CSR Report: Sustainable Business Strategy, Challenges, and Approaches

This report provides a comprehensive overview of Corporate Social Responsibility (CSR), examining its significance in modern business operations. It delves into the concept of CSR as a self-regulating business model that integrates social and environmental concerns, emphasizing sustainable approaches to business strategy and management. The report highlights key strategies such as setting sustainability goals, promoting paperless practices, employee education, and adopting management principles like Six Sigma and Lean. It then addresses the challenges associated with CSR, including stakeholder perceptions and employee expectations. Furthermore, the report explores CSR approaches adopted by micro, SME, and corporate businesses, providing examples such as Proviz Sports and Broadsword Event House. Overall, the report underscores the importance of CSR for long-term commitment and building strong relationships with stakeholders and the community.

Csr
Table of Contents

INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Sustainable approach to business strategy and management.................................................1
Challenges associated with Corporate social responsibility...................................................4
Approaches to CSR of Micro, SME and Corporate Business................................................4
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Corporate Social Responsibility (CSR) is basically a management concept that reflects
enhanced integration of social and environmental concerns in business operations and functions
of a company or firm along with meeting expectations of their stakeholders in more ethical way
(Hopkins, 2016). Thus, it can be evaluated that CSR is a self-regulating business model that
males a company more socially accountable trough practicing corporate social responsibility that
makes it more conscious on all aspects of society, including economic, social, and environmental
factors. The current report consists of an explanation about the suitable approach to business
strategy and management. Beside this, different approaches to CSR of micro, SME and
Corporate Business are also consisting in this report along with measuring success in their CSR
strategies.
MAIN BODY
In today’s world Corporate social responsibility (CSR) has become a vital part of all
organisation irrespective of their size or business operations. The main reason for enhancing
importance of CSR consists of the fact that a business corporate sustainability is both strategic
and profitable for businesses through leading Sustainable management with enhanced
intersection of business and sustainability (Cui, Jo and Na, 2018).
Sustainable approach to business strategy and management
Sustainable approach to business strategy and management consists of ensuring proper
compliance and balance with environmental regulations along with researching and adopting
sustainable policies and initiatives that consists of setting sustainability performance goals that
are more strategic and ambitious to build awareness about the sustainability programs within the
company for proposing initiatives towards sustainable development of an organisation (Matten
and Moon, 2020). The main approach and theory that is adopted by business orgnisation is
fulfilling their Corporate social responsibility which reflects a type of self-regulation by
organisations that aims at contributing more towards societal goals of a philanthropic, activist, or
charitable nature by engaging in or supporting volunteering or ethically-oriented practices.
Sustainability approach to business strategy and management consists of various ways and
strategies that are adopted by a business orgnisation to ensures a better balance and integrations
among its business operation and social and environmental concerns to ensure protection of
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environment along with meeting demands and expectations level of all stakeholders including
overall economic, social, and environmental factors (Kang, Germann and Grewal, 2016).
Sustainable business strategy and approach basically reflects is the integration of
economic, environmental, and social aims into a goals, activities, and planning of an organisation
with the main aim of creating long-term value for the whole organisation, its associated
stakeholders including the whole society and environment in a wider context (Schäfer, 2016).
Thus, it could be evaluated that Sustainability business approach consist of a set of actions that
meet the needs of the firm and its stakeholders today along with while protecting, sustaining, and
enhancing the natural and resources that will be needed in the future. The main Sustainable
approach to business strategy and management that could be adopted by an organisation consist
of following main strategies and approach (Five ways to make your business more sustainable in
2017, 2017).
Thinking about sustainability while setting goals and objectives
The first and foremost step that is adopted my many business orgnisation like Tesco,
Uniliver, Aston martin, etc, consists of thing about sustainability while setting goals and
objectives that makes them able to set such objectives and mission that ensures fulfilment of
corporate social responsibility along with meeting expectations of customers. The belief of Aston
martin and other automotive brands like Bentley, Rolls Royce that aim at coming up with more
electric vehicles reflects their goals and aim towards leading a more better environment that is
free from pollution and high carbon emission (Baik, Farber and Lee, 2016). Thus, it can be
evaluated that the best and most forward way to make your business socially conscious and build
a sustainable approach to business strategy and management consists of having a belief in this
concept and coordinate and balance sustainability with the mission and vision statements in order
to will actively seek help and support to community, society and other ecological and social
factor.
