CSR in Organisations - Coursework Example

?Running Head: CSR in Organisations CSR in Organisations [Institute’s CSR in Organisations Introduction Within the global financial system, customers are becoming increasingly educated and knowledgeable, and, during the previous decade, are even turning into media owners, because the “computer connected to the Internet has become a super-medium”1. Collaborators within the chain of production are as well becoming more and more challenging with respect to securing developmental objectives - the achievement of growth because of fair dealings. For more or less three decades, the state governments of the world’s most developed nations have been increasing legal structures intended to prevent the degradation of the human surroundings as well as natural resources, and enhance and defend the atmosphere. In the universal framework, sustainable growth parameters are being identified with the aim of ascertaining a balance between the objectives of fiscal improvement on one side and social improvement on the other, whereas taking into account the necessity to develop and guard the natural surroundings. All of these factors compel businesses to dedicate themselves more sincerely to fulfilling a rising number of interest groups within their own surroundings. Modern society makes additionally demands upon businesses in the direction of explaining their social responsibility. Alternatively, organisations are completely aware of the fact that they have to adopt a positive approach while dealing with these demands. Corporate ethics has developed into the utmost demand within all business activities, from the meeting rooms of the world’s leading organisations to the classrooms in educational institutions around the globe. Ethical concerns as well as demands for protecting the environment will have an even larger potential control on the demand for companies’ products and services. The world’s leading organisations are already facing the rising formal demands to protect the environment and, consequently, their business philosophy has become established in concern for these demands. Contemporary society asks for accountability as well as involvement. A knowledge-based organisation requires that each person take responsibility for the organisation’s objectives, its involvements and its activities. Every member of the organisation should completely evaluate as well as reassess their accomplishments and involvements. Social responsibility within business is linked with the commitment of organisations to enhance their positive control and decrease their negative doings toward society. In that sense, whereas ethics is an issue for every person within the business field, social responsibility is associated with the “influence of an organisation’s business decisions on society”2. One of the most important values, supporting the contemporary business, is that of an organisation founded on responsibility. Organisations are required to take responsibility for their part within society. An organisation founded on responsibility indicates that all the members of the organisation must systematically assess and think about all their tasked accomplishments as well as involvements, and take control of both. There are six social initiatives, functioning within the field of corporate social responsibility: (1) encourage social objectives; (2) promotion linked with social objectives; (3) corporate social advertising; (4) corporate patronage; (5) volunteer work for society; and (6) socially dependable business activities. Coca Cola vs. Starbucks The Coca Cola Company is the world's leading beverage business. The Company markets four of the world's leading five non-alcoholic drinks - Coke, Diet Coke, Sprite and Fanta. By the help of the world's major drink circulation structure, customers in over 200 nations have access to Company's beverages at a level going beyond “1.4 billion servings each day”3. Starbucks is a key international coffee business with over 17,000 stores in more than 55 countries. The company has integrated the social responsibility within its overall strategy and it is obvious from its website that Company’s CSR activities are not merely in the form of single separate report, but are integrated into its entire operations. Community Coca Cola accomplishes its business goals by fulfilling communal hopes as well as acting in accordance with the legal system within the nations and regions in which it functions. Coca Cola intends to be a role model as a major player in the field of sustainable growth. Society is always a priority for Coca Cola. It functions in line with social beliefs and organises its business procedures with the aim of removing the threat of disturbing public wellbeing and security in its regions. It supports public activities by means of either direct involvement or findings and encourages discussion with neighbouring communities so as to recognise the public’s beliefs. Starbucks considered itself as a part of a community, and it is dedicated towards facilitating neighbourhoods flourish wherever it has operations. All over the year, the workforce and consumers devote their time as well as energy to generate encouraging change within their neighbourhoods. This assurance of facilitating communities prosper is further exemplified as collaborators from around the globe take part in such projects. These projects offer matching funding to nonprofits where the company’s collaborators made individual financial contributions. According to the Starbuck’s philosophy, the positive change can be brought in by working mutually. Environment Coca Cola carries out all activities while valuing and protecting the environment, value natural resources and taking into account the requirements of upcoming generations. The company develops environmentally responsive production procedures and collaborates with stakeholders to enhance their