, Lah and Janccaroniccaron 2008). Every company that wishes to have a successful and sustainable business is expected to conduct its business that contributes positively to the society as well as the environment through its business process. The focus should not only be on profit maximisation for its shareholders but also take into account the interest of its stakeholders. Let’s not forget that whenever a business operates, it will somehow bring both positive and negative impact towards society. Unilever is an Anglo-Dutch multinational corporation that owns many of the world’s consumer products brands in foods, beverages, cleaning agents and personal care products also faces consequences for their business operation while portraying social performance in the society. This assignment will talk about the Corporate Social Responsibilities of Unilever towards the environment. Corporate social Responsibilities are the responsibilities of an organization toward the society to meet the standard of ethics towards investors, customers, employees, business partners...
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...MANAGING CORPORATE RESPONSIBILITY IN WIDER BUSINESS ENVIRONMENT NAME ID INTERNATIONAL COLLEGE OF BUSINESS & TECHNOLOGY LTD Edexcel BTEC Level 7 Professional Diploma in Strategic Management & Leadership Managing Corporate Responsibility in Wider Business Environment Table of Contents INTRODUCTION .................................................................................................................... 2 Page | 1 PART 01: .................................................................................................................................. 3 LO 1.1: Briefly explain how the globalization has an impact on a national economy ......... 3 LO 1.2: Discuss the influence of international institutions. .................................................. 4 LO 1.3: Explain the role of European Union on Unilever, UK. ........................................... 6 LO 2.1: Explain the importance of having good Corporate Governance for the organization ............................................................................................................................................... 7 LO 2.2 & 2.3: Discuss what regulatory requirements exist in the country shaping the corporate governance practices of an organization and their role in ensuring corporate stakeholder’s interest. ............................................................................................................ 8 LO 3.1: Discuss the economics of adopting a policy...
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...July 24, 2010 Md. Shahnur islam Lecturer, Department of Business Administration, ASA University Bangladesh,Dhaka Subject: Letter of Submittal. Dear Sir, I was assigned to prepare an assignment on the topic entitled " Environment for Business & Social Responsibilities, Study on............... (Unilever)". For collection of data i have investigated the relevant newspapers, information from related institutions. In my study, i have found a lot of information about the forming of Environment for Business & Social Responsibilities. I was provided necessary supports from my university and related authorities. Surely this study will enhance my knowledge and experience and work as an important source of information for future work on this topic. Finally, i would like to request you to accept my paper. Thank you in advance for your assistance and advice in this connection. Sincerely yours, |Name | |Signature | | |Reg. No. | | |Imran Hasan Kibria | | | | |071-12-451 | | (i) Acknowledgement This...
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...Unilever claims that corporate social responsibility, including environmentalism, is at the heart of its business. However, the transition to a responsible and sustainable company is an ongoing process. Unilever has attracted some criticism from activists on not achieving the high aims and goals the company has communicated publically and internally. Despite the criticisms, Unilever has been at the forefront of its industry to initiate processes and create transparency in in its operations, especially regarding the environment. Even in its infancy, Unilever had difficulty balancing ideals with business goals. Unilever's founding companies produced products made of oils and fats, principally soap and margarine. At the beginning of the 20th century their expansion nearly outstripped the supply of raw materials. In an effort to reduce increasing costs due to World War I and growing limitations on supplies, former business rivals join forces, at first in the form of trade associations. These companies set up negotiations intending to prevent others from producing the same types of products but instead they merge to create Unilever. After struggling through the Great Depression and World War II, one of the main products companies were trying to develop was detergent. Soaps are made of materials found in nature and are break down naturally in the environment. A big drawback from using soap is that the minerals in water react with those in the soap, leaving an insoluble film...
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...Doing Well by Doing Good Case Study: ‘Fair & Lovely’ Whitening Cream Abstract According to the ‘doing well by doing good’ proposition, firms have a corporate social responsibility to achieve some larger social goals, and can do so without a financial sacrifice. This paper empirically examines this proposition by studying in depth the case of ‘Fair & Lovely,’ a skin whitening cream, marketed by Unilever in many countries in Asia and Africa, and, in particular, India. Fair & Lovely is indeed doing well; it is a profitable and fast growing brand. It is, however, not doing good, and I demonstrate its negative implications for public welfare. I conclude with thoughts on how to reconcile this divergence between private profits and public welfare. Key Words: Corporate social responsibility; bottom of the pyramid 2 Doing Well by Doing Good SMJ 07-6615 rev The idea that companies can do well by doing good has caught the attention of executives, business academics, and public officials. The annual report of virtually every large company claims its mission is to serve some larger social purpose besides making profits. The theme of the Academy of Management conference in 2006 asserts that “there is more to corporate success than the financial bottom line,” and goes on to argue that companies can accomplish some positive social goals without suffering financially. Leading international institutions, such as the United Nations (UN), also accept this logic and seek to create partnerships...
