The growth of the companies is dependent on the various responsibilities of the company towards the growth of the communities and improvements in the lifestyle of the people. The various aspects of the change have helped in the maintenance of the sustainable approach of the company. The companies have taken steps in order to make use of the sustainable measures for maintaining the social responsibility (Bondy, Moon & Matten, 2012).
The Corporate Social Responsibility (CSR) of the companies have helped in determining the eco-friendly approach the employee retention and the other specific considerations that are being undertaken by the companies for bringing in improvements in the social structure. Cargill has taken steps in order to undertake the sustainable approach through certain functions that will help the company in improving the social responsibility that it holds towards the environment and the society. It is being thoroughly discussed in this report for the better understanding of the concept of the CSR (Dhaliwal et al., 2012).
1.2 Problems addressed by the report
The concept of the CSR is based on the sustainable approach undertaken by the companies towards the sustenance of the environment and the social factors. It helps in determining the approach of the company and the concern of the organization towards its sustainability. The other factor that is being determined by the CSR is the improvement that is brought about by the organization in the lifestyle of the people working in favour of the organization (Crane, Matten & Spence, 2013). The problem that is being discussed in this report is relating to the degradation of the environment and the society through the continuous growth of the multinationals depending on the increased rate of demand. Therefore, the CSR of the company helps in determining the different concerns that the company must undertake while planning out its processes.
1.3 Scope of the report
The report aims at understanding the importance of the CSR that is being included by the companies and the concerned company and their respective effects on the environment and the society. It helps in the clear understanding of the different aspects covered by the CSR undertaking of the organizations.
1.4 Structure of the report
The structure of the report is based on the requirement of the lucid understanding of the prospects of the CSR. The report specifically defines the CSR and the utility of the same. The report also states the CSR that is being undertaken by Cargill and some other companies and cites their improvements as examples for undertaking the sustainable approach. Recommendations are also being made in the report so that the companies might undertake steps in order to bring in improvements in the CSR that is being considered by the organizations.
1.5 Assumptions and limitations
The importance of the CSR and the proper implementation of the concepts on the activities that the companies undertake are being facilitated by the sustainable approach. The assumptions that are being considered in this report are based on the importance and the need of conservation. The major issues relating to deforestation and the overuse of the non-renewable resources create a havoc impact on the environment. On the other hand, the employment and retention that is being created by the companies helps in determining the sustenance in the livelihood of the people. However, the report is just a systematic and representation through theory of the issues. It is a limitation that is being faced by the report, which fails at enumerating the most specific recommendations for improvement.
2. Definition of CSR
The Corporate Social Responsibility (CSR) is a definite approach that is being undertaken by the companies in order to undertake specific modifications in the economic, social and environmental benefits to the stakeholders of the organizations. In lucid terms, it is an approach of conservation and brings in sustenance to not only the business concern but also helps in maintaining good terms with the stakeholders of the organization.
According to Idowu, Zu & Gupta, (2013) the CSR of a company helps in determining the success of the company in the market. The company makes its progress in the market through its sustainable approach of bringing in improvements in the economic, social and the environmental factors. On the other hand, Tang, Hull & Rothenberg (2012) believes that the company must take steps in order to bring in different conservative actions for cutting down costs of productions and several other discrepancies through the efficient functioning of the CSR.
3. Cargill’s CSR
The CSR approach undertaken by Cargill has helped the organization in bringing in significant improvements in the economy, the society and the environment. The consideration of sustenance has led the company to take certain steps in order to facilitate the improvements and imbibe the same in the culture of the organization. The organization has taken steps to train around 500,000 farmers to undertake the proper conservation and facilitate productivity and animal husbandry (Rexhepi, Kurtishi & Bexheti, 2013).
