Corporate Social Responsibility Strategy

This document discusses the importance of Corporate Social Responsibility (CSR) strategy for organisations, focusing on TESCO as a case study. It covers the impact of CSR on internal and external stakeholders, alignment with organisational objectives, and implementation plan for CSR strategy.

Corporate social
responsibility strategy

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK1.............................................................................................................................................3
1.1 - Internal and external organisational objectives .............................................................3
1.2 Impact of a Corporate Social Responsibility strategy on internal and external
organisational stakeholders ...................................................................................................3
1.3 - The organisation’s strategy for alignment with a Corporate Social Responsibility strategy
................................................................................................................................................4
Develop a Corporate Social Responsibility strategy that supports internal and external
organisational objectives........................................................................................................5
TASK2.............................................................................................................................................5
2.1 - Analyse the organisational value chain for alignment with the Corporate Social
Responsibility strategy...........................................................................................................5
2.2 - Determine methods for agreement and engagement with all stakeholders for the
Corporate Social Responsibility strategy ..............................................................................6
2.3 Implementation plan for the Corporate Social Responsibility strategy...........................7
TASK 3............................................................................................................................................7
3.1 Internal reporting measurements that can evaluate the impact of the Corporate Social
Responsibility strategy ..........................................................................................................7
3.2 - Examine external reporting measurements that can evaluate the impact of the Corporate
Social Responsibility strategy ............................................................................................8
3.3 - Evaluate methods to refresh and reinforce the Corporate Social Responsibility strategy 9
CONCLUSION .............................................................................................................................11
REFRENCES.................................................................................................................................12
Books and Journal................................................................................................................12

INTRODUCTION
Corporate Social Responsibility is management process in which companies understand
the social and environmental concerns and then perform the operations accordingly. The
companies that follow corporate social responsibility are able to build a good brand image in the
market. The report is based on TESCO that is one of the largest retain organisation in UK. There
is discussion about various objectives of the organisation and how they are aligned with CSR of
the organisation. The impact of CSR on Internal and external stakeholders and the methods
through which stakeholders can be engaged in Corporate Social Responsibility strategy. An
implementation plan is also made in respect to Corporate Social Responsibility. In the end
various methods to reinforcing the Corporate Social Responsibility strategy(Chang, and Yeh,
2017).
TASK1
1.1 - Internal and external organisational objectives
Objectives of TESCO are mentioned below:
External objectives
 To expand their retail services internationally.
 To be a strong player in non-food business.
 To provide goods at affordable price to its customers and improve customer proposition.
Internal objectives
 To provide proper training and development to its employees.
 To apply strategies that continuously monitor the performance of employees.
1.2 Impact of a Corporate Social Responsibility strategy on internal and external organisational
stakeholders
Stakeholders are person who have interest in the company and that affected by the
business. It is important to know the need of stakeholders and serve them according to their
needs( Ullah, Muttakin,and Khan, 2019). It is important for an organisation that all the
information related to operations of company and CSR that is followed by them is shared with all
the stakeholders as it is their right to know about the company. In relation to TESCO, the
management assures that all the information is communicated to the stakeholders and the
corporate social responsibility is done by keeping in mind the interest of stakeholders and that

benefits the stakeholders, keeping them happy is also responsibility of the organisation. There
are two type of stakeholders that is internal and external(Chintrakarn, Jiraporn, and Kim, 2016).
External Stakeholders are the once who do not work in the company but are affected by the
operations of the company, these stakeholders also have interest in the company.
 Customers- The most important external stakeholder are the customers and TESCO is
focusing on providing affordable goods and services to its customers. They provide
services to customers that increase value to customers and they take care that they
provide quality products to all customers. This creates a positive impact on the customers
 Government- Government collects tax from the organisation and checks that all the
operations are done in an efficient manner. Government also checks that business is not
trading in such a way that is harming the environment. TESCO contributes to economic
growth and do not deal in products and its operations are designed in such a way that
does not impact the environment. The company follows all the rules and regulations that
are formulated by the government(Verčič, and Ćorić, 2018).
Internal Stakeholders are the people who work directly for the company and are interested in
company as they have stake in that organisation.
 Employees – The main reason for smooth functioning on an organisation are the
employees of the organisation. It is important to take care of employees and assure that
they able to work in an efficient manner in the organisation. In context of TESCO there
focus is on economic growth and they provide employment in the areas where they
operate. Also the company provides regular training and development to its employees to
enhance their skills and check their productivity. They provide quality goods and services
to its customers and share the same value with employees. .
 Policy Makers- The management team makes the policies for an organisation and it is
important that the policies made are beneficial for the organisation. TESCO focuses on
making policies like economic development and focus on reducing the waste of food
products that benefit the organisation as well as customers(Zhu, Liu, and Lai, 2016).
1.3 - The organisation’s strategy for alignment with a Corporate Social Responsibility strategy
 TESCO is aiming to become zero carbon business by 2050.
 Aim is to improve loyalty and shopping experience of customers

