hrd and corporate social responsibility prof. jorge v. sibal up diliman [email protected]
TRANSCRIPT
Trends under globalization Weakening of the state and
strengthening of big private corporations.
Workers and citizens’ organizations (civil society) are more vigilant and suspicious of the growing private enterprises.
Trends under globalization “Business is not often viewed as a do-gooder”. Consumers are less forgiving and skeptical
about business due corporate scandals that rocked the U.S.
Majority of American consumers are willing to pay more for products that have complied with social, ethical and environmental standards.
Philippine experiences… The Philippines had seen local and foreign
corporations that have operated, profited and left after exhausting the resources of communities.
In extractive industries like mining, logging and manufacturing, communities remained poor as corporations grew and profited.
Philippine experiences Protest actions against corporations are
common. Laws and legislations have been enacted to protect the nation from such corporate abuses.
A recent example is the Maricalum Mining Corporation in Sipalay City, Negros Occidental which shut down in 2001.
Maricalum Mining Corporation in Sipalay City It owes 2 local governments P90 million
($1.7 million) of unpaid taxes and its 5,000 employees P170 million ($3.3 million) in backwages and separation pay.
Maricalum Mining Corporation in Sipalay City Its 125 hectares tailing pond containing
111 metric tons of mine tailings discharged in over 20 years of operations has been polluting the air in the surrounding areas causing increased respiratory illnesses (Gomez 2006).
Why is CSR a must?1. Consumers are better educated, organized
and have better means of communications. They can make or unmake corporations.
2. Consumers pressure the government to protect their rights and welfare especially against unscrupulous local and foreign enterprises.
Why is CSR a must?3. Capitalization of corporations are sourced
from public funds and the controlling owners and managers realize that their loyalty should first and foremost be with the public in general.
A corporation is no longer a “private property”.
Why is CSR a must?4. Capital and other physical assets such as
land and buildings are no longer the premium factors of production but people with skills and knowledge.
According to management expert Peter Drucker (1991),
Management has three responsibilities:
1. make profit;
2. satisfy employees; and
3. be socially responsible.
Principles of Corporate Social Responsibility (CSR)
1. Principle of Legitimacy-
Society grants the enterprise legitimacy and power to operate as an institution but it can also take away that power if the enterprise does not perform what is expected of it.
Principles of Corporate Social Responsibility (CSR)
2. Principle of Public Responsibility–
Business is responsible for outcomes of its involvement in society, specifically its social, ethical, cultural and natural environment.
Principles of Corporate Social Responsibility (CSR)
3. Principle of Managerial Discretion-
Managers decide on how to practice CSR. They have the obligation depending on
available opportunities, choices and resources
Elements common to all CSR concepts Responsibilities go beyond maximization of
profits & philanthropy. They need to help solve social & environmental
problems they have created. They have other stakeholders other than the
stockholders- employees, customers, suppliers, government, community & society.
The good practices of CSR are HRD driven
Societal Responsibilities unemployment, public services,
education, infrastructure, environmental concerns, etc.
Organizational Responsibilities employee
empowerment & HRD
Basic Responsibilities towards its growth &
survival & stakeholders (shareholders, consumers,
government & local community)
Major Concentric Waves of Corporate Social Responsibility
CSR is HRD driven “The business of business is developing
people, not only within the company but also in the community that it serves”.
(Juan Luz and Teodoro Montelibano 1999)
CSR is the concern of all employees.
CSR requirements of enterprises Enterprises need to be efficient and
profitable in order to continuously serve society like decreasing pollution, reducing unemployment, improving peace and order situation, etc.
CSR requirements of enterprises They have to contend with trade unions,
consumer groups, media, government regulatory agencies, environmentalists, civil rights activists, women’s organizations, tribal groups & other stakeholders in areas where they operate.
How is CSR practiced in a community?
Rationale for ComRel Programs Enterprises can’t just enrich themselves and
leave the poor communities as poor as before.
There is no long term visioning in this type of operation. If the community is not empowered, who will sustain the enterprises?
Then they will just hop from one place to the other until they run of places to operate in.
Rationale for ComRel Programs “If management fails to carry out
[social] responsibilities, the production of wealth in the long run will weaken society”- Peter Drucker
Today, profit maximization is balanced by a very vigilant civil society.
ComRel & Strategic Visioning The values, visions and strategic
objectives of the corporation should be compatible with that of society and the community.
Corporations are actually sub-systems of the community or society.
ComRel & Strategic Visioning The cycle of relationship between the
corporations and the community and society is illustrated as follows-
INDIVIDUAL FAMILY COMMUNITY
CORPORATION SOCIETY
3 Waves of Corporate Social Responsibility Societal Responsibilities
Unemployment, public services,
Education, infrastructures, environmental
concerns, etc.
