Introduction Of Corporate Social Responsibility Research Articles

Business Leadership and Corporate Social Responsibility in the Post-COVID Era

Our paper focuses on the transformation of the concept of sustainable business leadership (especially regarding the Sustainable Development Goals (SDGs)) and corporate social responsibility (CSR) in the post-COVID-19 era. The COVID-19 pandemic is without question posing a generation-defining challenge for public health and the global economy. Moreover, the pandemic has revived some old and introduced many new threats that today’s business leaders will have to face in the years to come. Despite the fact that the COVID-19 crisis was a humanitarian tragedy that continues to ravage millions of lives, it can also be viewed as an excellent opportunity to restart sustainable economic development as well as to help our business and economy to shift towards real business corporate social responsibility and ethical decision-making (thanks to the reduction in carbon emissions as a result of reduced economic activity and travel, increasing investments into healthcare and education, or finding the new ways for working and learning, such as remote work and online education). Our paper examines the effect of small entrepreneurs’ perceptions of CSR on their daily business under the conditions of the COVID-19 pandemic. The paper features an empirical model that assesses the implementation of CSR practices and principles (social responsibility, environmental sustainability, or ecological governance) after the COVID-19 pandemic. The model investigates whether the factors internal to the company might influence the enhancement of the CSR principles. The model is based on our own data obtained from the 450 online questionnaire surveys conducted with managers of small and medium enterprises (SMEs) in the Czech Republic and the Russian Federation. The two countries in question have been selected due to their similarities and, at the same time, differences regarding their geopolitical orientation, pathways of economic transformation, and attitudes to sustainable development policies and embracing SDGs. Our results demonstrate that the business type, as well as the ownership structure, positively impacts the introduction of CSR and sustainable development principles in SMEs in question, while the company’s age has a negative impact. Our results might be of special importance for the stakeholders and business owners wishing to enhance CSR practices and promote sustainable economic development in their enterprises in the post-COVID era.

Реалізація КСВ-проєктів компаніями в Україні

The article is aimed at analyzing different approaches to interpretation of the concept of «social responsibility», highlighting the benefits of introducing social responsibility in the activities of domestic companies and developing recommendations for effective management of implementation of CSR projects in Ukraine. The introduction of corporate social responsibility (CSR) is an integral part of modern management systems of companies over the world, it is an instrument that provides companies with a competitive advantage in the market. The article considers interpretation of the concept of «social responsibility» by different researchers and focuses on the importance of introducing CSR programs in the activities of domestic companies. The advantages of introducing CSR in the context of obtaining internal and external effects are also allocated. The kinds of social responsibility of business and directions of CSR implementation are considered. It is noted that, although the development of social responsibility of Ukrainian business intensified during the wartime, the implemented measures, unfortunately, are not systemic in nature and in no way provide sustainable competitive advantages to companies in either domestic or foreign markets. The article further notes that in order to obtain a long-term effect from the implemented social measures, companies need to approach this comprehensively and develop CSR programs, the implementation of which will contribute to their effective development in accordance with public expectations, which will help to improve their reputation and image, more effectively manage risks, and establish effective relationships with stakeholders. It is proved that the professional application of modern project management tools in the implementation of CSR projects will significantly increase their efficiency and ensure the achievement of the planned goals. To plan and successfully implement their own CSR projects, companies are invited to involve qualified project managers, as well as increase the level of knowledge of employees in the field of project management. Competent use of modern project management tools in the implementation of CSR projects will contribute to the achievement of strategic goals of the development of companies and the formation of socially responsible business.

Strategic Development of International Corporate Social Responsibility in Agribusiness

