Pyramid Of Corporate Social Responsibility

The responsibilities of a corporation are creating structure and function of its own organisation, providing continuity, effective management and increase of profit, and social responsibilities. Corporate responsibility is concerned with the sustainability of an organisation’s ethics over the long term. At its core, corporate responsibility seeks to add value to an organisation's activities by ensuring they have a positive impact on society, the environment and the economy. The corporate social responsibilities (CSR) can be categorized in philanthropic, ethical, legal, economic responsibilities along with maximising its own profit using “Pyramid of Corporate Social Responsibility”. The CSR can also be categorised in people (includes CSR), planet …show more content…
There can be four prevailing justifications of CSR as moral obligation, sustainability, license to operate and reputation. Many companies have already done much to improve the social and environmental consequences of their activities. However, presumption of conflicts happened while considering CSR is due to traditional approaches which assumes that companies and society are in conflicts. These approaches pit business against the society, a zero-sum game, and is counter-productive since the two were interdependent and companies failed to recognize the importance of CSR in their strategies. According to the article, if the framework that is used for core business is used for social responsibility, then CSR is a source of opportunity, innovation and competitive advantage. A new approach is proposed to develop a relationship between business and society that does not treat corporate success and social welfare as a zero-sum game. The framework which can be used by the companies to identify possible social consequences of action, to discover the opportunities to benefit the society and themselves, to discover CSR initiative to address, and to find the most effective way to do so. Successful corporations need a healthy society and vice versa. The effective integration of CSR can increase the opportunities, efficiency, innovation, heathy environment free from …show more content…
Coca-Cola for example faced allegations which were stated by the NGO movement. according to these allegations, there was presence of pesticides in coca cola products were reported according to the test conducted by a variety of agencies, the company was responsible for water shortage for the communities living around Coca-Cola bottling plant, pollution, and distribution of toxic waste as ‘fertilizer. To combat these allegations the CSR measures taken by Coca-Cola were the installation of advanced rainfall harvesting technology, provision of a bore well for the neighbouring village to supply two tankers of fresh water daily, and on the issue of waste water, the company said the technology its waste water treatment plant used was among the most advanced in the world. The measures taken by the coca cola can be explained by using the concentric circles model of CSR adopted from a statement issued in 1971 by the Committee for Economic Development. According to the original model, the innermost circle represents the economic function includes the growth and job creation were fulfilled by Coca-Cola India. The middle circle represents the ethical responsibilities subjected to awareness of change in social values were partially fulfilled at early operation of plant in India. The outermost circle represents