An Analysis of Corporate Social Responsibility at Telstra Corporation

This report provides a comprehensive analysis of Corporate Social Responsibility (CSR) initiatives undertaken by Telstra Corporation. It begins with an overview of the company, its operations, and its position within the telecommunications industry. The main body delves into Telstra's major CSR activities, encompassing environmental programs like waste reduction and recycling, community support initiatives, and cyber safety programs. The report evaluates these CSR efforts, applying relevant theories and principles such as the stakeholder model, ethical model, and Carroll's Pyramid of CSR to assess their effectiveness and impact. The analysis examines the core characteristics of CSR, including its voluntary nature and its focus on stakeholder engagement. Finally, the report offers recommendations for Telstra to further enhance its CSR performance and concludes with a summary of the key findings and insights.

CORPORATE SOCIAL
RESPONSIBILITY
TELSTRA

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Overview of company............................................................................................................1
Major corporate social responsibility work of the Telstra corporation..................................2
Evaluating the core working for corporate social responsibility of Telstra company............5
Core characteristics of corporate social responsibilities:.......................................................7
RECOMMENDATIONS.................................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
Corporate social responsibility is a value based systematic approach that defines the way
in which any organisation operates its business with an aim for making positive contribution to
society and environment. It is a concept of integrating environmental, social growth in the
company's operations and make interactions with its potential stakeholders (Bhattacharya and
et.al., 2017). It helps the business for growth and is concerned with becoming socially
accountable and useful for public welfare. This report presents the description of core activities
for corporate social responsibility of Telstra Corporation Limited. Cited firm is situated at
Melbourne Australia and it provides services like mobile telephone, data services, internet, pay
TV and many more. This report covers overview of company and its major CSR work. Further, it
evaluates such CSR work of this company with suitable theories and principles.
MAIN BODY
Overview of company
Telstra corporation is an Australian company that relates to the telecommunication
industry and technological sector and it has an international presence in global environment. This
organisation is founded in July 1975 and currently its chief executive officer is Andy Penn, chief
financial officer is Warwick Bray and chairman is John Mullen. The annual revenue for Telstra
was nearly twenty-seven billion Australian Dollar in 2017 and in this company, there are more
than 32500 employees are working at present. The management provide an extensive network
and suite of connectivity to its all customers. In its customer's range, it has small businesses,
government organisations, several large enterprises and many more (Carroll, 2015). As a result
of this, management of Telstra provides many facilities to their employees with a heavy focus on
prevention from diseases and any type of injury. In the modern globalised world, internet has
become the best medium for exchange of information as well as a channel of communication.
This way, management make use of these strategies and provides the best for potential customers
at reasonable price. In other words, CSR refers to activities which engage employees and
customers with organisation (Bear, Rahman and Post, 2010). Further, it is applied throughout
whole practices of organization for integration. It describes transparency and accountability from
stake holders so that all resources for CSR activities can be made available to society. In
Australia, people are required to broaden their definition of corporate philanthropy and
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development of specific projects are demonstrated. All organisations are engaged in CSR for
various reasons that conclude ability to operate their business and for growth of society and
environment. Telstra provides internet services for its business and personal clients by utilising
Internet Service Provider, BigPond. In the present scenario, there are more than 5 million users
of this ISP in all over the world (Cragg, Schwartz and Weitzner, 2010). In accordance with the
CSR activities, cited firm focus on supporting the community by making it clean. With respect to
this, there are many people in community active at various levels. Such as, Telstra supports
Clean Up Australian Day. It includes The Farmhand Foundation that is aimed for helping
drought stricken farmers and farm contractors. Further, it includes Telstra Foundation that is
devoted towards enriching lives of young people and children at Australia (Dhaliwal,
Radhakrishnan and Yang, 2012). One of Telstra’s core value which is instilled from the
management team to customer service is that if people are more connected then they have more
opportunities which leads to create a brilliant connected future for all customers. It was the first
organisation to provide mobile telephone services in the global world (Clapp and Rowlands,
2014). In its product category, it provides fixed line and mobile telephone with outsourcing a
significant portion of network installation. It maintains economic growth of the country and
operates majority of Australia's public telephone booths. It has several retail stores and in such
stores 110 are owned by Vita Group with a market capital of $500 million. Now, it has over 300
stores that equipped with low energy Bluetooth beacons.