Introduction. The identification of the interdependent development of society and business contributed to the introduction of corporate social responsibility in entrepreneurship as a guarantee of obtaining from its activity not only an economic effect but also the stimulation of social and environmental development. After all, the development of society requires constant changes in the consumption of various types of goods and services under the condition of a safe level of ecology and agriculture as the basis of food security in society, which necessitates the stimulation of productive activities of corporate social responsibility in agrarian business and its serving industries.
 Aim and tasks. The aim of the study is an analysis of the strategic development of international corporate social responsibility in agribusiness. The main tasks are: to investigate the modern strategic directions of the development of corporate social responsibility, focusing on agrarian businesses, to identify problems and find resources to overcome them.
 Results. Strategies for the development of corporate social responsibility in business are generally formed in relation to the goals and directions of the development of business activity and aim, as a final result, to increase the level of development of business activity, society, and preservation and protection of the environment. Social, ecological, economic, intra-economic, and external strategic directions of CSR influence have been identified, with implementation carried out directly by enterprise employees or with the assistance of interested participants, or "stakeholders." An analysis of CSR business strategies was carried out with the aim of forming the optimal option for obtaining mutual benefits for all interested parties. It was determined that the relevant strategies do not have permanence and need improvement, correction, and adaptation in accordance with evolutionary changes in the development of society.
 Conclusions. The process of implementing CSR in business has a long-term nature and requires determining the optimal relationship between the chosen areas of social responsibility development in combination with the economic activity of business structures. The main directions of CSR development in agribusiness are assistance and promotion of the development and motivation of labor personnel; introduction of waste-free economic production; maintenance of relationships with clients; brand distribution; and environmental protection. The international direction of CSR is oriented in the direction of "green activity," affecting the reduction of the level of poverty and inequality.

МІСЦЕ ТА РОЛЬ СОЦІАЛЬНОГО ПІДПРИЄМНИЦТВА У СТАЛОМУ РОЗВИТКОВІ НАЦІОНАЛЬНОЇ ЕКОНОМІКИ УКРАЇНИ

The article defines the place and role of social entrepreneurship in the sustainable development of Ukraine, examines the correlation of the goals of such development with the spheres of activity of social enterprises. It is noted that social entrepreneurship is designed to become one of the factors of sustainable development of the state, since the main goal is to improve a person's well-being and quality of life, and the main directions of the mission of this economic phenomenon are social, cultural or environmental changes. It is determined that social entrepreneurship contributes to the implementation of the Sustainable Development Goals, since the priority is not economic efficiency, but the need for sustainable social transformations, the formation of civil society, improving social justice, providing social elevators, improving the well-being of certain groups of the population, their quality of life. At the same time, it uses innovative entrepreneurial approaches, activates self-employment and self-realization of the population. It is proved that social enterprises can become institutions, conductors of sustainable development of the national economy of Ukraine. It is determined that most social entrepreneurs act in a targeted way – causing qualitative changes among a certain group of people or in a certain territory. It is proved that social entrepreneurship is characterized by the investment nature of activity – the principle not to expect a short-term effect or benefit, but to strive to get structural changes in the social sphere, long-term results. It is noted that in relation to large businesses, for the goals of sustainable development, the introduction of Corporate Social Responsibility by the owners and top management of the company will be of great importance, because social entrepreneurship is actually the conductor of ideas for Sustainable Development. Two forms of implementation of the social mission are defined: the social aspect of the activity itself – employment, professional development and education; the social result of the activity, for example, the production of socially significant goods or the creation of new social opportunities. It is stated that social entrepreneurship, smoothing out market failures, is implemented because of protest against business models that permeate all spheres of modern life. Attention is focused on the fact that the spheres of social entrepreneurship meet the challenges set by the Sustainable Development Goals. It is proved that social entrepreneurship can help not only ensure effective economic growth of the state, but also contribute to the achievement of the Sustainable Development Goals, which include, among other things, effective employment, poverty eradication, universal education and Prevention of global warming.

