Social responsibility should be understood as a commitment or obligation that each of the individuals that make up the given society must possess to voluntarily contribute to the achievement of a fairer society and to protect the environment. This also applies to companies, where they must be aware of the environment around them on a broad spectrum.
history-approaches-shared-social-responsibilityFrom this point on we will call social responsibility as RS, and Shared or Corporate Social Responsibility as CSR.
RS is made up of both negative and positive actions.
A clear example of this is the social responsibility strategies by a government agency, a company or a non-profit organization, for the recovery of public spaces that are used by the residents of a community or city or the recovery of rivers and lakes of an entity through programs that support certain organizations and that make companies take new measures on their waste.
Until some time ago, it was assumed that the responsibility of companies or organizations was to generate profits for their employees only. Today, this conception is no longer valid, and there will even be those who see it as unacceptable, since in addition to generating profits, the organization must also take into account that all the activities they carry out positively or negatively affect the quality of life of its collaborators and, of course, the communities where the operations are carried out.
Because of this, a large number of companies perceive the term social responsibility as an issue that is not restricted to the social or environmental actions that they carry out in a certain community, but also take into account the interaction that is related to each one. of organizations. It is necessary to emphasize that for companies to act with SR, this concept must be incorporated into their management processes and, therefore, they become an integral part of business strategies and the internal planning system.
History of Shared Social Responsibility
The concept of Social Responsibility evolved from the interest of employers who sought to generate a favorable climate for their workers, in order to guarantee safe conditions for work. After the second half of the last century, after the Second World War and with the socializing aspirations of developing workers, employers saw the political need to progressively integrate them into company management.
In the 1990s, primarily in its infancy, globalization promised a bright future, full of good omens, in which its assumption was that everyone would win, both developed and developing countries. It seemed that globalization would produce an unprecedented development on a world scale but all those expectations have been diluted, this due to great imbalances both between and within countries.
The existing concern about Corporate Social Responsibility (CSR) or CSR is not a new phenomenon, but has been happening for some years. This draws the attention of organizations, especially those that are considered large, and also society in general, public institutions and even unilateral organizations such as the United Nations (UN).
However, this demand for CSR arises mainly from the concern of society for ethical, social and environmental issues. In recent years, business management models have been transforming to abandon traditional management, that is, one that is oriented solely to obtaining benefits and economic performance as an indicator of community social welfare. It is known that the organizations that manage to survive, strengthen and succeed in these times, will be those that can work simultaneously in the social, economic and environmental dimensions.
Approaches to Shared Social Responsibility
Today, it is assumed that companies or organizations are the main stakeholders in solving the problem of integrating CSR policies, since their managers have a wide range of strategies to implement it. Within the socioeconomic environment we can see that the economy is advancing so quickly that free competition is what sets the tone for the success of companies, and it is here that society already acquires value not only as customers, but as a group of interest that requires a change of course.
In this way, the approaches under which the socioeconomic model is analyzed are:
- Quality control in market decisions. Quality of life, conservation of resources and harmony with nature. Balanced remuneration both economically and socially.
CSR consists of consciously assuming commitments that go beyond conventional and regulatory obligations, which should be fulfilled under all circumstances.
The main thematic areas covered by CSR are economic, social and environmental . However, if something characterizes CSR, it is its multidimensional nature that affects different areas of company management:
- Human rightsWork and employment practicesHealth protectionEnvironmental issuesFight against fraud and corruptionConsumers interests
Principles of CSR
The various areas of CSR normally respond to business principles that are universal and for it to be successful, it must be deepened and raised awareness. These principles are:
- Decent employment.Corresponsibility.Respect for the dignity of peopleEthics in business.Linking with the community.Honesty and legality.Social development.Justice and equity.Contribution to the common good.Prevention of illicit businesses.
Based on these principles, a company or organization is socially responsible when it assumes citizenship as a fundamental part of its purposes and bases its vision and social commitment with those principles and actions that allow it to benefit its business and also have a positive impact. to the communities in which it operates.
Thus, the idea of corporate citizenship is based on four general aspects.
According to CSR Observatories, these principles can be encompassed as follows:
Compliance with the legislation is mandatory according to current national regulations and international standards that are in force.
Global and transversal means that it must be applied to all areas of the company, its collaborators and its geographical environment, that is, it is directly involved with the value chain.
Ethics and coherence is among the commitments that are acquired in a public way to apply them to business strategies, but not merely as a marketing move.
Impact management refers to being able to identify and prevent situations that may arise due to business activity.
Finally, meeting the expectations and needs of interest groups or stakeholders is to achieve the integration of social concerns, as well as ethical and environmental concerns, in the company's strategies, in such a way that the value generated is positive for the company. and the environment.
Interest groups
This refers to stakeholders, also called "stakeholders." In order for the company to be successful, there are some basic stakeholders.
Classification of interest groups
Dialogue between stakeholders and the company is therefore somewhat strategic. Since, obviously, the relationships that may arise are not always of the same type, and even if they were, it would not be logical. For this reason, it is very important to prepare a map of the stakeholders of each of the organizations to evaluate and assess their importance.
Positive repercussions
"Corporate Social Responsibility (CSR) is a way of directing companies based on managing the impacts that their activity generates on their clients, employees, shareholders, local communities, the environment and on society in general " (RSC Observatory, 2013)
The fact that an organization becomes SR, carries certain benefits both physical and perception, to name a few we have:
- Loyalty, this implies a lower rotation of interest groups (stakeholders) Contribution both to the development of the common good of the organization and of the communities close to it Improvement of relations between neighbors and authorities, since it gives a better image of the company. Access to capital, since it increases the value of investments and long-term profitability. Better informed business decisions.