Thinking Paperless and recycling agenda
The another way and approach that is adopted by business organisation to work towards
sustainability and fulfil their CSR approach consists of Thinking Paperless and recycling agenda
in order to preserve the trees and forest that are cut to produce papers along with maintaining
availability of resources in future through adopting the approach of recycling (Demirag, 2018). It
has been seen that, thinking paperless is the relativity of today’s virtual world as it not only lade
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to sustainable growth but also facilitates easy transformation of important information that can
be accessed within seconds and provided electronically to customers. Thus, it can be evaluated
that thinking paperless not only lead a sustainable approach but also enhance the satisfaction
levels and loyalty of consumers along with leading significant reduction in operating costs.
Beside this, the approach of recycling is also vital to more effectively manage the resources and
ensuring their availability in Future. For example, Tesco has launched its Remove, Reduce,
Reuse & Recycle plan, which aim at reducing use of plastic and other harmful substance along
with their reuse while packaging design across all product categories (Tesco launches phase two
of Remove, Reduce, Reuse & Recycle plan to suppliers, 2019).
Educating employees to Focus on constant reinvention
The another step that is taken by many business orgnisation to have sustainable approach
of development of consists of focusing more on its employees education and training in order to
direct and motivate them for constant reinvention and encouraging more eco-friendly operations
and activities that lead to success of sustainable approach. Educating employees and leading
proper training for them ensures constantly re-inventing and reimaging on how organisation
should do and perform its operations at the same time while retaining a core belief system in
order to direct and motivate its employees, clients and partners to work together with the
orgnisation to lead a ethical culture and sustainable approach (Wang and Sarkis, 2017). For
example, recently the Unilever has launched Sustainable Living Plan that focusing on developing
new business practices that reduce the company’s environmental impact and working hard in
order to reduce their carbon footprint that could only be possible through educating and yielding
its employees for the same through focusing on constant reinvention (Unilever tops list of
environmentally responsible companies, 2020).
Adopting Six sigma and Lean principles
The other Sustainable approach to business strategy and management that id lead by
many business orgnisation consists of adoption of management strategy like Six sigma and lean
principles that are aim at reducing wasteful activities and hazardous substances through maintain
good quality of operations in order to yield higher profit for companies through reducing cost of
operations along with eliminating and controlling damage to environment. Adoption of six sigma
is mainly associated with management techniques that intended to improve the overall business
processes of an orgnisation by greatly reducing the probability off error or defect all activities
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that could lead to defect or error in future thus, set better control on quality of products in order
to maintain the sustainable approach in a business organisation. The another management
approach that is adopted by many business firms consist of Lean Principles that aim at creating
more value for customers with fewer resources thus, yield significant support to suitable
approach of orgnisation (Awis and et. al., 2018). For instance, it has been evaluated that a lean
organization like Aston martin, Lotus cars, Uniliver, Tesco and other orgnisation understands
customer value and focuses its key processes to continuously increase it and have a goal of
providing perfect value to the customer through a perfect value creation process that has zero
waste to ensure future availability of resources that is the base of sustainable approach and
development.
Challenges associated with Corporate social responsibility
There are many challenges that are associated with corporate social responsibility that
consists of the fact that most of the stakeholders and shareholders have a thinking that CSR is an
irrelevant issue for their business as satisfying the needs of their customers/clients is more
important for a business orgnisation (Wang, Gibson and Zander, 2020). Further, the growing
demand for corporate disclosure from stakeholders, including customers, suppliers, employees,
communities, investors, and activist organization along with increased pressure from the Investor
are changing the way they analyze companies' performance, and are making decisions based on
ethical concerns. Further, a opposition from employees are also seen as employees are
increasingly looking beyond their pay checks and other benefits and seeking out employers
whose operating practices match their own principles thus, in order to hire and retain skilled
employees, companies are being forced to improve working conditions that is leading a big
challenge for all orgnisation to satisfy and motivate its employees.
