Principles Trends Driving Corporate Ethics and Sustainability
Article - Ethics and Corporate Social Responsibility
Identifying and Describing the Principles Trends that Drive Corporate Ethics and Sustainability
Sustainability reporting grows gradually but the tools are still driving. As mentioned by Cavalieri (2007) as sustainability continue to increase the importance inside the organizations around the globe. However, the demands for accountability are also growing widely. It is observed that they come from the diverse players, which could vary by sector and geography. The drivers include changing needs of the customers, employees, investors, shareholders and policy markers. Thus, each group acquires its own interest. Another trend that drives business ethics and sustainability is CFO’s role in sustainability. It is observed that CFO of the company were usually not deeply engaged in sustainability efforts considering them. The CFO plays an important role in forming the investor relations and providing the external reporting and assurance.
There have some other trends such as transparency, quality, corporation and protection of the environment that have wide impact on the business ethics and the sustainability. While reviewing the transparency, it is learnt that transparency is creating the influence with some opposition to become a significant condition of access and permanence. In this context, Cavalieri (2007) commented that information is a significant aspect of democratic life as it permits people to make relevant and conscious decisions. Furthermore, the trends also exist in the form of the labor rights. Due to the change in the political environment, the workers increase the demands because of the continuous support from the labor union. Hence, the organizations need to enhance the strategies of satisfying the needs of workers through corporate principles.
Evaluating the Relevance of the Article
It is evident that every business industry has become dynamic; thereby, the needs and demands of people are changing. Therefore, there is a significance of business ethics and sustainability. This article has been reviewed based on the topic and the organization that are selected for the group assignment. Business ethics positively influence the operation of the company. The organization chosen for the group assignment highly maintains the business ethics to avoid the external business obstacles. The business usually relies on the sustainability strategy. Thu, most of the large organizations prefer to implement sustainability strategies in the form of execution of CSR activities. Thus, sustainability in business is one of the significant aspects. On the contrary, business ethics should also be considered while planning for the future expansion of business. In order to increase the sales, expand the market share and gains external stability in business, it is necessary for the organization to comply with the regulation set for trading. While running the business in the global environment, it is mandatory for the company to implement the regulations developed by the country. Non-compliance with the regulation could lead to undesired consequence (Cavalieri 2007). The organization may get into the trouble of breaching the laws, which could tarnish the brand image in the market.
The article provides an insight regarding the significance of business ethics and sustainability. However, a gap found in the article, which clearly shows the author has missed out the discussion the strategies or the business models that are required to deal with the changing needs that have wide impact on the sustainability management. The author should add a discussion on the strategy formulation in terms of sustainability and business ethics. For example, the organizations both the SMEs and the large organizations need to incorporate ethics into the significant strategies. Hence, they could develop a sustainable business model. On the contrary, another suggestion should be provided regarding the application of business ethics. The research should be conducted on the fact how country regulations, trade laws affect the operation of the business. The article can be further extended by considering the operation of a particular organization.
Topic: Appraising CSR from the perspective of a range of stakeholder interests at a national and international level
Article: The Impact of Corporate Social Responsibility on Employees-
Summarizing the Article Briefly
The article provides an insight about the influence of CSR activities on employees. In the last few years, industries have witnessed a significant increase of society’s overall focus on the issues regarding the sustainable progress. The article makes it clear that the above-mentioned trend could largely affect both organizations as well as consumers. On the discussion of the article, Stancu, Grigore and Rosca (2011) have mentioned that the concept of sustainable development is developed in the scientific lecture. The concept has further included the implementation of community development, corporate citizenship, and social responsibility. Therefore, the organizations in the present era have started developing and implementing the social responsibility. The article also suggests that organizations and the society should have to work together and this approach could add value for parties engaged. The initiative also brings new market opportunities to the organization. The article concerning the benefits of CSR finds out some significant aspects such as growth in sales, market share, strengthens brand position and develops the corporate identity. The article also presents a literature review that provides the insight regarding how the organizations are in the rush of engaging themselves in CSR activities.
By implementing the appropriate research methodology, the study collects the outcome in terms of the engagement in the CSR activities of the organization. The article includes an intensive primary analysis. The purpose of the article was to gain a better understanding of how the employees of the large and small organization consider the CSR activities. Thus, the finding from the survey conducted brings in different significant aspects. It is observed that majority of the respondents consider that respecting worker’s right and providing them the faire wages and safety at the workplace is the most crucial dimension (Stancu, Grigore and Rosca 2011). The article also provides an insight that women are more likely to involve in the CSR activities in comparison with men.
Article Appraising CSR from the Perspective of a Range of Stakeholder Interests at a National and Internal Level
It is observed that organizations both in national and international business environment are not involved in implementing the CSR activities have to deal with the increasing external issues. It is necessary for the organizations to engage themselves in the CSR activities (Stancu, Grigore and Rosca 2011). For example, while running the operation out from the local domestic market, it is advisable for the company to hire the employees from that market. Hence, the organizations directly contribute to the increase of employment rate. By doing this, firms receive support from country’s government despite the political instability. In addition to this, in order to gain the trust of stakeholders like customers, the organizations need to perform the CSR activities. For example, the social campaigns like promoting awareness regarding HIV disease helps the community to understand such as initiative. This sort of initiative helps the organization to increase the market share. On the contrary, providing the necessary benefits to the workers helps to control the turnover rate. This can also be considered as the social contribution.
Evaluating the Relevance of the Article
The article provides a deep understanding regarding the importance of sustainability and the implementation of CSR activities. The study provides a critical analysis about how the organizations are implementing the initiatives as the corporate responsibilities. The chosen article is relevant to the group assignment as this article also talks about CSR activities that have large impact on the employees. Likewise, in the group assignment, an organization has been chosen, which has wide involvement in CSR activities. The assignment discusses about how the organization has enhanced its performance by contributing to CSR activities and at the same time satisfying the needs of employees. The discussion conducted in the article helps to observe increasing importance of marketing stakeholder was emphasized on American Marketing Association. The authors nourish this concept, which means the concept extends beyond satisfying customer needs and to include other relevant stakeholders, which could affect organizations and the organizational activities. On the contrary, the organizations have started engaging themselves in the CSR activities to satisfy the needs or to respond to external demand (Stancu, Grigore and Rosca, 2011). The organizations also understand the positive effects of Corporate Responsibilities. Thus, it can be mentioned that article highlights the significance of CSR activities and its future consequence.
It is obvious that article highlights some significant aspects associated with the implementation of the CSR activities. The author provides the evidences of CSR execution and provides the consequences. The research includes an intensive primary analysis to measure the impact of CSR activities. However, the research did not particularly consider any organization to observe the impact. The research also lacks a secondary analysis, which could have exposed the results of CSR activities implemented by the organizations. In addition, author of the article may consider a real scenario of CSR activities or the organization.
Cavalieri, E., 2007. Ethics and Corporate Social Responsibility. Symphonya. Emerging Issues in Management, (2), pp.24-34.
Stancu, A., Grigore, G.F. and Rosca, M.I., 2011. The impact of corporate social responsibility on employees. International Proceedings of Economics Development and Research, 21, pp.11-17.