Introduction In business world companies are interested in how to maintain or increase shareholder values and profit. So, in order to give something back to the general public, those companies have to assume their responsibilities by being aware of the effects of their activities in the community and take measures to control them because this can affect the community and the environment by polluting the air, destroying the ecosystem, over using natural resources and so on.
CSR is often called corporate citizen which means that companies should be good neighbors of the community not to work against it but collaborate with the citizen or the society in order to increase their welfare, to make a community a better place to live. (catalyst consortium, july 2002) What Corporate Social Responsibility is all about?
In the other hand companies have to limit the excess damage on the environment, and help people in the economic development this is a way of behaving ethically in a business, cooperate with loyal spirit, ethical values, global measures and develop a general positive impact of the business on the society. when a company choose to be socially responsible they better be prepared to go through some difficulties and critics about the way they operate, and the goals they want to achieve and must not forget the main purpose of the business which is making profit,
Development: Chevron’s background: * CHEVRON is an American second oil company which has been founded in 1879 by an American group of explorers since then chevron has changed its name more than once but it took its name “chevron” in 1984 and it has worked with many other oil companies like Texaco and many more, the company now have 58,000employees and 4,000 service station employees.(chevron, 2011)
* KELLOGG’S is a company which produce product comes from cereals the company has started in 1906 by W.K KELLOGG’S in USA, it started with 44employeees but now it has become one of the big company in the world which sell its products in about 180 countries around the world (kellogg's, 2011) So now we are going to see how these companies operate in social responsibility in environment and community its work in As chevron company which produce oil, it has a huge responsibility to defend its activities for it to keep a good impression from the society so this is how it operate in CSR:
Environment| chevron| Kellogg’s| | * protect environment in Indonesia include animals in a park by providing it energy and support guards * Promote agriculture and help farmers in that same region * Water treatment : like clean a pond into fresh water so that people can use the former pond in agriculture * Create committee called ESHIA (environment, social and health impact assessment), in charge of studying a project prior to execution to ensure if is not a threat or a danger to the environment so that the ESHIA can see how to avoid it or reduce the negative consequences it have on the environment(chevron, 2011)|
* its aim is to decrease the quantity of GHG they send into the atmosphere * new system of environment protection called K-CAPP (cares about people and planet) in supervising every Kellogg’s factory in context of avoid danger * prevent lack of water: reduce water consummation of their product where they replace the former method of cleaning their crops with dry technique to the wet system of cleaning * packaging recycle : the statistics shows that 93% of Kellogg’s waste is recycled and the 7% is used in nursing animals and producing energy (kellogg's, 2010)|
CHEVRON and KELLOGG’S are both involved in the conservation of the environment and try to limit the damages caused by their activities on the ecosystem and guaranty the safety of the people who are using their products, it comes to wonder if what companies tell us is real .For example the consequences of CHEVRON’s operations in Ecuador’s Amazon where they have intentionally threw 18.5 billion gallons of toxic waste have caused cancer, birth defects, death and damages to the surrounding of the city dwellers. And what’s more the recent case of oil spillage which caused serious problem to the environment in Brazil.
(Rain forest action network, 2010). Another example of a company which their report is not the same as their activities on the field is the British oil company called BP. Indeed they say that they are doing the CSR based on what their former president said “ we want to operate in a friendly environment in order of renewable and lasting energy with a genuine concern for the environment “ but this is different of what happened these past years , as a matter of fact in 2010 the release of oil in the gulf of Mexico damaged almost everything near the coast , people lost their jobs, some of the species who were living there died, and still now there is a problem of cleaning the water in the gulf because it has been pollute.
