Professional Documents
Culture Documents
Defining The Company's Mission and Social Responsibility
Defining The Company's Mission and Social Responsibility
Chapter 2
Chapter Topics
Product-service
Ex 2-2 (contd.)
Geographic domain
Ex 2-2 (contd.)
Philosophy
Responsibilities of the
Board of Directors
Responsibilities of the
Board of Directors
• To set broad company policy on such
matters as labor-management relations,
product or service lines of business, and
employee benefit packages
• To set company objectives and to
authorize managers to implement the
long-term strategies that the top officers
and the board have found agreeable
• To mandate company compliance with
legal and ethical dictates
• Corporate responsibility
• Increased disclosure
• Audit committees
• New crimes and increased criminal penalties
• New civil cause of action and increased
enforcement powers
• Auditor independence
Stakeholder Approach to
Social Responsibility
Social Responsibility
View of Outsiders
The 4 E’s
Enlist the support of the
consumer
• Economic responsibilities
• Legal responsibilities
• Ethical responsibilities
• Discretionary responsibilities
Government threatens
increased regulation if A responsive corporate
businesses do not meet social policy may enhance
changing social standards a firm’s long-term viability
CSR Today
Social Audit
Institutionalizing CSR
within firm
Management Ethics
• Ethics refers to the moral principles that
govern the actions of an individual or a
group.
• Values of one individual, group or society
may be at odds with the values of another
individual, group, or society.
• Ethical standards reflect not a universally
accepted code, but rather the end product of a
process of defining and clarifying the nature
and content of human interaction.