CSR and Philanthropy Practices in Jaguar Land Rover

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The assignment analyzes the CSR practices of Jaguar Land Rover, including their philanthropic efforts, company structure, and strategies for addressing challenges. It also discusses the role of leadership in employee productivity, and explores how CSR can impact business performance.
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DEVELOPING SKILLS FOR
BUSINESS LEADERSHIP
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
Issue related to ethics or philanthropy in China and UK............................................................1
CSR.............................................................................................................................................2
Other companies CSR programs.................................................................................................2
Company structure......................................................................................................................3
Key characters’ personality and their views on CSR..................................................................4
Stakeholder diagram....................................................................................................................4
Barriers to change and ways to overcome issues........................................................................5
Changing minds and heart campaign..........................................................................................7
Gantt chart and costing................................................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
Corporate social responsibility (CSR) can be defined as process of fulfilling corporate
responsibilities towards society. It is essential for business that to conduct operations in such
manner so that core business activities do not harm social aspects. Present study is based on
Jaguar Land Rover which operates into China and UK. Firm is planning to introduce new CSR
endeavour and wants to changes in its existing process. Report will explain company’s structure
and will design its stakeholder diagram. Furthermore, it will create changing minds and heart
campaign and will design Gantt chart.
TASK
Issue related to ethics or philanthropy in China and UK
Each firm is required to be good corporate citizen is prime responsibility of any firm.
Companies are responsible to follow all legal regulations carefully and fulfils heir economic
responsibilities towards society. Corporate social responsibility is considered as most essential
part in Chinese market. It is the tool that influence heart and minds of Chinese consumers to
great extent. In the year 2014 Jaguar Land Rover has established China children and youth dream
foundation (Crowther and Seifi, 2018). The main aim of company to form this unit was to
support under privileged and poor kids. But activities of Jaguar Land Rover has badly affected
environmental condition and also its products were very costly and people were unable to afford
it. It is essential to make balance between environment and society both (JLR to shut UK plant
for 2 weeks as China sales slump, 2018). Operational practices of Jaguar Land Rover are
creating harm to atmosphere in a manner such as CO2 emission, climate change etc. Its ESG
analyst rating, crowd sources rating is below average.
Chinese government’s main focus in on societal balance and harmony rather than
economic growth. Jaguar Land Rover fails to produce sustainable cars in China and UK which is
the biggest issue of ethics or philanthropy. Education & Talent, design and technological
program of Jaguar Land Rover was aim to provide education to young people and improve
wellbeing(Crane, Matten and Spence, 2019. ). But it fails to meet its objective, as its main focus
was on raising operational efficiency only thus, Jaguar Land Rover fails to earn profit in China
and UK that has affected its brand image as well(Mukherjee, 2016).
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CSR
Corporate social responsibility is an approach that contribute sustainable development
towards society by delivering environmental and social benefit to all stakeholders. It is board
concept that address many topics like heath and safety, working conditions as well as human
rights. The purpose of CSR is to change society by developing sustainability. It is a management
concept that used company to attract their stakeholders by integrating environmental and social
concerns in organisation operations(Lins, Servaes and Tamayo, 2017).
CSR concept is given a various competitive advantages like increased capital and market
share, improved the productivity of the organisation, increased sales and profits and saving
operational cost of the organisation. The advantages of CSR is it helps in reducing poverty,
increase the brand image of the company, interact stakeholders and it also helps in achieving
competitive advantages(Mukherjee, 2016). CRS helps to secure financial situations, minimize
the negative impacts of environment. It also includes working conditions of the employees
should be eco-friendly and should maintain labour standards in the company.
Other companies CSR programs
HSBC bank organise charitable programs in each country in order to fulfil its corporate
responsibilities. GE foundation is very successful UK firm that has contributed around 88 million
amount in the year 2016 to community for improving education system in the nation.
Furthermore, company has started employing retirees through its GE foundation matching gift
programs. Furthermore, GE foundation also taken initiative to arrange signature developing
health program. With this initiative firm has focused on improving health condition of people
and improving wellbeing of community members (Top 20 Corporate Social Responsibility
Initiatives for 2017, 2017).
Deloitte has worked to improve environmental condition thus; it has promoted
environmental sustainability. Company also motivates its workers to donate time and money in
pro bono works. Google is very successful branch that has become the popular search engine
across the world. Recently company has achieved renewable energy target. Google continuously
work to save atmosphere and improve climate conditions(McWilliams, 2015.). It promotes green
community globally.
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VoluntEARS program of Walt Disney company is very popular and successful, firm
encourage its workers to do better and provide community services to people. Furthermore,
BMW also works for improving wellbeing of society members and arranging programs in order
to educate children. Stable economic development and social piece are the major CSR activities
of BMW.
Company structure
Jaguar Land Rover follows flat organisational structure in UK country. Jaguar Land Over
performing well in automotive industry. There is limited level and higher authorities can directly
contact to lower staff, furthermore, lower employees can also communicate with higher
authorities without any restriction. President and deputy president take all the important
decisions but they involve middle level and below level manager in decision making process.