Approaches to CSR of Micro, SME and Corporate Business
Fulfilling corporate social responsibility and adopting suitable approach lead to a long term
commitment and bonding not only with customers but with the whole community and society.
Thus, in today’s world all business organisations whether small, micro or corporate business all
are aiming at adopting and leading better approaches to CSR (Whether your business is big or
small, it's easier than ever to make a positive impact, 2020).
Approaches to CSR of Micro Business
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Micro business are one that have limited number of employees mainly from 0 to 10 thus,
have limited workforces and other resources but still they are also adopting approaches to Micro
business to build better relation with its customers and have good impact on overall community
and society (Hopkins, 2016). Proviz Sports is a micro British company that is having
specialisation in the design high visibility and reflective sportswear and accessories for cycling
and running having its headquarter in London, England. Proviz Sports being a micro business
make all possible efforts to adopt CSR the main approaches of which are discussed below:
Establish a social mission and ethical gaols - The first approach of Proviz Sports for
leading CSR is establishing a social mission and ethical goal that is based on encouraging people
more towards sports especially towards cycling and running exercise in order to motivate
customers for a healthy life.
Implementing sustainable practises- The another approach to CSR that is implemented
by Proviz Sports consist of leading sustainable practises in its day to day operations. Proviz
Sports has achieved CSR and fulfil its ethical responsibility through bringing out new innovative
products each year that are based on feedbacks of its customers along with embracing technology
and motivating its team for having good relationships with suppliers and customers to achieve
sustainable development and enhanced competitiveness in business environment (Matten and
Moon, 2020).
Approaches to CSR of Small Business
Small business are the orgnisation that employ less than 250 employees and have limited
business operations. A small business plays an enhanced role in success of economy UK thus, it
is necessary for these small organisation to have better approaches to CSR (Cui, Jo and Na,
2018). Broadsword Event House is a small business of UK that is leading Immersive live event
experiences to its customers and had main emphasis on changing lives of people through leading
best experience in most ethical and sustainable way (The listening Event Agency, 2020). The
approaches to CSR adopted by this orgnisation consists of following main points:
Think about sustainability and Energy efficiency- The foremost approach adopted by
Broadsword Event House consists of thinking about sustainability while setting its aim and
objectives through cutting down the amount of energy used at its the workplace and events as it
helps this small business to become more sustainable and slash through limiting carbon footprint
(Kang, Germann and Grewal, 2016). Beside this, implementing eco-friendly lighting and
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plumbing at its events along with creating energy-efficient policies and discouraging all
unsustainable practices and industry standards are the main approaches laed by Broadsword
Event House to adopt CSR.
Emphasising more on employees development -The another step and effort taken by
Broadsword Event House is emapsing more on lives of employees to provide a fair and more
ethical workplace to fulfil its CSR along with leading regular training and education for them in
order to motivate and direct them for attaining and implementing approaches to CR to ensure
sustainable development.
Approaches to CSR of corporate Business
Corporate business are one that employees more than 250 employees and have huge
funds and resources. Tesco plc is a well known corporate business of UK that has taken many
incentive to implement approaches to CSR some of them are evaluated below:
Remove, Reduce, Reuse & Recycle plan to suppliers- To have better implication of CSR
responsibilities Tesco has come up with the approach of Remove, Reduce, Reuse & Recycle plan
that consists of removing or eliminating all non-recyclable and hard to recycle material from the
govern packaging design across all product categories along with exploring new opportunities to
reuse it and Ensuring it is all recycled as part of a closed loop without much emission of carbon
footprints in environment (Tesco launches phase two of Remove, Reduce, Reuse & Recycle plan
to suppliers, 2019).
Regular digital campaign and programmes - The another approach lead by Tesco for
CSR consist of having regular digital campaign on Twitter, Facebook and other social sites to
encourage customers and society towards ethical consideration and protection of environment
along with leading more emphasis on charity programmes and other project likes plantation to
encourage society and customers for going green and protecting environment along with
motivating them to use eco- friendly products (Tesco's Corporate Social Responsibility
Initiatives, 2020).