Indices
In order to better determine whether a company complies with the guidelines established for society, there are sustainability indices, which are indicators or families of stock indices whose members, listed companies from all over the world, accredit responsible management through of advanced practices in the different facets that constitute two important factors, sustainability and CR.
The indices only incorporate companies that make decisions based on financial, social and environmental criteria. This type of index has become a reference for many companies, aware of the importance of CSR, and they are also taken into account by institutional investors who value those companies that incorporate this type of policies that combine economic success with development sustainable.
THE DJSI
It is one of the most relevant sustainability indexes in the international arena, which means “Dow Jones Sustainability Index”. This indicator quotes daily. The DJSI is made up of 342 companies. Since its launch in 1998, it has become one of the main exponents of a trend that has come to be called sustainable or socially responsible investment. In addition, it is the index with the highest benchmark invested capital, with nearly $ 6 billion.
The general index collects from among the 2,500 largest companies in the world, those that regularly meet a series of requirements:
- Economic (corporate governance, codes of conduct). Environmental (initiatives to avoid climate change, sustainable investments). Social (human capital development, philanthropy).
In addition, a series of specific criteria are taken into account, depending on the sector in which each company operates. As a requirement for their entry into the DJSI, companies must submit to an analysis conducted by an independent agency. This index is reviewed once a year, in the month of September.
FTSE4 Good
This is an indicator that encompasses companies that meet the following requirements:
- Work for environmental sustainability Develop positive relationships with stakeholders Defend and support universal human rights
This index does not incorporate values (indicators) that are related to tobacco, weapons or nuclear energy.
ISO 26000
This standard includes some important aspects, among which it is worth highlighting the development of an international consensus on what RS means and the RS issues that organizations need to address, as well as the provision of a guide for the translation of the principles into effective actions., fine-tuning the best practices that have already evolved, and disseminating information around the world for the good of the international community.
This regulation also delimits the fundamental subjects of SR through a holistic approach, in which it comprises different points of the value chain applied in a global environment for the benefit of society.
Mexico
In Mexico, one of the main advances on the subject is having achieved the consensus of the main business and social responsibility organizations on a concept and a common ideological framework, which undoubtedly facilitates its dissemination and understanding. This is how all AliaRSE organizations agree to understand as Corporate Social Responsibility the conscious and consistent commitment to fully comply with the company's purpose, both internally and externally, considering the economic, social and environmental expectations of all its participants, showing respect for people, ethical values, the community and the environment, thus contributing to the construction of the common good.
Integral dimension of CSR
Comprehensive responsible action implies the analysis and definition of the scope that the organization will have, as already established, in relation to the different needs, expectations and values that make up the being and work of the people and the societies with which it interacts; in this way their levels of responsibility can be understood and grouped:
Economic Dimension
- Internal: their responsibility is focused on the generation and distribution of added value among employees and shareholders, considering not only market conditions but also equity and justice. The company is expected to generate profits and stay alive and thriving
(sustainability).
- External: involves the generation and distribution of useful and profitable goods and services for the community, in addition to their contribution to the public cause via the tax contribution. Likewise, the company must actively participate in the definition and implementation of the economic plans of its region and country.
Social or Sociocultural Dimension
- Internal: implies the shared and subsidiary responsibility of investors, managers, collaborators and suppliers for the care and promotion of the quality of life at work and the full and integral development of all of them. External: it implies the carrying out of own actions and contributions and unions selected to contribute with time and resources to the generation of conditions that allow and favor the expansion of the entrepreneurial spirit and the full development of the communities and, therefore, to a favorable market environment for the development of their business.
Environmental dimension
- Internal: implies total responsibility for the environmental repercussions of its processes, products and by-products; and, therefore, the prevention - and, where appropriate, remedy - of the damages they cause or could cause External: it leads to the realization of specific actions to contribute to the preservation and improvement of the common ecological heritage for the good of the current and future humanity. (Cemefi, 2014)
Information sources
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February, 2018, from Business & Management Website:
www.estrategiaynegocios.net/opinion/1067395-345/la-responsabilidad-socialun-compromiso-de-todos
Argandoña, A. (February, 2010). A shared social responsibility. February, 2018, from the University of Navarra.
Cajiga, F. (2014). THE CONCEPT OF CORPORATE SOCIAL RESPONSIBILITY. February, 2018, from Cemefi's Website:
www.cemefi.org/esr/images/stories/pdf/esr/concepción_esr.pdf
Jáuregui, R. (November 13, 2014). Corporate Social Responsibility: A frustrated experience? EL PAÍS, Economy Section.
Luna, X. (May 2, 2016). Shared social responsibility. A concept of the future. Website:
RSC Observatory. (October 2013). What is RSC. February, 2018, from OBSERVATORIO DE RESPONSABILIDAD SOCIAL CORPORATIVA Website:
International organization of standardization. (September, 2010). ISO 26000 overview of the project. February, 2018, from ISO Website:
www.iso.org/files/live/sites/isoorg/files/archive/pdf/en/iso_26000_project_ov erview-es.pdf
Redacción Finanzas.com. (October 24, 2013). What is corporate social responsibility. February, 2018, from Inversión FINANZAS.com Website:
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