СОЦІАЛЬНА ВІДПОВІДАЛЬНІСТЬ ТУРИСТИЧНОГО БІЗНЕСУ В УКРАЇНІ: ОСОБЛИВОСТІ СТАНОВЛЕННЯ ТА ПЕРСПЕКТИВИ РОЗВИТКУ

The article examines the areas of social responsibility implementation in the tourism business of Ukraine. Its characteristic features are the one-time or periodic participation of tourism business entities in individual socio-ecological activities, charity, sponsorship or volunteering, short-term partnership or participation in the implementation of individual short-term projects, individual development of strategies or programs of corporate social responsibility. In the practice of implementing CSR in Ukrainian tourism, responsible behavior is demonstrated by companies that work under the names of well-known international brands, or are representatives of national tourism businesses that have entered the international market, and for which CSR is a mandatory condition for cooperation with partners and clients. Examples and main directions of social programs implemented by domestic tourism enterprises are given. On the basis of the conducted analysis, a conclusion was made about low social activity at the enterprises of the tourism industry of Ukraine, the absence of a monitoring and control mechanism for the implementation of the measures. Among the main problems of low social activity of the tourism business, the high cost of CSR activities, low culture of social entrepreneurship, lack of understanding of the strategic advantages of socially responsible management, reluctance to integrate social and environmental issues into the business processes of one's enterprise are highlighted. The study of successful examples of national and international experience in the implementation of the CSR strategy in tourism made it possible to identify promising areas of socially responsible activities of tourism industry enterprises: responsibility to employees, responsibility to clients, partners and the public, environmental responsibility. A proposed system of long-term initiatives for the gradual introduction of corporate social responsibility into the tourism business in Ukraine. Such initiatives should be implemented through a transparent and honest policy towards tourists, fair treatment of staff, consideration of ethical principles by all participants in the creation of the value chain, compliance with international and national standards of service and safety.

ІНВЕСТУВАННЯ В ЛЮДСЬКИЙ КАПІТАЛ ЯК СКЛАДНИК КОРПОРАТИВНОЇ СОЦІАЛЬНОЇ ВІДПОВІДАЛЬНОСТІ

The article considers investing in human capital as a component of corporate social responsibility (hereinafter CSR). It is studied that human capital is the main strategic resource of any enterprise, and an extremely important component of intangible assets. The concept of corporate social responsibility for investing in human capital is highlighted. The essence of investments in human capital and their features are considered. The benefits of investing in human capital for the state, enterprise and employee. The research carried out by the center "Development of corporate social responsibility" is analyzed. The tendencies of introduction of corporate social responsibility at the enterprises of Ukraine are investigated. The essence of such concepts as "corporate social responsibility" and "human capital" is revealed. Modern problems of socially responsible investment development in Ukraine are outlined. The advantages of introduction of corporate social responsibility for economic growth of the enterprise and economy as a whole are defined. The analysis of scientific works and research shows that the problems of investing in human capital are studied by many domestic and foreign economists. It has been proven that investing in human capital is one of the key components of corporate social responsibility. Ways to increase the effective use of human capital in the business entity to obtain high results and motivate productivity, they can be: taking online courses, which will help improve skills without leaving the production; increase work motivation; investment by the company in human capital. With the help of these tools, the company will be provided with highly qualified personnel and will increase its competitiveness in market conditions. It is established that it is necessary to stimulate enterprises to introduce corporate social responsibility, because this is a concept that does not immediately, but over time provides additional financial benefits. Corporate social responsibility minimizes the non-financial risks that an enterprise may incur. It directly affects financial performance and competitiveness, but in the long run.

ІСТОРИЧНІ АПСЕКТИ СТАНОВЛЕННЯ І РОЗВИТКУ КОРПОРАТИВНОЇ СОЦІАЛЬНОЇ ВІДПОВІДАЛЬНОСТІ В УКРАЇНІ ТА СВІТІ

The article analyzes the main stages of development of corporate social responsibility in the world. Stages of formation of social responsibility in Ukraine from Kievan Rus are highlighted, where social responsibility was manifested as patronage and charity, which in our opinion is a manifestation of the national mentality of the population before the establishment of the Center for Corporate Social Responsibility. as well as to properly compile non-financial reports which contain information about social and environmental programs of companies. The relevance of the chosen topic is justified by the fact that today corporate social responsibility is considered not only from a theoretical perspective but also from a clear effective practical. The introduction of corporate social responsibility in enterprises is the basis for effective business development. In order to meet the high demands of society, the company must address important social issues in the long run with clearly defined goals, objectives and results to be achieved. The most important competitive advantage of enterprises is CSR, which will improve the reputation of enterprises, which will lead to increased financial performance. The article proposes to consider corporate social responsibility as a three - dimensional interaction of business - state - society. However, it is business that must assume the role of a leading link in the mechanism of coordination in the economy and society of individual and group interests. Every corporation must be responsible for the results of its activities, to employees, partners, shareholders, stakeholders and society as a whole. Examining the history of corporate social responsibility, we can conclude that it has slowly evolved over time and has become part of the daily vocabulary only in the last decade. Today, much attention is paid worldwide to the development of corporate social responsibility, because it is not only economic prosperity but also preparedness for crises that occur around the world. Ukrainian business is ready to implement the concepts of corporate social responsibility, which should be regulated by state legislation.

