Corporate social responsibility (CSR) is commonly described by its promoters as aligning a company's activities with the social, economic and environmental expectations of its "stakeholders" (http://www.sourcewatch.org/index.php?title=Corporate_Social_Responsibility). It has become a multi-billion dollar public relations specialty in the business world (http://www.sourcewatch.org/index.php?title=Corporate_Social_Responsibility). Social responsibility is an ethical or ideological theory that an entity whether it is a government, corporation, organization or individual has a responsibility to society at large (http://en.wikipedia.org/wiki/Social_responsibility#See_also). For instance if a company is proactive and follows the United States Environmental Protection Agency‎ (EPA) guidelines for emissions on dangerous pollutants and even goes an extra step to get involved in the community and address those concerns that the public might have; they would be less likely to have the EPA investigate them for environmental concerns (http://en.wikipedia.org/wiki/Social_responsibility#See_also). There are four areas that should be measured regardless of the outcome needed (http://en.wikipedia.org/wiki/Social_responsibility#See_also): * Economic function * Quality of life * Social investment * Problem solving
Common CSR policies include (http://www.asyousow.org/csr/): * Adoption of internal controls reform in the wake of Enron and other accounting scandals; * Commitment to diversity in hiring employees and barring discrimination; * Management teams that view employees as assets rather than costs; * High performance workplaces that integrate the views of line employees into decision-making processes; * Adoption of operating policies that exceed compliance with social and environmental laws; * Advanced resource productivity, focused on the use of natural resources in a more productive, efficient and profitable fashion (such as recycled content and product recycling); and * Taking responsibility for conditions under which goods are produced directly or by contract employees domestically or abroad.
Corporate social responsibility is used to help promote certain companies, or to change the image that the public has of them in general. Many companies sell products that the public perceives to be bad for the general public’s welfare. This is seen by the public as the company only being interested in personal gain with no concern for the overall welfare of the general public. However, what are actually needed are laws to help protect human rights and the environment.
A company’s public image, whether negative or positive, will greatly influence whether a consumer will or will not purchase their product. Positive socially corporate responsible corporations will have higher sales, as well as cause consumers to recommend the product or company to others. However, negative CSR’s have at times caused consumers to boycott the company’s products or services.
In the 21st century consumers have become increasingly more aware and concerned as to a company’s effect on the environment, and how it reacts to the public. Consumers are concerned with which organizations or charities a company contributes to. They are also concerned with a company’s mission or values, what they stand for, and how they contribute to the environment. Consumers are demanding that corporations use ethical business standards.
It is important for corporations to be honest with consumers this helps them to gain the trust of the public. Business should be open and honest about the challenges they faces. They should also inform the general public of the social, environment and economic impacts their organization has in the community.
The laws and regulations are quite different abroad than they are here in the United States. It has been determined that companies have a responsibility to society at large. Companies should research the companies that they engage to do business with. International corporations should not be considered if their products or services do not meet the requirements to be considered a socially responsible corporation. Who a company does business with also affects the public’s perception of that company. All organization should be required to integrate social and environment concerns in their business strategies or business plans.
Research has proven that corporate social responsibility has a huge impact on the financial stability of an organization. So by balancing profits with an overall understanding and awareness of the short- and long-term consequences of an organization’s activities on the environment and community, a company can help to ensure that future generations not only enjoy its products but also the environment (http://findarticles.com/p/articles/mi_m1NDC/is_2008_Dec-Jan/ai_n24964174/).
One example of a company that practices corporate social responsibility is Kellogg’s. Kellogg’s is careful to take into consideration the following (http://www.kelloggcompany.com/social.aspx?id=56): * Protecting our environment. * Selling nutritious products and advocating healthy lifestyles. * Acting with integrity and adhering to the highest ethical standards. * Promoting diversity in our work force and partnering with diverse suppliers. * Ensuring a safe, healthy workplace
Kellogg’s is also involved in the community, by offering opportunities for youth, minorities and women as well as helping to strengthen the community. They help to strengthen their communities by encouraging and recommending that their employees volunteer their time. When employees volunteer a minimum of 25 hours during a 12 month period, Kellogg’s will donate $250 to a qualified organization where an employee or retiree volunteers their time. Kellogg’s Matching Grants Program extends the company’s commitment to the communities where employees live and work (http://www.kelloggcompany.com/social.aspx?id=60). The program provides a dollar-for-dollar match of employee donations to qualified educational, cultural, arts and environmental organizations (http://www.kelloggcompany.com/social.aspx?id=60). Kellogg’s will match donations anywhere from $25 to $10,000.

References http://www.sourcewatch.org/index.php?title=Corporate_Social_Responsibility http://en.wikipedia.org/wiki/Social_responsibility#See_also http://www.asyousow.org/csr/ http://findarticles.com/p/articles/mi_m1NDC/is_2008_Dec-Jan/ai_n24964174/
http://www.kelloggcompany.com/social.aspx?id=60