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Corporate Social Responsibility Management Mr.Somwang Witayapanyanond 23 April,2013 1.

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Presentation on theme: "Corporate Social Responsibility Management Mr.Somwang Witayapanyanond 23 April,2013 1."— Presentation transcript:

1 Corporate Social Responsibility Management Mr.Somwang Witayapanyanond 23 April,2013 1

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3 Why CSR? Moral Obligation Human duty Sustainability For a long life business License to operate Acceptance from all stakeholder Reputation Brand name, awards, create share values 3

4 CSR view points C: Corporate Company (small, medium, large ), Big City, Non profit Organization (for social objectives) S : Social People in all stakeholder. Near (customer, employee, community, ecology areas), Far ( competitors,population, world) R : Responsibility Ethics (no exploit, fairly), environment, safety, health, quality of life, economics, ecology, natural resources. 4

5 Scope of CSR Total supply chain From raw material to goods until end of product life cycle 5

6 CSR definition Organization operation, response to internal and external, with balancing among economics, social and environment as competitiveness and sustain development. 6

7 CSR property License to operate Long term action Reputation Crisis prevention from economic, creative, conflict, disaster Share holder VS social (conflicts of interests) 7

8 CSR input Money & materials Machine & Manpower Knowledge Mental 8

9 CSR check points Customer Loyalty Sale increase Continuous production Proud and Cohesive Employee Reputation Government relation Return of good license action Never been attacking Better social climate NGO friendly Barrier decrease 9

10 CSR Driving 10 Politic Social Econo mic New Technology Oversea Coming Globalization Competitor CSR Business survive Company Other benefit balancing & sharing Public service (health,environment, education,safety,life)

11 CSR Management process 11 Planning Organization Evaluation Think Leading CSR Management Check Who Do

12 CSR people 12 Government Family Local authority Company Community Non profit Organization

13 Social responsibility Network Other corporate Human right Tax pay Anti- corruption Social ethics 13

14 Social problems and Issues Global warming (CO2) Alternative energy (Food areas VS Energy area) Environment (Forestry VS Disaster) High age > 60 years >10% (high take care) Labour welfare Corruption (high price products) Poverty Life science (health) 14

15 Classification of CSR Process Level Resources Activity Development Form Work unit 15

16 CSR : process classification CSR-after-process Social activity after work time CSR-in-process Added CSR in supply chain in work time,environment,transparency,etc CSR-as-process None profit organization, government office CSR-as-enterprise Social enterprise, take opportunity from injustices in social and want to change. CSR-as-Business Take the social problems to business, instrument for clean air, non toxic food, recycle from waste. 16

17 CSR : Level classification Economic Responsibility Legal Responsibility Ethical Responsibility Philanthropic Responsibility 17 Phil Ethical Legal Economic

18 CSR : Resources classification Corporate-driven CSR Use profit from corporate and share to help social suffering Social-driven CSR Use profit from social when buy product and service, and declare the money per unit to help social suffering 18

19 CSR : Activity classification Cause promotion Non money(knowledge, work force, equipment) and money to help social problems Cause-related marketing Donate from the goods or service by % of sale in time interval through non profit organization Corporate social marketing Social behavior change to good health, safety, environment Corporate philanthropy Give money as reactive by social request. Not to align the company vision. Community Volunteering As employee interest and company support for community project Socially responsible Business practice Business social responsibility every process and help social to built-up quality of life 19

20 CSR : Development classification Generation 1 st Donate Activity for reputation and acceptance 2 nd adapt business for social in process as strategic 3 rd CSR built-up in country level and government Version V 1.0 community relation org. Channel of donation, company image v 2.0 global common, innovative partnerships, stakeholder involvement Stage S1 : profit return to social S2 : Setting organization structure support CSR S3 : Strategic CSR internal & external S4 : Integrated and network 20

21 CSR : Form classification Responsive CSR Good corporate citizen, negative impacts reduction from business, reactive treatment, as standards and legal, value image Strategic CSR Proactive, linkage to social need, differentiation, support competitiveness in long term, base on break even. Creative CSR Art of CSR, Social Cohesiveness, common value as social, collaborative 21 ResponsiveStrategic Creative

22 CSR : Work units classification Private CSR Create share value in long term Public CSR Government, Industrial council, public policy, CSR standards, activity much more level than private. People CSR NGOs, foundations, community group, create social values in life and environment 22

23 Community responsibility Support Labour Environment Impacts Openness Local culture Life together with peace 23

24 Environment Nature – Forestry – River – Air – Ecology – Land Human Made – Culture 24

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26 CSR Guidelines Business compass for social Good manage, justice, human right, customer care, social development, environment& quality of life, social innovative,CSR reporting Social responsibility standardization Good governance, human right, labour, environment, fairness, customer, community involvement and development ISO 26000 Accountability, transparency, Ethical, stakeholder interest, Law, international norm, human right OECD : Guideline for multinational enterprises Employment & relation, environment, combating bribery, customer interest, science & technology, competition, taxation UN Global compact Human right (support, inspect), labour (freedom, non force, no child employ), environment (support, up-quality, develop envi-friendly), anti-corruption (all types) 26

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28 Social responsibility Integration 28 Business Ethics Good Governance Corporate Social Responsibility Social Enterprise Sustainable Development

