Key challenges faced by global organisations in implementing corporate CSR policies

Prepared for
John Toth

Prepared by
Emma Wimhurst

10 November 2013

Contents Section Page

1 Introduction 3
2 Definition of Corporate Social Responsibility 3 2.1 Carroll’s pyramid of CSR 3 2.2 Theoretical clusters 4 2.2.1 Instrumental theories 4 2.2.2 Integrative/Political theories 4 2.2.3 Ethical Theories 4
3 Implementation of CSR 5
4 The Body Shop: core purpose 5
5 Balancing act 6
6 Heightened awareness 6
7 Cost Implications 7
8 New Look: Stakeholder’s conflict 8
9 Challenges 8 9.1 Increased responsibility 8 9.2 Daily implementation challenges 8
10 Recommendations 9
11 Conclusion 10
12 Appendix one: The Body Shop 12
13 Appendix two: New Look 14
14 Appendix three: Carroll’s Pyramid 17
15 Appendix four: Schwartz and Caroll Venn diagram 18
16 Appendix five: Ethical Trading Initiative 20
17 Bibliography 21-24

1. Introduction

This report identifies the key challenges faced by organisations with a global supply chain in implementing Corporate Social Responsibility (CSR) policies.

The Body Shop (appendix 1) and New Look (appendix 2) are UK based companies, with a global trading presence and both depend on a global supply chain for the purchase of their products. In 2013 both companies remain committed to CSR and ethical trading. These companies have been chosen to demonstrate the differences between implementing CSR at start-up stage, and the challenges faced when introducing CSR, specifically within the supply-chain, to an established business.

2. Defining Corporate Social Responsibility (CSR)

CSR is a well-debated topic amongst businesses, governments, non-government organisations (NGOs) and academics; and