Every organisation is focusing on fulfilling the corporate social responsibility as to gain
competitive advantage in the market. TESCO has established brand name in market and
participates in CSR activity as the products of the company are never tested on animals and they
are planning to reduce the carbon footprints that clearly shows they are contributing to the
environment. They are providing goods and services to the customers in affordable price and
aiming to improve the experience of customers by providing them quality services(Choi, Kim,
and Kim, 2018).
Develop a Corporate Social Responsibility strategy that supports internal and external
organisational objectives
In retail industry more and more companies are focusing towards environmental
consequences and taking measures to follow social ethics for people that are involved in
production process. TESCO is also contributing to CSR and taking care of environment, they are
also contributing to economic growth and aiming to become zero carbon business by 2050 for
which they are reducing the carbon footprints.
Corporate social Responsibility strategy that can be developed by company is to provide
training to its employees and spread awareness related to the need and benefits on CSR activity
and encourage them to participate in social welfare programmes. The employees can be make
aware about the programmes and they can motivate and recognise the employees that are
participating in these welfare programmes. Also the company is third largest in revenue. The
company can also contribute some percentage of money when every customer buy he product of
the company in charity.
TASK2
2.1 - Analyse the organisational value chain for alignment with the Corporate Social
Responsibility strategy
Supply chain is a network that is maintained between company and its suppliers to
produce and distribute goods and services off the company to its customers. It helps to make the
products and service of company accessible to its customers so they can buy product when and
where they want. TESCO focuses on providing best quality products to its customers. There
target is to satisfy customers with right product at right place and at right time(Farmaki, 2019).

They keep check on the product from the source till the product reaches distribution centres and
the company sources the product from around 70 countries. In relation to CSR of TESCO they
are focusing to reduce the wastage of product as much as possible and then can be possible if the
suppliers will also help. The approach they are using is to use more edible crops also they have
introduces there perfect imperfect range that includes potatoes, parsnips, apples and strawberries.
This has enabled the company to use as many crops as it can and reduce the wastage of food at
farm. They are also creating links between the grows and frozen and fresh suppliers as that also
helps them to reduce the waste too. TESCO also believes that by partnering with trusted
suppliers help them deliver quality and safe products. The suppliers help to serve globally and
help them to follow corporate social responsibility in an efficient way(Hąbek, and Wolniak,
2016).
2.2 - Determine methods for agreement and engagement with all stakeholders for the Corporate
Social Responsibility strategy
Now every organisation follows corporate social responsibility. As it improves the
profitability of the company and helps in establish brand value of the organisation. CSR also
increases the transparency and accountability and the stakeholders are able to trust the company.
The major benefit associated with CSR is it helps to gain competitive advantage. The methods
that are followed by company to engage with all stakeholders:
 Marketing- The company makes the marketing and promotion in such a way that
customers are aware about the products in which company is dealing and also the the
CSR activity is also communicated. The company is focusing on waste management and
they use marketing to make all the customers aware about the policy build by company. It
is important for an organisation to communicate the strategy with the customers. In
relation to TESCO the customers are aware about the corporate social responsibility that
the company follows and that engages the customers also. Also the company donates
some percentage of money spent by customers in charity and that is communicated to
customers through marketing(Hedblom, Hickman, and List, 2019).
 Policies- It is vital for a company to abide with all the policies and procedures that are
made by government. In relation to TESCO the company follows all the rules and
regulations of retail industry. The government comes to know about the organisations
that follow all the policies and procedures and they support those organisations.