Major corporate social responsibility work of the Telstra corporation
Corporate social responsibility plays a significant role in growth and development of a
company as it enables to develop better image and trust among people or customers.
Administration of Telstra promotes to their ecologically sustainable development in different
ways (Grinstein and Blekher, 2015). They provide increased opportunity to make interaction
with communities and improves the dissemination of information. So, for this reason,
management of Telstra is liable for sustaining their relevant environment for future possibilities
and earn money in competitive environment. In this context, the Telstra Corporation have
developed several activities for CSR and this has helped them to attain competitive advantages.
Its management team believes in raising value by supporting community on all aspects.
However, there are legal compliances faced by company but still it has always worked on to
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develop healthy environment (Bhattacharya and et.al., 2017). Telstra's main mission is to make
better working place so that its employees feel better during work process. For the environmental
growth, its management team reduces paper work. Its employees use papers for working, only
for billing and printing purpose which are reduced.
There are different CSR activities carried out, some of the programmes are as follows:
Work for environment
Actions plan Progress Current status
Implement and develop staff
member e-learning programme
for carbon minimization and
expand work place energy
Management is able to develop and launch
their online learning portal that is useful in
growth of business and carbon
minimization.
Achieved
Reduce organisational carbon
emissions by 4 % (assumed)
Achieve the target and fleet minimise
carbon by 6 %
Achieved
Integrate energy efficiency
criteria for different business
processes
Integrated energy effectively in five major
technology delivery process
Achieved
Organisational activities support the environment through their special program, for
achieving growth and development. Renders recycling containers, Mobile Muster programme in
retail shops and post bags to customers to send wastages and discarded mobile phones & its
accessories for recycling (Jenni and Lewis, 2018). In this context, the company collected 18
tonnes of mobile phones from its repair centres, shops and other places with the help of this
programme. In 2017, it received 100 tonnes of electronic wastages. Apart from this, cited firm
also work for betterment of community and some of the activities performed are as follows:
 Management team work for development of communities and people that are specially
impacted by the devastating natural disasters of floods and high rain in regions of NSW,
Tasmania, Queensland and Victoria and to the cyclones prone area of Western Australia
and Far North Queensland (McWilliams, 2015).
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 Its management includes assistance covered establishment of communication services in
its stores, distributing satellite handsets and evacuation centres in several affected areas
(McWilliams, 2015).
Cyber safety programmes:
This organisation takes a significant view point on the cyber safety seriously. In present
environment, frequent changes in technology and in systems of companies like Telstra to make
use of new or updated technologies so they would develop various business plan for attracting
more customers and providing proper security. They also recognise growing thirst for
information related to various element of cyber safety concluding online scams, cyber bullying
and identify theft (Poussenkova and et.al., 2016). By conducting corporate social responsibility
of Telstra organisation, it gets several benefits such as:
 It expands its shareholder value and protects their interests.
 It serves all requirements of its potential customers and provides good job at the best
salary to its employees.
 It also contributes several resources such as money, technology, people, products for
supporting communities and public welfare.
 In addition to this, its national interest by strengthening the capacity of its country's
telecommunications centre that is operated by Telstra. For this reason, it provides amount
for national foundation for improving productivity, economic growth and environment
sustainability (Roy and et.al., 2015).
In this context, management team of the Telstra has continuously worked for its liabilities to
society, nation and environment and these are done by CSR activities formed. This way, it has
achieved high rating for it CSR operations.
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Evaluating the core working for corporate social responsibility of Telstra company.
CSR is the core liability of all organisations because they operate their business in its
society by using several resources such as human resource, agriculture products and many more.
