Cooperate Social Responsibility

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Introduction
It is believed that being socially responsible helps to achieve an organizational success. Based on journal reading, developing a model of theory and modern examples, we can found out clearly that corporate social responsibility (CSR) does help enhance organization’s competitive advantage so as to achieve an organizational success.

Model of thinking
Corporate Social Responsibility
Positive Social Change
Employee Commitment
Competitive Advantage
Organizational Success
Corporate Social Responsibility
Positive Social Change
Employee Commitment
Competitive Advantage
Organizational Success

The above diagram shows the model of argument which will be discussed in this essay, it includes the relationship between corporate social responsibility (CSR) and organizational success. In between, we will see how CSR influences employees’ commitment and brings about positive change to the society, and how these elements result in competitive advantage of an organization, which determines a successful organization.

(i) What is corporate social responsibility (CSR)?
Corporate social responsibility (CSR) can be defined as “the firm’s considerations of, and response to, issue beyond the narrow economic, technical, and legal requirements of the firm to accomplish social and environmental benefits along with the traditional economic gains which the firm seeks”. (Davis (1973) cited by R. Aguilera,D. Rupp, C. Williams and J. Ganapathi, 2007) Also, we can say that CSR is the positive effect of corporate social or environment performance on corporate financial performance, and how firms make contribution to the society welfare in a long term. Aguilera, Rupp, Williams and Ganapathi (2007) also cited from Mackey, Mackey, and Barney (2005) that investment in socially responsible initiatives will maximize the market of the firm, which we can conclude this is a kind of organizational success.

(ii) CSR and Employee commitment
According to a study, customers would appreciate socially responsible companies than those who are not. Also they expect to see companies devoting themselves to charitable activities and environment protecting campaigns. (Mohr, Webb & Harris, 2001) Similarly, employees share the same thought, especially for potential quality workforce. Firms can use their corporate social performance activities to attract job applicants, by sending signals to them about what it would be like when they work of a firm, regarding quality of products and service, treatment of women and environment, and issues of diversity. Psychologically, employees would have higher self-images when working for social responsive firms than their less responsive counterparts. (Greening, Turban, 2000) And this is what employee motivation and commitment are. Motivating employees is essential for an organization in order to deliver CSR activities, while employee commitment is fundamental for CSR activities to be delivered to the society effectively. Straightly speaking, “motivation comes first, commitment reinforces and embeds it”. (R. Aguilera,D. Rupp, C. Williams and J. Ganapathi, 2007) Communication is the way which firms facilitate mutual understanding of a firm’s CSR concept between employees and the firm itself and it is the key to achieve employee commitment. A clear communication strategy, like creating channels for opinions from stakeholders, can make the communication on corporate responsibility more effective and efficient as this helps understanding the stakeholders’ expectation on CSR of the firm. (Dawkins, 2004) By means of communicating CSR effectively to the employees, it is more likely for employees who appreciate CSR to commit themselves to the company, and to devote completely to build up company performances. TOMS shoes, a well-known socially responsible enterprise in the USA, demonstrates how CSR contributes to enhance employees’ commitment. Employees appreciate TOMS as when the firm sells a pair of...
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