ПРОБЛЕМИ ВПРОВАДЖЕННЯ КОНЦЕПТУ КОРПОРАТИВНОЇ СОЦІАЛЬНОЇ ВІДПОВІДАЛЬНОСТІ В УКРАЇНІ

The article deals with the theoretical foundations of the corporate social responsibility. The purpose of the article is to systematize conceptual approaches to the interpretation of corporate social responsibility, as well as to identify the main problems of effective implementation of the corporate social responsibility concept in Ukraine. An analysis of a number of concepts of corporate social responsibility is made. The main basic concepts are: the basic concept of corporate social responsibility, the theory of corporate selfishness, the concept of corporate social receptivity, the concept of corporate social activity. he expediency of forming a high level of corporate social responsibility for all enterprises is substantiated. The advantages of forming a high level of corporate social responsibility for the enterprise are determined. There are: increasing the competitiveness of the enterprise; increasing the investment attractiveness of the company; increasing the company's profit by increasing the price; increasing staff motivation and increasing productivity; establishing effective cooperation with local authorities. he expediency of comprehensive stimulation by the state of effective development of social responsibility of business is substantiated. The positive consequences of the formation of a socially responsible business sector for the state and for society are determined. The analysis of approaches to the interpretation of the essence of corporate social responsibility is carried out. The author's definition of corporate social responsibility is offered. This concept is interpreted as the responsibility of the business entity to society for the consequences of its activities and compliance with the priorities of its operation to certain social standards and expectations. The main problems of introduction of corporate social responsibility in Ukraine are considered. There are: lack of an effective mechanism to stimulate the growth of the number of socially responsible companies; imperfect and insufficiently developed legal framework; lack of proper awareness of business entities about the role of business structures in the social development of the state and the positive consequences of socially responsible behavior; a small number of domestic companies which have a strategy of social responsibility.

OVERVIEW OF TRENDS IN THE DEVELOPMENT OF SOCIALLY RESPONSIBLE BUSINESS IN THE EU

The paper analyzes the approaches of scientists and the essential characteristics of corporate social responsibility as a factor in increasing its attractiveness and public confidence. The purpose of the study is to define the definition of "Social responsibility of business", to study the historical aspects of its formation. A separate analysis of foreign experience, namely the EU countries, in the development of ethical business principles of conduct of economic entities and tools for their systematic compliance. In the course of the research, it was established that socially oriented business monitors the implementation of codes of ethics and regulations adopted in its own corporate strategy. Social principles of interaction relate to a responsible attitude to the environment, compliance with labor laws on working conditions for employees, social investment in educational, sports, environmental and scientific programs for the growth of social, innovative and cultural capital in the country. It was found that the socially oriented activity of companies forms a trusting attitude towards themselves on the part of international partners and investors, which ultimately affects the financial result. cooperation between business, the public sector and government agencies in shaping social sustainability. Based on the analysis of indicators of social activity of business in European countries, a rapidly growing dynamics of social investment, given the reduction in the number of socially oriented projects to support corporate and socially oriented business. Emphasis is placed on the increased relevance of the introduction of corporate social responsibility by Ukrainian entrepreneurs and communication with society due to the lack of dissemination of ethical practices and low interaction. It is critical for Ukraine to adopt the European experience to develop its own model of socially responsible governance, which can be the subject of further research, and to combine it with national traditions and interactions to reduce the negative consequences for all stakeholders.

Following His Majesty’s Directives: Corporate Generosity, Social Responsibility, and State Making in Oman