So for this reason they should accomplishes it for further growth and expansion of business
(Schwartz, 2017). It recognises the importance of conserving its natural environment in order to
make a sustainable society for future generations. Its main mission is to increase its product
quality, make goodwill and brand image for attracting more customers. Through its fundraising
related activities, Telstra corporation and its charitable team supports to the global unifying
brand message that drives to this company's overall growth. For this reason, its management
team uses several models or theories and media reports to make better image of this organisation,
that are described as follows:
 Stake holder’s model – It seeks to balance the competing demand of different groups
that supports an organisation including all shareholders and customers. It applies a
special concept that is corporate citizenship and Triple Bottom Line accountability that
are most represented by an organisation (Steenkamp, 2017). This model proposes a
specific system of communication, consultation and evaluation that represents all
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Illustration 1: CSR rating of Telstra Corporation
(Source - CSR Rating Compared with All Companies, 2018)

stakeholders. In this context, shareholders are considered for valuation and its employees
work for their growth in the organisational well-being. It also shows a range of beliefs
and approaches for the society.
 Ethical Model – It is discussed as a citizenship approach that respects to the relationship
between community and organisation. In this context, management of Telstra must work
according to its ethical model and produce better quality products (Suliman, Al-Khatib
and Thomas, 2016). This organisation is fit in this model for all its core CSR activities
but it gets affected from many direct efforts by its industry.
 Carroll's Pyramid of CSR – Corporate social responsibility is a factor that begun earlier
but considered by people in the 1950. Its meaning is rooted in a special tool that is
Pyramid of Corporate Social Responsibility that is produced by Archie Carroll's.
In accordance with the above given image, there are four different types of
liabilities that firm have to consider. In this context, first one is economic responsibility
that concern with the responsibilities of firm for producing services and goods that are
very useful for society and are sell for making profit (Suliman, Al-Khatib and Thomas,
2016). Second is legal responsibility, company must adapt the judicial rules and
compliances or regulations that are predetermined or is beneficial for the society. Third
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Illustration 2: Carroll's pyramid for CSR
(Source - Carroll’s CSR Pyramid and its applications, 2012)

one is connected with the legal responsibilities that is required to be followed by
company. It should be accomplished by an organisation to fulfil their customer's demand
and needs. Last is philanthropic responsibility and it is also known as discretionary. It is
discussed through the resources contributed by a company such as educational, social and
for cultural purposes (Tai and Chuang, 2014). So for this reason, the pyramid remains
highly relevant. It is important that all the responsibilities mentioned should be fulfilled
by company. When these are followed, then it becomes helpful for the firm to raise their
profitability.
Core characteristics of corporate social responsibilities:
There are different types of theories that are included in corporate social responsibilities, it
is important that to make sure that Telstra corporation follows them for further growth. The core
characteristics of CSR are its important features of the concept that tend to be visible in its
practice. There are some core characteristics of CSR that are described as below:
 Voluntary – It defines to the Corporate Social Responsibilities as represented of all
element of business firm initiatives that are extended beyond several rules and laws that
has prescribed by an organisation (Bhattacharya and et.al., 2017). The major views of
stake holders and government in all developing countries emphasise this type of
characteristics. In this context, Telstra corporation is familiar and more willing to
consider duties beyond their legal factors. The growth and development of self-regulatory
CSR initiatives from other organisation, are seen as all methods to reduce additional
regulation by using moral values.
 Multiple stake holder’s orientation – It is identifying the stake holder's orientations that
is based on major three different attributes that are legitimacy of claim, power and
urgency (Carroll, 2015). It also determines the stake holder’s expectations that are useful
in setting its prioritisation through adoption of approaches starting with internal
preparations. In this organisation's CSR activities, it involves a range of impacts and
interests among several stakeholders.
 Alignment of economic and social duties – It is used for balancing different stake
holder's interests that lead to organisational growth. CSR is about going beyond a narrow
focus on the organisational profitability of shareholders. All companies should
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accomplish its economic and social responsibilities which cover-up their desired
objectives and goals. In this context, Telstra corporation must fulfil its responsibilities
against CSR and make growth of society as well as nation (Grinstein and Blekher, 2015).
In this context, the core assumptions of a company have responsibilities to its potential
shareholders that is usually not contested and relies on several internal stakeholders for
example staff members, customers and other local communities to serve better outputs.
