Principles of Management: Definition of Social Responsibility

Principles of Management
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Part A
Definition of Social Responsibility
In my own words, an organizations capacity to be socially responsible points out the picture that the organization and its employees behave in an ethnical manner and are sensitive towards the cultural, social, economic and environmental concerns of a community (Kuei, & Lu, 2013). Organizations that strive to achieve social responsibility support individuals, the governments as well as other organizations in making a positive impact towards the development of the society with a positive outcome on the bottom line results.
On the other hand, I would also consider social responsibility as an organizations approach to go above and beyond the law in doing things that has the capacity to help a community. According to my view, business organizations that only stick to the law are not socially responsible. In an instance where an organization pays its employees not less than the required minimum wage, such an organization is not achieving the goals of social responsibility (Kuei, & Lu, 2013). However if this organization voluntarily ensures that the low-skilled employees are paid a higher wage that the minimum requirement, chances are the organization is socially responsible.
Reasons why Business Organizations Should be Socially Responsible
It is arguable and justifiable to consider that businesses need to be socially responsible since this can be achieved without hitting on the losses. As determined within a capitalist system, the primary purpose of engaging in business is to maximize an organizations profit. This clearly portrays the picture that organizations are neither foundations nor on-profit entities that are developed to benefit the society (Kuei, & Lu, 2013). On the other hand, businesses that centre so much in the promotion of social responsibility may fail in achieving the goals of the organization. For instance, when Tesco Plc chooses to raise its minimum wage for it employees to $20 per hour and then raises the prices of its products, chances are that the consumers would stop making purchases at Tesco, a factor that would lead to losses. In this case, if this is Tesco’s approach of being socially responsible, then its stakeholders are bound to face losses.
In this case, an organization can be socially responsible by ensuring that its goals and objectives of existence are achieved even when engaging in the development of the society. An instance of this is evident in Virgin Atlantics approach in engaging in social responsibility through the development of a green economy (Kuei, & Lu, 2013). His ensures that the organization engages in environmental activities directed towards reducing the carbon emissions on the environment. These activities have caused the consumers of Virgin Atlantics services develop a good feeling about its initiatives, thus increasing the organizations client groups. It is therefore essential to establish that businesses are part of the society and is primarily concerned with the prosperity of the society as well. This consequently calls business organizations to ensure appropriate approaches are developed ...