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Corporate Social Reporting Practices in Western Europe - Essay Example

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This essay "Corporate Social Reporting Practices in Western Europe" presents concerns within the FREITAG case study. One of the primary considerations is the organization’s strategic resources. An examination of the case study reveals that the company’s greatest resource is its commitment to quality…
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Corporate Social Reporting Practices in Western Europe
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This innovative and stylistic format has brought widespread attention from companies such as Apple, as well as consumers who are attuned to quality. The consideration of Apple’s implementation of the bags is significant on a number of grounds. Apple’s approach to technological development places high emphasis on branding as well as quality. Their decision to implement FREITAG bags is then contingent on the quality and branding elements, specifically the artistic and stylistic forms these products are able to achieve.         

            Conversely, there are resources that the firm believes are strategic, but in reality, are not. FREITAG is an organization that implements sustainable resources as a means of creating its bags. The case study notes, “Every FREITAG bag is composed of used materials only: old truck tarpaulins, used seat belts for the straps and bicycle inner tubes to keep the edges from fraying, a specification that places it at the more imposing end of the spectrum of sustainable design” (FREITAG). It is clear that the organization believes that the implementation of these supplies is strategic, as it not only is socially responsible but also makes positive contributions to its image. While such a notion makes sense, in reality, it appears that it is not the sustainability aspect that has given the bags their cache, but instead the quality and inventiveness of production; this is evidenced in Apple’s use of the bags, a company that is notoriously concerned with quality. Again, while Apple places considerable emphasis on quality and stylistic product form, they are willing to sacrifice social responsibility – one considers their involvement in the Chinese sweatshop scandal – to achieve these aims. Such recognition demonstrates it is not this sustainability that is highlighted in the FREITAG bags, but instead their greatest resource is the stylistic quality they are able to achieve.  

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               There are many ways that a firm’s culture and belief system affects its ability to compete. One of the most prominent examples occurs in terms of Google, Inc. In understanding how a firm’s culture and belief system affects its competitive ability one considers institutional theory. Institutional perspectives on organizational culture argue that the organizational culture that is established within an institution impacts all incoming employees. In these regards, as individuals enter the culture they may initially resist the overarching institutional belief system, but ultimately tend towards the overriding paradigm (Clement 2005). It follows that organizations that implement the most successful organizational culture will in turn have a workforce that directly contributes to organizational success. One recognizes that the challenge then becomes what is the most successful organizational culture to implement. Adams, Hill, & Roberts (2011) consider that the success of organizational culture is oftentimes contingent on uniting the workforce under the auspices of a goal that goes beyond mere financial concerns, but also involves their sense of meaning. Within Google, Inc. it is clear that the organization has gone beyond mere profit considerations. The organization has implemented the popular slogan ‘Don’t Be Evil’. This demonstrates that Google has shown great concern for product development that does not implement shady means. In addition to uniting the workforce under these goals, the products Google produces are more receptive to larger audiences, as there is the tacit recognition that they are both quality products and tangibly contribute to social progress. These product developments then give the organization a competitive advantage over other organizations, both in terms of employee effort as well as in terms of branding and social acceptance. Of course, the converse of this process is also accurate. Mathews (1997) argues that firms actually benefit from the implementation of corporate social responsibility. One considers a prominent example in terms of NewsCorp. This organization has recently been implemented in a phone-hacking scandal. The negative press received from this event can hurt the organization’s credibility not only in terms of the specific phone hacking scandal but also in terms of a broader range of ethical concerns. Their competitive advantage then is reduced as talented employees choose not to work for the organization and the public finds trust in different newspaper outlets.

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