In the year 2016, the company has undertaken training sessions for some 19000 small-scale farmers in order to help them in improving their productivity. In order to improve the nutrition content of its product, the company has taken steps to promote nutrition and food security programs among schoolchildren. It has helped in making the people aware of their intakes and thereby differentiate between the goods and ills of the food (Jiraporn et al., 2014). The company has invested some $5 million in order to promote certain programs to improve food habits among communities (Refer to Appendice 1).
The steps taken by the company include different aspects of the conservation. It helps in sustaining the business in the market. The company has improved farmer livelihood through the proper undertaking of the training programs for enhancing the productivity (Moser & Martin, 2012). The basic functions taken by the company are based on improving the proper standards of living and growth of the farmers. O the other hand, the company has also taken steps in order to monitor over the land use and thereby control the excessive usage of harmful materials for increasing the productivity. It helps in determining the environmental concerns of the company (Refer to Appendice 2).
The company has also taken steps to monitor over the water quality and thereby determine the effects of agricultural practices on the water quality of the region. It helps in determining the various aspects of the CSR that is being undertaken by the organization. According to Luning (2012), the CSR has helped in determining the relevant success made by the company in its industry. The sustainable approach of the company has helped in retaining the brand name in the market. It has also helped in adhering to the environmental laws and regulations, which helps in promoting the brand and the product of the company in the market (Flammer, 2013).
4. CSR in other organizations
Archer Daniels Midland Company, a competitor of Cargill, has taken steps in order to improve their CSR ratings for making their improvements in the markets. The company has taken steps in order to prohibit the over utilization of resources and thereby cut off the needs for deforestation (Casey & Grenier, 2014). On the other hand, the company has also taken steps in order to improve the social conditions through the employment created by the company and the training programs hosted by the business concern. It has helped in making the people aware of the different aspects of the change in the food habits. It has also taken steps in order to ensure the availability of proper training to the individuals based on the human rights and the social norms.
On the other hand, The Barry Callebaut Group has taken steps in order to decrease the energy usage through the undertaking of their processes. it has helped in maintaining the various aspects of the change that is being undertaken with the consideration of bringing in improvements in the environment. Tai & Chuang (2014) believed that the company must take steps in order to make use of the renewable sources of the energy and also consider the human constrains to success as major factors for bringing in improvements in the structure and the undertakings of the organization (Brammer, Jackson & Matten, 2012).
The company has taken steps in order to bring in different aspects of the renewable sources to use for undertaking their production and distribution process. The company has also taken steps in order to facilitate the human resource management for the clear functioning of the organization and its progress in the market (Choi & La, 2013). The food safety and quality of the products delivered by the Smithfield Foods, Inc has helped in bringing in changes relating to the requirements of the communities. It has also ensured the safe utilization of the resources and the sustainable approach of the animal husbandry and farming in order to retain the productivity and improve the conditions of living in the society (Cheng, Ioannou & Serafeim, 2014).
Therefore, from the above analysis it can be stated that CSR of a company conceptualize for determining the approach of sustainable growth of the organization in the market. On the other hand, it has also helped in undertaking steps to improve the economic, social and the environmental considerations of the company. The improvements in the processes and the activities undertaken by the organizations have helped in maintaining the different aspects of the sustenance considered by the company. The CSR helps in determining the considerations undertaken by the organizations based on the various aspects of the usage of the non-renewable sources of energy and the land use. It also enumerates the human and the social factors that the company must consider in order to undertake the smooth functioning of their enterprise.
The recommendations that can be enumerated from the study of the case has helped in the maintenance of the CSR is being discussed in this section of the report:
- The company can take steps to make use of the renewable energy sources in order to save their reliability on the non-renewable sources, which create excessive pressure on the region. The usage of the non-renewable sources of energy also helps in determining the different aspects of the change based on requirements of conservation.
- The company can take steps in order to host certain programs where the community can be involved for bringing in improvements through proper training that is imparted to the people.
- Training of the employees also helps in the smooth functioning of the organization in the market. On the other hand, proper training helps in making the employees aware of their respective job roles.
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