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Corporate Social Responsibility - Merits and Demerits


Task: Explain the merits and demerits of Corporate Social Responsibility (CSR) with examples.


Every organization has framed different definitions of Corporate Social Responsibility (CSR). Although they share a basic concept of CSR that, it is a voluntary process of an organization, which it carries out for the welfare of its employees, society, and environment as an obligation towards all three. In simpler terms, for using community’s resources to make revenues and profits out of them the company pays back to it by different means.

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Corporate Social Responsibility:
There is vagueness and a lot of argument associated to what is owing of CSR in an organization (Horrigan, 2010). Through CSR, organizations create a constructive and affirmative image in the society (Baker, 2004).

Emergence of CSR




CSR first came into existence in the year 1930. It was after the Great Depression in 1929, when two professors of Harvard University, Prof. A.A. Berle, and Prof. C.G. Means realized that corporations must come forward and take the responsibility. They also claimed that such a condition would not have taken place if the corporations had acted responsibly.

1960s & 70s

In account of changing the perspective of society towards business in regard to civil rights movement, consumerism, and environmentalism. Many instances related to CSR were put forth in the business world. Convention and guidelines of Organization for Economic Co-Operation and Development (OECD) were formulated in the year 1960 with the intention of advocating the policies that can ensure the economic growth, better employment, and improved living standards amongst in nations that are its members during maintaining the financial conditions.

1980s &90s

International Union for Conversation of Nature (IUCN), in 1980 published the World Conversation Strategy. As per this, aim was to make more consistent world economy, enhancing world growth, world equalities and alleviate poverty and its impacts. While in 1992, a summit named the UN Earth Summit was convened in Rio De Janeiro, in which ‘triple bottom line’ model for business was formulated, with the basic idea of having sustainable development with the company’s competitive benefit.

Since then many other important and noteworthy incidents have happened that played a significant role in establishing the concept with even more strength and convinced the business establishments to enforce it with conviction.

Types of CSR
Four Types of CSR based on its beneficiaries:

  • Environment-Based Corporate Social Responsibility (CSR): Through this, a company’s attention is on reducing the harmful effects caused on environment due to its various operations. The company invents such processes at their production level so that they can minimize the production of such by-products that are causing damage to the environment. It also takes preventive measures to avoid caused damage by burning fossil fuels to its environment by encouraging the use of non-renewable energy.
  • Community-Based Corporate Social Responsibility (CSR): To safeguard the well-being of the society, the company with the help of other organizations, which are usually Non-profit organizations, comes forward with various programs. To enhance the living standard and conditions of the people of society, a company either provides funds or arranges funds from other companies to carry out the planned programs.
  • Human Resource-Based Corporate Social Responsibility (CSR): Human resource of an organization plays a vital role in its smooth functioning and success. Hence, companies pay close attention to the needs of its human resource to make their lives better. Companies do so in various ways like some companies provide extra leaves to the male employees so that they can take better care of their newly born child. In case any employee encounters an accident due to on-job danger, companies offer better medical insurance so that the employee can be healed and cured in the best possible way.
  • Charity-Based Corporate Social Responsibility (CSR): Companies often engage other organizations as partners for charity. Companies contribute charity to individuals and other organizations to assist them financially to meet their general needs. This is the most preferred type of CSR being used by the companies.

Merits of Corporate Social Responsibility:
After understanding the meaning and various types of CSR, it is important to know its major merits.