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...1.Corporate Social Responsibility is an initiative of a company, to take the responsibility of an environmental and social wellbeing in a place of their operation. Companies show their commitment by introducing ecological processes and eco-friendly technologies. It basically means maximizing the good and minimizing the bad effects your company on the environment. For example, by reducing the waste and air pollution by using modern filters. Other than that, they commit to social development in a way that they organise educational events, programs or even workshops for people outside corporate society. 2.Key areas: Community Relations — Actions by HR team should include implementing reward programs, charitable contributions and encouraging community involvement and practices. Examples of these programs include sending emails and company newsletters to staff members that highlight employees and managers involved in community relations or creating monthly reward programs to recognise efforts by individuals within the company. Training and Development — programs that explain the connection between the company’s core products or services and the society at large, their value to the local community and ways in which employees can get involved in appropriate CSR projects would sustain and direct these initiatives. Legal — corporations must ensure that their business practices are legal. Obeying regulations helps protect consumers, who rely on a business to be truthful about the...
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...Arturo Chavez Business Cornerstone Procter & Gamble Introduction Corporate Social Responsibility (CSR) is a concept that has been introduced and used by businesses well over half a century, Corporate Social Responsibility is all about contributing back to social society through various charity projects from where companies have earned. CSR is how Companies are doing businesses in a way that can separate them from the competition in the minds of consumers; it gives companies enormous amount of benefits such as; It helps to build good working atmosphere among its existing staff, Brand differentiations through CSR projects are also used to persuade governments and the wider public, that company is taking current issues like health and safety, diversity or the environment seriously and so avoid intervention. CSR programs also draw attention away from companies' perceived negative impacts e.g. the petroleum giant BP has run campaign to clean oil spill and also installed very visible wind-turbines on the roofs of some petrol stations in the UK. The Procter & Gamble Company P&G is one of the world largest consumer goods manufacturing companies with US $78.9 billion revenue (2010) employing over 127000 people. It is 6th most admired company in Fortune magazine 2010 list. Company is 172 years old and has grown through enormous amount of challenges and Depression. Through all this volatility, the one factor above all others that has enabled P&G to grow responsibly, which...
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...Unilever Corporate and Managerial Responsibility Contents Executive summary 3 1. Introduction 4 2. Stakeholder analysis 4 3. CSR at Unilever 6 4. CSR issues – The palm oil and tea production case 9 5. Strengths and weaknesses of the current CSR policy 10 6. Conclusion 11 Executive summary In this paper, the approach of Unilever, a British-Dutch major player in the FMCG sector, towards corporate social responsibility (CSR) and sustainable development (SD) will be discussed. In Unilever’s day to day business CSR and SD are key. This makes it a core business activity within the company at all levels. First, it will be investigated who Unilever’s stakeholders are and how Unilever is managing its relationships with them in order to do business in a corporate responsible and sustainable way. Further, some of Unilever’s sustainability initiatives like for example the Sustainable Living Plan and Unilever’s contribution to certificate systems for palm oil and soy oil will be discussed to illustrate its current CSR and SD policy. Despite these efforts, Unilever also faced quite some critique from political, environmental and human rights angle regarding some less legitimate activities. As an illustration two major cases concerning controversial palm oil and tea production will be discussed. At last, the strengths and weaknesses of the current CSR policy will be critically discussed. As a conclusion it can be stated that during the last...
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...Assignment On: “Corporate Social Responsibility: A Comparative Study on FMCG Sector.” SUBMITTED TO: Sabrina Hoque Chowdhury Lecturer, UIU School of Business & Economics SUBMITTED BY: Group : A Section : NQ School of Business & Economics, UIU DATE OF SUBMISSION: 31-03-2013 United International University Group Details: NAME | ID | PERCENTAGE | Jobayda Akter | | 20% | Tumpa Datta | | 20% | Farhad Hossain | | 20% | Md. Mesbahul Islam | | 20% | Md. Naymur Rahman | | 20% | Table of Contents: No. | Name of Topic | Page No. | 1. | Introduction | 4 - 5 | 2. | CSR impact on Economy of Bangladesh | 5 - 6 | 3. | Sector overview | 7 - 7 | 4. | Company overview | 8 - 18 | 5. | Comparison | 19 - 19 | 6. | Recommendations | 19 - 20 | 7. | Conclusions | 20 - 20 | Introduction: History: CSR is about how companies manage the business processes to produce an overall positive impact on society. The phrase Corporate Social Responsibility was coined in 1953 with the publication of Bowen's 'Social Responsibility of Businessmen', which posed the question 'what responsibilities to society can business people be reasonably expected to assume?. Writing on the subject in the 1960s expanded the definition, suggesting that beyond legal obligations companies had certain responsibilities to society20. In 1984, the celebrated management consultant Peter Drucker wrote about the imperative to turn social problems into economic opportunities21...
