Corporate Social Responsibility TEAM A2 Bo Kongthaisereekul Janet Ho Veronica Mwikwabhi Edelen Melo-Ortega Cresna Ponthy James Byrne 5.Winning Strategies-Part 2

CSR - A G E N D A Introduction Definition Fundamental of CSR CSR Best Practices Advantages Action Plans Business Conduct Wave Riders Vision Wave Riders Strategy vs. CSR objectives Conclusion

Introduction Corporate social responsibility (CSR) is extremely vital in todays globalized World to be considered as an Excellent Organization. Furthermore, CSR understanding can develop in competitive opportunities by identifying key stakeholders; therefore its an important part of our Agenda 2011 (MIB Motor Insurers' Bureau, 2009) (Griseri & Seppala ) In a globalized market economy, CSR is part of modern business. Thomas Donaldson (Financial Times, June 2 nd 2005) …today, CSR goes beyond the old philanthropy… responsibility that companies accept for the environment around them, for the best working practices, for their engagement in their local communities and for their recognition that brand names depend not only on quality, price and uniqueness but on how, cumulatively, they interact with companies workforce, community and environment… (Gordon Brown, CSR A Government Update, 2004)

Definitions Social responsibility is the obligation of decision makers to take action, which protect and improve the welfare of society as whole along with their own interest … a new managerial model centered on the voluntary integration on economics, social and environmental responsibilities into entire value chain and all over company functions throughout stakeholder networks that aim to achieve sustainable objectives… Perrini, Pogutz, & Tencati, (2006 p.11) Carroll & Buchholtz (2009)

Economic Legal Ethical Philanthropy (Required) (Expected) (Required) Laws and Regulations (Carroll, 1991) Risk Management Value Sustainability & Innovation Legal or Compliance Funding or Skills (Corporate Social Responsibility Forum:Keeping it Private, 2011) Resources Effort: Min. Op Impact/Risks External relationships Laws/Regulations Reflects society values/norms Fundamental of CSR

(Corporate Social Responsibility Forum:Keeping it Private, 2011) Four Pillars of CSR Human Rights Labour Environment Anti-Corruption (Corporate Governance) 7

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CSR Best Practices Series of Standards A2-P1 UK Leadership role in CSR p.455 Standards compliance (Regulatory Bodies) UK MOD Reliability/Risk Management

CSR Best Practices ISO 2600 (Social responsibilities) Sustainable business for organizations means not only providing products and services that satisfy the customer, and doing so without jeopardizing the environment, but also operating in a socially responsible manner. UK MOD Reliability/Risk Management

CSR Advantages Wave Riders Foster positive brand image and reputation Increase employee attraction Engagement and retention Cost saving Increase market share From: Weber (2008) cited in Benn & Bolton (2011)

Wave Riders action plans on CSR Assessment to entire value chain Establish new Vision Establish Business Conduct From: Team discussion

Wave Riders Business Conduct Compliance to laws and regulations Corporate opportunities Sustainability Safety and Health Society and Environment From: Group discussion 13

To be the preferred boats provider in our market(s) achieving a large market share by providing; Exceptional value-Safe and Innovative products, Customer Service Post-sale, and A fun, positive and profitable experience for all stakeholders and shareholders To be the preferred boats provider in every market companys operate and to achieve sustainable market growth by delivering; exceptional value-safe and innovative products, customer service post-sale and a fun, positive and profitable experience for all stakeholders ….toward creation of global harmony among people, society and environment

WaveRiders Strategy SixEconomic Compliance PhilanthropyEthicalValue Corp. Governance Risk Management New computerized finance package (new product line- reduce Finance workload) Reorganize sale department Market Research Promotion Campaigns Develop new product

