GGSR CHAPT 9

• There are differences in how various countries implement social responsibility
• There are factors that can alter social responsibility and corporate governance in each country
• There are values needed for a business to thrive in the new global environment
• Managers need to adapt their managerial ethics in the global environment
• Companies need to adapt to variations and practices from country to country
• Millennium Development Goals 2000-2015

  • Eradicate extreme poverty and hunger
  • Achieve universal primary education
  • Promote gender equality and women empowerment
  • Reduce child mortality
  • Improve maternal health
  • Combat HIV-AIDS, Malaria,and others
  • Ensure environmental sustainability
  • Develop a global partnership for development
• Sovereign states, NGOs and others need help from corporations through the power of social responsibility to achieve the Millennium Development Goals
• Social responsibility in North America

  • Not heavily regulated compared to other regions
  • Relies on each company's will to pursue social responsibility
  • The US pioneered CSR with varied frameworks
  • The triple bottom line approach (people, planet and profit) is a holistic solution
  • Need to adopt more socially conscious business practices from various stakeholders
  • Social responsibility is wide-ranging and determined by companies themselves, not through policy recommendations
  • Companies are more vocal of their advocacies and use social and cause marketing
  • The free for all definitions of CSR had led to confusion
  • For some companies CSR is still about dole-outs, for others it involves deeper projects
  • Social responsibility has become the driver of growth for many corporations
  • A new norm has emerged where social responsibility is exercised throughout the whole chain of operations
• Social responsibility in Australia/Oceania

  • Linked to indigenous communities
  • The passage of the Native Title Act helped mold the relationship between local aborigines and the mining industry
  • The first corporate citizenship conference in 1998 jump started the movement
  • The Financial Services Reform Act (2001) required disclosure of labor, social, environmental and ethical standards
  • The Corporations Act (2001 and 2004) mandated companies to show details of environmental law violations and licenses in annual reports
• Social responsibility in Africa

  • Considered a hotspot due to growth and rich mineral deposits
  • Despite growth, people have yet to reap full benefits with millions still in extreme poverty
  • Extractive industries have scarred the environment due to mining practices
  • Unmitigated economic practices have proven damaging, with civil wars and revolts resulting in humanitarian concerns
  • The UN's efforts have yet to sustain recovery toward societal mobility without solid governance practices
  • Companies are unsure if they should directly help the region since the government cannot stretch resources enough
• Immediate Concerns in Africa

  • Governance concerns - Democracy is an uphill battle, but working conditions are improving
  • Humanitarian concerns - Social problems like human trafficking, child labor, child soldiers, epidemics
  • Environmental Concerns - Lack of government oversight, gains from businesses rarely benefit communities
• Social responsibility in Asia

  • Governance concerns - Political flashpoints with democracies under threat from corruption, military takeovers, and unpredictable regime changes
  • Humanitarian concerns - Humanitarian efforts are slowly being eradicated, but there is a presence of international organizations providing aid
  • Environmental concerns - The region is slowly recognizing the importance of protecting the environment and balancing growth with sustainable practices
• Social responsibility in Europe

  • Guided by a collective goal for the whole region through the European Union
  • Companies are not required to practice CSR, but most practices are in line with European Commission guidelines
  • CSR as a practice in Europe is bursting with activity and still growing steadily
  • Focus on achieving sustainable corporate practices in the region
  • Gathering more traction and commitment from the business community and other sectors
  • CSR goals include capacity and competence building, equity and diversity, safety and health, environment, entrepreneurship, and innovation and research
  • CSR in Europe is holistic, tapping multiple sectors and using varied approaches
  • Factors like efficacy, brand reputation, and trust are important for businesses concerning their stakeholders
  • Governance concerns - Driven by businesses with strong support from organizations, with a mutually beneficial relationship between government and the private sector