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Organizations need to fashion an approach to social responsibility in the same way that they
develop any other business strategy.A corporate social audit is a formal and thorough analysis of the effectiveness of a firm's
social performanceTo ascertain whether their efforts are producing the desired benefits, a business should
evaluate how it responds to instances of questionable legal or ethical conduct.Legal
compliance is the extent to which the organization conforms to local, state, federal, and international laws, and ethical compliance is the extent to which the members of the organization follow basic ethical (and legal) standards of behavior.Informal methods of managing social responsibility include an organization's thoughts
on leadership and culture and how organizations respond to whistle-blowers.Formal organizational dimensions that can help manage
social responsibility are legal compliance, ethical compliance, and philanthropic giving.Leadership practices and organization culture can go a long way toward defining the social responsibility
stance an organization and its members will adopt.Although some organizations welcome the
contributions of whistle-blowers, it is not uncommon for managers to ignore concerns.Finally, philanthropic giving is the awarding
of funds or gifts to charities or other worthy causes.More formally,
an organization may sometimes actually evaluate the effectiveness of its social responsibility
efforts.Whistle-blowing is the disclosure by an employee of illegal or unethical conduct on the part of others within the organization.Ethical leadership often sets the tone for
the entire organization.A key issue in social responsibility is how the organization handles
whistle-blowers.
Organizations need to fashion an approach to social responsibility in the same way that they
develop any other business strategy. Formal organizational dimensions that can help manage
social responsibility are legal compliance, ethical compliance, and philanthropic giving. Legal
compliance is the extent to which the organization conforms to local, state, federal, and international laws, and ethical compliance is the extent to which the members of the organization follow basic ethical (and legal) standards of behavior. Finally, philanthropic giving is the awarding
of funds or gifts to charities or other worthy causes.
Informal methods of managing social responsibility include an organization’s thoughts
on leadership and culture and how organizations respond to whistle-blowers. Leadership practices and organization culture can go a long way toward defining the social responsibility
stance an organization and its members will adopt. Ethical leadership often sets the tone for
the entire organization. A key issue in social responsibility is how the organization handles
whistle-blowers. Whistle-blowing is the disclosure by an employee of illegal or unethical conduct on the part of others within the organization. Although some organizations welcome the
contributions of whistle-blowers, it is not uncommon for managers to ignore concerns.
To ascertain whether their efforts are producing the desired benefits, a business should
evaluate how it responds to instances of questionable legal or ethical conduct. More formally,
an organization may sometimes actually evaluate the effectiveness of its social responsibility
efforts. A corporate social audit is a formal and thorough analysis of the effectiveness of a firm’s
social performance
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