The Course Facilitator ~

1. The Course Facilitator ~ Saadiatul Ibrahim • Room No.: D110 • Telephone No.: 038946 7662 • e-mail: saida@econ.upm.edu.my

2. Expression Chip ~

3. Virtual Class ~ • Notes • Announcement • Assignment

4. Reference Book ~ Thorne, D. M., Ferrell, O. C., & Ferrell, L. (2010). Business and society: A strategic approach to social responsibility. (4th ed.). Canada: South-Western Cengage Learning.

5. Social Responsibility and Business 4TH EDITION FERRELL • THORNE • FERRELL CHAPTER 1 Social Responsibility Framework

6. What do you believe organizations should be responsible for accomplishing?

7. What happens to companies that fail to meet these responsibilities?

8. What is Corporate Social Responsibility (CSR)?

9. Social Responsibility Defined • Social responsibility • Businesses should look beyond their self-interests and recognize that they belong toa larger group that expects responsible participation.

10. Social Responsibility Defined (cont.) • Applies to all types of businesses. • Small businesses • Large businesses • Sole proprietorships • Multinational corporations

11. Business and Society: An Interactive System

12. Social Responsibility Defined (cont.) • Adopts a strategic focus. • Requires a formal commitment from top management. • Communicated through mission and vision statements, annual reports, websites, and public relations. • Requires action and results. • Depends on collaboration and coordination across business and among constituencies. • Large companies often create specific positions and departments to support social responsibility programs.

13. Social Responsibility Defined (cont.) • Fulfills societal expectations. • Provides a return on investment for owners. • Obeys the law and regulatory agencies. • Acts in a just, fair, and correct manner. • Promotes human welfare and good will.

14. Pyramid of Responsibility

15. Social Responsibility Defined (cont.) • Economic • Maintain profitability • Legal • Abide by legal and regulatory influence • Ethical • Ensure just and fair behavior in the workplace • Philanthropic • Promote human welfare and goodwill

16. Social Responsibility Defined (cont.) • Requires a stakeholder orientation • Those constituents who have a stake in, or claim on, some aspect of a company’s products, operations, markets, industry, and outcomes • Companies that operate with a stakeholder orientation recognize that business and society are interpenetrating systems, in that each affects and is affected by the other. • Who are the key stakeholders in an organization?

17. Who determines social responsibility on a Global scale? • Host country? • Home country? • Outside organizations?

18. Managing Social Responsibilityin Home and Host Markets

19. Benefits of Social Responsibility • Greater trust with stakeholders • Greater customer satisfaction • Stronger employee commitment • Stronger investor loyalty • Greater profitability • Countries with greater trust-based institutions foster a productivity-enhancing environment. • Competitive processes are more efficient and effective.

20. Social Responsibility Model

21. Framework for Studying Social Responsibility • Chapter 2 • Strategic Management of Stakeholder Relationships • Chapter 3 • Corporate Governance • Chapter 4 • Legal, Regulatory, and Political Issues • Chapter 5 • Business Ethics and Ethical Decision Making

22. Framework for Studying Social Responsibility (cont.) • Chapter 6 • Strategic Approaches to Improving Ethical Behavior • Chapter 7 • Employee Relations • Chapter 8 • Consumer Relations • Chapter 9 • Community Relations and Strategic Philanthropy

23. Framework for Studying Social Responsibility (cont.) • Chapter 10 • Technology Issues • Chapter 11 • Sustainability Issues • Chapter 12 • Social Responsibility in a Global Environment