Importance of Corporate Social Responsibility (CSR) for Businesses

This presentation discusses the importance of Corporate Social Responsibility (CSR) for businesses and the challenges they face in maintaining it. It highlights the benefits of practicing CSR, such as improving public image, saving money, and increasing employee engagement. The presentation also addresses the challenges of CSR, including lack of community participation, transparency issues, and the absence of proper guidelines.

PPD 1ST

INTRODUCTION
Corporate social responsibility is a type of international private business self-regulation that aims to
contribute to societal goals of a philanthropic, activist, or charitable nature or by engage in or support
volunteering or ethically-oriented practices.
This PPT covers issues such as why is it necessary for the business to follow and implement CSR and what
challenges that the company faces in maintaining CSR.

Why it is necessary for businesses to practice CSR
It is necessary that every business must contribute to reduce the factors which are affecting the
environment as it will also fulfill their responsibility.

It is not mandatory according to the
law but fulfilling these duties will help
them to get a better image in the
market.

CONT..
Consumers today are aware of these factors and this is the reason why they prefers companies who operate
and follow these guidelines in an ethical manner.

CONT..
Improved Public Image-
If the businesses contributes for the development of society then they will be able to have the
benefit of positive public image in the market. Consumers note the contribution made by the employees of
the company by volunteering an hour a week at charitable events. This way the consumers feel that the
company is more committed to help people rather than to earn profits. This will make them prefer the
concerned brand who donate in these activities.

CONT..
Saving of money-
Companies have a lot of option to contribute their resources and save money. They have to choose
different methods and strategies to do that such as different way of packaging the product by using less of
the material and use factors which helps to decrease the cost of production.

CONT..
High level of employee engagement-
Companies need to make sure that the ethical practices and the contribution they made for
reducing the social and environmental issues is known by the employees working in the company. The
reason behind this is that employees want to be a part of the team of those companies who has a good and
decent image in the market. Also this will help the company to retain their employees for a long period of
time.

Challenges of CSR in the current environment
Lack of participation of community in the activities of CSR-
Local communities do not take this aspect seriously and they do not volunteer or contribute to this
activities of the companies. There are many reasons to it that many people are not aware about the
importance of it. This creates difficulties for the business who invest in this area as if people are not aware
of it then it won't help the business to increase their awareness.

CONT..
Transparency-
There are many issues related to this aspect which states that companies need to disclose the
information such as issues in audit and utilizing the funds and the efforts that are made by the local
agencies. This build a negative bond between the companies and the communities and this broke the trust
between them which leads to failure of CSR activities.

CONT..
Non availability of CSR guidelines-
Businesses do not have the proper guidelines which are required to take the initiative of CSR.
Companies initiate these activities on the basis of their nature and scale of operations which means that
companies operating on a large scale will need to initiate the activities of CSR on a bigger level.

CONT..
Narrow thought process for CSR-
Public organizations and agencies of government do not think that it is important to invest the
resources in the area of CSR and have a conservative approach when it comes to these activities. This
creates difficulties for the business to assess that whether they should work for these activities for a short
period or a long period.
.

CONCLUSION
From the above PPT it has been concluded that it is necessary for the businesses to implement the practices
of CSR as it helps them to gain a positive public image in the market, high level of brand awareness and it
helps the companies to retain their employees which is one of the most beneficial factors of this aspect.
Also there are many challenges which the business faces while they are initiating the activities of CSR
which has been covered in the report.

REFERENCES
Books and Journal
Aksak, E.O., Ferguson, M.A. and Duman, S.A., 2016. Corporate social responsibility and CSR fit as
predictors of corporate reputation: A global perspective. Public Relations Review, 42(1), pp.79-81.
Bhandari, A. and Javakhadze, D., 2017. Corporate social responsibility and capital allocation
efficiency. Journal of Corporate Finance, 43, pp.354-377.
Cronqvist, H. and Yu, F., 2017. Shaped by their daughters: Executives, female socialization, and corporate
social responsibility. Journal of Financial Economics, 126(3), pp.543-562.
Pisani, N., Kourula, A., Kolk, A. and Meijer, R., 2017. How global is international CSR research? Insights
and recommendations from a systematic review. Journal of World Business, 52(5), pp.591-614.

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