This paper circulates around the core theme of 1.1. Arguments for Corporate Social Responsibility that Comply with Internal and External Company Objectives together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 99. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.
CORPORATE SOCIAL RESPONSIBILITIES
Introduction
Corporate social responsibility is becoming the important aspect to be considered by organisations functioning in different industries in the world. It contributes in increasing the interest of public towards society and brand. In order to create a stable competitive environment and corporate social responsibility, the members of the organisation deal with their stakeholders’ relationship. With the help of this assignment, the concept of corporate social responsibility from the perspective an organisation is assessed. The company that is selected for this purpose is Nestle Company. The aim of the paper is to analyse the introduction of the CSR strategy at the organisation and involvement of the stakeholders to support the initiative. The CSR strategy, alignment with the company objectives, and impact of adopting such policy is evaluated in this paper in the form of three different tasks.
Task 1
1.1. Arguments for Corporate Social Responsibility that Comply with Internal and External Company Objectives
It is important for the organisation to ensure that their internal and external company objectives comply with the CSR strategy because it contributes in the achievement of the overall aim and goals of the business. The internal and external objectives of the Nestle are as follows
External Objectives
• To attain compatibility with the international voluntary standards related to environmental management systems
• To develop mutual trust with governmental authorities, customers, and business partners
• To ensure improvement in the environmental performance of the nestle
• To ensure minimisation of waste and conservation of natural resources
Internal Objectives
• To establish benchmark for the good business practice
• To implement new processing and technologies
• To analyse the costs and benefits of the activities to business (Nestle, 2016)
It is noticed that compliance of the CSR with the above stated internal and external objectives of the Nestle is essential as it helps in ensuring that the business functions effectively. The CSR strategy of the Nestle that comply with these internal and external objectives is “Creating Shared Value”. The purpose of this strategy is to create environmental and social benefit as the major part of making the business competitive in the long run, which forms part of its external objectives. The basic purpose of this CSR strategy is to evaluate the social impact of each of the activity of the corporate through which the internal and external objectives can be achieved effectively (Lindgreen & Swaen, 2010; Nestle, 2015).
1.2. Impact of a Corporate Social Responsibility Strategy on Internal and External Stakeholders of Nestle
It is examined that there is a strong impact of CSR strategies of Nestle on its internal and external stakeholders. Therefore, it is important from the prospect of the higher officials of Nestle to consider both internal and external stakeholders of their business at the time of formulating their CSR approaches for the reason that a slight error would ultimately affect their stakeholders in negative manner. However, it is found that one of the core CSR strategies of Nestle is “to establish the benchmark for good business practices” that might enforce them to alter their operational strategies, which can affect their employees in a pessimistic manner (Nestle, 2015). For that reason, it is a core responsibility of the top official of Nestle to make sure that none of its internal stakeholder affect due to its CSR approaches. In addition to this, another important CSR strategy of Nestle is “to attain compatibility with worldwide voluntary principles on ecological management systems” that might push the officials of Nestle to impose new regulations in order to comply with the global voluntary principles. Furthermore, in the process of comply with the global principles it might affect some of its external stakeholders that might create problems for them to accomplish their strategic goals and targets in a consistent manner (Griseri & Seppala, 2010).
1.3. Alignment of Company Strategy with Corporate Social Responsibility Strategy
The imperative strategy of the Nestle is nutrition, health, and wellness strategy that aims to support people who want to live a healthier lifestyle. This depicts the fact that the strategy of the Nestle is aligned significantly with its CSR strategy because the focus of both is to promote healthy living among the people in the world. The corporate and CSR strategy of the Nestle ensures that environmental and social benefits are promoted in the world through its business practices. The strategy of the Nestle is focused towards reducing use of ingredients that might be harmful for the body of the people and might create environmental issues (Hartmann, 2011; Nestle, 2016). Moreover, the CSR strategy of the Nestle also emphasises on the fact that social and environmental benefits are provided. The CSR strategy of the Nestle ensures that social impacts of each of the corporate activity are considered which also forms the part of its business strategy of nutrition, health, and wellness strategy. Based on this, it is evaluated that there is effective alignment between the corporate and CSR strategy of the Nestle that assist in achieving the overall aim and objectives of the business (Nestle, 2015; Griseri & Seppala, 2010).
1.4. Corporate Social Responsibility Strategy that Supports Internal and External Objectives of Nestle
Social Education and Awareness
It is found that these days most of the organisations that are involve in communally responsible capitalising use placing to put pressure on organisations to implement publicly responsible attitude themselves. However, in order to do this, they often make use of different media platforms and internet distribution to uncover the possibly destructive actions of associations. Therefore, it is important from the prospect of Nestle to develop corporate social responsibility strategy through which they should enhance the social educational and awareness in an effective manner. In addition, with the help of this CSR strategy it forms an instructive discussion for the public by emerging social community attentiveness (Torres, et al., 2012; Nestle, 2016). Nevertheless, this sort of collective involvement might be affective in getting social training and consciousness targets. Additionally, incorporating a social consciousness approach into the business model might also help Nestle in assessing active acquiescence with ethical corporate standards and appropriate regulations. With the assistance of this CSR strategy Nestle can easily enhance the importance of education and support individuals that are unable to get higher education due to the lack of resources and opportunities. In addition, it is a core responsibility of the top officials of Nestle to execute this CSR strategy effectively that would definitely throw a good impression on their stakeholders and encourage them to invest their valuable resources more vigorously (Kiran & Sharma, 2011; Nestle, 2016).
