Global Context Of Corporate Social Responsibility

Introduction

The global context of CSR implies the governance of CSR at the global level. The global governance of CSR involves and cater to a wide range of actors such as foundations, institutions, and world leaders. These actors come together to provide, influence and setup thoughts, principles, and procedures on matters of common concern. Administration of Global governance is not only constrained to legal and political authority but also involves – setting up strategic and regulatory features, implementing programs, and holding institutions, countries, and actors accountable for any irresponsible activities. But attempts at governance on a global scale are logged with many issues and blockade and have proved futile, as the topic of CSR is very broad and many social practices and issues fall under the umbrella. Moreover, different actors have different interests in social issue.

This paper attempts to depict the global governance attempts to combat climate change by setting up principles, the rule that corporations, institutions must address and follow to provide a sustainable environment for the future generation.

Global Governance Of Climate Change

The topic under the limelight, that the report uses, is the Global context of CSR towards climate change one of the social issues that the world has decided to tackle. The issue of climate change was given a fresh push with the addition of a sixteen-year-old social activist Greta Thunberg to the activist cadre. After her lambasting speech on climate change critics had gone viral, activists were inspired with fresh vigor to participate in a series of global climate strikes. Many young people from all walks of life have participated in the mass climate protest, most of them included youngster, who had left their schools and universities to attend these strikes. Moreover, it has brought many to agree on the environmental issue, and accept that a change needs to be addressed on a global scale. However, the speech has left many divided on the message intent of Greta Thunberg, as to the process of achieving the intended goal.

Research Literature Review

The literature examines the current Global CSR infrastructure and the need for democratic representation of actors on the global governance framework. The Current global governance for CSR infrastructure mostly consists of voluntary international accountability on the initiative with the idea of getting multinational corporations and SME to be responsible for their activities that impact the environment and society and bring in a set of legal and ethical standards and international norms (Albareda, L., & Waddock, S. 2016 ). Many such initiatives that aim for a global impact include the UNGC, UNPRI and the GRI. Furthermore, the importance of such initiatives in the framework of CSR is to facilitate both implicit and explicit CSR. explicit CSR as stated by Jill A. B, Cynthia C, Anthony F. B. “involves policies that combine social and business value to address issues perceived as being part of the broader social role of a company” and Implicit CSR “consists of the values and norms that define the obligations of corporate actors in collective rather than individual”. For example, voluntary involvement of firms in these initiatives makes the firm liable to provide CSR reports for the year this, in turn, makes visible whether the corporation has been following the set of principles. This helps to identify firms that use these initiatives as a facade and still behave irresponsibly. The research acknowledges that the lack of global monitoring and enforcement could endanger CSR and make it a privatized system of governance lacking public accountability (Banerjee.S.B.,2014)

Secondly, the literature highlights four different sectors in which actors in the global governance framework fall. These sectors are divided based on authority and interest. High authority and High interest are held by global institutions such as the UN, trade organisations(EU) or the government of developed countries. High interest and low authority are held by large NGOs. High authority and low interest are held by large corporations and governments of underdeveloped countries. Low interest and low authority are held by regional or small NGOs. Furthermore, it talks about or the importance of these actors and their influences in the global frameworks.

Lastly, the author points to future research to bring in a global framework. And demands for a plurality of voices and actors from different spheres in shaping a corporate to play the role of social change agent. He points to three directions for critical research in the above change. Firstly, distinguish CSR that goes past the states of economic benefit. secondly, identify the power elements between various actors in the context of global climate change governance. Finally, investigate the strategic and regulatory features of power that rise up out of the administration of CSR.

Concept Relation to Climate Change

Climate change has been an environmental issue with many individuals trying to combat the issue. The governance framework has many actors to address the environmental issue. Activists who have high interest but low power to actually be involved in the creation of principles and rules regulating the cause. But such group can put pressure on the government or the high authority groups when their influence for a cause is felt by the society, the society puts pressure on institutions or organizations, in a similar way they have forced corporations to change damaging behavior in the past(Banerjee, S. B, 2014).

The effects of widespread strikes can be seen in the recent news where many politicians of developed nations come in support of the environmental issue. Moreover, with the election coming near, in Canada, most parties are hailing the social activist and also trying to address the issue. The happenings of such sort, where the global elected leaders are listening to such situations can be explained by the influences of other actors on democratic society in a global framework.

Conclusion

The global governance framework does not include a government but is a framework of many actors coming together to address issues that impact on a global scale. Global governance of CSR is very relevant in today’s society as it addresses corporate misbehavior on a global scale by multiple actors in the governance framework. Moreover, the indulgence of multiple actors brings policies and regulations to address CSR concerns. However, for today’s global governance to be successful, there needs to be a democratic representation of actors and consensus among actors towards each other efforts to ward off social ills.

References

1. Banerjee, S. B. (2014). A critical perspective on corporate social responsibility: Towards a global governance framework. Critical Perspectives on International Business, 10(1-2), pp. 84-95. DOI: 10.1108/cpoib-06-2013-0021
2. Brown, J. A., Clark, C., & Buono, A. F. (2018). The united nations global compact: Engaging implicit and explicit CSR for global governance. Journal of Business Ethics, 147(4), 721-734. DOI:10.1007/s10551-016-3382-5.
3. Albareda, L., & Waddock, S. (2018). Networked CSR governance: A whole network approach to meta-governance. Business & Society, 57(4), 636-675. DOI:10.1177/0007650315624205