PERSPECTIVE BSC KEY TARJETS MEASURE CSR PILAR Responsibility Strategic Impact Main Stakeholder LEARNING & GROWTH Staff trainingHOURSEducationHUMAN RIGHTS ECONOMIC PHILANTHROPY Employee Employee Satisfaction % Satisfied employees (Surveys) Human Rights (Abuses/discrimination) Safe working environment HUMAN RIGHTS LABOUR LEGAL/ETHICALEmployee R&D Innovation # Patents (Competitors comparison) Value creation Long-term thinking Sustainability ENVIRONMENTVALUECustomer

PERSPECTIVE BSC KEY TARJETS MEASURE CSR PILAR Responsibility Strategic Impact Main Stakeholder INTERNAL BUSINESS PROCESS Production Efficiency Lead time Resources management ENVRIONMENTVALUE Employee Shareholders Production levels (Reduce stock levels) % Increase new - Reduce old New product Designed CSR perspective ENVIRONMENTETHICAL Employee Shareholders

PERSPECTIVE BSC KEY TARJETS MEASURE CSR PILAR Responsibility Strategic Impact Main Stakeholder CUSTOMER Quality of the New Product DPMO Bearing in mind Human Rights,Labour, Environment & Transparency HUMANRIGHTSETHICALCustomer Customer Delightment % Complaints Long-term Thinking ENVIRONMENTVALUECustomer No. New Customers % New Customers Long-term Thinking VALUECustomer Competitive price Price Comparison Ethics ANTI- CORRUPTION ETHICSCustomer Shipment Sales Growth (Delivery capacity) Transport capacity ENVIRONMENTETHICS/LEGALSociety

PERSPECTIVE BSC KEY TARJETS MEASURE CSR PILAR Responsibility Strategic Impact Main Stakeholder FINANCIAL Profitable Growth Gross Margin Corporate Governance ANTI- CORRUPTION ECONOMICShareholder Maximize Returns ROCE With greter responsibility and enhancing our reputation in long-term ANTI- CORRUPTION ECONOMICShareholder Manage operating costs ADMIN. COSTS Emphasis efficiency managing resources ANTI- CORRUPTION ECONOMIC ENVIRONMENTAL Shareholder Customer Manage operating costs MATERIAL COSTS Emphasis efficiency managing resources ANTI- CORRUPTION/ ENVIRONMENT Shareholder

Creation of Shared Value 20 Corporate performance Society Environment Shared Value Porter (2011)

By having strategic deployment using BSC that put emphasize on engagement of global harmony among people, society, and environment. To satisfy shareholders and entire stakeholders toward creation of sustainability culture to achieve long term objectives and excellence organization. Enterprises or firms responsibility and opportunity is to go further than just making profit by involving all stakeholders. This includes thinking in Long-term, which is and added value for any Strategy within a company WIN-WIN STRATEGY/VALUES Conclusion 21

Thank You! Comments? 22

References: Benn, S., & Bolton, D. (2011). Key Concepts in Corporate Social Responsibility. London, UK: SAGE. Carroll, A. (1991, July-August). The pyramid of CSR Corporate Social Responsibility: Toward the moral Management of Organizational Stakeholders. Business Horizons, Carroll, A., & Buchholtz, A. (2009). Business & Society - Ethics and Stakeholders Management. Mason, USA: South- Western. Powell, M. (Performer). (2011). Corporate Social Responsibility Forum:Keeping it Private. London, Coventry. Crane, A., McWilliams, A., Matten, D., Moon, J., & Siegel, D. (2008). The Oxford Handbook of CSR Griseri, P., & Seppala, N. (n.d.). Business Ethics and Corporate Social Responsibility. MIB Motor Insurers' Bureau. (2009). Retrieved February 17, 2011, from CC40D3E496C3/0/CSR_Annual_Report_ final.pdf CC40D3E496C3/0/CSR_Annual_Report_ final.pdf Perrini, F., Pogutz, S., & Tencati, A. (2006). Developing corporate social responsibility: a European perspective. Glos, UK: Edward Elgar. Regester, M., & Larkin, J. (2008). Risk Issues and Crisis Management: A Casebook of Best Practice (4th ed.). London.