CSR in particular industry - Essay Example

CSR IN PARTICULAR INDUSTRY By Location Corporate Social Responsibility (CSR) has received attention in the recent past, although it is a concept that emerged in the 1930s. The purpose of CSR is ensuring that businesses and organizations do not only pursue economic benefits brought about by their business strategies, but that they have in place social policies that ensure they are contributing to the societies in which they operate. The last decade has seen many organizations seek to develop integrated CSR strategies.

In a bid to ensure that they can make profits and have a positive impact on the society at the same time. However, in the early days, many researchers were convinced that CSR strategies and activities were homogeneous across different industries. However, advanced research has revealed that CSR is a heterogeneous field. Such heterogeneity means that some industries have to exhibit more effort in developing effective CSR. Therefore, CSR activities vary across industries. Moreover, assessment of effective CSR strategies also varies across the industries.

This paper will discuss the reasons why CSR activities, exhibit such variance across industries. Research has identified that CSR strategies depend on several factors for each organization. These factors include the characteristics of the organization, the national framework of CSR, the nature of business activities, the category of labour involved, the risk of harming the environment, and finally the society where the business is located. Different industries exhibit varied characteristics.

They depend on different stakeholder groups, have varied proximity to the consumers, and usually have differential potential in causing social or environmental adverse effects. This only means that industries that are likely to pose potential environmental damages or negative social effects have to define more CSR strategies. Moreover, industries exhibiting a close proximity to consumers have to be more focused on SCR that ensure consumer safety (Mullerat & Brennan 2011, p. 113). Moreover, such industries have to be more critical of their supply chains.

On the other hand, some industries do not have the compulsion to define numerous CSR activities depending on the nature of their business activities. In order to illustrate the points described above, examples of different industries and the level of CSR activities expected of them will be presented in this section. Financial institutions do not pose great risks to the environment, but are required to promote sustainability and protect the environment by adhering to stringent lending standards.

The energy and the utilities industry have more CSR strategies compared to financial institutions. This is because this industry has an increased potential of registering negative environmental effects through the emission of greenhouse gases, and air pollutants that may facilitate acid rain and smog. Since this industry poses a high risk to the environment, businesses in this industry are required to develop effective environmental protection strategies. Moreover, they are expected to have in place CSR strategies governing health and safety of workers, community relations, as well as bribery and corruption.

Manufacturing intensive industries also need to have stringent CSR strategies in a bid to ensure environmental protection and employee’s safety (Hancock 2005, p. 266). The mining industry poses numerous risks to the environment, to the workers, and the community as well. This industry needs to be more sensitive to CSR strategies. The food and beverage industries have to abide by ethical practices and provide quality and safe products to the end consumer. Their CSR efforts should be focused on ensuring the provision of healthy and sustainable foods.

On the other end, retailers have the highest proximity to consumers. Therefore, the reputation is of key concern in this industry as well as strategies for addressing both social and environmental issues (Hancock 2005, p. 268). The communications industry poses immense social impacts and should develop CSR activities of alleviating these impacts. Other efforts in this industry should include the launching of innovative products that prove to be environmentally friendly. These examples serve to place emphasis on the need for different industries to have different CSR activities.

BibliographyHancock, J 2005, Investing in corporate social responsibility: A guide to best practice, business planning & the UKs leading companies, London [u.a.: Kogan Page. Mullerat, R., & Brennan, D 2011, Corporate social responsibility: The corporate governance of the 21st century, Alphen aan den Rijn: Kluwer Law International.