The possible results that a company can achieve if corporate responsibility is being applied right to its organization.
According to Lumen Boundless Management that many businesses advertise their CSR activities as a means of changing public views, recruiting consumers, and fostering goodwill among stakeholders. The magnitude and nature of CSR's advantages to a business might be difficult to assess. Some business opponents say that it frequently competes with the need to maximize shareholder profit. Socially responsible practices, for example, can help with staff recruitment and retention, risk management, and brand uniqueness.
Just like what the lesson 3 said that it is better to impose Corporate Social Responsibility by the company than imposing it by the government. Because Corporate social responsibility helps the company to operate ethically and meaningful. Through imposing CSR, you can show the companies concern to its surroundings. It shows that the company is not only into profit but also giving importance to the environment, society and its economy.
If the company impose the corporate social responsibility in a right way, the employees will be more than willing to do their duties in the company. Also, the consumers or the market will be loyal because they are seeing the company’s goal which is to protect not just the whole business but its surroundings and people. CSR proponents claim that socially responsible activities may have a beneficial influence on the bottom line and may also advocate for the acknowledgment of a "triple bottom line" that rewards social, environmental, and financial benefits.
CSR in the Philippines
The evolution of corporate social responsibility in the Philippines.
Humanity has been in the heart of Filipinos. Poorer or Richer has the heart for their co-Filipinos. Parents start to teach their children to love and respect the people around them. Specially the people who leaves in the province part of the Philippines. Helping one another is very common to them because they live with that aspect. “Bayanihan” is the greatest example of humanity. Were people in the province help their neighbor to move their houses to another place without using any cars or anything that will make the work more easily. That was the example of the old “Bayanihan” but in this modern era people in this generation has their own way to do the “Bayanihan”. Like funding a foundation were people who don’t have their own houses lives. Doing a relief operation in times of need. Providing scholarship for the students who are not capable to study because of financial problems. Fund raising through social media. And there’s a lot more of it. This show that even everything has been changed, being helpful to each other will remain the same. Through this actions companies have been discovering strategies where in they can show their concerns to the Filipino, to the environment, and to the economy.
CSR awareness among Filipino firms began in the 1960s, when they made monetary gifts to foundations and other charitable groups. A decade later, in the 1970s, the country was in socioeconomic crisis, with the corporate climate in survival mode. PBSP was established about this period. Companies in the Philippines have recognized the importance of implementing the Inclusive Business model, in which the poor or people at the bottom of the pyramid are incorporated into a company's main business activities or value chain as workers, consumers, or suppliers. As a result, corporations now consider social development to be an essential component of their operations. PBSP member-companies have given a total of P1.2 billion to the organization to fund its activities during the previous 20 years. Members provide financial, in-kind, and human resources to numerous development initiatives around the country.
Corporate Partnership Services (BSP) has emerged as the business sector's vehicle for providing structured, professional, and long-term support to underserved groups such as landless farmers, fisherfolk, rural laborers, the urban poor, and indigenous cultural communities. According to Daclison, the PBSP now serves as a facilitator, fund manager, capacity builder, and technology supplier. PBSP, as fund manager, guarantees that monies are spent and accounted for correctly. Its strong financial position stems from rapid asset development in the 1990s and active resource mobilization as PBSP earned reputation in the local and international NGO community. The mission of PBSP is to develop CSR programs, tools, and frameworks that are responsive to the challenges and concerns of businesses and communities.
The common CSR activities in the Philippines and discuss their effects in the community.
A foundation, in broad terms, is a non-profit company or charity trust that distributes contributions to organizations, institutions, or people for philanthropic objectives such as science, education, culture, and religion. Private foundations and grantmaking public charities are the two sorts of foundations. The funds for a private foundation are donated by a family, a person, or a company. Private foundations must fulfill a "payout criterion," which means they must give away a specific percentage of their assets each year. As a result, when you search for possible funders in our app, Foundation Directory Online, the private foundations you see are all current Grantmakers.
