Corporate Social Responsibility (CSR) at Tesco

1.0 Introduction

1.1 CORPORATE SOCIAL RESPONSIBILITY

CSR is defined as the commitment of business to contribute to sustainable economic development, working with employees, their families, the local community and society at large to improve their quality of life. http://www.mallenbaker.net/csr/definition.. It can also be defined as a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis. http://www.emagltd.co.uk/SMMT%20Sustainability%20Business%20Case.pdf

Corporate social responsibility is one of the organisation responses to regularise the imbalances resulting from the acceleration of the global contributions to societies where they operate. CSR is the practice of managing the social, environmental and economic impacts of the company, being responsive to ‘stakeholders’ (those who are affected by a business operation) and behaving according to a set of values which are not codified in law. In practice the term process. http://www.ethicalconsumer.org.uk/magazine/indexes/productindex.htm

CSR describes the principle that companies can and should make a positive contribution to society. Refer to a wide range of actions that companies may take, from donating to charity to reducing carbon emissions, Environmental awareness and friendliness http://www.colorado.edu/AmStudies/lewis/ecology/restore.htm. The contributions are of many dimensions but mention in the following line a few: corporate philanthropy Cause-related marketing Sponsoring awards, social and environmental reporting Stakeholder engagement – Stakeholder engagement Eco-efficiency, employment diversity business ethics (htt://www.mallenbaker.net/csr/CSRfiles accessed on 23rd November 2009)

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TASK 1

1.2 The Approach to CSR in TESCO Supermarket

TESCO plc could be described as a grocery selling company that is duly register in the groceries market. We shall be looking at the its approaches to issue of csr to its strategies, policies and business practices through its business core value . the definition of the company core value, was dusted to have said “our core value no one tried harder to customer , and treat people how we like to be treated characterised our approach to Corporate Social Responsibility”. It is the believe of the company that she can achieve most when they work together on practical thing that make a difference. Every little help, can become great deal when everyone pulls in same direction. (: http/www.tesco.ie/csr/ndex.html)

1.2.1 Environment.

Tesco promote environmental issues through training package in oder to create enough awareness on the issue on environment and to allow the company to maximize its operational effectiveness initiatives

1.2.2 Community.

In several attempt to give back to the society where tesco operates tesco create special support for children community based projects and education programmes in order to create a peaceful environment to operate. ./ http/www.tesco.ie/csr/ndex.html)

1.2.3 Suppliers ethical trading

In other to maintain high ethical standard in it business practices, the company is said to be encouraging a long term trade relationship with supplier with a centralized distribution system with transparency and accountability to promote good quality of rang products and services at competitive pricing. (http/www.tesco.ie/csr/ndex.html)

1.2.4 Customer’s choice and health

It promote the health of the customers through the management of customers choices. This cold be confirmed throght the following slogan of commitment and promise of good range of prodct and service: Be Inclusive by: which mean tesco will continue to appeal to a broad range of customers and that the company will offer something for everyone through an extensive product range, offering price and product choice, in food and non-food) ,Be Innovative by leading new customer developments: new product development, retail services and technology,.( http/www.tesco.ie/csr/ndex.html)

1.2.5 People / workers

Employee are given opportunities of carrier development programmes through Training and development programme with effective communication to facilitate staffs feedback, ,rewards and benefit are us to motivate workers is based on performances on the job, pension schema, save as you earn, family friendly working through flexible hours of work to accommodate mother education. ( http/www.tesco.ie/csr/ndex.html)

1.2.6 Genetic Modification:

removal of GM and increase in non GM option for our customer by adding organic ranges(organic food) ,labeling animal welfare and animal testing by not allowing none of the suppliers is allow to test product on animal but by using known ingredient human volunteer trials, .( http/www.tesco.ie/csr/ndex.html)

Property :tesco store is usually built with accessing line with the customers comfort and the regulation, landscaping is done with approval by local authority planning department.( http/www.tesco.ie/csr/ndex.html)