2.3 Implementation plan for the Corporate Social Responsibility strategy
The strategies that are formulated by company to implement corporate social
responsibility are vital as they help the organisation to improve the brand image. The
implantation plan that is used by TESCO is as mentioned below:
Define a Problem- First of all the organisation should understand the problem and define it
clearly to identify solutions and make a plan. There are many environmental issues that are
caused by big players in the market.. One of them is climatic change that and the major reason
behind the change is emission of carbon footprints. The various green house gases are causing
many problems in environment like climatic change and also contribute respiratory disease.
Define Value- The next step is the company should define what actions are taken by company to
solve the problem. TESCO is focusing on this issue and made a strategy that they will reduce the
emission of greenhouse gases and reduce the carbon footprints.
Set Measurable Goals- Once the company has found solution the next step is to formulate
measurable goals that will help the organisation to achieve the defined goal. In relation to
TESCO they have planned to become a zero carbon business by 2050 and they are reducing them
emission every year(Matten,and Moon, 2020).
Promote- It is important to make people aware about the the corporate social responsibility rthat
is followed by the company. As it helps to improve the image of company and motivates
employees to follow that. TESCO has made as its aim so that every stakeholder and public may
know about the strategy made by them.
Control and Implement- The last step is to implement the plan and check on regular basis that
the set targets are achieved or not as it helps to attain the goals effectively and efficiently.
Above mentioned are the steps that are followed by an organisation to implement a
corporate social responsibility strategy.
TASK 3
3.1 Internal reporting measurements that can evaluate the impact of the Corporate Social
Responsibility strategy
It is important to measure the impact of corporate social responsibility. As the company
wants to know about the return that the company is getting because of doing CRS. Every
organisation performs CSR at today's time and they want to analyse the performance. The

internal measurements that are used by companies to evaluate the impact of CSR and they are
mentioned below:
Revenue- The relation between the corporate social responsibility and the revenue is checked
under this. It is important to check that CSR contributes to the bottom line on the organisation. Is
the strategy is helping to attract more customers and increasing the image of company while
helping them to increase the sales. Business follows CSR for the benefit of environment but that
also benefit boosts the revenue of organisation. As in case of TESCO company is reducing the
use of carbon footprints that has improved the image of company and attracted more customers
towards the organisation(Mishra, and Modi, 2016).
Recruitment- It is a important part of an organisation to attract the talented people. At the same
time the people also choose the organisation in which they want to work. Due a lot of options
people prefer the organisations that have good image in the market and that serve the society.
With the help of survey the company can identify the reputation that is build by performing CSR
activities.
Benchamarking- Benchmarks are the set standard that company set to achive the goalsd and
objectives. IT is important to establish the benchmarks and check the performace with relation to
benchmarks by the organisation.
3.2 - Examine external reporting measurements that can evaluate the impact of the Corporate
Social Responsibility strategy
There are external measurements through which an organiusation can evaluate the impact of
corporate socuial responsibilkoty. Below memntioned are the ways that are used by company:
Reputation- The brand image the company has is a major factor that helps an organisation to
achieve success. Reputation is the benefit that the organisation gets because of following
Corporate Social Responsibility strategy. The company that is able to serve the customers
according to their needs and wants and also contribute to society is able ton establish a good
image in the market. Also in relation to TESCO they are focusing on environmental concern of
climatic change and taking measures to reduce carbon footprints for betterment of environment.
So, that has improved the position of company in the mind of various stakeholders. This measure
helps the organisation to achieve a good reputation in the market(Mory, Wirtz, and Göttel,
2016).