  • Enhancement of the Company Image: The most advantageous and obvious merit of CSR to a company is that its value in terms of goodwill increases. It has two major direct benefits to the company. One is, customers are always willing to purchase products of a company that has good image in the market. The other is, in general, other companies wish to get associated with such companies to do business. CSR influences the reputation of the company in the society as the consistent and trustworthy name. It is a general human tendency that they always want to be connected with a name that is reliable and enjoys a good status that makes it the best in the market.
  • Enhancement in Attraction towards Company and Retention of Employees: Candidates are attracted towards the companies that have strong CSR policies and comply them responsibly. Hence, such companies get good pool of potential candidates and their employee turnover is very low. Everyone wishes to work with a company that is concerned about its employees and makes efforts towards betterment of working and living conditions of its employees. Existing employees, as well as new employees, wish that the company has an empathetic approach towards them. Fair treatment, regular appraisals, assistance may that be financial or any other in the time of need, recognition on achievements, attention on special days like birthdays, anniversaries etc. are the few basic things that act as a major difference between a company of people and a company for people.
  • During tough times like condition of tight labor market, these policies of company win an edge over others. It also helps in minimizing the induction training costs and incentives cost of old employees. Employees are motivated to perform even better with incentives. This can be concluded in one statement and i.e. a company is induced to make better profits with increased productivity and reduced rework with the satisfied and contented workers.

  • Regulatory Authorities Become Less Intimidating: Regulatory authorities often lay more focus on the companies that do not perform CSR for scrutiny, over the companies that do. The authorities are set to believe that the company that is performing CSR for the welfare of the society and environment and has a good rapport with the people and other organizations that means it must be complying other rules as well, such mindset allows them to be easy-going with them. To get the most out of the CSR programs other than profits, companies having well-defined CSR policies always abide by other regulations as well.
  • Such companies receive a fast process of scrutiny by the authorities. At times, if the competent authority realizes that any particular project of a company is going to benefit the society then it may ignore the absence of required paperwork too.

  • Attracts more Investors from Various Sources: Investors are most likely to invest in the company, which has a good image in the market. Goodwill of a company is significantly enhanced if it is doing well in CSR and makes more people interested in investing in its crucial programs. Such a company will also get foreign investors in the form of FDI. Hence, it also becomes a contributing factor in the foreign exchange of the country. It is known as a reliable and trusted name, due to which it gets investors from other companies and industries as well.
  • In some conditions, the government of the country also reflects its willingness to invest the company, which leads to minimal regulation issues and red-tapism.

  • Production of Clean and Renewable Energy through Environmental CSR Program: Companies that run environmental CSR programs, always make sure that none of their processes cause any damage to the environment. They introduce such production methods, machinery, and techniques that are in favor of the environment and also reduce any sort of damaging effect if it does cause any, then a clean and healthy environment can be provided to the society. During this process company also access the possibilities of generating and using renewable energy in its different processes.
  • By investing one-time in renewable energy for production process, company reduces its cost of overall production and fossil fuels.

  • Positive Promotion: There is a huge difference in publicity and positive publicity. As in the business world, there is popular saying that, ‘no matter what any publicity is good publicity’. It is really important that to make people buy your products one should be a known name amongst them. However, it is also important to have a good name in the eyes of public, because being known for wrong reason also causes downfall in the sales. Hence, a company must always focus on positive promotion. A good publicity can easily be earned by performing decent CSR program. Without even investing in advertising, it works as a good advertising campaign giving you a positive promotion.
  • Not only this, it also acts as a differentiating factor from its competitors. Even if the competitors are selling their products at lower prices, but the company paying attention to the community and environment always wins over. People readily pay a little more, if they are aware of the contribution of the company to the environment and society.

Demerits of Corporate Social Responsibility
The points on which the business groups are condemning CSR are discussed below:-

  • Deviation from the Profit-Making Objective: A popular economist named Milton Friedman is the biggest criticizer of CSR. As per him, CSR deviates the basic purpose of the business from earning profit to using its profit for the welfare. He suggested that the sole objective of starting any business activity is to earn maximum profit out of it. A business entity has commitment towards its shareholders, who are hoping to earn from their shares. All these needs can be met only if a company focuses completely on inventing methods by which it can make more and more profits. While companies are using their funds to carry out CSR programs for the welfare of the society and charity.
  • Hence, if we put it in straight words, then a company is intentionally increasing its expenditure which has no payback or role in profit-making rather it is a pure outflow with no return.

  • Company Reputation is at stake: If a company has to comply with the CSR policies, then it is supposed to inform all the limitations associated with its own products. If there is any CSR policy violation in their product then it has to be made public. It can cause bizarre to the image of the company. For instance, once a car manufacturing company has to call back all of its sold cars after finding out malfunction in the model, it damaged the image of the company and its effect was seen on the sale of its other products as well.
  • This not only causes loss of trust amongst customers but also causes hassle to them.

