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Corporate social responsibility (CSR) refers to business practices involving initiatives that benefit society. A business's CSR can encompass a wide variety of tactics, from giving away apportion of a company's proceeds of charity to implementing "greener" business operations. Traditional views about competitiveness, survival and profitability were swept away.

There are a few broad categories of social responsibility that many today's businesses are using:

  1. Environmental efforts.
  2. Philanthropy.
  3. Ethical labor practices.
  4. Volunteering. Why does CSR matter? Because the CSR strategy of companies is a big factor where only the best and the most talented are employed.

"The new generation of employees is finding out employers who are focused on the triple bottom line: people, planet and revenue". One of the most frequently asked question is what does 'Corporate Social Responsibility' mean anyway? Is it a stalking horse for an anti-corporate agenda? Haven`t you ever forgave a simple sin? Different organizations have framed different definitions, although there is a considerable common ground between them. Our own definition is that CSR is about how companies manage the business processes aimed to produce an overall positive impact on society.

Companies need to follow two aspects of their operations.

  1. The quality of their management - both in terms of people and processes (the inner circle).
  2. The nature and quantity of their impact on society in the various areas.

Some of positive outcomes that can arise when businesses adopt a policy of social responsibility include:

  1. Company benefits:
  • improved financial performance;
  • lower operating costs;
  • enhanced brand image and reputation;
  • increased sales and customer loyalty;
  • greater productivity and quality;
  • more ability to attract and retain employees;
  • reduced regulatory oversight;
  • access to capital;
  • workforce diversity;
  • product safety and decreased liability.

    2. Benefits to the community and the general public:
  • charitable contributions;
  • employee volunteer programs;
  • corporate involvement in community of education, employment and homelessness programs;
  • product safety and quality.

    3. Environmental benefits:
  • greater material recyclability;
  • enhance product durability and functionality;
  • greater use of renewable resources;
  • integration of environmental management tools into business plans, including life-cycle assessment and costing, environmental management standards and eco-labeling.
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