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Master of Arts in Communication : Corporate

Session Topic : Exploring


Definitions of CSR
Subject: Corporate Social
Responsibility
by Ida Bayuni

Todays Discussion

Part 1 CSR & 5 Dimensions


Part 2 CSR Definitions

CSR & 5 Dimensions

CSR: Definition & The Key

Corporate Social Responsibility (CSR) Definition:


A business system that enables the production
& distribution of wealth for the betterment of
its stakeholders through the implementation &
integration of ethical systems & sustainable
management practices.
The key parts of the definition include:
a.
b.
c.
d.

The production & distribution of wealth


Stakeholder management
Creating an ethical system &
Sustainable management practices

CSR: System Thinking Approach

A system thinking approach is


needed,
to enable corporations to manage
the inter-relationships rather than
linear cause-effect chains & seeing
processes of change rather than
snapshots (Senge, 1990).

Peter M. Senge,
Ph.D
American
systems
scientist.
Founder of the
Society for
Organizational
Learning.

CSR: International Standards Organization (ISO)

Standard for social responsibility of,


a. Private (corporate) &
b. Public sector organizations.
ISO 26000 establishes, 7 core subjects of social
responsibility, of which are parts of most current CSR
definitions:
1. Organizational governance
2. Community involvement & development
3. Human rights
4. Labor practices
5. The environment
6. Fair operating practices
7. Consumer issues

CSR: The 5 Dimensions

No Dimensi
.
ons

The Definition is
coded to the
dimension if it
refers to

Environ- The natural


ment
environment

Social

The relationship
between business and
society

Example Phrases
a. A cleaner
environment
b.Environmental
concerns in business
operations
a.Contribute to a better
society
b.Integrate social
concerns into their
business operations

CSR: The 5 Dimensions (Cont.)

No Dimensi
.
ons

The Definition is
coded to the
dimension if it
refers to

Example Phrases

Socio-economic or
financial aspects,
Economi
including describing
c
CSR in terms of a
business operation

a. Contribute to
economic
development
b.preserving the
profitability
c. Business operations

Stakehol Stakeholders or
der
stakeholder groups

a. Interactions with their


stakeholders
b.How organizations
interact with their
employees, suppliers,
customers and
communities
a. Based on ethical

CSR Definitions

CSR: Definitions (Cont.)

N
o

Definiti
on
Source

Definition

Dimensions

The notion that corporations have


an obligation to constituent groups
a. Voluntarine
in society other than stockholders &
ss
beyond that prescribed by law or
b. Stakeholde
union contact indicating that a stake
r
may go beyond more ownership.

Jones,
1980

Concerned with treating the


stakeholders of the firm ethically,
or in a socially responsible manner. a.Voluntarine
Stakeholders exist both within a firm
ss
Hopkins
& outside. Consequently
b.Stakeholde
, 1998
behaving socially responsibly
r
will increase the human
c.Social
development of stakeholders both
within & outside the corporation.

CSR: Definitions

N
o

Definiti
on
Source

Definition

World
The commitment of business to
Busines
contribute to sustainable economic
s
development, working with
employees, their families, the local
Council
for
community & society at large to
Sustain
improve their quality of life.
able
Develo
pment,1
999
The overall relationship of the
corporation with all of its
stakeholders. These include
customers, employees,

Dimensions

a. Stakeholde
r
b. Social
c. Economic

CSR: Definitions (Cont.)

N
o

Definiti
on
Source

Definition

World
The continuing commitment by
business to behave ethically &
Busines
s
contribute to economic
Council
development while improving the
quality of life of workforce & their
for
Sustain
families as well as the local
able
community & society at large.
Develop
ment,2
000
Business decision making linked to
Busines
ethical values, compliance with
legal requirements & respect for
s for
Social
people, communities & the

Dimensions

a. Voluntarine
ss
b. Stakeholde
r
c. Social
d. Economic

a. Voluntarine
ss
b. Stakeholde
r

CSR: Definitions (Cont.)

N
o

Definiti
on
Source

Definition

Operating a business in a manner


that meets or exceed, the ethical,
Busines
s for
legal, commercial & public
Social
expectations that society has of
business. Social responsibility is,
Respon
sibili-ty,
a guiding principle for every decision
2000
made & in every area of a business.
Commis Essentially a concept whereby
-sion of
companies decide voluntarily to
the
contribute to a better society & a
clearer environment.
Europe
an
Commu
ni-ties,
2001

Dimensions
a. Voluntarine
ss
b. Stakeholde
r
c. Social
d. Environme
ntal
e. Economic

a. Voluntarine
ss
b. Social
c. Environme
ntal

CSR: Definitions

N
o

Definiti
on
Source

Definition

Commi A concept whereby companies


ssion of
integrate social & environmental
the
concerns in their business
operations & in their interaction with
Europe
an
their stakeholders on a voluntary
Commu
basis.
ni-ties,
2001

McWilli
ams
and
10
Siegel,
2001

Actions that appear to further some


social good, beyond the interests of
the firm & that which is required by
law.

Dimensions
a. Voluntarin
ess
b. Stakeholde
r
c. Social
d. Environme
ntal
e. Economic

a. Voluntarin
ess
b. Social

CSR: Definitions (Cont.)