  • Customer Conviction: At the start, people had good impression about these CSR programs. They also tend to be more inclined towards companies that have CSR programs. But, as the time passes people become more impatient and start to expect instant results out of such programs. When they could not notice instant results or instant impact on the society then they start to feel CSR programs as mere publicity stunts. For enterprises, it becomes really hard to make customers understand that such programs take time to show results. It is important for the company to have patience and trust of the customers while the company continues the programs with dedication and conviction.
  • Even several efforts of convincing the customers to go in vein. Constant efforts of convincing people is an extra and unproductive activity for business enterprises.

  • Increase in Cost of Production: CSR programs lead to an extra cost to the company. The increment in cost forces the company to increase the basic price of the product, which is ultimately paid by the customer. This is an extra burden on the company, which is being imposed to customers.
  • Big companies or business leaders can easily afford such increased costs and may not increase the prices of the products. However, the small players are forced to increase the prices, as they simply cannot afford this increased cost. They are already struggling to fight against the big players in the market and these increased prices make it even more difficult for them.

CSR Related Legislation and Provisions
The provisions and legislation in regard to CSR differ from place to place. The CSR legislation being imposed on the companies varies in different perspectives, may that be based on the geography, environment, culture or legal context of different countries. The major factors in legal context that affect the organizations of three different countries – Australia, UK, and the USA are discussed below:-

OECD Guidelines for Corporate Social Responsibility
Organization for Economic Cooperation and Development (OECD) is one platform, where 30 democratic countries can get their matters resolved in terms of social, economic, and environment-related issues. It has laid well-defined guidelines based on ethics and responsible business operations for multinational companies to operate. The guidelines clearly address the issues related to CSR. Being members of OECD, Australia, UK, USA, all the companies operating in these countries have to follow the OECD guidelines without any failure.

General Policies:
Complying with the OECD guidelines alone is not sufficient; companies need to take into account the general policies of the countries they are operating. Taking care of interest of its stakeholders like suppliers, workforce, society, investors etc in accordance with the country rules is also mandatory. Few essentials for a company to do -

  • With the intention to attain sustainable development, a company must give its genuine contribution towards growth of society, environment, and economy.
  • Honor the national human rights and human rights set by different countries.
  • Efforts should be made to maintain strong relations with the locals to ensure the progress of local community along with the business interest. Expansion of business in domestic as well as international market should be the focus of the company to attain wider exposure.
  • Contribution in maintaining the policies related to maintain good corporate governance. In order to fulfill good corporate governance practice, competent principles must be formulated, implemented and practiced at regular basis.
  • Instead of avoiding statutory compliances regarding human rights, working conditions, human resource, health, safety, environment, taxation and others; it should be a practice to comply them.
  • Promote such policies that motivate to work with effective work systems and boosts self-responsibility to practice all the regulatory actions not under legal pressure but as work culture; as it can develop a strong relation and mutual trust between company and customers.
  • Regular attempts should be made by the MNCs to make its workforce completely aware of the company rules and policies through regular training programs.
  • Discrimination in any form should be prohibited within the organization.
  • Proper assessment of possible risk should be assessed timely, due decisions and actions should be taken to mitigate them.
  • OECD guidelines should be consulted in a way that no negative impact can be caused or contributed by the company in regard to the topics covered in the guidelines. If in case, any unpleasant circumstance arises then a genuine instant action must be taken.
  • If unfavorable circumstances have not caused any direct adverse impact on processes, products or services but in future can lead to an uncomfortable situation, then appropriate action must be taken in advance to reduce its adverse impact in future.
  • Relations with stakeholders must be taken care of. They should be provided with better options and opportunities to express their viewpoint on future actions of the business and decision-making process regarding projects and various other actions that affect the locals.

