How Social Responsibility Addresses the Needs of Stockholders Essay

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Social responsibility entails policies that organizations put in place as part of a company’s governance projected to ensure the corporate’s functions are effective and beneficial to all stakeholders. These guidelines help protect the environment, improve the quality of life for societies, and provide a conducive working environment through recognizing and appreciating talented and hardworking employees. This increases customer loyalty as clients feel they are helping the business support worthy initiatives, thus, enabling more access to funds and allowing more investors to join and support the company.

The business rewards employees through meaningful praises, which makes them appreciated. It provides workers a chance to lead by example while giving them the capacity to make decisions without interference, demonstrating that they are trusted and capable (Yang et al., 2019). Additional monetary motivations comprise yearly or semi-yearly bonuses. Additionally, paid time-off and cash prizes help to boost performance while encouraging feelings.

The company exercises CSR by adopting a business code of ethics, which shapes workers’ behavior on morals, standards, environment, self-esteem, and customer service. The organization has established dependable systems to protect staff and avoid accidents and injuries (Tamvada, 2020). It also ensures suppliers are aware of and meet the expectations of responsible conduct concerning issues such as affordable costs. For instance, screening dealers to define their past behavior and discuss what the company expects.

The only change in CSR that I would suggest is how the organization handles employees’ creativity. I would encourage the company to set a stage for brainstorming, thus, encouraging new ideas and creativity (Tamvada, 2020). Regarding complaints about the company engagement and expenditures, it is evident that the business is striving to improve CSR, and the further it advances in that direction, the more it benefits. For instance, experiencing more brand recognition means increases in sales.

Nestle has endeavored to become a socially responsible and environmentally sustainable corporation. Thus, it qualifies for a pass because of its tremendous achievement in empowering communities. It has improved people’s living standards, creating access to hygiene and clean water and motivating populations to live healthy lifestyles. I would recommend the company implement an Enterprise Risk Management (ERM) process (Tamvada, 2020). ERM should be applied since it is designed to find possible events that can affect the business. This will also help manage risks and opportunities and develop meaningful assurance concerning company objectives.

References

Tamvada, M. (2020). International Journal of Corporate Social Responsibility, 5(1). Web.

Yang, Y., & Stohl, C. (2019).Corporate Social Responsibility and Environmental Management, 27(2), 969-981. Web.

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IvyPanda. 2023. "How Social Responsibility Addresses the Needs of Stockholders." January 13, 2023. https://ivypanda.com/essays/how-social-responsibility-addresses-the-needs-of-stockholders/.

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IvyPanda. "How Social Responsibility Addresses the Needs of Stockholders." January 13, 2023. https://ivypanda.com/essays/how-social-responsibility-addresses-the-needs-of-stockholders/.

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