1. School of Management Warsaw November 2007 Lecturer Sander Hupkes MA Corporate Social Responsibility

2. Program 1 st meeting Todays program Introduction (lecturer & students) The module What is CSR? Why CSR? Next session

3. Your lecturer Drs. Sander Hupkes (=MA) Academic degree in Philosophy (University of Groningen 1987) Lecturer University of applied sciences Leeuwarden, Netherlands (since 2003) Something more about NHL and my country

4. Your lecturer 10 years trade union

5. Your lecturer 10 years trade union Modules: globalization, industrial relations, (business)ethics, CSR Age 47 Married, no children

7. Program module The book: Corporate Social Responsibility (a Dutch approach) Documentary on the Brent Spar (Shell) Collect information (www) on CSR and CSR reports. How to become a social responsible company? Assessment

8. Program module TodayIntroduction Session 2TV documentary on Brent Spar (Shell versus Greenpeace) Session 3Examples of CSR Session 4The cultural dimension of CSR Session 5Implementing a CSR strategy Session 6Evaluation

9. What does CSR mean? Corporate social responsibility But what does it mean????????

10. Responsibility? Responsibility = Accountability (answering, reporting) What responsibility do enterprises have? Four concepts

11. Responsibility Four concepts

12. Responsibility Minimal responsibility Increase profits (shareholders) = efficiency Whitin the rules of te game (=law) Milton Friedman: one and only responsibility. Increase profit whitin the rules of the game (free and open competition, no deception or fraud)

13. Responsibility Corporate citizenship Continuity All stakeholders Spirit of the law

14. Responsibility Corporate social responsibility Damage reduction Triple P Value based (not law based)

15. Resposibility Social activism Social objectives Values and norms are the core business

16. Why CSR? Because……….. You must do so (law, public expectations) You find it profitable (reputation, marketing, enlightened self-interest) You should do so (moral values, idealism)

17. Why is CSR profitable? ???????????????????????

19. Hapiness Richard Layard Hapiness. Lessons from a New Science (2005) World database on hapiness

20. Hapiness

26. Marketing Philip Kotler 1.Production based (price) 2.Product based (price quality) 3.Sales based (persuasion) 4.Marketingconcept (customor = king) 5.Values based sales and marketing (social responsibility)

27. CSR 1973 Club of Rome 1987 Brundtland 2000 SER 2006 Al Gore

28. The Dutch approach SER Social and Economic Council Consultation economy ( Enterprise = a social activity CSR is core business

29. Les 2?

30. The Dutch approach Enterprise = value creating entity Value creation in various dimensions CSR cannot be based solely on charity! CSR is a varied and complex phenomenon

31. Enterprise* Profit-driven Market-driven Transaction costs can be saved in partnership arrangements (for a longer period) Long-term form of co-operation between various stakeholders Business = a social activity

32. Enterprise* Profit-driven, but the social and economic importance is to create value by using scarce sources in a efficient and effective manner for the production of goods and services wich, by satisfying human needs, contribute to general prosperity. * The Dutch approach

33. CSR Corporate Social responsibility is determined by: -Focus on public prosperity on the longer term -Relation with stakeholders and society at large

34. CSR The conscious direction of business activities toward creating value in three dimensions for the longer term: -Financial-economic -Ecological -Social Transparancy and accountability Balance of power of stakeholders

35. Triple P Beyond the Bottom Line: Putting Social Responsibility to Work for Your Business and the World Joel Makower (1994) “Companies function best when they merge their business interests with the interests of customers, employees, neighbours, investors and other groups directly and indirectly affected by their operations”

36. Triple P

37. Essence of CSR in a nutshell Profit: shareholders and social importance: efficient, comparative advantage People: employees, neighbours, customors other groups affected Planet: nature, environment

38. Triple P

40. Ethical investments

41. Values and norms Used to be imposed by church and/or government Nowadays values and norms are discussed in the public arena Examples OECD Guidelines ILO labour standards UN Global Compact cleanclothes

42. Accountability An enterprise is expected to provide answers to legimate questions Public dialogue Corporate codes Reports on CSR: GRI (Global Reporting Initiative)Global Reporting Initiative

43. Les 3

44. Globalization Anglo saxon model: -Hire and fire -Corporate governance -Shareholders value

46. Globalization

47. Four concepts

48. Culture

51. Cultureshock

52. http://www.btplc.com/Societyandenvironm ent/Businessgame/index.htm.http://www.btplc.com/Societyandenvironm ent/Businessgame/index.htm