Organizational
Responsibilities
Employee empowerment & HRD
Basic Responsibilities
Towards itself, growth &
Survival (shareholders,
Consumers, gov’t.
& local community)
STEPS IN CORPORATE SOCIAL RESPONSIBILITY
1. Formulating or reviewing the corporation’s values, vision, missions, goals and strategies (VVMGS)
2. Aligning the corporation’s VVMGS to the goals of the community and society
STEPS IN CORPORATE SOCIAL RESPONSIBILITY3. Empowering within the
organization through HRD-OD programs (employees, stockholders, etc.)
4. Expanding the concerns of the
corporation through Comrel programs
What is Community Relations? Comrel is a basic technology
of a corporation or organization whose objective is to show the community where it operates that it is aligning itself as part of and in service of the said community.
What is Community Relations? Involves projects & activities
designed to empowerment the community (capability building) through consciousness raising, community organizing, problem identification / problem solving, and implementing projects / interventions that will help solve the community problems.
Phases of a ComRel Program starts internally within by
empowering the organization and employees first and then expands externally to the community where it operates.
Its basic tools are corporate communications, HRD and organizational development (OD) technologies.
community networking A Comrel program should be tied
up with non-government organizations (NGOs), peoples’ organizations (POs), cooperatives, local government units (LGUs) and other stakeholders active in the community.
NGOs are non-government & private
organizations that are non-profit, independent, voluntary & organized from the grassroots categorized as political NGOs like trade unions, party
list and other pressure groups religious, academic & cultural NGOs
(organizations within academic, religious & other cultural institutions)
economic NGOs like cooperatives and other social enterprises.
ComRel Practitioners Comrel is practiced by large & small
corporations. Small community businessmen and professionals join community organizations & are active in various livelihood, socio-civic, sports, educational and religious activities benefiting the community.
Objectives of Comrel Programs 1.To raise or maintain a wholesome
image of the company or individual in the community
2.To serve a promotional tool for the company’s products and services
3.To establish good relations with the local government units and agencies operating in the community
Objectives of Comrel Programs
4. To help maintain law and order in the community for a conducive working environment for the company
5. To establish rapport with the community, to help in social reforms and other social empowerment activities in the community
Objectives of Comrel Programs6. To inform the community of the
company’s activities, values, visions, strategies, objectives, programs and projects that relate to community welfare
7. To project an image of a successful corporation in the community
Activities in Comrel Programs 1. Publicity of Company Activities
(press releases/conferences, featured articles, pictorials, etc.)
2. Company Publications w/ extended circulation to the community
3. Open Houses and Guided Plant Tours
4. Cleanliness Campaign (5S, etc.)
Activities in Comrel Programs5. Speaker’s Pool Availability for
Community Fora, Meetings, etc.6. Employee Membership in
Community Organizations and NGOs7. Support for Community Projects-
fiestas, exhibits, livelihood and other projects
8. Support for Employees’ Coop or Ass’n.
Activities in Comrel Programs 9. Support for Community Services-
education, health, peace and order, etc.
10. Support to Local NGO-PO Network
11. Sound IR Practices if Labor is Unionized
Guidelines in Conducting a Comrel Program 1. It should have a clear purpose,
objectives and goals for the people & the community. Its programs and projects should be both culture and gender sensitive.
Guidelines in Conducting a Comrel Program2. Planning should include social
preparation phase and strategies in organizing. Target groups and beneficiaries should be identified. The plan should have entry, consolidation, organization, withdrawal strategies & a monitoring system during & after the program implementation.
Guidelines in Conducting a Comrel Program3. Comrel program implementation should
always be consultative and participatory.
4. It should be able to present concrete benefits to the people and the community.
5. Finally, a Comrel program must be sustainable and replicable.
Weaknesses in a Comrel Program1. There is no consultation with people in
the community.2. There is no identification of actual
needs.3. There is lack of a definite and clear
development framework for the implementation of the program, project or activities.
Weaknesses in a Comrel Program4. There is no clear pattern of entry,
consolidation and withdrawal phases of the program or project.
5. There is no social preparation.
6. There is lack or absence of the participatory process.
Weaknesses in a Comrel Program7. There is misuse of local resources
which affect the people and community both in the short and long-run.
8. There are no substantial benefits to the people and the community.
Empowering Communities
Marginally Functioning Functioning Self-Reliant
NGOs. POs, Cooperatives
Community Organizing
Entry Strategies
Consciousness Raising
Project Development
Community Mobilizing
Leadership Training
Project Mngt
Integrated Farming
Phase-Out
System
Funding Schemes
Training & Development
ComRel Program
Thank You.