A Survey conducted by a Research Firm indicates 81% of managers believe Corporate Responsibility initiatives are essential to business. While there might be disagreements on 'What Corporate Responsibility is?' All of them agree that business should serve as a steward in society. Another significant trend observed during the study was more and more companies were publicly reporting on their social and environment performance (across sectors).
We often measure Prosperity by Economic growth or Increased productivity etc. But there is a paradigm shift. As the world brings prosperity for some, it also brings change for many. The conflict arises at point where there is a trade-off between short-run gains and long-term success.
Companies today play a pivotal role in Public Policy. And since the public is involved along with Competitive pressures even social pressures are borne on organizations. Newer levels of transparency make way for greater disclosures. Hence, the focus on Corporate Governance has become significant in recent decade.
Widespread business failure is unthinkable, because we seem increasingly less able to imagine an alternative to a free enterprise economy. The effects of adverse disclosure are irreparable. Some of the Tangibles and Intangibles impacted would be:
- Shareholder Confidence
- Brand Reputation
- Employee Trust
- Product Stability...to name a few.
What is more, the conditions that leave the companies open to charges of 'Irresponsibility'. In the 21st Century the expectations of business are readily increasing. It is no more
Finally, the Twin Hemispheres that Corporate Responsibility is charged to embrace:
- 1st Hemisphere: Promoting Socialism as a solution to Capital, Poverty and Inequality.
- 2nd Hemisphere: Promoting Capitalism as a solution to key social and environmental issues.
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