Literature Review: Corporate Social Responsibility Analysis

This report presents a comprehensive literature review on Corporate Social Responsibility (CSR), defining the concept and exploring its significance. It examines the objectives and importance of CSR, including its role in ethical business practices and stakeholder engagement. The report analyzes various definitions of CSR from prominent authors, such as Howard Bowen, Philip Kotler, and the World Business Council for Sustainable Development, highlighting the evolution of CSR perspectives. It also discusses the practical application of CSR, using British Airways as a case study, and delves into Carroll's CSR pyramid, covering economic, legal, ethical, and philanthropic responsibilities. The report concludes that a thorough literature review is essential for understanding CSR and its impact on business and society.

Individual Report

Table of Contents
INTRODUCTION...........................................................................................................................1
1. Explain literature review and what does it achieve............................................................1
2. Literature review on Corporate Social Responsibility.......................................................2
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6
.........................................................................................................................................................6

INTRODUCTION
Corporate social responsibility (CSR) can be defined as corporate ethic strategy which
makes a company socially accountable to its stakeholders including wider public. It is a self-
governing practice which is used internally. Also, it is made as a part of company's policy. It a
concept that goes beyond regulations (Bergkvist and Zhou, 2016). Furthermore, an entity
become more efficient by including this as a part of business strategies. British Airways has
been chosen in this report. It has its headquarters at Waterside, Harmondsworth, United
Kingdom. Further, the report covers literature review about a particular topic which is explained
and justified with definitions and criticisms provided by various authors. Thus, meaning and
related aspects of CSR have been coded by considering viewpoints of numerous authors.
1. Explain literature review and what does it achieve.
A literature review means critical analysis of information that has been gathered in a
summarised form. It includes steps which starts from identifying, evaluating and synthesizing the
work that has been produced or written by researchers, scholars etc. In other words, it may
involve interpretation of an already existing matter in a complete new form or combination of
new with old interpretation can be made. Further, it tends to include both positive and negative
aspects of a topic in order to increase quality of research. In nutshell, it should be made in a way
so as to enable the reader equip himself/herself with the understanding of the topic in a sufficient
manner. It is based on ideas and open to different opinions. The objectives, importance and role
of literature review have been mentioned below:
Purpose of Literature review:
(a). To expand a topic with available data and findings in order to make it meaningful and
understandable.
(b). Identification of prior work that has been done by scholars in order to prevent
duplication so that work of every researcher can be acknowledged (Dadhabai and Pavani, 2018).
(c). To find additional and supplementary data as a support for justification to own work.
(d). Identification of connection of works or piece of information with matter written
about the topic.
(e) To put own piece of work within the context of existing literature to tempt reader to
read further.
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Contribution in work and study: Literature review is an essential part of whole body of
research for number of reasons which have been described as follows:
(a). The literature review exhibits the matter in an compact form which gives a gist about
the whole research work. Important issues and their relevancy are demonstrated in this part. This
works as a map to position the whole work.
(b). It backed the research with proper justifications which enable the reader to analyse
the difference between the knowledge and written work so as to bridge the gap. Further, it
convince a reader that matter is important (Gorski, 2017).
Role of Literature review: Literature review is the essence of a research which should
include all the highlights of the work that has been conducted. The role played by it are as
follows:
(a). It helps a reader to be well equipped with knowledge in about the topic through an
overview. Further, it explains the current state of literature.
(b). It assess any variance in order to address them with on going issue(s) which is
moulded according to requirement of study program. Along with this, it shows the contribution
to scholarly conversation.
(c). It provides a combination of issues, trends and concepts which helped in better
conduct of research.
2. Literature review on Corporate Social Responsibility
In the words of Howard Bowen, the father CSR, has defined it as “the obligations of
business to pursue those policies, to make those decisions or to follow those lines of action
which are desirable in terms of the objectives and value of our society”. Every organization is
required to conduct business which is going to benefit wider public. An entity operating in a
society is expected to do something in favour of the people living in that particular area which
will make their lives better. British Airways is a leading airline in UK, therefore, it become
imperative for it to contribute in environment to make it healthy. This will help it gaining high
position in the market as humans are becoming aware about nature (Hansen, 2016).
According to Philip Kotler and Nancy Lee, CSR is “a commitment to improve
community well being through discretionary business practices and contributions of corporate
resources”. An entity is able to conduct its business through various resources which has been
gathered from the society or community itself. An organization has two objectives viz. Profit
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maximization and wealth maximization and these are reflected in its objectives. However, in
considering the goals, stakeholders can not be ignored. Stakeholders means employees,
customers, government, suppliers, competitors, community etc. A business if formed with the
help, co-operation and efforts of all these people. Their contribution can not be replaced and
must be returned through CSR activities. Each of them is important to survival of an
organization. The author has focused on the betterment of community through the resources it
has. British Airways has been a successful company and still making good amount of profits
which can be utilised to contribute to its infrastructural, education, funds for poor people to raise
their standard of living (Kotler and Maon, 2016).
According to World Business Council for Sustainable Development (WBSCD),
“Corporate social responsibility is the continuing commitment by business to behave ethically
and contribute to economic development while improving the quality of life of the workforce and
their families as well as of the local community and society at large.” This definition has put
focus on carrying business in an ethical manner. Also, to make life of its employees, their
families and other people better. A business makes profit or loss based on the performance of
each individual. The accomplishment of tasks within the time is important to survive in this cut