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...expects more from its partners than simply earning profits Ben & Jerry's Homemade, Inc., the Vermont-based manufacturer of super-premium ice cream, frozen yogurt and sorbet, was founded in 1978 in a renovated gas station in Burlington, Vermont, by childhood friends Ben Cohen and Jerry Greenfield with a modest $12,000 investment. Ben & Jerry's is a founding member of Business for Social Responsibility ("BSR"), an association of some 1400 or so businesses that aims to furnish "members with innovative products and services that help companies be commercially successful in ways that demonstrate respect for ethical values, people, communities and the environment." The company is now a leading ice cream manufacturing company known worldwide for its innovative flavors and all-natural ingredients made from fresh Vermont milk and cream (www.benjerry.com). Ben & Jerry's corporate strategy strives to implement the three integrated missions described as: developing a high-quality product, achieving economic growth and profitability, and incorporating social activism. The general corporate strategy can be characterized as a focused or market niche strategy based primarily on product differentiation and quality production. Although focused differentiation strategies target a narrow buyer segment, this strategy helps Ben & Jerry’s gain a strong competitive advantage as it can offer consumers something they perceive is appealingly different from rival competitors—innovative...
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...Excellence | Winner | Nestle Philippines | Greening The Supply Chain | Philippines | | | Merit Awardee | Unilever Indonesia | The Sustainable Clean Brantas River Program | Indonesia | | | Merit Awardee | Mass Transit Railway Corporation | Sustainability Report 2001 & 2002 | Hong Kong | | Support & Improvement of Education | Winner | Tat Consultancy Services | Adult Literacy Program | India | | | Merit Awardee | Coca Cola Foundation, Inc. | Creative Writing Workshop on Children’s Books | Philippines | | | Merit Awardee | Hong Kong & Shanghai Bank Corp. Phils. (HSBC) | Model of Excellence School in Esteban Abada | Philippines | | Best CSR Policies | Winner | Union Cement Corporation | Union Social Development and Management Program | Philippines | | | Merit Awardee | Unocal Thailand | The Social Responsibility Ambassadors Program | Thailand | | | Merit Awardee | Central Azucarera Don Pedro | The Community Development Program | Philippines | | Poverty Alleviation | Winner | Hindalco Industries | Integrated Rural Poverty Alleviation Program | India | | | Merit Awardee | Allen & Overy | Supporting “Helpers from Domestic Helpers” | Hong Kong | | | Merit Awardee | Seylan Bank | Comprehensive Microfinance for Micro-sector Empowerment | Sri Lank | | Special Achievement Award | Winner | Philippine Business for Social Progress | | Philippines | 2004 | Best Workplace Practices | Winner | Hindustan Petroleum Corporation Ltd |...
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...activities. Corporate social responsibility in the past is considered as unwanted activities which are imposed on business by law and governing bodies as unnecessary burden which is against the basic principle of profit making for the business organizations. Business organizations have been considered as bodies that meet the demand of the consumers by supplying their goods and services, and have the responsibility for generating wealth and employment opportunities. (Mette Morsing & Carmen Thyssen, 2003) In recent times after the increase in concern about the ecological imbalances and the impact of business on the environment, this above view is however changing and more and more entities are taking corporate social responsibility activities and few of them are also able to align their business goals in order to generate profits. The modern business also debates over the business responsibility towards the Shareholder’s and owners versus Stakeholders (employees, consumers, suppliers and shareholders) in the present day scenario. After taking the consideration of responsibility towards stakeholders, businesses are coming closer to the society and are altering the function of business organizations taking into considerations the business’ wider role. The wider role define above is coming into many areas such as for the social order and environment, beyond financial performance, and alignment of business responsibility in a moral and socially accountable way. Corporate social responsibility...
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...Running Head: MNC’S SOCIAL & CORPORATE RESPONSIBILITIES [MNC’s Corporate & Social Responsibilities] [Hanna Anwer] [COMSATS ISB] [Manshoor Hussain] [Report Writing Skills] Introduction Corporate initiative to assess and take responsibility for the company's effects on the environment and impact on social welfare. The term generally applies to company efforts that go beyond what may be required by regulators or environmental protection groups. (Investopedia, 2014) Unilever A lifesaving habit LONDON/ROTTERDAM, Oct. 14 /CSRwire/ - Unilever and the Earth Institute have announced a new initiative to bring hand washing with soap – a lifesaving habit – to the Millennium Villages, a project that works with nearly 500,000 people in rural villages, across 10 countries in sub-Saharan Africa. A Memorandum of Understanding (MOU) was signed by Prof. Jeffrey Sachs, Director of the Earth Institute at Columbia University and Paul Polman, CEO Unilever, in New York on the fifth anniversary of Global Hand washing Day. The partnership supports Unilever’s attain its goal to deliver on one of its commitments to help more than one billion people take action to improve their health and well-being. Over the past two years, Unilever has successfully changed the hand washing habits of 50 million people in Africa and South-Asia, through its leading soap brand Lifebuoy and partnerships with Population Services International (PSI) and UNICEF established through...
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