29 Key of success of Social Enterprise Innovative (find some new for success) Tenacity (challenge) Passionate (strong belief) Expertise (deeply in problems) Infectiousness (idea spreader) Focused (change in target) Resourcefulness (skill in all resource collection) Goal oriented (measurable results ) Leader (can inspire others) Ecstasy (quality of life upgrade for others) 29

30 Sustainable Development Money possibility Environment friendly in all stages of work Minimize negative impacts to community Prevent and support to forestry, areas, local resources Develop areas in low impact area Maximize the transportation utilization for social Minimize waste, reused promote Energy conservation Water efficiency Support poverty can receive benefit 30

31 The Tripple Bottom Line 31 Environment SocialEconomic Balance Equal Help Sustain

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33 Competitive advantage Factors 33 Competitive advantage -Low cost -Differentiate Efficiency Customer response Innovation Quality Differentiate Speed, reliability, service, design, features, technology, personality, relationship

34 Main Organization Capability for competitive advantage 34 Main Capability Organization Capability Performances -value -rare -cost to imitate -non-substitutable -organization Competitive advantage Competitive Strategic Value chain analysis Sustainability Competitive Resources -tangible -intangible

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36 CSR Strategic Leadership Functions 36 Vision Social Architecture Alignment Plan : Goal Imagine & Inspire Trust CSR Leader Evaluating : Collaboration To win the goal Organizing : Design for CSR in structure & culture Leading : Belief and buy-in

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38 CSR Strategic Approach Obstructionist Approach ….Low Level no responsibility, illegal Defensive Approach minimum legal and ethics Accommodative Approach As balance stakeholder, do as request Proactive Approach ….High Level Learning, finding for all stakeholder needs and supports 38

39 Strategic Management Process 39 Long Term Objectives Strategic Implement Measure & Evaluation Strategic Setting External Factors analysis Vision and Mission Internal Factors analysis Quantity & Quality Behaviors

40 CSR Strategic Target Innovative Target The new, technology improve Excellence Target The good, the best, complete, perfect Altruism Target The helpful, quality of life, happiness, safety Heroism Target The effective of power, wining, number one 40

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42 CSR Initiatives Cause Promotion Cause- Related Marketing Corporate Social Marketing Socially Responsible Business Practice Community Volunteering Corporate Philanthropy CSR Initiatives

43 Cause promotion Initiative Non money(knowledge, work force, equipment) and money to help social problems Social problems issues Poverty, health, forest fire smoke, global warming, natural disaster Support needs Support at cause of social problems with care, persuasive : data collection, time, money and non-money donation, participation Key of success Related to customer and community, employee engage, local as owner, identify, continuous improvement 43

44 Cause-related marketing Initiative Donate from the goods or service by % of sale in time interval through non profit organization Social problems issues No house people, special disease case, children education, disaster Support needs Specific money amount, %of sale, % profit, as time frame Key of success Issue selection many stakeholder concerns, select goods corresponding to social, research the idea and adapt for more attractive, less document concerns, transparency, clear objectives and condition with non-profit organization 44

45 Corporate social marketing Initiative Social behavior change to good health, safety, environment,or quality of life Social problems issues Non smoke, energy conservation, zero waste, AIDS - diabetes - cancer protection, accidents, fire fighting, non toxic food/agriculture, pollution solving, forest re-habitation, Support needs Employee and sub-contractors, community Key of success Issue selection many stakeholder concerns, employee volunteer, need consults to advice, long term activity, finding the key of behavior change, try to link with business or work 45

46 Corporate philanthropy Initiative Corporate Give money as reactive by social request. Not to align the company vision. Social problems issues Social activities Support needs Cash donation, grants, scholarships, health checks, mental consults, channel of distribution for OTOP, machine support, Key of success Issue consideration, no in the same point of government support, measure the effective and stakeholder satisfaction, 46

47 Good Supporting Principle Philanthropy Give without return : objects (money, material), mental (cheerful, caring), wisdom (knowledge) Communication Good conversation, say facts Usefulness Make it better, in nature and quality of life. Connecting Formal and Informal, face to face, continuity 47

48 Community Volunteering Initiative As employee interest and company support for community project Social problems issues As community and employee interesting Support needs Employee and contractors volunteer, time compensation, community needs, Key of success As for sustainable, linkage to company vision, volunteer, limited to expense budgeting, communication, 48

49 Socially responsible Business practice Initiative Business social responsibility every process and help social to built-up quality of life Social problems issues Safety, environment, energy, hazardous, toxic vegetable, Fatty, fit and firm, family care, disable, quality of life Support needs Consultants, local authorize, government officers concerns, Key of success Openness, do as talk, 49

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51 Basic of Organization Architecture The Operating Core Basic work for goods and service The Strategic Apex Top management for overview and integration The Middle Line Middle management to link bottom line and top The Technostructure Analytic for standards The Support Staff Support teams for problem solving and improvement The Ideology Ideas of belief and culture for organization 51

52 Integration Mechanism Direct Contract All specialists meeting for problem solving or new product development Liaison Roles Co-operation, informal relation to stakeholder concerns Task Forces Specific meeting group, Cross-Functional Team Difference units, integration Integrating Roles and Departments Synergy team Matrix Structures Use matrix for setting team 52

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54 Organization Culture as Onion Artifacts... Outer shield All signal and symbol, company rules, organization structure, uniform Patterns of Behavior Speech, documents, rite, participation Values and Beliefs Guideline for do and don’t, express behaviors Basic Assumptions … inner core Environment related, truth, time, space, human nature, human relation, main concept in business 54

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