The companies are motivated to :

  1. provide full internet access in the name of freedom of expression, alliance, and online assembly, whenever it is feasible and in accordance with the company’s operations.
  2. involve or sustain the appropriate private and various stakeholders enterprise. In addition, the organization must make sure its initiatives should be influential and contributing to the developing countries along with the current set international acclaimed standards.
  3. For more detailed information on the guidelines, one can refer to the official website of OECD, where the guidelines are available in the PDF format.

    Corporate Social Responsibility: Australia
    The companies, which wish to or operate in Australia may contact to OECD national contact place to know more about OECD guidelines to act as an OECD member. It is mandatory for a company to be aware of CSR laws in Australia to be able to comply with as the court system of Australian local and centralized sections. For any or all the cases, High Court is the supreme and final jurisdiction. The essential parts that influence the factors of CSR in global processes are discussed below:-

    • Legislation: Australian companies are legally bound by a surplus of Australian laws to abide by the human rights standard. For example, there are various laws made to prohibit any sort of harassment and discrimination at workplace, ensuring that employers provide equal employment opportunities. In law, there are numerous aspects that regulate or control work environment have greater impact on the implementation of CSR like occupational health and safety, minimum wage, terms and conditions of employment, collective bargaining etc. For instance, Laws imposing absolute liability on corporations’ acts that have bad consequences on human rights, such as bribery offerings to foreign officials, involvement in any misconduct against humanity.
    • The Corporation Act and Common Law enforce the directors with power and duties for acting in shareholder’s best financial interest. The directors are entailed under the Corporations Act, Section 181(1) to act in a manner in which they work or ensure the best interest of the corporation

    • Human Rights: The Australian government supports all the key conventions included in the UN regarding human rights. To protect and promote human rights in Australia, an autonomous body called ‘Australian Human Rights Commission’ has been created by the Australian authorities. This agency involves many responsibilities out of which most prominent ones are to safeguard the human rights and focus on CSR.
    • Working Life: Companies who are functional or aim to commence business in Australia must strictly obey the local rules and regulations, for instance, employees working hours, frequency of breaks in between the work. Australian employment policy is regulated by the local and central legislation systems, laws and collaborative contracts that apply to specified categories like working hours, salaries, and remuneration, overtime, dispute settlement. The International Labor Organization (ILO) has identified eight main conventions that are being promoted by Australia.
    • Environment: The environmental aspect of Australia should be taken into account for operating any business activity or aim to operate in Australia. As Australia’s environmental factor acts as a crucial factor in the implementation of CSR. Laws related to protect or safeguard the environment are formed and imposed by the central, state and local authorities of Australia. Law is made because work performed by some companies can cause bad effect to the environment. For this matter, an enterprise requires license and is liable to report to the authorities. Enterprises are supposed to report the greenhouse gas emission, energy production and consumption by them.
    • Corruption: The UN convention to fight against corruption has been ratified by Australia. That is the reason, why it is considered as least corrupted nation worldwide.
    • Indigenous Population: The enterprises, which intend to extract natural resources, should take into confidence the native people of the area. In Australia, laws enforce even the consultation. Enterprises that are operating in Australia must check with local authorities and business organizations.

Violation of CSR Norms in Australia: Consequences and Punishments
CSR norms are emerging rapidly due to which expectations from the corporations are also increasing day by day. So, when it comes to violating any norms of CSR, companies can face various consequences extending from loss of goodwill to its market shares.

Australian Securities and Investments Commission (ASIC) is an independent Australian government body that acts in accordance to regulate and control Australia’s corporate, markets and financial service. It is the duty of ASIC to determine and make sure that economic status and well- being of Australia, continues to be in safe condition. Along with that, ASIC ensures fiscal markets control or regulate justly and keep transparency. If ASIC finds out that any enterprise operating in Australia has violated any of the above-mentioned corporation law, then it identifies and carries out available remedial actions.

Type of Action

Description of Punishment


In case of any misconduct, ASIC may approach the court to take action against such organization or person. The action could be of two types: 1. Criminal penalties in form of imprisonment, community service. 2. Civil monetary penalties, which should be paid to the commonwealth.  