Comparison of Approaches to CSR of Micro, small and corporate business
With respect to above discussion it can be evaluated that the main aim and focus of
Approaches to CSR of Micro, small and corporate business are same that aim at fulfilling all
possible social and environmental implication in order to create a better world for employees,
customers and overall society at wider level. Still a difference is also prevailing between
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approaches to CSR as Micro business adopt CSR in its goal and mission and involves
emphasising on sustainable practises (Schäfer, 2016). On contrary, Small business are more
inclined at motivating and directing employees along with thinking sustainable and efficient use
of energy and resources. On the other hand, Corporate business aim at transferring and
communicating the CSR and ethical ways at wider level though campaigns and programmes to
encourage whole society for the same along with leading better use of resources through
approach of recycling and other ethical measures.
Measures success in CSR strategy
The success of CSR strategy of micro, small and corporate business can be seen through
the level of commitment and loyalty in their employees along with rise in their productivity and
profit margin through attracting larger number of customers for their efforts. It could be
evaluated that the CSR approaches of Proviz Sports are successful as they are the top of there all
competitors and its customers believes in their efforts for motivating health practises like cycling
and racing. The efforts of Broadsword Event House for CSR are also successfully as they had
achieved brining changes in lives of its customers through innovation in events that provide best
experience along with limiting carbon emission through best use of technology (The best small
companies with a turnover of up to £10m in the UK, 2018). Finally, the efforts of Tesco are also
appreciated by its customers and are one of the leading retailer across the world thus, its efforts
and approaches to CSR are also successful in attracting and catering larger number of customers
along with leading use of eco-friendly products.
CONCLUSION
With respect to above assignment it can be concluded that CSR has become a vital part of all
orgnisation irrespective of their size and business operations. Many approaches like setting social
mission ad ethical aim along with use of more innovative technology are made by orgnisation to
meet their corporate social responsibility. Further, It could be summarised that educating
employees and leading ethical programmes and campaign are also effective way to lead ethical
cultural and sustainable approach in business organisations.
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REFERENCES
Books and journal
Awis, M.L. and et. al., 2018. Striving for Corporate Legitimacy through Corporate Social
Responsibility (CSR): Insights from NGO’s Perspectives', Stakeholders, Governance and
Responsibility (Developments in Corporate Governance and Responsibility, Volume 14).
Baik, B., Farber, D. B. and Lee, S., 2016. CEO ability and corporate social responsibility
activities. Working paper, Seoul National University, Seoul.
Cui, J., Jo, H. and Na, H., 2018. Does corporate social responsibility affect information
asymmetry?. Journal of Business Ethics. 148(3). pp.549-572.
Demirag, I. ed., 2018. Corporate social responsibility, accountability and governance: Global
perspectives. Routledge.
Hopkins, M., 2016. The planetary bargain: corporate social responsibility comes of age.
Springer.
Kang, C., Germann, F. and Grewal, R., 2016. Washing away your sins? Corporate social
responsibility, corporate social irresponsibility, and firm performance. Journal of
Marketing. 80(2). pp.59-79.
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.
Schäfer, H., 2016. 26 Corporate Social Responsibility Rating. A Handbook of Corporate
Governance and Social Responsibility, p.449.
Wang, H., Gibson, C. and Zander, U., 2020. Editors’ Comments: Is Research on Corporate
Social Responsibility Undertheorized?.
Wang, Z. and Sarkis, J., 2017. Corporate social responsibility governance, outcomes, and
financial performance. Journal of Cleaner Production. 162. pp.1607-1616.
Online:
Five ways to make your business more sustainable in 2017. 2017. [Online] Available Through:<
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Tesco launches phase two of Remove, Reduce, Reuse & Recycle plan to suppliers. 2019. [Online]
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reuse-recycle/ >.
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The best small companies with a turnover of up to £10m in the UK. 2018. [Online] Available
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The listening Event Agency. 2020. [Online] Available Through:<
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Unilever tops list of environmentally responsible companies. 2020. [Online] Available
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responsible-companies/508094/>.
Whether your business is big or small, it's easier than ever to make a positive impact. 2020.
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