knowledge. Even though the general object with regard to the environment is “to reach the least, the company believes ‘how’ it reaches this objective is as important as reaching it”4. Safeguarding the environment is everyone’s duty. Leading all studies as well as improvements on this issue is part of every employee’s job description. While taking into account the environmental sustainability, Starbucks’ experience has shown the authority of teamwork. Through working with non-governmental organisations, legislators, rivals and others, the company can deal with common challenges easily. Simultaneously, it is taking a lot many significant initiatives as well as bold actions that it thinks is having a major impact on the entire industry. Every business functions within larger systems. Starbucks appreciates that by connecting with others within their “materials value chain, even competitors”5 to make a much greater impact than it can possibly accomplish on its own. Climate Change In attempting to decrease company’s impact on the environment by extending innovative technologies as well as by raising stakeholder understanding, Coca Cola’s interest in global warming and climate change shows regular commitment. Utilising resources more efficiently, decreasing discharges, recycling packaging waste, looking for innovative solutions for recycling as well as managing the company’s carbon footprint by decreasing business visits not just helps it to cut down expenses but as well facilitates it in fulfilling its responsibilities on concerns causing climate change. Starbucks has been applying a climate change policy from the year 2004, concentrating on “renewable energy, energy conservation”6, teamwork and sponsorship. It is working to minimise its environmental footprint considerably by preserving energy as well as water resources, lessening the waste related to its cups, developing recycling procedures, and integrating green design7 within its stores. Starbucks is also dedicated towards championing progressive climate modification approach in collaboration with other organisations. Water Management The world’s population tripled during the previous century, and it is likely to be around 9 billion by the year 2050. “Water consumption per capita is six times more than it was a century ago and it is inevitable that water consumption will double every 20 years”8. Coca Cola’s slogan, “Less water, more beverages”9 indicates the objective of lessening the amount water used for every case of drink produced. Water is the most significant as well as key production input for the Coca Cola System. A decline in water reserves and / or water quality is among the most critical threats to the business. Hence, the company works to attain most favourable performance in fields like climate change and resourceful water usage. At Starbucks, majority of the water footprint takes place behind the scenes and handle this, the Starbucks Energy and Resource Management team10 utilises highly developed analytics to categorise stores by an excessive amount of water. Services specialists then visit these stores to identify as well as repair any irregularities. This system has resulted in millions of gallons saved during the last year, and has caused the design of a program that offers instant solution of suspected water leaks. Conclusion From above discussion, it is quite obvious that though products do determine success or failure of an organisation in terms of its ability to act in socially responsible manner; however, other aspects play a considerable and crucial role in determining the effectiveness of corporate social responsibility in organisations globally. The paper has shed light on different aspects of an organisation’s functions in context of Coca-Cola Company and Starbucks that influence and/or affect their decision-making processes, and thus, determine success of fulfilment towards their corporate social responsibility. Products are always the first and front representation of any organisation; however, from discussions and observations, it is very imperative to understand the significance of business processes and values that exist behind the curtains in an organisational context. This play noteworthy role in ensuring better or sustainable image of an organisation in the market that has become an important way of branding a product successfully. In a few words, products will continue to determine organisational ability of CSR on the forefront and on short-term basis; however, organisations will have to create and evaluate their policies and strategies based on long-term vision of ensuring element of corporate ethics in their decision-making process that will enable them in acquiring a notable position in this context. Conclusively, it is anticipation that the paper would have been helpful in better understanding of the notions that are of value in context of corporate ethics, and particularly, corporate social responsibility in organisations. References Benn, S. and D. Bolton. Key Concepts in Corporate Social Responsibility. SAGE Publications Ltd, San Francisco, 2011. Isdell, N. and D, Beasley. Inside Coca-Cola: A CEO's Life Story of Building the World's Most Popular Brand. Pan Macmillan-St. Martin's Press, 2011. May, S. K., G. Cheney, and J. Roper. The Debate over Corporate Social Responsibility. Routledge, London, 2007. Michelli, J. The Starbucks Experience: 5 Principles for Turning Ordinary Into Extraordinary. McGraw-Hill, New York, 2006. Ottman, J. The New Rules of Green Marketing: Strategies, Tools, and Inspiration for Sustainable Branding. Berrett-Koehler Publishers, Copenhagen, 2011. Schultz, H. and J. Gordon. Onward: How Starbucks Fought for Its Life without Losing Its Soul. Rodale Books, New York, 2012. Werther, W. B. and D. B. Chandler. Strategic Corporate Social Responsibility: Stakeholders in a Global Environment. Second Edition. SAGE Publications, Inc, London, 2010. Read More