Five recommendations for the corporations while implementing CSR(CSR, Dr. Thiel)

The recommendations provided after the research are listed below:

Recommendation one: compare the outcome of multiple organizations

The objective, scope, and motives of all the companies into the CSR might not be the same, it must be studied well for potential risk outcomes and other sensitive indicators. Some companies focus on creating positivity within the company’s controlled domain (internally focused), like controlling suppliers and operations so that they can exercise CSR in their supply chain. Nike, revoked its supplier from Pakistan after finding the supplier was using children to manufacture its product (Baker, 2016).

Whereas some focuses on dissolving the existing social fragmentation, they try to engage with the local communities to understand the expectation of the community and individual from the organization which ultimately let the company design the CSR activities as per the need and expectation of the society. Philanthropy may not be the only sustainable approach of CSR, if the company is working in an elite society, well facilitated by the state and city government, the society expects reputation as a brand and personality enhancement from the company but another way around, philanthropy could be a blessing for the marginalized community. Companies like Campbell Soup and BP focused on corporate philanthropy, Procter & Gamble focuses on improving the life of consumer through quality products (Thiel, 2016).

Recommendation two: re-examine the impact of formal partnership for informal networks.

(Thiel, 2016) concludes in her thesis, the CSR and sustainability are critically impacted by how the informal society reacts to the CSR approaches undertaken by the corporation. The informal society could disharmonize the trust prevailing among the corporation, local community, and individual.  So, the government and companies should be proactive to access social issues. The corporation should analyze the formal and informal movement of customer inside its boundaries and try to understand their hidden agenda and try to maintain social cohesion. Focus on creating social cohesion by sharing, since the individual interacting at the micro level will influence the macro level.

Back in my country, the government is expanding the road which will is ultimately for the betterment of the community so that they can commute well but this has become a social issue as some of the structure has to be demolished for road expansion. Though the government is giving compensation as per the market price, the informal group are agitating and negatively impacting the trust between the government, local community, and individuals.

Recommendation three: formal and informal society for positive and negative impact to current CSR with financial and non-financial data.

Corporation should see and analyze the impact of individuals and local communities in constraining and shaping CSR activities and it should be done viewing financial and non-financial data. Without the interaction and reciprocation from the individuals, the corporation cannot achieve competitiveness. And equally the company should take care of the culture as it changes per location. The writer stresses, the corporation should analyze transdisciplinary research methods to improve social performance. The CSR outcome is impacted and influenced by numerous variables from informal and formal society, the model incorporating the financial and non-financial data helps in performing scenario analysis, integrated risk management which helps the corporation to understand and perceive hidden agendas. The use of data makes the research more representative and precise.

Recommendation four: analyzing the social relation through transdisciplinary methods

As mentioned above, CSR and sustainability are not so straightforward as we have thought of. The social domain of CSR is impacted by various internal as well as external variables creating risk and reward position. The interaction of various formal and informal societies and fluctuations of trust level among the micro, meso and macro variables makes it a compulsion to go beyond the formal and linear model of CSR. Transdisciplinary research can reveal hidden problems, these leads to innovation and brings competitive advantage. A problem could have happened due to various issues and due to the interaction of various actors.

Recommendation Five: individual driver investigation for reputation and social risks.

Individuals are the micro level participants who can have meso and macro level implications in CSR and sustainability outcome hence the corporation should evaluate how different local communities’ mindset and perception may constrain the formal border of social responsibility. The examination of the CSR is most from the individual level also since individual mindsets greatly impact the communities view. Corporations should evaluate the individual drivers in local communities coming out from the collective behavior to determine fragmentated reputation and social risk.

Bibliography

Baker, M. (2016, February 29). Nike and child labour – how it went from laggard to leader. Retrieved from www.mallenbaker.net: http://mallenbaker.net/article/clear-reflection/nike-and-child-labour-how-it-went-from-laggard-to-leader

Thiel, M. (2016). The Social Domain in CSR and Sustainability: A Critical Study of Social Responsibility among Governments, Local Communities and Corporations. New York: Routledge.