This article investigates the social and political effects of the introduction of Corporate Social Responsibility (CSR) in Oman. With oil reserves dwindling, Oman faces the challenge of transforming a society and economy long dependent on distributive state spending into a diversified economy capable of continuing the nation’s prosperity after oil. As a seemingly market-based solution to the problem of “too much” government, CSR has been championed by officials and practitioners as a tool to empower private sector businesses to replace the state as a provider of welfare and services. Drawing on ethnographic fieldwork and interviews with members of Oman’s business community, state officials, and others, this article challenges these presumptions, demonstrating that CSR has been implemented in Oman in ways that perpetuate the nation’s dependence on oil revenues and distributive state subsidies. Pointing out that the Omani state’s subsidy-driven development has long relied on the incentivized collaboration of private sector businesses, this article argues that the introduction of CSR in Oman has occurred in ways that resonate with older practices of corporate generosity. Instead of introducing market-based alternatives to state-guided subsidies, CSR has been instituted in Oman in ways that allow the state to leverage private sector organizations to extend its distributive reach. In conversation with scholarship on the role of neoliberal discourses and practices in the diversification efforts of states of the Arab Gulf, this article highlights the discrepancy between development plans and their outcomes to demonstrate how seemingly neoliberal interventions may be co-opted to achieve alternative ends.

Sustainability accounting and corporate social responsibility in Turkey and in its region

Research question: As a newly developing area, this paper aims investigate recent developments and applications of social responsibility practices in Turkey and in the neighboring regions in a comparative way. Motivation: The sustainability reporting is relatively a new subject in Turkey both in practice and in academic circles. The introduction of Corporate Social Responsibility as a concept in Turkey does not have a long history. The last five years witnessed a significant change in terms of corporate social responsibility (CSR) applications. Increasing number of companies started to implement sustainability accounting and corporate social responsibility practices. Companies began to adopt corporate social responsibility by considering it as a tool for medium- and long-term success. As a reflection of growing interest in sustainability and CSR, the number of NGO’s and consultancy firms operating in this field has also increased recently. In 2014, Sustainability Index was created within the Istanbul Stock Exchange (ISE). Idea: The understanding of the social responsibility applications and priority areas vary between different countries depending on their economic, social and political dynamics. In order to see the intra-regional variations, in this paper, we compare corporate social responsibility and sustainability applications in Turkey and in the neighboring regions by selecting Russia and Greece in the same region. Data: For the analysis, we collect recent sustainability reports of Turkish companies from GRI database and make a content analysis to evaluate practical applications of CSR and sustainability in Turkey. Then, we discuss corporate social responsibility applications in Russia and Greece. In the first part of our paper we examine corporate social responsibility and sustainability applications in Turkey by making an analysis of sustainability reports and CSR activities in Turkey. In the following part we discuss corporate social responsibility applications in the neighboring regions and make a comparison with Turkey. To this end, sustainability reports of Russian Federation and Greek companies in GRI database are analyzed for CSR activities. In the final part of our paper, we make a comparative analysis of CSR applications in Turkey and in the neighboring regions. Findings: The final analysis of CSR in Turkey and neighboring countries supports the idea that understanding of CSR varies in different countries depending on their social structure and economic development level.

Innovative approaches in the human resource management system of communication enterprises

The main innovative approaches to the human resource management system in communication enterprises have been identified. These include: personnel development, building systems of traditional and unconventional motivation, formation of corporate culture, development of a model of competencies for a particular enterprise, using computer technologies in personnel management, as well as the introduction of corporate social responsibility in the activities of the enterprise. The rating of the main measures on corporate social responsibility implemented in communication enterprises is determined.

The Status of Corporate Social Responsibility

This report shows the reason why corporate social responsibility (CSR) is needed by Australia companies with a brief introduction of CSR, and in order to achieve sustainability, organisations should fulfil social expectations. Both organisations and society can benefit from acting CSR. Internally, acting CSR can decrease the turnover of employees and the company’s potential risk, improve customers satisfaction and the company’s reputation. In addition, externally, acting CSR will protect the environment, facilitate the economic development and improve organisations’ ability to survive. However, CSR is an uncompleted concept, it still has some limitations in comparability, consistency, reliability, and relevance. Therefore, effective regulatory system should be designed to monitor those companies that introduced CSR policies.

