Halfway into the technological age companies breeze through the daily commune of business at warp speed. Along with this comes the challenge of “social awareness” asking them to understand and respond to the numerous problems of society today. Multitudes of companies from various industries began to “get it” and launched heir own programs toward social responsibility and philanthropy. A few researchers at the same time established a link between social and financial performance indicating that “doing good is in fact good for business.”
Corporate social responsibility (CSR) practices in the Philippines have increased significantly in the past decade. There remains to be however a nagging question of whether CSR is a fad or not? This is a question shared by both the practicing manager and those from the academe comparing CSR at times to the TQMs (Total Quality Management) and the BPRs (Business Process Reengineering) of the past.
My take on this is pretty simple. I believe that as long as CSR is tied up to “financial performance”, it runs the risk of being the TQM and the BPR of the future. Others do have a good point when they say that the link to financial performance ensures that the CSR practice will be “sustainable” and although I may agree, this “thinking” distracts us and takes us away from the basic tenet that “doing good is in fact the right thing to do”.
“Goodness should start from within” my professor would say, and as we relate this to corporations we can readily see that some of the companies who are proponents of CSR practice seem to be doing so at the expense of their employee's welfare and quality of life. CSR then becomes a superficial practice when internal operations are plagued with day to day unethical and sometimes even immoral decisions.
In this context I say that in today's world where social awareness is a challenge, an even bigger task of corporate “enlightenment” may be the key. To achieve this, a company must develop an internal conscience that would guide its' day to day decisions. I suggest three things.
First, establish a higher purpose among individuals.
Employees and managers should realize that each action has a purpose. Not only for efficient operations and not only about increasing profits. Each job is a calling and with it comes a higher purpose of human expression which is to provide excellent work for the betterment of self and the society.
Second, let each person examine the various paths toward ethical decision making.
Knowing and understanding the underlying ethical concepts and standards would enable the employee to exercise a more rational thought in all his actions and decisions. Regular training programs that focus on ethics in the workplace should be implemented giving enough time for the employee to truly absorb the concept of ethics in business.
Lastly, emphasize ethical accountability.
Everyone in the organization must realize that there will be social consequences for their actions. Good or bad the company must be able to communicate that they are responsible for it and that they will be held equally accountable for any decision that undermines ethical practice. A review of corporate policies may be needed, perhaps even a review of long-standing values.
Developing a corporate conscience enables the company to internalize a socially responsible practice. It bridges the organization from mere “awareness” to revered “enlightenment”. The path to corporate enlightenment may be difficult and uncertain yet our present situation dictates that individuals and their organizations should change. A change where the motives are not only for the good of business but more importantly for the good of society.
The author has been with the pharmaceutical industry as a marketing executive for more than 12 years. He is currently a student in the Doctor of Business Administration program of the De La Salle University – Manila Ramon V. Del Rosario Sr. Graduate School of Business.
from Managing for Society Column Manila Times (Print & Web Editions), July 22, 2008 Enrique Antonio B. Reyes, RPh, MBA
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