N
o

11

12

Definiti
on
Source

Pinney,
2001

Marsde
n, 2001

Definition

Dimensions

CSR or corporate citizenship


can most simply be defined as a
set of management practices that
ensure the company minimizes the
Social
negative impacts of its operations
on society while maximizing its
positive impacts.
About the core behavior of
companies & the responsibility for
their total impact on the societies,
in which they operate. CSR is not
a. Social
an optional add-on nor is it an act of
b. Environme
philanthropy. A socially
ntal
responsible corporation is one
c. Economic
that runs a profitable business that

CSR: Definitions (Cont.)

N
o

1
3

Definiti
on
Source

Definition

About companies having


responsibilities &taking action
beyond their legal obligations &
Commis
economic/business aims. These
wider responsibilities cover a
sion of
the
range of areas but are frequently
Europea
summed up as social &
environmental, where social means
n
Commu
society broadly defined, rather than
nities,
simply social policy issues. This can
2002
be summed up as the triple
bottom line approach: i.e.
economic, social & environmental.

Dimensions

a. Voluntarine
ss
b. Social
c. Environme
ntal
d. Economic

CSR: Definitions (Cont.)

N
o

1
4

1
5

Definiti
on
Source

IBLF,
2003

Definition

Dimensions

Open & transparent business


practices based on ethical values &
respect for employees, communities
& the environment, which will
contribute to sustainable business
success.

a. Voluntarine
ss
b. Stakeholde
r
c. Social
d. Environme
ntal
e. Economic

Busines
s for

Social
Respon
sibili-ty,
2003

Achieving commercial success in


ways that honors ethical values &
respect people, communities & the
natural environment.

a. Voluntarine
ss
b. Stakeholde
r
c. Social
d. Environme
ntal

CSR: Definitions (Cont.)

N
o

Definiti
on
Source

Definition

The concept that an enterprise


is, accountable for its impact on all
Commis
relevant stakeholders. It is the
sion of
continuing commitment by
business to behave fairly &
the
Europea
responsibly & contribute to
16
n
economic development while
improving the quality of life of the
Commu
ni-ties,
work force & their families as well as
2003
the local community & society at
large.

17

CSRwire
, 2003

The integration of business operations


& values, whereby the interests of all
stakeholders including investors,
customers, employees & the

Dimensions

a. Voluntarin
ess
b. Stakeholde
r
c. Social
d. Economic

a. Voluntarine
ss
b. Stakeholder
c. Environmen

CSR: Definitions (Cont.)

N
o

Definitio
n Source

Definition

Concerned with treating the


stakeholders of the firm ethically or,
in a responsible manner. Ethically or
responsible means treating
stakeholders in a manner deemed
acceptable in civilized societies.
Social includes economic
Hopkins,
responsibility. Stakeholders exist
18
2003
both within a firm & outside. The
wider aim of social responsibility is
to create higher & higher standards of
living, while preserving the
profitability of the corporation, for
peoples both within & outside the
corporation.

Dimensions

a. Voluntarine
ss
b. Stakeholder
c. Social
d. Economic

CSR: Definitions (Cont.)

N
o

1
9

Definiti
on
Source

Definition

A term describing a companys


obligation, to be accountable to all
of its stakeholders in all its
Ethics
operations & activities. Socially
responsible companies consider
in
Action
the full scope of their impact on
Awards,
communities & the environment
when asking decisions, balancing
2003
the needs of stakeholders with their
need to make a profit.

Dimensions

a. Stakeholde
r
b. Social
c. Environme
ntal
d. Economic

Global
Global corporate social responsibility
a. Voluntarin
Corpora
can be defined as business
ess
practices, based on ethical values &
te
b. Stakeholde
respect for workers, communities &
Social
r
Respon
the environment.

CSR: Definitions (Cont.)

N
o

Definiti
on
Source

Definition

At its best, CSR is defined as the


responsibility of a company, for the
totality of its impact, with a need to
embed society values into its core
operations as well as into its
Ethical
treatment of its social & physical
Perform
environment. Responsibility is
21
an-ce,
accepted as encompassing a
2003
spectrum, from the running of a
profitable business to the health &
safety of staff, & the impact on the
societies in which a company
operates.

Dimensions

a. Stakeholde
r
b. Social
c. Environme
ntal
d. Economic

CSR: Assignment

Assignment #01
Companies Perceived to be Socially Responsible
1. Identify examples of corporations you perceive to be
socially responsible.
2. What sources of information have influenced your
judgments ?
3. Visit the corporate websites to see if they contain a
section devoted to CSR activities match your
perceptions of the organizations activities ?
4. Submission
: Next week
5. Number of pages : a minimum of a 2x A4 page
assignment
6. Language
: English
7. Space
: 1.5 space
8. Font
: Times New Roman
9. Use visuals
: Visuals or illustrations to be

References

1. Sims, Ronald R. (2003) "Ethics and Corporate Social


Responsibility: Why Giants Fall". Praeger.
2. IBL (2015) Indonesia Business Links. Web:
www.ibl.or.id
3. Dahlsrud, Alexander (2006) How Corporate Social
Responsibility is Defined: an Analysis of 37
Definitions. Web: http://kantakji.com

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