CSR public policies in India's democracy: ambiguities in the political regulation of corporate conduct

AbstractThe rise of public policies in the field of Corporate Social Responsibility (CSR) suggests a reassertion of state power over a phenomenon initially designed to weaken public authorities. But depending on policy objectives and underlying state-business relationships, CSR public policies seem to oscillate between the steering of corporate conduct towards political goals and the provision of political support to business interests. The present paper offers new perspectives on this ambiguity. Using social systems theory to guide a comparative study of two major Indian CSR policies, the analysis distinguishes two levels. At a functional level, the introduction of CSR in Indian regulatory politics produced more or less constraining expectations that open up opportunities for companies to participate in the performance of political functions. At an operational level, however, even a “mandatory” policy designed primarily according to political calculations let companies decidehowthey perform these functions. This persistence of voluntarism, which is supported by the semantic properties of “CSR,” consolidates the role of profit-driven calculations in the regulation of corporate conduct and, in the Indian case, in the redistribution of resources for social welfare. Research perspectives on the implications of CSR public policies for democracy are outlined in concluding remarks.

State-Mediated Globalization Processes and the Adoption of Corporate Social Responsibility Reporting in China

ABSTRACTDespite the prevalence of global diffusion, little is known about the processes by which international practices are adopted and adapted within organizations around the world. Through our qualitative research on the introduction of corporate social responsibility (CSR) reporting at two leading Chinese companies, we identify a unique set of political mechanisms that we labelstate-mediated globalization, whereby powerful nation-state actors influence the ways in which corporations adopt and adapt global norms and practices. We find that businesses’ needs for political legitimacy from a key stakeholder, in this case the government, leads them to deviate systematically from the global practice in bothformandcontent. These intentional practice adaptations are then legitimized by the government to createinternationalization toolsandlocalized standardsto aid adoption by other organizations. Our findings illustrate previously unidentified mechanisms by which powerful stakeholders such as the Chinese government may mediate, and thereby direct, the ways in which corporations adopt and adapt global CSR practices. Contributions to understanding the political processes of institutional translation in the context of globalization are discussed.

La relación entre el beneficio empresarial y la RSC. ¿Ganan más las compañías más responsables?

Persistent financial crisis and the cases of corruption afflicting Spain have broken the trust of society that forcefully demands an ethical, responsible and sustainable management of organizations, which are not immune to environmental problems. The effects of globalization, the introduction of tecnoestructura as a management model, technological and socio-economic changes have reshaped the cultural, management and ownership system of the current company, the company nowadays is transferred the responsibility to combine growth and competitiveness with social development and environmental improvement. This reconfiguration of business management model is implemented with the introduction of Corporate Social Responsibility (CSR) in the strategic plans of the companies with the purpose of achieving a competitive advantage. The question is: can the most responsible companies be more profitable? The introduction of CSR in the organizational culture of the companies involved as a vector, accelerates the profitability of the companies that apply it: the higher level of CSR used, the more profitable the companies are. These conclusions are determined from a linear regression analysis comparing the ROA –return on assets– to CSR levels in a hundred companies with higher levels of sustainability that operate in Spain, according to a survey published in 2014 by the Monitor business Corporate Reputation (Merco)

Corporate Social Responsibility: A Study

One of the significant feature of the Indian Companies Act, 2013 is the introduction of corporate social responsibility to be undertaken and discharged by the corporates. The CSR was even discharged by some of the major companies in India before the Act 2013 such as Tatas and others based on the concept that 'service to mankind is service to God.' There is no doubt that activities like CSR enhances the reputation and image of the corporate bodies in the eyes of the public and in a way such activities help the corporates to increase their marketability and sales promotion, despite the fact that the products manufactured by them commended to the public with regard to quality and affordability. CSR activities will strengthen the arms of the Government in promoting social welfare projects in a society wedded to a Social Welfare State where the State has to promote the welfare of the people so that in the welfare of the people lies the welfare of the State.

Determinants of Behavioral Intention to Use South Korean Airline Services: Effects of Service Quality and Corporate Social Responsibility

Since the introduction of corporate social responsibility (CSR), it has become an important duty of companies and organizations. In addition, academic and industry researchers have attempted to explore the effects of corporate social responsibility on firm performance. To this end, this study examined how corporate social responsibility and service quality are notably associated with customer satisfaction and behavioral intention to use by employing a structural equation modeling method. A research model with nine constructs was introduced and the findings revealed that economic, social, and environmental responsibility, as well as in-flight service quality, significantly determined customer satisfaction, while there were notable connections between customer satisfaction and behavioral intention to use. However, service quality at airports did not have a significant effect on satisfaction. The practical and theoretical implications of the current study are discussed.

