Corporate responsibility is something that the company needs to carry throughout its life. It is directly related to the needs and requirements of the people or customers. Many companies promise so many things to their customers but do not complete their promises. This automatically affects the lives of the people or consumers.
These days, almost all companies work with the aim to maximize their profits. They only want money and for this, they do everything, no matters whether it is good or bad. In order to grow more they are harming the values of people, breaking their trust, and harming the environment. They do not obey the legal rules and make strategies that are harming the welfare of the society.
Few corporate are aware of their responsibilities and they know that if they will work for the betterment of the society then this will automatically help the company to maximize profits. Corporate social responsibility will be beneficial for company and society as well. It integrates the environmental, ethical and legal responsibilities into the governance of the business to ensure that the business is flourishing without harming these things.
What is corporate social responsibility?
In this cutthroat competition, every company wants to achieve more and more and for this, they want more customers. They do everything they can to achieve more customers. Sometimes, it effects negatively to the society. Corporate social responsibility does not mean that the owners and the [partners of the company must behave properly as it involves every member, worker, and employ of the company to work for the benefit of the society. However, it is not an overnight process; a company should carry this process throughout its life. In this, a company must ensure that the production and the policies of the company do not negatively affect the society. This involves the dumping toxic waste, outsourcing, wages to workers, products or services provided by the company, and other things. Apart from this, the company must meet all the legal, social, environmental, ethical and other requirements.
Effects on people
It can have positive as well as negative effects on the people, which can either harm them or can benefit them.
Positive effects
- The endorsement program can be done as a charity for poor people of the society. The motive of the company can be raise the voice of poor people in front of the world and this can help them in their betterment.
- It can generate source of employment to unemployed people. Various training programs can be organized by the company in order to make the people skilled.
- It can generate enough revenue for a particular region, which can be used in the development of the people.
- It can provide services to the people of the region where the company is located.
Negative effects
- It can affect the health of the local people. Dumping of chemical waste, gaseous wastes and other harmful gases can affect the health of the local people.
- The company may be illegal and can harm animals for leather and other things. The business can also harm the environmental conditions and can contribute to global warming.
- This can promote or support the consumption of alcohol and other drugs, which can lead the society towards a wrong direction. This can support people who are addicted to these things.
Summary
Corporate social responsibilities are important of a business and a business must meet all the social responsibilities. An effective social corporate responsibility can benefit the society. On the other hand, lack of corporate social responsibilities can harm the society.
