CSR and Woolworths: Responding to Stakeholder Needs and Issues

This discussion post analyzes Woolworths' approach to Corporate Social Responsibility (CSR), particularly focusing on its understanding of stakeholder needs and its response to climate change concerns. The post examines Woolworths' stance on environmental sustainability and its efforts to reduce its carbon footprint, highlighting its engagement with the Business Council of Australia (BCA) and its responses on social media. It assesses Woolworths' commitment to environmental conservation, its acknowledgment of climate change issues, and its strategies for addressing them, demonstrating its understanding of stakeholder expectations. The analysis reveals Woolworths' commitment to reducing emissions and its intention to continue these efforts, while also indicating its desire to maintain its association with BCA, despite some differing views on climate change policies. The post concludes that Woolworths aims to engage with its customer base and the public on CSR matters, recognizing the importance of aligning its actions with societal ideals for long-term survival. The assignment brief required a discussion post on CSR and stakeholder needs, evaluating Woolworths' practices and their alignment with sustainability goals.

Running Head: CSR AND WOOLWORTHS: RESPONSE TO ISSUES 1
Title: CSR and Woolworths: Response to issues
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Introduction
Increasingly, corporate social responsibility is becoming an important part of organizations’
overall priorities. Firms have come to understand the numerous benefits that accrue from being
responsible corporate citizens (Tilt, 2016). These include a better connection with the society
within which an organization operates, as well as the increased chances of a firm surviving if it
behaves in an ethical and responsible manner. Corporate social responsibility is much more than
mere charity work. Once organizations realize their roles as important social stakeholders, they
are better placed to originate and support efforts to conserve the environment, improve the social
and economic wellbeing of the society, and work in a way that is sustainable and beneficial to all
interested parties. In this paper, I review the ability of Woolworths to understand different
stakeholders’ needs, as well as its responsiveness to queries about its CSR related programs and
associations.
Understanding Stakeholders’ Needs
In Australia, as with the rest of the world, climate change, and the role of human activity in it is a
raging debate. Climate plays an important role in human health, as well as social and economic
development (Fontaine, 2013). The realization of this role has led governments and organizations
to invest more resources in reducing the effect of humans on climate. My research shows that
climate change mitigation has become a victim of politics and policy disagreements (Beeson &
McDonald, 2013). Various stakeholders do not even agree on whether human activity causes
climate change in the first place. This leads to a lack of a coherent national policy on climate
change.

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With such a chaotic approach at the national level, individual organizations must step in to
address their own contribution to climate change. Research by Allen and Craig (2016) suggests
that while this is far from ideal, it has a significantly positive effect. Companies have had to
rethink their approach to CSR as far as climate change and environmental sustainability are
concerned. Organizations realize that more than environmental conservation being politically
correct, they are grappling with their own long-term survival. They must be responsible to the
society within which they operate, in order to survive (Allen & Craig, 2016).
These themes are evident in Woolworth’s stance on environmental sustainability, and its efforts
to reduce its carbon imprint. The organization clearly shows a deep understanding of climate
change issues, its role in them, and what it is actively doing in response. Woolworths also
downplays the influence BCA has on its approach to climate change-related issues.
Data collection
Woolworths is one of the biggest Australian firms, with a strong presence in the Australian retail
market. I collected the data reviewed here from Woolworths’ Facebook page, which fields
queries from its customers, as well as communicating important messages to the public.
Woolworths is a member of the Business Council of Australia, an organization that has been
blamed for not doing enough to contain climate change in Australia. In particular, the council has
been accused of not aggressively engaging industries that use or mine coal, one of the top
producers of greenhouse gases. Woolworths’ Facebook page has sought to address its
membership with BCA, as well as what it considers important actions as far as climate change is
concerned.

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In my opinion, the post on social media does not directly address the charge of whether or not
Woolworths will quit BCA. Instead, it highlights the multi-faceted nature of its relationship with
BCA. BCA engages its members on a wide range of issues while helping them come up with
unified approaches to issues that affect them. However, individual members have a right to
pursue separate paths as they deem fit. This is explained in the post by Woolworths, where the
organization insists that while it is a dedicated member of BCA, it also differs on some of the
stances taken by the group. In making its case, Woolworths discloses that it has invested to
reduce its share of emissions, and has so far been successful by reducing these emissions by
around 18% (Woolworths, 2019).
The information shared can be counter-checked through other sources. For instance, its 2019
“sustainability report” says that it has reduced emissions to by 18%, compared to its 2015 levels.
The report also highlights the importance of its broad partnership with other organizations under
the auspices of BCA (Woolworths, 2019). In the Facebook post, Woolworths commits to doing
more, especially as far as environmental conservation and global warming are concerned. This is
well reflected in the report as well, with Woolworths saying that the recent reductions are
expected to continue, with the organization committing more resources to this course. By this
response, it is clear that the organization has understood its stakeholders’ needs. However, it is
not yet ready to let go of its association with BCA. True to its assertion however, it is able to
pursue its environmental conservation agenda.
Conclusion
Woolworths’s social media post implies one message: that it is not contemplating leaving BCA.
It does understand that some of BCA’s ideas on climate change and the role of human activity in

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it are not necessarily okay. It, however, does not see this as sufficient grounds to delink itself
from the group. It feels its membership is beneficial for several other reasons and is therefore set
to remain. The post also reflects an organization that intends to engage its customer base and the
public. This is important, especially when dealing with matters as delicate as this. As noted
elsewhere in this paper, climate change issues, and the wider CSR objectives that an organization
is involved with are much more than a marketing gimmick, or even charity. Part of the survival
that an entity connects with CSR is related to the survival of the society within which it operates.
Another part relates to the demise of an organization due to the lack of alignment between its
CSR posture and approaches, and the wider community’s ideals. In the case of Woolworths for
instance, its continued association with BCA, while prudent for its short-term business interests,
could prove to threaten its very existence in the future.
References
Allen, M., & Craig, C. (2016). Rethinking corporate social responsibility in the age of climate
change: a communication perspective. International Journal of Corporate Social
responsibility, 1(2016), 6-17.
Beeson, M., & McDonald, M. (2013). The Politics of Climate Change in Australia. Australian
Journal of Politics and History, 59(3), 1-5.
Fontaine, M. (2013). Corporate Social Responsibility and Sustainability: The New Bottom Line?
International Journal of Business and Social Science, 4(4), 110-119.
Tilt, C. (2016). Corporate social responsibility research: the importance of context. International
Journal of Corporate Social Responsibility, 2(2016), published online.

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Woolworths. (2019). Better for everyone. Sydney: Woolworths.