1.3 The Impact of EU Membership on CSR Approach

The TESCO CSR as been affected by continued EU membership as the ten point gender were tailored to address the requirement of the EU in terms of social responsibilities that is expected of any company that is operating in their communities. This is to appeal to the society where it operate being a company from non EU country

TESCO is a company originated from the non EU, European Union in it full context was established in order to promote economic corporation among the members, by removing trade barriers and also for common external trade policies within the members and the rest of the world. In the other way round, this is has put TESCO under certain law restriction ,even while it deem it fit to exercise its CSR agenda without an EU legal implication, such decision was been confirm recently as the TESCO had place sales embargo or restriction on its purchase from Zimbabwe.

In the global content, looking at barrier in different regulation governing business operation around the world, this might render most of the good intention undone. Such differences in regulation is characterised by the imbalance between the developed countries and developing countries as regards how it’s been governed, especially in the developing countries that lack good governance ,where most of the multinational operate without any or less attention to the environment where they operate

. Most importantly the same company might not be able to do it in the developed countries. The cartel formed through any economic union groups such as EU could hinder the implementation of corporate social responsibility .Just as the decision taking by the union superseded that of the company, therefore will not be willing to dam the consequences of being an act against the instruction of the union.

TASK2

2.0 THE TESCO POLICIES OF ENVIRONMENTAL AWARENESS AND HEALTH AND SAFETY PRACTICES

2.1 A. the policies adopted by Tesco on the environmental awareness and the actions to maintain the environment

2.1.1Climate Change

Tesco supports the government’s commitments to the Kyoto protocol on climate change. It is among of the Tesco targets to reducing its energy consumption and emissions of greenhouse gasses responsible for climate change. .( http/www.tesco.ie/csr/ndex.html access on 20th nov.2009)

2.1.2 Waste Management and Recycling

In order to reduce the waste in their operation tesco is committed to reduce level of waste and to encourage recycling programme as much as possible.( http/www.tesco.ie/csr/ndex.html access on 20th nov.2009).

.The supermarkets also have an effective recycling programme in place for its operations which board, and plastic balers in the stores and depots. These balers enable our staff to segregate packaging waste from other waste and mean that Tesco stores send no packaging waste to landfill sites. .( http/www.tesco.ie/csr/ndex.html access on 20th nov.2009). the company also make sure that all the waste contractor used are EPA licence

2.1.4 Disposal of used products

Tesco have put arrangements in place with specialist contractors to ensure the environmentally compliant disposal of the fluorescent light tubes, tires, batteries and engine oils that tesco use in its business.( http/www.tesco.ie/csr/ndex.html)

2.1.5 Plastic Bag

Schemes tesco has been working hand in hand with government in supporting the government since it has introduced levels in march 2002. Tesco help in collection the fees and encourage the reuse of the bags.( http/www.tesco.ie/csr/ndex.html access on 20th nov.2009)

2.1.6 Customer recycling schemes

in order to assist the public to play their own part on the environmental issues Tesco also lunched in store recycling scheme for customer to disposed their mobile phone.where they can also make charity donation or collect club card point on their accounts

.( http/www.tesco.ie/csr/ndex.html access on 20th nov.2009)

2.2 B. actions which Tesco has been taken in order to maintain the environment

2.2.1 Revolution in green consumption

Tesco have made strides towards a revolution in green consumption – incentivising the environmental option and making it more affordable. Through their unique Green Club card scheme, we have reduced carrier bag use by over one billion, more than any other retailer, and we are on track to save an extra billion bags in the next year.

2.2.2 Reduction in c02 emission

In a bid to contribute to the reduction of C02 the company has established a target to sell 10 million of energy efficiency light bulbs per anum, to reduce energy consumption by half per each square foot right from 2001 which could be said to be two years ahead of target, carborn intensive in the tesco stores has been reduced to 22% since 2007. http://www.advfn.com/news). in totalty of the approach , tesco has been able to reduce the CO2 by 10% in one year.

