This is a concept that suggests commercial corporations have a duty of care to all of their stakeholders in all aspects of their business operations. It is not surprising that CSR principles are very closely linked with the principles of that other catch phrase that has been going around in the past few years “Sustainable Development” which argues that enterprises should be obliged to make decisions based not only on financial/economic factors (e.g. Profits, Return on Investment, dividend payments etc.) but also on the social, environmental and other consequences of their activities.
The company managers with a vision have started asking the question of “How do we become socially responsible”? instead of what they used to ask before as ”Do we have any non-financial responsibilities”? They are not telling the consumer and/or the investor about their successes at the stock exchange and are boosting more and more on their achievements on more ethical grounds. This has resulted in higher profits. The outcome is; corporations are doing their best to entice the ethical investor, the concerned employee and the informed customer on moral standards albeit for the bottom line, and the result is a win-win sustainable business practice. The employees are happier with better working conditions, the impact on the environment is greatly reduced, the customers are safer and more satisfied and the business is achieving higher profits due to premium sales and heightened investment from “ethical investors”.
Now, the trick in business is to be the trend-setter. In tourism it is more than essential that the “Sustainability” to be wisely established and kept by rules and regulations imposed by the governments.
I will be attending AIME at Melbourne on 17th - 18th February and the theme is “Corporate Social Responsibility” .. Therefore, I took the liberty of writing about the issue before and I will be writing more in detail after the AIME .