Task 2
2.1. Alignment of Value Chain with Corporate Social Responsibility Strategy
The value chain of Nestle comprises of three steps, which are agriculture and sourcing, manufacturing and distribution, and products and consumers. The activities of the Nestle at each step of the value chain have the potential to develop social benefits. With the help of its purchasing practices, the company focuses on improving the economic position of various small farmers in the world. Moreover, through operations, the Nestle improves standards for the employment practices and food safety. Lastly, through research and development of the products, it assists the people in meeting the nutritional needs. This depicts the fact that the value chain of the Nestle emphasise on the activities through which overall performance of the business can be improved with respect to environmental and social benefits. Therefore, value chain of the Nestle is regarded as effective because it contributes towards corporate social responsibility practices (Murray, et al., 2010; Nestle, 2015).
The value chain of the Nestle is aligned with its corporate social responsibility strategy of Creating Shared Value because both aim to promote sustainable business practices and working. With the help of value chain, the objective of the CSR strategy can be achieved significantly, as it provides basis of effective functioning of the strategy. The value chain of the company provided basis for the corporate social responsibility strategy because it emphasise on the basics that are imperative for the efficient and sustainable working of the business. Moreover, the value chain of the Nestle has considered the fact that sustainable working must be promoted in every part of the business and world. Therefore, this has been aligned with respect to the CSR strategy as it incorporates the facts that are introduced in the value chain of the Nestle. This means that value chain of the Nestle is aligned effectively with the corporate social responsibility strategy (Manning, 2013; Nestle, 2016).
2.2. Methods for Agreement and Engagement with All Stakeholders for the Corporate Social Responsibility Strategy
It is found that there are some common and effective methods that often used by the top officials of Nestle in the process of engaging with all stakeholders for CSR strategy. Moreover, some of the most common methods of agreement and engagement with all stakeholders that are used by Nestle are discussed below:
Communicate
It is examined that the mainly one-way communication from the organisation to stakeholders regarding the activities or new growths that might influence them to some extent. Moreover, sharing information might influence stakeholders, build trust, and determine limpidity and an enthusiasm to involve (Polonsky & Jevons, 2009; Nestle, 2015).
Consult
Nestle usually asks for stakeholder perception and might consider it in the process of making decisions. Moreover, mainly a one-sided flow of info from the stakeholder to the organisation determines that the organisation values stakeholder suggestions while making decisions.
Participate
This considered method of engagement is a collaborative or multi-party discussion in which stakeholders play an imperative part in the process of making decisions. In addition, choices are frequently supported by the organisation or the parties exclusively (Guzman & Becker-Olsen, 2010; Nestle, 2015).
It is noted that with the help of above methods of engagement the higher officials of Nestle can easily communicate with their stakeholders that assist them to consider their views and thoughts regarding the problem. Moreover, it is important for the success of a CSR strategy that the stakeholders of an organisation or business must involve in the overall decision making process for the reason that this is the best way to make it more effective and result oriented. For that reason, these days most of the large scale organisations are quite keen to involve their all-important stakeholders in the process of making decisions regarding their new CSR strategies (Guzman & Becker-Olsen, 2010; Nestle, 2016).
2.3. Implementation Plan for the Corporate Social Responsibility Strategy
It is important from the Nestle point of view to formulate effective implementation plan in order to execute their CSR strategy in a more accurate manner. Moreover, the most common and effective way of implementing the CSR strategy plan comprises four different phases that are discussed below:
Plan
The first phase of CSR strategy implementation is very important and it should entails clear objectives, proper directions, and tools that will be used to achieve the goals of their CSR strategy. Moreover, the procedures or directions must comprise the duties and responsibilities, which ought to be allocated to the diverse departments that are operating within Nestle. Furthermore, this will definitely make it vibrant for the departments and it will avert power skirmishes between them (Nestle, 2016; Hartmann, 2011).
Do
The second phase of CSR strategy implementation includes referring and engaging top & middle managers about the execution of the strategy. However, with the help of top & middle managers involvement Nestle can easily execute their activities effectively that would further help them to attain their goals and targets in a consistent manner (Griseri & Seppala, 2010).
Check
In this considered phase of the implementation procedure, Check, the emphasis is on determining the objectives and identifies enactment that has been set initially. Moreover, in the third phase of the implementation of CSR strategy Nestle have to make their personnel really put exertions towards the execution and attempt to make them realise the meaning of corporate social responsibility (Torres, et al., 2012; Nestle, 2015).