Corporate Social Responsibility, Governance-Frauds-Ethics & Sustainability

Life blood of business i.e. human resource, intellectual capital, finance, material etc are all the resources in absence of which no commercial activity have an initiation, growth and survival. Corporate around the world have an onus and pious responsibility to repay the society for every resources acquired for their profitable motive. Since decades this duty has not been fulfilled by the corporate of India, hence gradual introduction of laws to bind the companies to fulfil their responsibility, their duty towards the economy they form a huge pie, through introduction of Corporate Social Responsibility a mandate in Companies Act, 2013,Competition laws, Corporate Governance and various controlling mechanisms like, Accounting standards and introduction of IFRS, Role of Company Secretaries and change of face Cost Accountants as Cost and Management Accounts, a need of time, challenged with frauds, scams, unethical competitions and malpractices. Satyam, the face of Indian sunrise sector, and now identical to classic frauds of Indian corporate is only one instance to recall, but the Indian economy has been through various frauds in corporate, banking, insurance including the regulatory and depository body of India, i.e. the NSEL scam worth crores to name a few. These instances outshine with a basic understanding that with all the external control, India needs a strong youth brigade with an astounding morale, soul and determination to be true, fair and just in their practices, a valued education and social system.

Does Corporate Social Responsibility Make a Difference?

We have always known that heedless self-interest was bad morals. We know now it is bad business. --Franklin Delano Roosevelt (1937) Lundin Petroleum's First Steps in Corporate Social Responsibility The introduction of corporate social responsibility (CSR) in a company is often linked to a crisis. The Exxon Valdez oil spill in US waters and the proposed sinking of the Brent Spar platform in the North Sea represented seminal events leading to a higher awareness of environmental issues within the sector. The recent Deepwater Horizon accident in the Gulf of Mexico will no doubt have a similar impact. Likewise, allegations of complicity in human rights violations in Burma, Nigeria, and Sudan brought sociopolitical issues onto oil companies' agendas. In each case, traditional business models that focused on technical and financial parameters proved inadequate to deal with the crises and criticisms regarding the companies' possible role in them. The conflict in Sudan led Lundin Petroleum to review its business model and integrate CSR in its business strategy. (1) In 1997, it had acquired a license to explore for and produce oil and gas in South Sudan (Block 5A). Although the government of Sudan was embroiled in a civil war and not perceived well internationally, there were no legal impediments (sanctions) to the company doing business there. Peace prevailed in the concession area and the prospects of finding oil seemed significant. A couple of years after the company acquired its license, however, certain tribal factions, who claimed the government was violating the local peace agreement, started to join the rebels engaged in the civil war. Concerned about the security of its staff and operations and about mounting allegations of human rights violations in an adjacent oil field, the company hired a consultant to review the sociopolitical implications of its presence in the area and advise on steps to be taken. If at the time the company was not linked to the problems on the ground, management felt that ties with the local communities should be reinforced to preserve the company's social license to operate. Community development projects were thus initiated locally. (2) This first step, albeit necessary and beneficial to the recipients, proved to be insufficient to make up for the deteriorating relationship between local tribal leaders and the government. The working environment became unsafe, as rebels declared oil fields and staff legitimate military targets, and certain nongovernmental organizations (NGOs) began to criticize the company for its alleged role in that conflict. The company ceased all field operations, except for its community development projects, and hired a corporate responsibility (CR) manager to develop its CSR framework. The adoption of the CSR framework represented a strategic shift in the way the company operated. Until then, the company had considered geology and its commercial prospectivity as the overriding business drivers, but the situation in Sudan led it to review its business model and integrate sociopolitical considerations to preserve its legal and social license to operate, and to ensure the sustainability of the company and its operations. Lundin Petroleum's values and business principles were rendered explicit in a Code of Conduct, which was adopted further to discussions with management and the board of directors. The CR manager also elaborated health, safety, environment (HSE) and community relations policies; developed a Human Rights Primer; launched a community development and humanitarian assistance program; and initiated a process of stakeholder consultations. There were multiple stakeholders with divergent views about the situation in Sudan. If all the stakeholders wanted to see a sustainable peace, they each envisioned a different way of reaching this outcome; certain NGOs and media contended that oil was the cause of the conflict and that oil activities should be suspended until a peace agreement was reached. …