2.2.3 Contribution to the Community.

Tesco has claimed that its staff has achieved more successful “Charity of the Year” ever, by raising £4.4 million for the British Red Cross. it was also claimed that they have donating £100,000 to the British Red Cross flood appeal last summer, they also make provision for hygiene, foods and bottle water for the affected communities in important part of the south west.( http://www.advfn.com/news).

2.2.4 Contribution to health research programmes

tesco has been contributing to health through sponsoring of games and events.it has help over i.5m people to get active this year through wich it has been able to get about 665000 people to take part in 5km running through cancer research UK’s Race for life plus 21000 tesco staff. Tesco also runs partnership relationship with football association as way to get 2million people to run up to the London olympic2012. Tesco also run programme in supporting football at the local level as a way of encouraging children to participate in sport events. http://www.advfn.com/news).

2.3 C. policies adopted to improve Health and safety practises at the work place in Tesco

In the Tesco health and safety policies, Tesco is foremost concern about the protection of health and safety of all employee, Tesco claimed to have adopted policies and procedures which are aimed at ensuring that the company meet or exceed all applicable health and safety laws and regulation as well as prevailing industry standards

For these reasons employees are expected to be aware of how the company’s health and safety policies apply to them and conduct their duties and responsibility in compliance with these policies.

In 2006 TESCO set a three-year target to reduce the rate of reportable accidents in our UK workplace by 10%. At the end of the first two years we have already comfortably beaten the target, with a reduction of 14%. Reportable customer accidents on premises are also significantly down, by 15% since 2006. Tesco promise to continue to strive to push the rates down even further http://www.tesco.ie/crreview08/people-progress5.html . The company also affirmed to continue to attract and retain the best staff based on our core value, ‘treat people how we like to be treated’, by making Tesco a rewarding place to work.( http://www.tescocorporate.com/plc access on 20th nov.2009)

However these approaches seem to address issue of health and safety as it is being required by law but the interest of the employees was seems not adequately protected. The policies seem to be silence about the importance of training the employees on the better handling of health and safety. This could be confirmed in a recent case of Tesco and one of it is employees. Supermarket chain Tesco was fined £22,000 after a general assistant lost one of his fingers attempting to fix a Master mover machine. Darryl Mosley was working at Tesco in Haverford west in south West Wales and was trying to use the pedestrian electric tug machine to move roll cages. When he realised the mechanism on the equipment was faulty, he attempted to fix it manually. (Published by Tesco admin on March 27, 2009)

In respect to environmental awareness, Tesco have it in its policies to minimize the effect of her operation on the natural environment “We endeavour to meet all regulation and the industry standards by implementing appropriate measure for the assessment of the potential environmental effects and for appropriate response to any incident that may occurred. Employee is also charge to be familiar with the required environmental standard that applies to their works at Tesco and to comply with these standards at all times. (http://www.tescocorporate.com/plc access on 20th nov.2009)

TASK 3

3.0 ANALYSIS OF THE WORKFORCE DIVERSITY AND EMPLOYEE WELFARE IN TESCO AND THE APPROACHES IT HAS USED IN MANAGING AND EXPLOITING THE WORKFORCE DIVERSITY FOR ITS COMPETITIVE ADVANTAGE

3.1 Steps that has been taken in ensuring Workforce Diversity and Employee Welfare in Tesco plc

3.2 Introduction of diversity strategy and policies

Tesco want everyone at Tesco to meet their full potential regardless of age, gender, disability, ethnicity or sexual orientation. Tesco diversity strategy and policies aims for a workforce at all levels that mirrors the communities we serve. The priorities reflect those of the countries in which we operate. Tesco focus on employing local people and developing local leaders wherever we operate. Of the 180,000 people employed in their international business, fewer than 200 are from our UK business. http://www.tescoreports.com/crreview08/downloads/tesco_valuing_our_people.pdf access on 20th nov.2009)

