Social Responsibility of McDonald's - Case Study Example

Business Introduction: The food industry in present times has the capa to exert a powerful influence over society and act as a moral agent for social change in the right directions. Though the food industry as such may be considered as the moral agent for social change, the ethical and moral standing of the food industry is a reflection of the moral and ethical values of the business enterprises that make up the industry, with particular emphasis on the food industry giants like McDonalds. Modern times have seen several factors that have a considerable impact on the food industry.

Developments in science and technology that enable creation of new food products and the diminishing consumer involvement in preparing food products on their own are two prominent factors. These two factors need to be handled by the food industry with sensitivity to society for the business enterprises in this sector of industry to live up to the ethical expectations in the manner in which they do business (Early 2002). McDonalds: McDonalds has recognized the need for providing organizational leadership to act responsibly in the perspective of society.

This is reflected in the words of Jack M. Greenberg Chairman and Chief Executive of McDonalds. “ "Social responsibility is not a project or a program. Acting responsibly is the way McDonalds does business”. Thus organizational leadership for the manner in which McDonald’s attempts to do business in socially responsible manner begins with top management and percolates to all segments of the organization. This has seen environmental and market place initiatives come into place. In partnership with the Centre for Environmental Leadership in Business McDonald has targeted sustainable agriculture and conservation practices and standards within the McDonalds supply chain.

This is one of the environmental initiatives. On the marketing initiative front, McDonald’s has formed a consultative body to ensure humane treatment of animals and birds in the farms associated with the supply. Food safety is an issue of serious concern for McDonalds and maintains a high degree of “professional responsibility” and “deep commitment” to food safety requirements. To address social responsibility issues, McDonalds has entered into partnership with the non-governmental organization Business for Social Responsibility in creating internal processes that would evaluate the strengths within the organization, areas where improvement is possible and the future opportunities that could arise for the demonstration of social responsibility.

(McDonalds Issues First Worldwide Social Responsibility Report). Such initiatives of McDonalds have seen it provide leadership in social responsibility and environmental conservation. In July 2006 McDonald’s Europe led the effort in persuading agribusiness giants to stop purchasing soybeans produced on newly deforested tracts in the regions given protection in the Amazon (MacDonald 2006) Conclusion: Giants of the food industry like McDonalds have a significant leadership role to play in bringing about changes in the manner in which business conducted by all the business enterprises within the food industry sector.

When giants like McDonalds provide such leadership positive outcomes in manner in which business is conducted is visible and remains a continuous process. Literary References Early, R. 2002. ‘Food ethics: a decision making tool for the food industry?’ International Journal of Food & Science Technology, vol. 37, no. 4, pp. 339. MacDonald, G. J. 2006. ‘Stopping the outcry before it starts’. Christian Science Monitor [Online] Available at: http://www.forestethics.org/article.php?id=1585 (Accessed on February 15, 2007).

‘McDonalds Issues First Worldwide Social Responsibility Report’. 2002. Business Ethics ONLINE [Online] Available at: http://www.csrwire.com/synd/business-ethics/article.cgi/1042.html (Accessed on February 15, 2007).