Corporate Social Responsibility - Essay Example

Task Corporate Social Responsibility CSR is the framework that is used to measure the company’s performance in terms of economic, social or environmental factors that surround the company. A company should be responsible for what happens around it and should be involved in activities that bring development to the community at large. Corporate social responsibility helps build sustainable and stable business environments with healthy markets and surrounding communities (McCabe, 2). The key aspects for corporate social responsibility include; firstly, social investment which involves the company contributing to the infrastructure of the community. Secondly, transparency and accountability whereby the company is transparent on what they do, this will help build confidence from the outside on their business. Thirdly, CSR is aimed at enlightening self interest whereby they are able to work well with the community and, lastly, to increase the expectations of the community on their business and that it is not all about getting profits but, also for providing employment and helping the community in their projects. Corporate social responsibility involves a company’s social investment in a society and the trust they build through their CSR activities. A strong CSR is associated with good business and successful leadership; the way they relate to the community will affect their relationship with their customers and stakeholders (McCabe, 4). They, therefore have to be very careful in ‘giving back to the community’. This report will analyze the WD-40 company corporate social responsibility. WD-40 is a global consumer product company that deals with fabrication of products such as cleaning agents, chemicals, and aerosols. The board manages how the company handles its management and social responsibility, which includes compensations. The WD-40 CSR program assists the neighboring community, stakeholders and investors (WD-40 Company). The community is the greatest beneficiary of the CSR program. In terms of leadership and business ethics, they ensure that they treat all the stakeholders, customers and investors in the same way (Samuel & Celine Louche, 28). Leadership ethics involves the company’s culture of making ethical choices. It measures the company’s obligation to incorporating into the social aspects in their laid down objectives. Another important feature of CSR at WD-40 is transparency. Transparency put in place to ensure that the company is open in what it does to both customers and stakeholders. This help build trust in the whole society. WD-40 makes sure that it involves the employees in the verdict making process and administration of the company. This feature of CSR ensures that the company has a list of its stakeholders and how they engage with them and, that its part of global entities. In the aspect of community development, the company shows how it relates with the community through giving, donations and involvement in development activities (O'Brien, 2). The company should show their responsibility in protecting the health of the community at large. If they are engaging in construction activities, they devise ways to protect the environment by carrying out impact assessments and, giving the community a chance to show whether they are comfortable with their activities, i.e. they should be part of decision-making (McKinsey & Company, 5). The category that involves products and services covers the company’s responsibility in development and management of products and their impacts on the community. The company focuses on the health of consumers and market opportunities available. The quality of their products influences how a product or service will sell; they should ensure that their products work especially, that their products deal with cleaning (WD-40 Company). The human rights category measures the company’s commitment to respecting human rights and the freedoms associated with the human rights. This will help the company be recognized as one that values human rights. In employee CSR, the company has put in place policies on employee compensation and benefits, this helps build trust and self-assurance and maintain a good employer-employee relationship. This also improves the productivity of the employees. The company also provides equivalent employment opportunities regardless of age, gender and religion and in addition provides a proper working environment (WD-40 Company). In provision of a healthy environment, the company focuses on ensuring that the staff is provided with training on health and safety in line with the Occupational Health and Safety system. They should also be trained quality management systems and Environmental Management Systems, this helps with appropriate operations of the company. Environmental policies ensure that the company runs in an environmental safe manner. WD-40 ensures that it uses raw materials that are environmentally safe in consideration of the fact that some resources are non-renewable (WD-40 Company). All the above responsibilities are in line with their set goals and objective on corporate social responsibility. The ‘sweet spot’ is an indicator that provides the balance between costs and benefits. The CSR program has been a success in the company, the CSR team believes in responsibility to their neighbors. No losses have been made due to their activities on social responsibility. WD-40 is focused to bring about high quality products and unique products that provide lasting solutions in maintenance (WD-40 Company). The program of corporate social responsibility has been effective as they have provided to their stakeholders good economic returns and has to the community provided opportunities. They have gained massive profits even though CSR activities drain a company off its finances (Perrini Francesco, Russo Angeloantonio, Tencati Antonio and Vurro Clodia, 3-4). Its love for the people they work for has been a point of their success. To improve on their CSR activities especially those involving the community, they should consider identifying the needy community organizations instead of letting them apply. This will ensure that only those in need are assisted. The company has truly been involved in activities of developing the community in one way or another. They have supported the education of those who are not competent in paying for their expenses. They have also supported community organizations which have applied for assistance and that aim at improving the community at large. They however, have to make decisions concerning the financial status and what might happen if the program does not work, since they are a profit making company. Sustainability has not been an issue in the past years until recently; most of the companies were only concerned with making profits. This is the same case with WD-40. Corporate social responsibility is an essential part of the way a company operates and, it is a key aspect in productivity, especially through managing the impact they have on the community (Zynia, 9). WD-40 should engage in raising awareness of the positive contribution the company makes to the community. It should also develop a strong CSR team in all areas that it operates from to help build a lasting relationship with its stakeholders. They should also consider that they are I business and should not major on CSR activities and, make losses at the same time. They should allow the community to pick social goals for themselves and decide on what they want to have pursued. This will lessen the burden of ‘chasing’ on the community. They should collaborate with the government to motivate development and new technologies and innovative programs to support the community. Works cited Al-bdour, Ali, Nasruddin, Ellisha, and Lin, Soh. The Relationship between Internal Corporate Social Responsibility and Organizational Commitment within the Banking Sector in Jordan, 2010. International Journal of Human and Social Sciences 5:14. Pp 932-939. Amato, Alessia, Henderson, Sybil, and Florence Sue. Corporate Social Responsibility and Sustainable Business: A Guide to Leadership Tasks and Functions. Center for Creative Leadership Greensboro. 2009. CCL Press, North Carolina. Pp 1-11. Web. November 7, 2011, McCabe, Bernard. "Are Corporations Socially Responsible? Is Corporate Social Responsibility Desirable?" Bond Law Review, Vol. 4: Issue 1, Article 1, 1992. Pp 1-5 McKinsey Global Survey Results: Valuing corporate social responsibility. McKinsey & Company, 2009. Pp 1-9. Web. November 7, 2011. O'Brien, Dan. Integrating Corporate Social Responsibility with Competitive Strategy Winner”, Best MBA Paper in Corporate Citizenship, 2001. Georgia. Pp 2-13. Web. November 7, 2011. Perrini Francesco, Russo Angeloantonio, Tencati Antonio and Vurro Clodia. Going beyond a long-lasting debate: What is behind the relationship between corporate social and financial performance, 2009. Milan – Italy. Pp 2-4 Web. November 7, 2011 Rungeler, Lucas. CSR & Organizational Identification: To Which Extent Do CSR Initiatives, GRIN Verlag, 2010, Germany. Pp 1-14. Samuel, Idowu & Celine Louche, Theory and Practice of Corporate Social Responsibility. Springer, 2010. New York. Pp 28-159 WD-40 Company. San Diego, USA. 2011. Web. November 7, 2011. Zynia, Rionda. What Is Corporate Social Responsibility? U.S. Agency for International Development (USAID), 2002. Catalyst Consortium, Washington DC. Pp 1-9 Web. November 7, 2011. Read More