There are HR, PD, IT etc. many departments work and coordinate with each other directly. Firm
follows flat stricture in UK country, as this type of structure supports the firm in developing
healthy relationship with workers and encouraging them to perform well in business unit.
Figure 1: flat structure
(Source: corporate introduction, 2018)
Divisional structure is also followed by company; firm has divided its operations into
functional units. Each functional department perform their own responsibilities. Decisions are
taken by higher authorities and lower level employees are bound to follow instruction of top
management. Divisional structure follows by Jaguar Land Rover in China mainly, as people are
comfortable to work under supervision of higher authorities. Thus, this type of structure gives
positive result to business in that place.
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Figure 2: divisional structure
(Source: Jaguar Land Rover,2019)
Key characters’ personality and their views on CSR
Governance - CSR of the jaguar land rover is governed and reviewed by the government from
time to time. Their views on the CSR is to take initiative in education, health, ethnicity,
environment, and disaster relief(White, 2015).
Board of directors - The aim of the developing CSR to create opportunities for millionof people
in local and global community by 2020. For this it works on the project like education and talent,
design and technology and well-being and health.
Investors- According to the investors of the jaguar land rover, CSR policy of the company
should be like give the profit to investors and give sustainability to the business by constantly
innovations.
Stakeholder diagram
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Jaguar Land Rover's stakeholder are investors, customers, suppliers,employees and
government. Investors are invested in company and make profits. Jargure Land Rover's investors
have many growth options for future because Jargure Land Rover provides their investors
sustainable profitable(Niblock, 2018). Customers are availed the products and services of the
company. Customers are helped to establish brand image. It provides premium quality
experience to their customers. Suppliers are provided row materials and contribute in
manufacturing process of the Jargure Land Rover. Employees makes effective and flexible to the
internal process of the company. Last government is influenced in decision making of Jargure
land rover and have right to check their financial document at any time. Jargure Land Rover
have some strong communities as a stakeholder.
Barriers to change and ways to overcome issues
CSR models
Traditional Conflict Model
This is the traditional model for Corporate social responsibility, in this model social
values and benefits has been seen as the conflicts or problem in shareholders profits. In this
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Illustration 1: Stakeholders of Jaguar Land Rover's company
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model CSR are likely to develop for the cost, and mangers are forced to decided between their
social and business responsibilities or their commitment to shareholders equity value.
Multiple Goals Model
In this model corporate decisions are taken not only to gain economic values but this
model is based on to create a decision policy beyond the shareholders value and include the other
goals like enhancement of the community, environment and society. This model is emphasize the
quality of life as the basis of economic activity.
There are many barriers may create during the time of changing CSR in the company.
Lack of resources - First barriers in implementing the CSR in the jaguar company is lack of
resources like human capital, finance, knowledge and expertise in the company. For
implementing CSR in the organisation require the large amount of resources. If thses resources
are not available in the company it will become difficult to implement new CSR(White, 2015).
For overcome this barrier Jaguar company will have to manage the more resources from
other company. It may build partnership with other auto mobile company to increase its capiatl
or may sale its share to earn capital for applying CSR in the company.
Acceptance - Next barriers that may create at the time of applying or creating new CSR for the
company is problem of acceptance. There are many stakeholders which relate to the company
may not agree to modify existing CSR that they only focus on the earning profit and it is difficult
for the employees to accept new CSR policies that they have to follow new policies and rules
and according to it have work(Niblock, 2018).
For improving this barrier company have to inform in prior to their stakeholders and
employees that they are aware of the new changing policies in the company that become easy for
them to accept the CSR and also by convince them that new CSR policies are beneficial for them
more than the existing one(Salmén, 2018).
Operational policies - The main barriers of implementing the new CSR is to changing
operational policies. If new CSR policies is being applied in the company then the company have
to change their entire operational policies, process, method and also have to make changes in the
manufacturing method, develop new methods for manufacturing that require new and different
techniques and for this need large amount.
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Changing minds and heart campaign
In order to promote new CSR values Jaguar Land Rover is required to make necessary
changes in its existing CSR policies and practices.
Company needs to take initiative of engaging consumers with environmental initiatives
and have to develop sustainable supply chain system. Jaguar Land Rover will buy raw material
from such suppliers those which can offer cost effective and eco-friendly raw material.
Furthermore, enterprise will concentrate on renewable energy system and will implement this
renewable energy system in its operational activities so that wastage of resources can be
minimised and it can produce eco- friendly cars. By this way it will be able to minimise harm
fromCO2. It will produce more sustainable products that may give benefit to atmosphere and
business both. The key objective of this program would be eliminate wastage and raise efficiency
of resources. It will follow each ecological laws carefully and will design its operations
accordingly. By this way Jaguar Land Rover would be able to reduce negative impact on
logistics on atmosphere(Salmén, 2018).
Furthermore, Jaguar Land Rover will organise expertise programs in which it will
educate young people for improving professional skills so that they can get more career
development opportunities in the future. By this programs Jaguar Land Rover will support
millions of local and global community members.