Relationships- Partnership helps a company to be successful. CSR activity that is designed by
company helps the organisation to build good partnership with all the stakeholders. The suppliers
are important for an organisation as they supply all the goods and services to its customers. To
manage waste TESCO partnered with suppliers and that helped the organisation to reduce the
wastage of goods at farm. They are also able to build good relations with customers as they have
established a position in the market. The money of customers if goes for good cause attracts the
customers more. The better the company is able to build relations the better the organisation is
able to implement the CSR actives.
3.3 - Evaluate methods to refresh and reinforce the Corporate Social Responsibility strategy
The various methods that are used by organisations to refresh the corporate strategy are as
follows:
Build your strategy around your company’s core competencies- The company should
formulate strategies that are based on the core activity. TESCO is a player in retail industry and
they are focusing on reducing the wastage of food items. Also they are planning to reduce the
carbon footprints that is required by the environment. This is the way company should know the
problems of the environment and make policies(Reinecke, and Ansari, 2016).
Develop CSR initiatives that make your employees proud- The company should make efforts
that can make the employees proud. By contributing to CSR company is able to build a positive
image in the market. They should share all the information related to CSR to all the employees
and tell them the benefits of CSR that will make the employees proud.
Recognize issues that matter to your customers- Customers are the main reason for the
existence on an organisation. The organisation should focus on the needs of customers and make
the policies accordingly. Customers are also part of society so the business should understand the
need and problem of society and then make the CSR activity.
These are some ways through which companies are able to refresh and reinforce
Corporate Social Responsibility strategy(Samet, and Jarboui, 2017).

CONCLUSION
It can be concluded that corporate social responsibility helps the organisation to build va
brand image in the market. It is important for an organisation to align the objectives of the
organisation with corporate social responsibility. The strategies are also made keeping in view
the environmental problems and the actions that can be taken. It is also seen that supply chain
helps an organisation to accomplish the corporate social responsibility. An implementation plan
is also defined for the same. Internal and external measures that help to check the performance of
organisation are also mentioned. In the end various ways are mentioned that refresh and
reinforce the Corporate Social Responsibility.

REFRENCES
Books and Journal
Chang, Y.H. and Yeh, C.H., 2017. Corporate social responsibility and customer loyalty in
intercity bus services.Transport policy,59, pp.38-45.
Chintrakarn, P., Jiraporn, P., Kim, J.C. and Kim, Y.S., 2016. The effect of corporate governance
on corporate social responsibility.Asia‐Pacific Journal of Financial Studies,45(1),
pp.102-123.
Choi, J.J., Jo, H., Kim, J. and Kim, M.S., 2018. Business groups and corporate social
responsibility.Journal of Business Ethics,153(4), pp.931-954.
Farmaki, A., 2019. Corporate social responsibility in hotels: a stakeholder approach.International
Journal of Contemporary Hospitality Management.
Hąbek, P. and Wolniak, R., 2016. Assessing the quality of corporate social responsibility reports:
the case of reporting practices in selected European Union member states.Quality &
quantity,50(1), pp.399-420.
Hedblom, D., Hickman, B.R. and List, J.A., 2019.Toward an understanding of corporate social
responsibility: Theory and field experimental evidence(No. w26222). National Bureau
of Economic Research.
Matten, D. and Moon, J., 2020. Reflections on the 2018 decade award: The meaning and
dynamics of corporate social responsibility.Academy of management Review,45(1),
pp.7-28.
Mishra, S. and Modi, S.B., 2016. Corporate social responsibility and shareholder wealth: The
role of marketing capability.Journal of Marketing,80(1), pp.26-46.
Mory, L., Wirtz, B.W. and Göttel, V., 2016. Factors of internal corporate social responsibility
and the effect on organizational commitment.The International Journal of Human
Resource Management,27(13), pp.1393-1425.
Reinecke, J. and Ansari, S., 2016. Taming wicked problems: The role of framing in the
construction of corporate social responsibility.Journal of Management Studies,53(3),
pp.299-329.
Samet, M. and Jarboui, A., 2017. How does corporate social responsibility contribute to
investment efficiency?.Journal of Multinational Financial Management,40, pp.33-46.

Ullah, M.S., Muttakin, M.B. and Khan, A., 2019. Corporate governance and corporate social
responsibility disclosures in insurance companies.International Journal of Accounting &
Information Management.
Verčič, A.T. and Ćorić, D.S., 2018. The relationship between reputation, employer branding and
corporate social responsibility.Public Relations Review,44(4), pp.444-452.
Zhu, Q., Liu, J. and Lai, K.H., 2016. Corporate social responsibility practices and performance
improvement among Chinese national state-owned enterprises.International Journal of
production economics,171, pp.417-426.