CSR

Corporate Soca
Responsbty
Introducton

Prevousy organzatons were nvoved n money

makng ony but n todays word corporate soca
responsbty s the man focus of organzatons.

The mprovement n technoogy, nternet,

teecommuncaton

and meda have made peope more

knowedgeabe and created an ease for them to
get to know about goba corporate operatons
and ther adverse mpacts on the envronment
and the stakehoders coectvey.

There has been a tte roe on behaf of non-

management workforce to perform ths roe.

But now a days non managera workforce nvovement

s consdered necessary to acheve CSR and empoyees
strategc contrbuton of HRM n CSR.

CSR s payng a ma|or roe n decson makng, deangs

n everyday fe and utmatey n Organzatons
success n current tme.

Organzatons are workng for profts aong

wth stakehoders and consderaton to
socety.

stakehoders are those who have a cam

n

some aspects of a companys products,

operatons, markets, ndustry etc.

Stakehoders can provde and wthdraw

resources.
CSR-n Genera

CSR generay means a busness organzaton shoud

behave we n a ts deangs and take sutabe steps
whch hep to mnmze the adverse mpacts of ts
operatons on the envronment and stakehoders.

It shoud aso contrbute towards the wefare of the

socety n genera. The organzatons commtment to
CSR has been drecty proportona to ts success.

Eradcatng poverty and tackng wth goba warmng

are exampes of CSR.
CSR-Defnton

They descrbe CSR n terms of four eves.

The basc eve s of economc responsbty and accordng to

ths companes shoud be proftabe to provde return on
nvestors nvestments.

Secondy they shoud obey a aws and reguatons.

Thrdy they must foow standards of acceptabe behavors as

|udged by stakehoders

fna responsbty they shoud be nvoved n actvtes that are

not requred by busnesses but promote human wefare.
CSR: Major responsibility of HR

HRM s a ma|or factor that dfferentate

the successfu and unsuccessfuy
organzatons.t s more mportant than
the technoogy and fnance to acheve
the compettve advantage.
Machington &
wilkinson
|obs appcant and
empoyee percepton of a
frms CSR determne ther
attractveness towards the
organzatons.

Greening
&Turban
HOW TO EMBED CSR INTO CORPORATE
CULTURE

Accordng to Strand berg Consutng ( 2009),

there are ten steps of acton:
1 1 Vision, Mission, Values and CSR Strategy
Development
HR professonas shoud deveop a vson, msson, and
vaue framework to ncorporate CSR nto the
organzaton, take ths nto the notce of senor
executves and show them how CSR can brng postve
changes and add to ROI of the organzaton.
Invovement of empoyees and other stakehoders n
the deveopment of vson, msson and vaues
framework s necessary.

Empoyee atttude and behavor are

sgnfcanty nfuenced by the
farness of the organzatons
towards them.
Cropanzon et
al

Employee Codes of Conduct

HR professonas shoud wrte ceary codes of conduct
document about expectatons from empoyees because codes of
conduct pay a ma|or roe n the ntegraton of CSR nto
organzatons cuture.
3 Workforce lanning and Recruitment
HRM professonas shoud anayze present workforce n terms of ther
competences, competences that are needed n future, and any
gap between present and future needed competences n ther
empoyees. They shoud ncude CSR questons nto recrutment
ntervews and the offer etters to et empoyees know the
companys focus on deveopng CSR cuture nto the organzaton
and ths aso attracts maxmum appcants.
! "rientation, #raining and Competency Development
HR Department shoud gve compete overvew and nformaton
about CSR durng ts orentaton and tranng programs and how the
company measures ts CSR performance. New empoyees shoud be
gven tranng on annua or reguar nterva.
! Compensation and erformance Management
They shoud ntegrate ths nto |ob descrpton, annua
performance pans and team goas. Reward s an mportant factor
to motvate empoyees; they shoud ncorporate CSR nto the forma
and nforma reward system.