Evaluate and Improve
Evaluation is the last and most important phase of the implementation plan that assesses the overall process and identifies the areas that require further improvement. Furthermore, in this considered phase the higher management of Nestle can easily measure the effectiveness of their CSR strategy that assist them to alter their plans or approaches as per the core needs of the users and make it effective for them (Guzman & Becker-Olsen, 2010).
Task 3
3.1. Analysis of Internal Reporting Measurements for CSR Strategy
The internal reporting measurements that can be used to evaluate the impact of the corporate social responsibility strategy of Nestle are balanced scorecard. With the help of this measurement, the effectiveness of the CSR strategy is analysed from four different perspectives. At first, the learning and growth perspective of the strategy is evaluated by using balanced scorecard. The training of the employees and cultural attitudes with respect social and environmental concerns are focused to assess the impact of the CSR strategy on the overall business practice. This is followed by the business process perspective that is also known as the internal business processes. It helps the manager of Nestle to determine the effectiveness of the business in terms of social aspects that whether CSR strategy complies with the requirements of the customer or not (Nestle, 2016; Manning, 2013).
The third perspective that is evaluated by using balanced scorecard is customer perspective. The focus and satisfaction level of the customers with respect to CSR strategy of the Nestle is analysed using this measure. This is analysed based on customer satisfaction and retention rate. At last, financial perspective of the CSR strategy is measured using balance scorecard. This perspective determines the effectiveness of the CSR strategy in terms of return and profitability of the Nestle after introduction of this strategy. Balance scorecard is the effective internal measure that can be used for determining the impact of the CSR strategy of the Nestle in wide context. Therefore, with the help of balanced scorecard, the impact of CSR strategy is evaluated by focusing on all significant aspects that have relevant role from the perspective of the environment and business (Nestle, 2015; Lindgreen & Swaen, 2010).
3.2. Analysis of External Reporting Measurements for CSR Strategy
External reporting measures are also the imperative for analysing the potential impacts of the CSR strategies of the organisation. The impact can be evaluated in the form of declining number of customer complaints and customer satisfaction with respect to CSR strategy. Furthermore, the society provided to the society forms the part of business core operations and products and play major role when determining impacts of CSR strategy. Nestle delivers quality products in the world that fulfils the nutritious needs of the individuals. The social effects of such products on the health and life of the people determines the impact of the CSR strategy. Moreover, awards and certification from concerned and authentic authorities is the external measure through which CSR impacts can be evaluated. It evaluates the contribution of the organisations CSR strategies in the society and community. This demonstrates the fact that in order to measure the impact of the CSR strategy of the Nestle on the society and environment, the external measures that can be used are awards, certifications, number of customer complains, extent of customer satisfaction and others (Hartmann, 2011; Nestle, 2015; Torres, et al., 2012).
3.3. Methods to Refresh and Reinforce the Corporate Social Responsibility Strategy
The CSR concept is emerging due to which scholars are focused towards exploring new dimensions of the strategies. This makes it essential for the organisation to change their processes and culture depending on the change in the environment such as introduction of new CSR strategies. The managers are responsible to remain up to date with the changes and take corrective actions. Moreover, trade-off is maintained between fixed and changing strategy of the CSR because modification can make individuals confused regarding the long-term objectives of the business. However, the same strategy can also bring opportunities for the organisation (Nestle, 2016; Polonsky & Jevons, 2009; Griseri & Seppala, 2010). In order to refresh and reinforce the corporate social responsibility strategy at the Nestle, the following steps can be used:
• Market Performance: Evaluating the performance of the business with respect to sales growth and the next target market
• Product and Service: Focusing on the product life cycle of the products that provides benefits to the customers
• Operational Matters: Emphasising on the technology, quality, processes, and other internal issues due to which declining performances occur
• Financial Matters: Analysing the capital structure of the organisation along with cash flow and sales levels
• Organisation and People: Assessing the issues related to HRM and organisational structure (Lindgreen & Swaen, 2010; Nestle, 2016)
With the help of implementation of these steps with respect to CSR strategy, chance is provided in order to review and refresh the strategy if needed. Moreover, another method that can be used for this purpose is Plan-do-review-revise approach. During first stage that is plan, the priorities will be decided for the purpose of improving the strategy. The second stage of the approach that is do implements the plan and help individuals in achieving better performance. The third is the review stage in which the management focuses on understanding the potential impact of the executed strategies (Manning, 2013; Murray, et al., 2010). During last stage, that is revise, the organisation learns from their actions. The implementation of this method to refresh and reinforce the CSR strategy is demonstrated in the diagram below:
Based on the discussion done in the three tasks in the report, it is concluded that CSR strategies form the major part of the organisation function and performance in the current era. This is because people have gained awareness regarding their role and responsibility towards sustainable environment and society. With the help of CSR strategy, the organisations such as Nestle can improve its position in the competitive environment. However, the company needs to ensure that the CSR strategy complies with the objectives and business strategy because it makes the performance and operations convenient. Moreover, the paper highlights the internal and external measures that can be used to determine the impact of CSR strategy.