In order to safeguard interest of customers and investors, ASIC may take administrative actions that include: 1. Disqualify to manage any organization. 2. Forbid from offering any financial service and getting into any credit services. 3. Retraction, termination, rectification of license terms. 4. Notices of public warnings.


In order to protect the assets, ASIC may take valid judicial action and compel one to follow the law.


Corrective disclosure can be made after seeking a court order.       


To ensure that all who have suffered damage and recover the losses, ASIC may request the court to take a representative action.        

Negotiated and Agreed Outcome

To get an effective lawful result, ASIC can negotiate on the alternatives that may include: 1. Legally enforced disclaimers. 2. Payment for breached notices.  

Corporate Social Responsibility: UK
Just like Australia, UK is one of the OECD members. This means that organizations in UK do comply the general OECD guidelines in terms of CSR. Though, there are some other laws as well that affect working of an organization in the UK.

  • The Town and Country Planning Act demand the organizations to seek permission and clearance from local authorities if in case they wish to utilize natural resources for particular type of installation and development programs.
  • The Management of Health and Safety at Work Regulations (1992) is formed on the basis of the Principles of Health and Safety at Work Act (1974). The act is formed to make sure that an organization is set liable for developing and maintaining safe work environment.
  • The Trade Union and Labour Relations Act (1992) instructs the employers that if the organization is trade union recognized then it must reveal the employment policies and conditions to the employees.
  • The Environment Agency was established by the Environmental Act (1995), which came into action in 1996. The agency has the power of investigating the IPC application and publishing the names of the organizations, which are fined for causing damage to the environment.
  • The Environmental Impact Assessment Regulations (1999) is one of the EU Councils Directive (97/11/EC) which came into force on 14-03-1999. This assist in forming relations between organizations and planners, as the local planning authorities need to provide a written consent to public authority informing that the organization requires going through EIA.
  • To promote CSR by using supply chain contracts, Contract Law is very crucial. Various western companies usually implement CSR policies into their complete supply chain with all their suppliers, for example, UK Trades.
  • The Race Relations Act (1976) is formed to take care of the direct and indirect biases based on racial, ethnic, and nation origin, in the workplace.
  • The Companies Act (2006) which has significance to CSR demands the directors to make an absolute and early revelation about the dealing commerce and shares. In addition, it also asks the directors to make disclosure of their other interests including related to their family members may that be spouses or an infant baby. Furthermore, it binds the directors to form a body, which is set to such standards that it gives consistency to company accounts, reports of directors and auditors.

A New Enacted Law:
Specifically, the organizations, which have their financial year ending on 31-03-2016, are the first ones to create the statement as per the UK Modern Slavery Act. It is so because the Business & Human Resource Centre reached the conclusion that the registry would be maintained of the organization statements pursuant to the act.

Violation of CSR Norms in the UK: Consequences and Punishments
It is mandatory for companies that are operational in the UK to have such policies that honor the human rights. Clearly, they must abstain from any sort of breach of corporate laws, human rights and promptly address impact of any negative human rights action may occur in their processes.

  • CSR provisions mentioned under Companies Act (2006) are mandatory to follow by all the organizations. In case of any failure in compliance or non-compliance of these, then the organization is liable to pay defined penalties. These penalties are defined under two provisions: Section 134 (6) and Section 134 (7) – (8).
    1. Monetary penalty of £528 up to £26410.
    2. Each officer of the organization shall be punished with imprisonment of up to 3 years.
    3. Court may levy penalty on the organization’s officers to pay an amount that can be £528 to £5282.
  • Under Section 450 and 451, UK organizations have to face other general penalties. The below-mentioned repercussion is to be encountered in the operation system if an organization violates any of these laws.
    1. Monetary penalty of £4 up to £105. If the organization continues to violate then the penalty of £10 per day until the violation continued will be forced on the person or organization.
    2. Under Section 451, the offender will be either levied with monetary penalty or imprisonment. If the defaulter continues the same crime within the three years of the first time, then the company and its officials will be penalized with the double amount along with the imprisonment that is decided for the offense.