3.3 Ethnic and cultural diversity

TESCO diversity policies do not discriminate on the basis of ethnic origin. and it also promote understanding of different cultures to help employees work effectively together .inter religion approach is encourage by the company as the store in UK celebrate cultural festivals with the British festivals. In other word, it promote .In 2007, this toolkit was updated to cover the growing range of cultures and countries our employees and customers come from, including Bangladesh, the Caribbean, China, Ghana, India, Pakistan, Poland and Somalia. http://www.tescoreports.com/crreview08/downloads/tesco_valuing_our_people.pdf

3.4 Employees to different people of cultural background

Introduction of the workforce diversity practices in Tesco has allow the company to enjoy multicultural business advantages , an approach which has made him to capture more market supermarket sector especially in united kingdom where there is full presence of people of different cultural background. Employees of different background are brought together to work in the same company, this facilitate motivation among the workers and therefore lead to hi retentions of the workers in Tesco. (http://www.tescocorporate.com/plc access on 20th nov.2009

3.5 No discrimination on Age ground

There is no retirement age in any of the countries where we operate and employ people in their 70s and 80s. In 2007, we launched apprenticeships in the UK for people of all ages to help them develop their careers.

3.6 Gender and sexual Orientation

In 2007 the Tesco Women’s Network, was launched which aims to help female managers and directors progress. Around 150 women from across the Group attended the launch event. We are in the process of forming a similar network for sexual orientation. http://www.tescocorporate.com/plc access on 20th nov.2009)

3.7 Flexible working

TESCO support flexible hours whenever possible. In the UK this includes family-friendly shifts, opportunities for full- and part-time workers, childcare vouchers and career breaks. TESCO also encourage job sharing, flexi-time and compressed hours, shift swaps, home working and part-time working when practical. This has given Tesco the advantage of high commitment and reduces employees turn over.

3.8 Human rights

Tesco is committed to upholding basic Human Rights and supports in full the United Nations Universal Declaration of Human Rights and the International Labour Organization Core Conventions. Tesco provide a safe working environment for our employees by minimizing foreseeable risks in the workplace. Employees have the right to freedom of association and collective bargaining. http://www.tescoplc.com/plc/corporate_responsibility_09/people/human_rights/ This create high sense of belonging among the Tesco workers and they trusted their careers with Tesco where they felt their right where been protected. (http://www.tescocorporate.com/plc access on 20th nov.2009)

4.0 CONCLUSION

Organisation now find itself in a wider environment that is full of turbulent and unpredictable .This is an important issue that is correcting any myopic thinking that organisation objective is all about profit maximisation , but also to consider the issue of corporate social responsibility as a matter of high priority. No organisation can exist without the environment and the profit objective can also be affected if attention is not given to it .It also bring about the ethical issue that has to do with organisation values and how the corporate organisation relate with the environment.

The social responsibilities also involve the organisation culture and value and how the employees are treated in the work place. There would not be any doubt, if corporate social responsibility is an obligation require from individual organisations which could be varies in proportion to the capacity of such organisation and the implication of their service on the environment.

In the global context organisation that are Multinational, International Transnational, finds themselves in volatile and conflicting zone of the great corporate social responsibilities. Economic unions ,political groups and other form of pressure groups are in place to make sure that organisation are made to attend to the social responsibility as one of the company’s objectives .This has constituted a lot of conflicts in dealing with regulations due to different in regulations and other environmental changes in different countries and continents. The contents of which were differ from each other .It is therefore considered that organisation and the environment could not be separated or treat in isolation one is the function of another :and to make the other work, one need to reciprocate in term of its obligation in the area of responsibilities. Just the way everything seems to have been working for Tesco UK PLC.

4.1 Recommendation

As a result of the conclusion to this report the relevant of the corporate responsibilities to organisation performance and to the achievement of the organisation overall goals could no longer be denied. Hence this report will give room for more report on the issue of the CSR and how the organisation can apply that to gain competitive advantage.

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