throat competition. Thus, it is important for organization to not just think about their professional
but personal lives also. Family members are important part of everyone's life and a person work
to earn so that he/she can fulfil demands and wishes of his family. This is gives him immense
happiness and keep him motivated which is reflected in his hard work and good performance.
However, an organization should not be selfish and just focus on its manpower, it has to give
equal attention to other people in the society who may not be family or relatives but can possibly
be friends. British Airways, has been developing various programs such as Education and Youth
Development, supporting our colleagues, community and conservation and many other similar
programs (Hart, 2018).
As per EU Commission, “CSR is a concept whereby companies integrate social and
environmental concerns in their business operations and in their interaction with their
stakeholders on a voluntary basis.” On breaking down this definition, it has been ascertained that
CSR should not only be treated as a part of corporate governance which should be complied with
but every organization should follow it beyond letter of law in true spirit. Along with this,
environmental concerns have been highlighted due to the increasing amount of pollution which
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is affecting health of individual. People have become aware and worried about the concept of
climate change and has targeted it a serious issue which should be address. British Airways is
operating huge number of flights on daily basis which is causing pollution in the atmosphere. For
this purpose, It has taken a number of initiatives to reduce carbon emission to protect the
environment. It has mission for CSR which is “to do the right thing” and has very well worked
on this statement. It has complied with all the legal provisions which has been imposed by UK
government on Aviation department (Singh, 2017). Furthermore, the author has put lights on
stakeholders. An organization should have words with its stakeholders on a regular basis. There
engagement is important so that their views can be considered for decision making. This helps in
retaining investors as they feel connected to the company. British Airways make sure the
demands of its stakeholders are fulfilled. This is how an organization can work ethically. Further,
this not only contribute to its profits but also increases goodwill, brand image and attract more
prospective employees and investors.
A CSR pyramid has bee developed by Carroll, who has defined “CSR encompasses the
economic, legal, ethical and discretionary (philanthropic) expectations that society has of
organizations at a given point in time.” This model has four responsibilities which have been
mentioned above and have been described hereunder:
Economic responsibilities: A business has duty and responsibilities towards society
which is necessary for its survival. Under this, a company can make profits only when it
produces goods which will provide high satisfaction to its customers. Further, by focusing on this
objective, organization can not ignore its stakeholders by just focusing on its shareholders. They
should provide return and make decisions and policies which will benefit all stakeholders. British
Airways is successful because it has created a co-ordination in its operations to meet the
demands of all stakeholder without any discrimination.
Legal responsibilities: Government makes rules and laws so that business can be
conducted lawfully. Every business is required to comply with these regulations to gain better
position among its competitors. Fulfilling these responsibilities, a company can become ethical
which gives its many benefits. Employees, customers, government etc. show their interest in an
ethical entity as compared to others. This can provide added value to existing value. British
Airways make sure to increase its level of compliance and reduce any non-compliances so that
its does not have to face any financial crisis (Carroll, 2016).
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Ethical responsibilities: The common perception of a society is that laws are necessary
but may have inadequacy. Apart from just being compliant of laws, society expect them to work
in an ethical manner. In other words, activities, standards, norms etc. prevailing in the society
should be followed irrespective of whether these have been implemented as laws or not. Thus,
businesses should follow in true spirit and not just letter of law. Further, this helps an
organization in maintaining transparency and accountability which will increase the trust of
investors more. British Airways is very active in taking initiatives for its employees, customers
and other stakeholders. It has developed funds to help communities.
Philanthropic responsibilities: These are the responsibilities which should be carried
out of voluntary or discretionary activities. These may not be provided in strict sense, instead,
these are expectations of wider public. These may take place in the form of donations, charities,
community development etc. British Airways makes charity and donation every year from its
profits. These are not included in CSR activities and are done out of the will and desire. This has
increased its reputation and helped it build good relations with people living in the society
(Snyder, and et. al, 2016).
CONCLUSION
From the above report, its has been concluded that literature review holds a good weight
and is essential in the whole research. The matter recorded on the topic is explained in a
summarised form which gives an overview of topic and its findings. Further, it is involves
opinions and perceptions of number of authors which may be in favour or against the topic.
Corporate Social Responsibility is an activity and practice by organization towards society in
which it is operating. It is important to abide by to become an ethical company. Furthermore, it
should be followed not just in letter but in true spirit.
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REFERENCES
Books & Journals:
Bergkvist, L. and Zhou, K.Q., 2016. Celebrity endorsements: a literature review and research
agenda. International Journal of Advertising. 35(4). pp.642-663.
Carroll, A.B., 2016. Carroll’s pyramid of CSR: taking another look. International journal of
corporate social responsibility. 1(1). p.3.
Dadhabai, S. and Pavani, B., 2018, October. Role of HR in Delivering Corporate Social
Responsibility (CSR). In ICRTEMMS Conference Proceedings (Vol. 621, No. 624, pp.
621-624). Swarna Bharathi lnstitute of Science and Technology.
Gorski, H., 2017, June. Leadership and Corporate Social Responsibility. In International
conference KNOWLEDGE-BASED ORGANIZATION (Vol. 23, No. 1, pp. 372-377). De
Gruyter Open.
Hansen, J.M., 2016. Reflections on the universality and philosophical foundations of the
‘corporate social responsibility’definition. In Research handbook on Corporate Social
Responsibility in context. Edward Elgar Publishing.
Hart, C., 2018. Doing a literature review: Releasing the research imagination. Sage.
Kotler, P. and Maon, F., 2016. A stakeholder approach to corporate social responsibility:
Pressures, conflicts, and reconciliation. Routledge
Singh, A.K., 2017. Corporate Social Responsibility into Public Sector Enterprises. EVIDENCE
BASED MANAGEMENT, 282.
Snyder, and et. al, 2016. Identifying categories of service innovation: A review and synthesis of
the literature. Journal of Business Research. 69(7). pp.2401-2408.
Utama, A.G.S., 2017. Framing Corporate Social Responsibility On the Websites Of Company
(Mudflow Incident). Archives of Business Research. 5(12).
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