Corporate Social Responsibility: USA
Corporations, intended to operate in the United States, have to keep up with an extensive variety of legislation obligations defining responsibilities towards shareholders and stakeholders. For example, US have come up with the ruling that ensures corporations must guarantee interest of shareholders and stakeholders. A legal outline ensures fiduciary duties of fidelity in order to make directors act and use corporation resources more cautiously and responsibly. It makes sure that directors required performing the activities in corporation’s interests and holding back all the ill intentions, motives, bad purposes and objectives that can manipulate director’s behavior negatively. Fiduciary duties meaning is ‘the best concern of the corporation’ that includes the interests of shareholder as well as the stakeholders.

All the enterprises intended to operate in the US should do charitable contribution that is supposed to be acknowledged well by the US. Seven states of The US persuade organizations to do donations regardless of corporate profit. While there are 19 other states that motivate organizations to do charity that could be benefited to the company itself as well as society. Though in rest of 24 states, the rules are not clearly defined that donations can be made or not if it is not in the interest of corporation.

Corporate laws, formed by the states enforce legal duty on enterprises and permit corporations to participate in lawful activities. Companies can form their own charters where they can precisely take participation in the CSR activities. For instance, New York Times has been established to work in accordance with the objectives of social welfare than to make profits.

The business judgment rule makes a strong assumption for affirming manager’s activity. In the ratification of this act, a manager’s decision can be challenged by the court until decision assures to meet all the essential needs linked to the clashes of interests and ignorance.

Violation of CSR Norms in USA: Consequences and Punishments
Companies who are not complying the corporate laws need to understand they can have substantially bad consequences on companies’ image

  • Directors held responsible for personal liability if there is any breach of fiduciary duties.
  • Breach of CSR laws can cause severe financial loss and harm to company’s image. If consumers’ rights are exploited company may have to face boycotts which lead to down market shares especially in goods and clothing.
  • Various multinationals are getting inspired towards implying supplier codes of conduct under CSR policies. Such companies get debarred from the important contracts. For instance, an American MNC, Wall Mart, has suspended one of its key seafood suppliers after getting a report of its bad working conditions in its processes.
  • A breakdown in following CSR system can result in dispute with the mass that can cause legal threat. Other than legal risk, there are various threats involved in protests, strikes that can increase the cost to any organization.
  • Furthermore, possible risk in the absence of implementing CSR systems can usher to various loss to the company.
  • Company who do not fulfill CSR principles could face legal trouble or proceedings. To get them pardoned from the obligation of the caused harm by their foreign subsidiaries, some organizations have given arguments about their organizational structure and jurisdiction. However lately, various country's court like U.S. UK and Canada stated this subject matters inadequate.

Examples of CSR Activities
CSR activities carrying out in leading companies reflecting how CSR system is advantageous to a company than having its demerits.

  1. Google’s Corporate Social Responsibility Activities:
    There are notable attempts made by Google to improve. Forbes has listed Google having the best CSR activities.
    • Google’s CSR based on Community
      • There is a competition named Google China Social Innovation Cup for College Students in which winner or champion is supported by funds by Google so that their schemes or ideas can be implemented. It focuses on empowerment of Chinese youth to turn them into driving force of Social Development.
    • Google’s CSR based on Environment:
      • There is a thoughtful effort by Google called Google Green in which it uses resources wisely and promotes renewable energy resources. Due to this prudent idea, Google has witnessed largely fall of around 50 percent in power requirement. The cut-down cost from power requirement can bring more innovative ideas that will help people worldwide.
    • Google’s CSR based on Charity:
      • Google permits or provides advertisements words at no cost for particular charities. These advertisements ensure charities to display their cause properly and educate people about the cause. Such causes involve rights of animals to blinds to HIV education. Google has vast range and it is possible because Google has larger length of reaching out.
    • Effects: Due to Google’s green initiatives, greater impact was seen on power consumption by big enterprises. Google has become footprint for all such organizations for following such idea of less power consumption. It got involved in charitable activities like permitting them to publicize free of cost.