 Values – In this context, CSR refers as the set of business's core strategies and practices
that must deal with many social issues and problems (Clapp and Rowlands, 2014). This
element is evident in corporate social responsibilities initiatives of collectivism or
communitarian societies and cultural practices of their local communities. In a study it
concluded that to a vast extent CSR practices are affected or influenced by the core
values of leaders of a company. The management team of Telstra company follows major
characteristics of Corporate Social Responsibilities activities and work for public welfare
and environment.
RECOMMENDATIONS
Corporate Social Responsibilities is the activity or movement that is conducted by
internal management of an organisation and it also presents as a larger connectivity with the
ethical and social for corporations. In this context, Telstra company is engaged in its CSR
activities and provides electronic products and mobile phones with internet services (Grinstein
and Blekher, 2015). It accomplishes several CSR activities for growth and public welfare. Its
board of Directors made a systematic structure for increasing profits and turnover for its potential
stakeholders. By advocating such CSR activities, its management can frequently exploit people
and the natural environment. So for this reason, there are some recommendations for improving
its major Corporate Social responsibilities. These are as follows:
 For Environmental – Environment includes forest, animals, renewable and non-
renewable resources and many more. All companies should conduct several activities for
their external environment and make its growth so that the state of affairs can be
sustained for future generation. In this context, management of the Telstra corporation
should use lesser resources for its business purpose and should engage in CSR techniques
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and recognized for achieving the certain success without damage to the environment and
society.
 For Societal - CSR emphasizes on its responsibility of organisations to return their
wealth and support to the successful communities (Jenni and Lewis, 2018). Main reason
of poverty is affecting many of the developing countries where multinational
corporations employ people in their factories. So for this reason Telstra corporation can
make more employment in its internal work and reduce poverty of its society and nation.
 For Its Consumers – Theory of CSR argues that the organisations themselves will
benefit from such activities. All companies should provide their best quality products and
services to their customers at the reasonable price for achieving desired goals. Telstra
corporation should engage in price fixing or monopolistic practices efforts that useful for
the business's unfair activities that limits public demand so that such type of activities
may discourage such practices. It must useful in achieving desired objectives and goals so
for this reason management is able for attracting more customers towards the company.
 For Its Internal Employees – All companies should also work for their internal staff
members and employees for making its organisational growth. Each organisation cannot
achieve desired goals without satisfying its employees (McWilliams, 2015). In this
context, Telstra corporation should arrange several programmes and activities for its
employees. They also motivate employees by providing sufficient salary or wage plans,
several incentives and allowances so that workers get satisfied and increases their
productivity.
CONCLUSION
This report concluded a detailed description about corporate social responsibilities. It
concluded an overview of Telstra corporation that is engaged in operating its business in
telecommunication sector. It provides mobile phones, data packages to its customers. Further,
report concluded major CSR related work accomplished by this company for communities,
environment etc. Furthermore, it concluded theories of CSR and its core characteristics with
Carroll's Pyramid. Lastly, it concluded recommendations that are useful for the organisation in
conducting activities of Corporate Social Responsibilities and sustaining environment.
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REFERENCES
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Cragg, W., Schwartz, M. and Weitzner, D., 2010. Corporate social responsibility. Harvard Law
Review, 45, pp.1145-1163.
Dhaliwal, D.S., Radhakrishnan, S. and Yang, Y.G., 2012. Nonfinancial disclosure and analyst
forecast accuracy: International evidence on corporate social responsibility disclosure. The
Accounting Review, 87(3), pp.723-759.
Grinstein, A. and Blekher, M., 2015. Corporate social responsibility. Wiley Encyclopaedia of
Management, pp.1-3.
Jenni, C. and Lewis, A., 2018. CORPORATE SOCIAL RESPONSIBILITY. Management
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Palgrave Macmillan, London.
Suliman, A.M., Al-Khatib, H.T. and Thomas, S.E., 2016. Corporate social
responsibility. Corporate Social Performance: Reflecting on the Past and Investing in the
Future, p.15.
Tai, F.M. and Chuang, S.H., 2014. Corporate social responsibility. Ibusiness, 6(03), p.117.
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