A community foundation is a tax-exempt, voluntary, and publicly sponsored charitable organization with the long-term objective of establishing permanent, named funds for the broad-based public benefit of inhabitants in a specific region. Every community foundation has the same mission: to improve the quality of life in the community. Community foundations carry out this broad goal by establishing permanent endowment funds and directing a percentage of their yearly revenue to a wide range of local non-profit organizations through grants and special initiatives. Community foundations are classified as public charities by the IRS because they collect donations from the general population. The majority of assets owned by community foundations are held in independent funds created by local people, families, corporations, or philanthropic organizations. Although each fund serves a specific function, the foundation board of directors, which represents the community, governs them all.
A livelihoods approach finds and supports people's own livelihood plans by identifying programs based on their objectives and aspirations. It acknowledges the many actors (from the private sector to national-level governments) who have an impact on livelihoods. It seeks to comprehend and learn from change in order to encourage good patterns of change while mitigating unfavorable ones.
Livelihood programs is a big help for individuals who don’t have enough money to make a living. Livelihood initiatives assist people of the community in generating extra, and often significant, sources of income. They listen to community ideas and offer assistance through skill and business-planning training. The program collaborates with local community-based organizations such as farmers and women's groups so that participants may support one another's projects and exchange information and skills. They want new initiatives to flourish and communities to thrive. Our company offers structure to ensure that each new initiative has the highest chance of success. To reduce risk, they assist new initiatives by conducting viability testing within community groups. Technical skills such as rug weaving, organic farming, and others can be learned. At community gatherings, companies also provide company management courses such as bookkeeping. The poorest sectors are likewise barred from obtaining financing from banking organizations. People seek funds from loan sharks, leaving them with untenable repayment plans.
The Filipinos’ perception concerning CSR based on the survey conducted by social weather station (SWS) which was commissioned by Philippine Business for Social Progress (PBSP)
The Philippine Business for Social Progress (PBSP) commissioned the Social Weather Station (SWS) in 2003 to assess Filipinos' attitudes, thoughts, and views about CSR and corporate citizenship. One out of every ten Filipinos is aware of the concept CSR, with knowledge of the idea being greater in the National Capital Region and among the upper classes. CSR is viewed by the public as a duty to aid individuals, communities, and the nation as a whole. According to the PBSP study, 93% of respondents had already implemented corporate giving programs in their businesses. Giving in cash was the most common approach (90 percent), followed by in-kind donations and cause sponsorship. Employee engagement in social development initiatives is becoming increasingly widespread, as shown by the creation of clubs and associations among employee volunteers. According to Philippine government's definition of volunteerism, which is defined as providing personal services without any kind of financial remuneration, volunteering is seen as a development instrument, which is why the Philippine National Service Committee was established in 1964 by government. Implementing CSR does not have to entail big donations or contributions, as the effectiveness of CSR activities is assessed by the gains made by the participants.
The Philippine Business for Social Progress (PBSP) has emphasized a number of tax measures aimed at promoting CSR. Tax rules might give incentives for business giving in the form of service, talents, and technology, but a framework for evaluating employee-volunteer initiatives has yet to be created. Depending on the Board of Investment's (BOI) policy and regulatory framework, different businesses and sectors have varying criteria. According to a PBSP research, many local government units (LGU) lack understanding and comprehension of the idea of corporate social responsibility (CSR). Many local governments see the business sector and its designated communities as either contributors or recipients of funds. According to the survey, corporations devote more of their resources to social initiatives (both cash and in kind) than to their local government partners. Collaboration with local governments exposes them to business best practices and learning, which improves their capacity to successfully handle their development goals and objectives.
There are 100 corporate foundations in the Philippines, as well as over 6,000 recognized non-governmental organizations (NGOs). As a manifestation of corporate citizenship, the Philippine Top for Social Progress (PBSP) was founded in 1970 by the economy's business leaders. The group is participating in a number of programs, including the "Local Governments as Enablers" program and the "Strategic Private Sector Partnership for Urban Property (SET-UP-UP) Reduction." In the Philippines, the LCF is made up of 58 corporate foundations and companies working to promote social development in the country. The CNDR is a partnership of around 30 corporate groups and charities dedicated to the institutionalization of disaster response systems. Its most recent initiative, Bayanihan, intends to unite government agencies, academia, non-governmental organizations (NGOs), companies, and local governments into an effective network for disaster prevention, mitigation, and preparedness.
Such an informative post. Well written dear