Progressive Nature Of Corporate Social Responsibility Commerce Essay


Corporate Social Responsibility is progressively more seen as leaving beyond the 'bottom line' of income to the 'triple bottom line' of societal, environmental and ethical concerns (Doreen McBarnet, et al.,2007). The concept of 'corporate social responsibility' (CSR), seen as just a issue of voluntary high-quality perform or indeed PR, has currently turn out to be very much a legal issue the latest being the British Petroleum DeepWater Horizon Accident. The dilemma is that the, various companies that say to be socially responsible frequently don't exist up to such a standard, for the reason that CSR is flattering a additional commonplace among the corporations, there are concern so as to, several industries endorse an image of CSR out of regards to whether or not they have a true strategy in place and the result is disastrous.

Most of the company laws adopt a traditional framework that focuses on directors' duties to shareholders, but the legal concept of corporate responsibility is still not seen as an important entity by most companies as a source of competitive advantage. The vision that captains of the industries should learn from the British PetroleumS lessons is that it does not favour the company's bottom-line or image by ignoring CSR (Doreen McBarnet, et al., 2007) However, industries do currently expected to carry out healthy in non-financial areas such as corporate governance, human rights, environmental policies, business ethics, corporate contributions, community development, and office issues. For examples of CSR is the environmental stewardship, safe working conditions for employees, and contributions to community groups and charities as well. Here the author would like to discuss two details of case study by discuss and critically evaluate the arguments for and against Corporate Social Responsibility being left to the social conscience of multinational companies, or being firmly embedded in legislation. The first example case that author would like to bring up is the Bp DeepWater Horizon Accident issue. The second case is about Schawk Imaging company which is located in Malaysia.

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Author would like to discuss the first case which is about British Petroleum DeepWater Horizon Accident. British Petroleum is a oil and gas base industry. The case is actually about explosion and fire on the rig which is occurred on 20th April 2010 is where blowout that killed 11 people and 17 others were injured which resulted in a massive oil spill in the Gulf of Mexico. The fire which was fed by hydrocarbons from the well, continued for 36 hours until the rig sank. Hydrocarbons continued to flow from the reservoir through the wellbore and the blowout preventer for 87days, causing a spill of national significance. The effects of oil spill had a negative impact towards the sea life as well as employees been killed.

Recent National Oceanic and Atmospheric Administration's National Marine Fisheries Service (NOAA) As a result, there are dead and dying deepwater coral in the Gulf, here clearly shows that even scientists doesn't recognize what could be the effects of spill, potentially the bad marine ecology disaster in history, will eventually have. "There are negative effects towards sensitive habitats as well as on populations of marine mammals, fish, crabs, shrimp, sea turtles and oysters. (November 18th 2010 Eric Schwaab). NOAA announced that they had found one of its research vessels which are dying coral several miles away from the well that eventually spilled over 4 million barrels of oil into the Gulf from late April till the middle of July. The coral, at a depth of about 4,500 feet (1,370 metres), was enclosed by "what appeared to be a brown substance.

According to the British Petroleum internal investigation Report (September 08, 2010), there are eight key findings related to the cause of the accident which is the shoe track barriers did not isolate the hydrocarbons, the annulus cement barrier did not isolate the hydrocarbons, Influx was not recognized until hydrocarbons were in the riser, the negative-pressure test was accepted although well integrity had not been established, well control response actions failed to regain control of the well, the fire and gas system did not prevent hydrocarbon ignition, diversion to the mud gas separator resulted in gas venting onto the rig, and finally the BOP emergency mode did not seal the well.

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According to Carroll 1979, she believed the concept in four part model of corporate social responsibility which is economic, legal, ethical, and philanthropic with the concept of corporate social responsibility encompasses the economic, legal ethical and philanthropic expectations placed on organization by society at a given point in time. It brings out different dimension of corporate social responsibility (CSR) whilst recognising the importance of and the responsibility for profitability and legal compliance.

In the case here, author would highlight the point on effects occurred from the oil spill and also on the British Petroleum internal investigation report as well. Well, on the first hand, the author question is, why, how, when does the oil spill? According to the author's research British Petroleum oil spill occurred due to their carelessness and by investigating internally on why the oil spills, it clearly shows that British Petroleum itself is responsible for the incident. Thus, there are not playing the roles of CSR. It effects the economic as well, in the term of increased the market price for oil. From there the communities will need to spend more on oil as before. It indirectly affect on the communities unsatisfactory. It also clearly shows the impact on the environmental as well. How do these will effect the communities? Author did not intend to suggest that all toxins "accumulate in ever increasing concentrations". We and other creatures are good at protecting ourselves from toxins that we have evolved in contact with. There are some chemicals though that we have not evolved defenses for and they do not pass through our digestive system as waste or after being absorbed are not excreted in urine. They accumulate in our tissue as they did in the tissue of the creature we ate and the creature it ate. The more we eat the higher the concentration of toxins in our tissue. Life after all is just complex chemistry, so complex that we do not understand it fully and introducing complex chemicals that we did evolve with into the mix is not a good idea even if the chemicals have not yet been proven harmful.

Communities eat shrimp along with toxic chemicals that accumulates in ever increasing concentrations as it moves up the food chain. That's not necessarily so. Different organism sequesters different chemicals differently. Many are simply passed through as waste, but it has to be tested for each individual compound.

The EPA used available toxicity data, generated some new toxicity data and used repeated sampling to evaluate toxicity, and it did so correctly within the scope of available time and knowledge. I checked some of these numbers the information is easily accessible online.