Gantt chart and costing
Gantt Chart
Task Name Duration Start Finish Predecessors
Planning 17 days Wed 3/27/19 Thu 4/18/19
Determining applicability of
provisions of CSR 3 days Wed 3/27/19 Fri 3/29/19
Calculating CSR budget 5 days Mon 4/1/19 Fri 4/5/19 2
Formulating vision and
mission 4 days Mon 4/8/19 Thu 4/11/19 3
Developing CSR policy 2 days Fri 4/12/19 Mon 4/15/19 2,3,4
Exploring opportunities and
tax efficiency 3 days Tue 4/16/19 Thu 4/18/19 5
Formulation 10 days Wed 3/27/19 Tue 4/9/19
Identifying mode of
implementation 1 day Fri 4/19/19 Fri 4/19/19 6
Restructuring CSR team 2 days Mon 4/22/19 Tue 4/23/19 8
Developing standard 3 days Wed 4/24/19 Fri 4/26/19 8,9
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operating procedure
Customization of CSR
administration and reporting
tool
4 days Mon 4/29/19 Thu 5/2/19 10
Execution 20 days Wed 3/27/19 Tue 4/23/19
Monitoring 5 days Fri 5/3/19 Thu 5/9/19 11
Interaction with
stakeholders 4 days Fri 5/10/19 Wed 5/15/19 13
Evaluating impact 6 days Thu 5/16/19 Thu 5/23/19 14,13
Conducting internal audit 5 days Fri 5/24/19 Thu 5/30/19 15
Closure 1 day Fri 5/31/19 Fri 5/31/19
closure of project 1 day Fri 5/31/19 Fri 5/31/19 16
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Costing
Cost of developing strategy £ 100
Product expenses / operational changes cost £ 450
Promotional expenses £ 150
Market research expenditures £ 250
Environmental activities cost £ 550
Training cost £ 300
Monitoring and controlling expenses £ 400
Auditing and third party validation cost £ 420
Total Cost £2620
CONCLUSION
From the above study it can be concluded that corporate social responsibility is very
essential to achieve the goals of the Jargure Land Rover. Present report has concluded that the
Jargure Land Rover achieving success by analysing issue related to ethics or philanthropy in
China and UK. It is described about CSR and their programmes in various companies. It is
explained the company structure of Jargure Land Rover. It also described barriers and ways to
overcome issues.
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REFERENCES
Books and journals
Crane, A., Matten, D. and Spence, L. eds., 2019. Corporate social responsibility: Readings and
cases in a global context. Routledge.
Crowther, D. and Seifi, S. eds., 2018. Redefining Corporate Social Responsibility. Emerald
Group Publishing.
Grayson, D. and Hodges, A., 2017. Corporate social opportunity!: Seven steps to make
corporate social responsibility work for your business. Routledge.
Lins, K.V., Servaes, H. and Tamayo, A., 2017. Social capital, trust, and firm performance: The
value of corporate social responsibility during the financial crisis. The Journal of
Finance.72(4), pp.1785-1824.
McWilliams, A., 2015. Corporate social responsibility. Wiley encyclopedia of management, pp.1-
4.
Mukherjee, D., 2016. Case analysis: Tata Motors' acquisition of Jaguar Land Rover. The
Business & Management Review.8(3).p.48.
Niblock, T., 2018. The Shanghai Cooperation Organisation: Structure and Dynamics, and the
Role of Gulf States. Asian Journal of Middle Eastern and Islamic Studies. 12(4).pp.401-
420.
Radwan, M., 2018. The impact of leadership on Employees’ Productivity in Jaguar Land Rover
Saudi Arabia service center.
Salmén, L., 2018. Wood Cell Wall Structure and Organisation in Relation to Mechanics. In Plant
Biomechanics (pp. 3-19). Springer, Cham.
Wang, H., Tong, L., Takeuchi, R. and George, G., 2016. Corporate social responsibility: An
overview and new research directions: Thematic issue on corporate social responsibility.
White, M., 2015. Aluminium used in Jaguar Land Rover vehicles helps meet sustainability
targets. Aluminium International Today. 27(1). p.24.
Online
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Corporate introduction. 2018. [ONLINE]. AVAILABLE THROUGH <
HTTP://WWW.CHERYJAGUARLANDROVER.COM/MOB_STATIC/COMPANY/IN
DEX_EN.PHP>
Jaguar Land Rover. 2019. [Online]. Available through < https://www.theofficialboard.com/org-
chart/jaguar-land-rover>
JLR to shut UK plant for 2 weeks as China sales slump. 2018. [Online]. Available through <
https://www.livemint.com/Auto/VOw3MlO7BAUjrsLve2Sg9H/JLR-to-shut-UK-plant-
for-2-weeks-as-China-sales-slump.html >
Top 20 Corporate Social Responsibility Initiatives for 2017. 2017. [Online]. Available through <
https://www.smartrecruiters.com/blog/top-20-corporate-social-responsibility-initiatives-
for-2017/ >
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