So based on this example we can ask ourselves if there is a real CSR in BP and CHEVRON’s operations when they cannot control the dangerousness of their activities and be more careful about their effects on people and the environment.
community| Chevron | Kellogg’s| | * promote small enterprises where it invest about 25$million * create new jobs and train employees, like in Luanda (Angola) about 143 new jobs were created in 2010 * In education , 2000 students got entrepreneur courses and provide trainings to teachers but in partnership with UNESCO and UNICEF * chevron and bank of Angola collaborate to facilitate people to get loan for their business development * with the partnership of a project called PROAGRO they assist farmers to increase their productivity * provide vaccination in Angola and Congo to eradicate a disease called polio chevron and its partners invested about 29million $ in medical training in 20 past years (chevron, 2011)|
* provide breakfast to school’s children around the world so that program cost about $400,000 no profit * donate cashes and kellogg’s product to assist people in Japan , Haiti, Australia caused by the disaster, when in 2010 * in 2011 it donate $500,000 to the American cross to give their hand in Japan during the disaster ,and also it intervene in Chile after 1month in Mexico * 165 children received scholarship for them to continue their studies * Encourage children to practice sport when it sponsors schools in Sweden .
(kellogg's, 2010)| KELLOGG’S show us their involvement in community welfare but we still find some customers complaining about the ingredients of their products , which is increasing obesity among people in USA (Robinson, 2010) and there are other companies such as NIKE , where employees work in a bad condition , children working in their factories ,over time work and all of that they just earn a miserable salary which doesn’t match on the efforts they put into the manufacturing of the product which the company will sell at high price.
But they defend themselves by saying that there are not implied in this situation because they design the product and retailers produce them so they pretend there are not involved in the manufacturing process therefore, not linked to the situation they are accused for ,even if they are indirectly implied they have to control every single thing which is done under their name and which could affect their reputation, so this is a lesson to other companies that social responsibility starts within the organization with their employees before it spread out to the community , because those employees are one of the most reliable advertising tool of the company.
So they have interest to treat them well for them to insure the confidence of customers and employees (stephen p., 2003) CSR is not only community which benefit from it but also companies ,when there are doing CSR this is a kind of advertising or save their reputation , and attract more confidence from their customers
Conclusion: we can’t blame all companies which are not doing CSR or to do it wrong, because it’s not always about managers of the company who don’t want to do it but there are shareholders who don’t want to spend their money in CSR all they want is to insure the maximization of their profit and there are those which avoid criticize or being treated as hypocrisy and always be compared to others, try to please the community by doing CSR, (KARNANI, 2010) but also increase their profit and social responsibility and still reducing dangers of their operations ,because there are those companies which think that doing CSR is about spending money which will give them more expenditures by participating in for example charitable activities.
(two tomorrows, jun 2009) and manager don’t know how to differentiate till now , a social responsibility and social responsiveness , which is make a practical decisions about the societal actions in which it operate for its to satisfied some expressed social needs because is guided by social norms, because manager focus just on things which increase profits, and this is most of the time because of some shareholders who don’t want to spend their money in CSR , yes, is all businessman want but they can just try to do good things to the society not just economic but also socially, by starting with their employees they work with by facilitate them and give them some opportunities.
So if all all companies , instead of using a lot of money in advertising , to use it in charities this can be a good advertisement by doing good also to the society and the environment they work in ,and for those which do it already, they need to improve their way of doing CSR not only to advertise and restore the reputation, This is not only about doing things ethically or to fill their CSR report but also conduct the business in a responsible manner not because there are required to do it but because it’s their duty. (baker, jun 2004).
To do like KELLOGG’S, CHEVRON, BP , NIKE and many others are doing, because they owe it to the society and the environment ,for example by improving working condition of their employees ,expanding employees rights and increasing job security, building schools to develop education ,in case of health also distribute medicines and construction of hospitals, and offer opportunities their employees and let people who are in same area take advantage of their presence by offering them jobs or constructing infrastructures,… (businessdictionary.com, 2011)
People don’t just need words or CSR report on their website , they just want to see proof of what companies are capable to do for the society not only economically but also socially because developing a place while it’s environmentally dying doesn’t mean any sense ,so companies have to see how to improve their CSR in those sector.