Introduction to Corporate Social Responsibility

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Introduction
CSR covers the relationship between corporations
and the societies with which they interact
It also includes the responsibilities that are inherent
on both sides of these relationships.
CSR defines society in its widest sense
The literature on CSR and Sustainability, developed
predominently in Europe, North America and UK :
Corporate Philanthropy (1950s) ; Public welfare

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..
In India : First Phase of Philanthropy (1850-1914) : Trust
and institutions for social and humanitarian purposes.
In 1912 : Sir Ratan Tata Foundation was set up in the
London School of Economics (Department of Social
Sciences).
In 1982 : Tata foundation established scholarships for
students who wanted to study overseas.
G D Birla and J R D Tata developed the Bombay plan in
1944 .

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.
Despite the lack of a single definition, my own
research has shown that by examining different
definitions from around the world, it is clear that there
are commonly held understandings about what
constitutes CSR.
Lets firstly examine some of these definitions-----
then I will address the common understanding.

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Definitions..
Canadian Government:

CSR is generally understood to be the way a

company achieves a balance or integration of
economic, environmental and social imperatives while
at the same time addressing shareholder and
stakeholder expectations.

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..
UK Government:

The Government sees CSR as the business

contribution to their sustainable development goals.
Essentially it is about how business takes account of
its economic, social and environmental impacts in the
way it operates maximising the benefits and
minimising the downsides.

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.
European Union:

[CSR is] a concept whereby companies integrate

social and environmental concerns in their business
operations and in their interaction with their
stakeholders on a voluntary basis.

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.
World Business Council for Sustainable Development:

We define CSR as business' commitment to contribute

to sustainable economic development, working with
employees, their families, the local community, and
society at large to improve their quality of life.

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..
The Kennedy School of Government (Harvard
University), CSR Initiative:

The term [CSR] is often used interchangeably with

others, including corporate responsibility, corporate
citizenship, social enterprise, sustainability,
sustainable development, triple-bottom line, corporate
ethics, and in some cases corporate governance.
Though these terms are different, they all point in the
same direction: throughout the industrialized world
and in many developing countries there has been a
sharp escalation in the social roles corporations are
expected to play.
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What do these definitions tell us about CSR?

What are some of the common understandings that

emerge?

How does CSR relate to other concepts?

What other issues arise?

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CSR is an idea whereby companies integrate economic, social
and environmental concerns in their business operations
Many definitions describe CSR as the business pursuit of
sustainable development.

Sustainable development: development that meets the needs

of the present without compromising the ability of future
generations to meet their own needs. (1987 Brundtland
Report).

Like CSR, sustainable development is also recognized as

having three fundamental pillars: economic development,
social development and environmental protection.

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Common Understanding Two: CSR relates to the idea
whereby a business addresses and balances the needs
of stakeholders.
Who/what are stakeholders? Individuals and groups
who may affect or be affected by the actions, decisions,
policies, practices or goals of an enterprise.
Examples:
Shareholders and other investors
Employees
Customers
Governments
Local communities
NGOs
Environment

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