" C$ange Management and Corporate culture

In settng the tone of change they shoud agn t to
frms CSR vson and goa.
% % Employee &nvolvement and articipation
The empoyees and ther fames shoud be supported n
earnng and takng acton on soca and envronmenta
concerns at home, work, and n ther communtes.
When empoyees are nvoved n a the decsons of the
company ncudng CSR strategy deveopment, t rses
empoyees retenton, engagement, and enhance
recrutment n the company.

# CSR olicy and rogram Development

HR professonas shoud deveop and

mpement programs ke weness,
dversty, work-fe baance,. These a are
CSR programs and support CSR vaues and
come n HR areas.

Empoyee vounteerng program to bud

out the empoyee vaue proposton and
empoyer brand and unpad eave program
for empoyees to pursue persona pro|ects
agned wth company vaues.

A these programs requre management

support, roe-modeng and ongong
communcatons whch further foster frms
CSR approach.
$%ployee Co%%unication in Corporate Social
Responsibility
$%ployee Co%%unications

A CSR organzaton shoud deveop and

mpement empoyee communcaton program to
convey corporate ob|ectves, vson and every
strategy to workforce.

Intranet, soca networkng stes, webstes,

eectronc meda etc. may be the modes of
communcaton.

The goa of CSR communcaton shoud be to

nvove empoyees n frms CSR msson and aso
to ensure frms top eve management
commtment to CSR to nsert ths n the frm.
Measure%ent& Reporting an' Celebrating
Successes

CSR performance and empoyees CSR

engagement shoud be actvey measured and
reported to executves and pubcy n the form
of annua CSR report.

Frms CSR commtment can be ke turn over,

heath and safety, empoyee deveopment and
dversty etc.

Management must ceebrate sma wns and

ma|or mestones to mpement CSR
commtment n organzaton.
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Increased Retenton and Reduced Recrutment and

Tranng Costs:

A survey conducted n 2000 found that 71% of

peope want to work for companes that commt to
soca and communty concerns.

Accordng to a goba survey by Gobe Scan (2003),

68% students prefer companys soca and
envronmenta reputaton more than saary whe
decdng for |ob.
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Better abe to Attract the Best and the

Brghtest, especay amongst Graduates:

A study of MBA students at Aspen

Insttutes 2007 found that they prefer
more socay responsbe organzaton.

MBA graduates woud sacrfce an

average of $13,700 n saary to work for
a socay responsbe company.
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Cost Savngs and Income Produced through Improved Empoyee

Morae and Productvty:

An organzaton that has commtted organzatona cuture that s

supported by responsbe HRM practces can acheve maxmum
success by mproved proftabty, customer satsfacton, empoyee
morae, ega compance and soceta approva for ts exstence.

Devery of a CSR actvtes s essenta to get the trust of

stakehoders and that devery s done once the CSR s embedded
nto the organzaton cuture that can be done by HR professonas
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CSR-Ma|or responsbty for HR professonas:

HRM s more mportant than others to acheve
compettve advantage. So HR dept. shoud be fuy
functona and empowered, understand the
mportance of CSR and ts consderaton by a nterna
and externa stakehoders to vaue organzaton.
(Marchngton and Wknson (2008)

Fnanca and Non-Fnanca benefts:

Many of these are outcomes of CSR so t must
be emphaszed by HR professonas.
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Embeddng the CSR:

HR professonas shoud ncorporate the CSR nto
the company msson, vson, goas and empoyees
codes of ethcs to make t fuy ntegratve.

CSR- A part of Staffng:

Durng recrutment, seecton, and taent
management actvtes HR professonas shoud focus
on CSR. Knowedge about CSR durng recrutment
shoud be preferred and apprecated.
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CSR- A part of Tranng:

Empoyees shoud be traned on CSRs atest knowedge at
reguar ntervas to keep them motvated.

CSR n Performance and Reward System:

Performance and Reward system must be on the bass of
CSR so empoyees w be more commtted.

10 step Road Map:

Ths roadmap must be foowed by HR professonas and
Top management to embed CSR n the organzaton.
*earning

Prevousy no mportance gven n such

aspect

Soca wefare

Unbeatabe compettve advantage