The Deepwater Horizon oil rig explosion and still-growing crisis in the region have deal a huge blow to the surrounding circumstances of miles of shoreline, but they have also harm the people as well, self believe in corporate attempts to push forth a progressive image. That's because British petroleum had spent the better part of a decade and millions of marketing dollars rebranding itself as "beyond petroleum" with a green-and-yellow sunburst logo (right). Some oil industries motionless appear content to be unrepentantly evil, this was the first oil company to admit to the realities of global warming, was seemingly candid regarding the require to spend in alternative energy sources, and earned consumer approval as a "green" brand.

The second case is study is about Schawk imaging. Schawk imaging is a designing company located throughout the world. It produces artwork for international companies such as British American Tobacco, Wal-Mart, Procter and gamble, and etc. Schawk imaging performed non-financial in the term of the printer that the artwork would be printed out. The ink of the artwork printed does not have any chemical thus it will not effects the employees of the Schawk imaging, indirectly it also benefits the customers as well as there is no negative effects through the colors. It prevents from the skin disease, lungs infection when employees smell the colors as well.

Schawk Imaging is playing the role in corporate social responsibility and operates as a good quality corporate national universal where Schawk Imaging used The Code of Ethics, is where every single employee signed, outlines the performance that Schawk Imaging expect from each and every one of its employees when working with employees, clients, colleagues and as well as partners.

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Schawk operates via clean production technologies and always look for a innovative and better ways of delivering its services and helping the clients develop their products as well as to decrease the crash on the surroundings nowadays and for generations to come. Many of the products and services Schawk Imaging offer and the manner in which they are delivered have an impact on the business as well and much better effect on the business of Schawk customers as Schawk is one of the world's biggest goods producing industries.

Schawk also operate according to strict safety guidelines to protect the wellbeing of its employees, and have corporate governance guidelines in place to protect the the shareholders. Additionally, Schawk imaging supports the local communities in which Schawk imaging operates through charitable donations and employee volunteerism.

Schawk's founder and Chairman, Clarence W. Schawk, has a long and quiet history of philanthropic activity conducted through the Clarence W. and Marilyn G. Schawk Family Foundation, a private non-operating foundation. For example, Clarence W. and Marilyn G. Schawk Family grateful to contribute $250,000 to the Marine Corps Scholarship Foundation to help out the deserving childrens of U.S. Marines in their academic pursuit. Other organization that have received donations from the foundation include the united way, national foundation for abuse and neglected children, National committee to prevent child abuse, national multiple Sclerosis society, American red cross, neediest kids fund, Salvation army, LEAPS Program at Valparaiso University, boy scouts of America, Marine Corps Scholarship Foundation, American Family Association, and inner city schools of Chicago, as well as dozens of neighborhood high schools, churches, parks, and inner-city organizations. The history of the foundation is, had been donates from $500,000 to $750,000 annually to such a people who needs the donation, where the is also made by employees of Schawk,Inc. (Care Commitment july 2009)

Environmental Sustainability. Schawk imaging responsibility towards sustainable processes and it has been awarded chain of custody certification from the Forest Stewardship Council (FSC), as well as the Company's London facility has been re-awarded with ISO 14001-2004 management systems (December 2006)

The Schawk's responsibility towards the environmental sustainability includes seven pledges which is provide goods and services to its customers that allow them as brand name owners and retailers to get together and go beyond both regulatory and proprietary surroundings initiatives, guarantee that its operations all over the world keep on to use clean production technologies and go after the most excellent practice for ecological security, structure and develop joint relations with its customer, supplier, product and service collaborators and industry associations to allow a swift and intelligent exchange of ecological solutions, help its customers make more efficient their brand development workflow through better use of a greatest practice workflows, technology, enhanced materials selection, and source lessening, leveraging its knowledge and skill to innovate new services and solutions that make environmentally friendly brand development thinking forward, nurturing the climate of innovation inside the company that makes great leaps forward possible, and creating a healthy surroundings within the community in which we live and work and to the world community as well.

As a conclusion, based on the above case studies, author believed in the Caroll's concept in four part model of corporate social responsibility which is economic, legal, ethical, and philanthropic with the concept of corporate social responsibility encompasses the economic, legal ethical and philanthropic expectations placed on organization by society at a given point in time. It brings out different dimension of corporate social responsibility (CSR) whilst recognising the importance of and the responsibility for profitability and legal compliance. would suggest the companies do need to play the role of corporate social responsibility to Increase bottom line and image of the particular companies. By playing the role in CSR will benefits the world and company it self as well. It also improved the surroundings, economic growth, legal, ethical, and philanthropic.

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McBarnet, Doreen et al (ed.) (2009). The new Corporate Accountability Corporate Social Responsibility and the Law. London : Cambridge Publishing.

Hanks, douglas (2010, 29 may). Gulf oil Spill's economic will be long term

Carroll and Buchholtz (2000) quoted in Crane and Matten ( 2008)

Melawar, Martin and Mueller, Phyllis (2009). Green Building Bottom Line. New York pp 79

Harriet McLeod , news November 18th 2010

Douglas Rushkoff ( 2010, 10 jun) Corporate social responsibility: learning from the BP oil spill

United Way, National Committee to Prevent Child Abuse, National Foundation for Abused and Neglected Children, National Multiple Sclerosis Society, Neediest Kids Fund, American Red Cross, Salvation Army, Boy Scouts of America, LEAPS Program at Valparaiso University, Marine Corps Scholarship Foundation, American Family Association, and inner city schools of Chicago, as well as dozens of neighborhood high schools, parks, churches, and inner-city organizations. The Foundation has a history of donating anywhere from $500,000 to $750,000 annually to such needy causes, including matching company-wide donations made by the employees of Schawk, Inc.