Corporate Social Responsibility

Corporate social responsibility (CSR) is a business approach that contributes to sustainable development by delivering economic, social and environmental benefits for all stakeholders. CSR is the integration of socially beneficial programs and practices into a corporation's business model and culture. CSR makes the companies be conscious of the kind of impact they are having on all aspects of society including economic, social, and environmental. The four types of Corporate Social Responsibility are environmental sustainability initiatives, direct philanthropic giving, ethical business practices and economic responsibility.

• Prevent financial ramifications: Compliance with the spirit and letter of the law through self-regulatory processes will prevent fines, put your business low on regulators' radar screens, and lower legal expenses.
   
• Increase employee loyalty: Treating employees fairly and generously as a part of corporate social responsibility encourages high professional and moral standards increases employee loyalty and by procuring only those overseas products produced at factories where workers were treated ethically, you gain support among "Fair Trade" advocates.
   
• Maintain a positive reputation: Demonstrated consciousness in a variety of areas can garner publicity and give a business tangible proof of their conduct. These include

• ➢ Environmental consciousness: Reducing waste, recycling, minimizing carbon footprint, producing only sustainable products, lowering energy usage, and supporting environmental causes.

• ➢ Social Concern:  Donating to humanitarian causes that fight poverty, help the victims of epidemics, assist those displaced by natural calamities etc.

• ➢ Local Community: Involvement in local community projects, through donations, employee participation, connecting your customers, promoting the project through advertising and fundraising etc.

CSR is a concept with many definitions and practices. The way it is understood and implemented differs greatly for each company and country. Whatever the definition is, the purpose of CSR is to drive change towards sustainability.