  2. Microsoft’s Corporate Social Responsibility Activities
    Microsoft Company is well acknowledged for its contribution or support for the social welfare or development. Bill Gates (owner of Microsoft) is well-known for his humanitarian approach or charities giving billions of dollars in donation. There is a private foundation formed by Bill Gates and Melinda Gates named as ‘The Bill and Melinda Gates Foundation’ that has supported millions of people by funds, medical services, and financial support to get through in medical research.
      Microsoft’s CSR activities based on Community:
    • In 2004-2006, two programs were formed - ‘Partners in Learning,’ and ‘Partners in Learning Grants.’ Both the programs concerned with technology and essential training, to use those technologies in schools. It focused on deprived schools, unable to afford and did not have easy access to said technologies.
    • $253 million had been spent for the training of faculties and students to make them well-informed and use the technology in the best possible way
    • Microsoft aims to impart technology and well - educate about the technology to the underprivileged schools.
    • ‘YouthSpark’ program (2012), which intended to facilitate students for the technology to accomplish goal and attain success. Microsoft presented software to the schools so that it can enhance their learning. For instance, a special provision for visually impaired applicants in form of software called ‘Job Access With Speech (JAWS)’ for blind students like Ignacia Picas where such impaired people are able to read without converting the text into Braille. It assisted to deal with this disability of her visually impaired colleagues. It was a successful or beneficially initiative not only for her but for her teachers too, as they were not converting the text for Ignacia into Braille. It was time-saving.
    • The software called ‘Office 365’ in 2013 was offered by Microsoft for free to appropriate NGOs. Its software was distributed in 92 countries worldwide at minimal price or even Free of cost whose worth is about $55 million.
    • Effects: CSR activities of Microsoft have left a massive effect on development of the community and satisfaction of employees. According to a study, 86% of Microsoft employees recommend others to work with Microsoft. The same study says its 94% employees are satisfied with the justifiable treatment they receive by their superiors and commendable efforts in improving the lives of humans, it is also called ‘a good corporate citizen’.

  3. Bosch’s Corporate Social Responsibility Activities
    Bosch is a well-known name in the field of automotive and industrial field. The company is based out of Germany and is extremely focused on keeping its operations in accordance with the environment norms –
    • CSR of Bosch – based on HR
      • The company has set a committee to regulate ‘HSE (Health, Safety, Environmental and Fire Protection and Emergency Control) Steering Committee’ regulates the major activities of an organization that can be sustained for longer period. The board holds the charge of all the environmental and safety related issues and it consists of officers from 12 different regions.
    • Bosch’s CSR Activities based on Environment
      • Bosch has a policy called ‘going green’, under this policy it has obtained Ersol Solar Energy i.e. the leading manufacturer of solar cells.
      • With the intention of clearly being aware of the amount of energy being saved by the organization during various operations, and indicator called ‘CO2-Flag’ was launched by Bosch Thermotechnik. This clear information in terms of quantity of energy saved by the organization facilitated customers in being aware of the fact that they are purchasing products that are energy saving hence, contributing in decreasing the level of energy wastage.
    • Effects: Bosch through inventing this technology has made public more conscious of saving energy. Bosch ensured to have a better and cleaner surrounding around its production sites by self-imposed regulation in the form of HSE rules.

  4. Hewlett-Packard Germany Corporate Social Responsibility Activities
    Hewlett-Packard is a well-known name of the IT industry. It is also known for using and making popular such technologies and approaches by which usage of lesser energy can be ensured.
    • HP’s CSR Activities based on Environment
      • HP has opted to replace usage of copper made electric wires with optical wires for energy transmission with increased efficiency by 20 times. The technology is known for saving electricity of Gigawatts.
      • HP constituted a team named ‘Eco-Solutions Engagement Team’ in 2008. Its all business units and operations are included in it and have to think from the customers’ point of view to invent accordingly.
      • In 2008 along with HP Education Services, ‘Eco Solutions Workshop’ was developed by the environmental management. Through these workshops, it focuses on providing complete information on innovations related to clean energy in HP to the customers.
      • It majorly aims at: Green Data Centre Environment and Workshops Buying Green IT Solutions.

    Effects: Through innovative programmes of HP, customers and public are more aware and concerned about production of clean energy and ways to keep environment cleaner.

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