Economics and Business

Management

 

 

Social Responsibility

Author: Paulo Nunes (Economist, Professor and Business Consultant)

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Date Created: 25/05/2011

Summary: Social Responsibility...  see full article

Key words:  management,

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Social Responsibility

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Social Responsibility Concept

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According to Hellriegel/Slocum in “Management” there are three social responsibility concepts usually accepted, namely accepted are the traditional, the concept, the stakeholder concept and the affirmative concept:

Traditional social responsibility: according to this social responsibility concept, organizations should serve the shareholders’ interests, through the profits maximization;

Stakeholder social responsibility: managers and others employees have the obligation to identify groups which affect or can affect the goals of an organization. Despite not having precise data, this concept will be the most accepted by the public in general and by many managers;

Affirmative social responsibility: according to the affirmative social responsibility concept, managers and others employees are obliged to:

. avoid problems, knowing to anticipate to the changes in its environment, instead of simply reacting;

. conciliate the organizations’ goals with the ones of stakeholders and public in general;

. take specific and positive steps to promote organizations mutual interests, of the stakeholders and public in general.

Due to its complexity, affirmative social responsibility is the most difficult and expensive concept to be implemented by an organization. We present five obligation categories that support this concept:

1. Broader Performance Criteria: managers and others employees have to consider and accept broader criteria then the required by law, to measure the performance and the organizations social role;

2. Ethical Standards: these standards are adopted, even when they can be harmful in the most immediate financial results of the organizations;

3. Operation strategy: should be kept or improved the current social and physical environment patterns;

4. Responsibility before social pressures: have to be willing to discuss activities with external groups and freely make available the information for them. They also have to be receptive to formal or informal opinions in the decision taking from the exterior stakeholders.

5. Political and legal activities: managers have to show express willingness to work with the external stakeholders. They should promote transparency in the governmental organizations and in its own activities of entrepreneurial lobbying.

 

 

Translated from Portuguese by Susana Saraiva, Portuguese-English and English-Portuguese translation specialist. Contact: spams@sapo.pt