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With intention contribute to society and the world Toyota group has came up with
innovative and effective social responsibility and ethics. The company has very good
policy of commitment to surroundings. The policy is committed to backing the group or
individuals who work in support of the Surroundings, Learning and Safety as these
three things are connected to Toyotas corporate vision Quality, Safety and
Sustainability.
Objective
This study in intended to discuss theories of business ethics and corporate social
responsibility implemented by an organization. Also to know rewards to corporate Social
responsibility to that organization.
Literature review
For instance, the CSR definition used by Business for Social Responsibility is:
Operating a business in a manner that meets or exceeds the ethical, legal, commercial
and public expectations that society has of business. (Baker.M, 2004)
The Corporate Social Responsibility (CSR) of an organization refers to operating a
business in such a manner that it takes responsibility for the social and environmental
impact created by the business. CSR is actually an obligation to develop policies and
rules that put together responsible practices into daily business operations and to
reporting on progress created toward implementing these practices. Early CSR reports
usually targeted on philanthropy or so called charity or generosity as a driver of CSR.
That term is now replaces by a broad commitment to protecting and improving the lives
of employees and therefore the communities within which firms do business. CSR
reports currently generally address problems impacting just about each space of
operations: governance and ethics; employee hiring, chance and training; accountable
buying and provide chain policies, and energy and environmental impact. (As you sow,
2012).
A review of some of the literature on ethics provides some interesting insights into the
important area of ethics. Some writers refer to business ethics, which in itself suggests
that an exacting set of ethics exists for business. This, in fact, is totally untrue as ethics
apply to all parts of life and to think you discard one set of ethics and adopt another as
you enter the office is false. Ethics are like your skin: they go everywhere whit you.
(Bazley.M, Berry.A, Hancock.P, Jarvis.R, 2004)
According to, (Barry, 2000) business ethics is think about a spread of issues which will
arise from the atmosphere surrounding the business and the way staff and
management and organization which will trot out it morally. Issues are examined, like
fiduciary responsibility, and company social responsibility, company governance and
shareholder relations, and insider trading, bribery and discrimination within the field of
.business ethics
shareholder is any group or individual who can affect or is affected by the achievement
of the organizations objectives (Freeman 1984). One main part of the normative
shareholder theory is that the company decisions affect shareholder outcomes and has
to be ethic. It concentrates precisely on those people who have a financial or fiscal
share of the company. As per this theory, a company's only objective is to serve the
.requirements and concerns of the companys owners
Under these a few different business ethics theories exist, such as the utilitarian, rights
& justice, Egoism and Ethics of duties.
Both Egoism and utilitarianism judge right and wrong based on outcome of a decision.
According to Beauchamp and Bowie (1997:18) theory of egoism can be defined as An
action is morally right if the decision maker freely make a decision in order to follow
either their short-term requirements or long-term interests. Similarly Stuart (2003) says
an action is ethically right if it results in the greatest amount of gain for the greatest
amount of persons affected by the action.
Rights and Duties theories remain important in deciding right wrong in business. These
theories served many decision makers of religious
(1994) argued that ethics and judgment about right and wrong were not dependent on a
particular situation but also on cost of someones action.
If we talk about morality and ethical theories, morality is concerned with the social
practices defining right and wrong. Ethical theory and moral philosophies provide
guidelines for justification of right or wrong actions when settling human conflict. No one
moral philosophy is accepted by everyone.
Morality is something which is associated with the social customs mentioning right and
wrong. Ethical theory and moral philosophies give principles and rules for validation of
right or wrong deeds when resolving human arguments. In this case utilitarian theories
can be applied these theories state whether an action is right or wrong is verified by the
actual or probable results that the action will have for the greatest number of people
affected by that action. Above all, business ethics are the principles to attain and sustain
success. In modern world share holders and public have elevated requirements of those
behind the management of modern business. Commitment and determination to put
ethics into practice is the prerequisite in your roadmap to business ethics (Holmstrom
and Milgrom (1994)).
The Triple Bottom Line Approach
The triple bottom line is a further approach to business social responsibility. It gives
business managers chart of bottom-line results both in economic terms and company
in the social and the environment areas.
It can be achieved by two methods. First, the three columns of responsibility have to be
put apart, with recording results separately for every column. Later, in all three of these
parts, the business should achieve sustainable results. Sustainability can be defines as
the long-term maintenance of balance with respect to ethics and economics,.
Social sustainability is balance of values in people's lives. major changes in living
standard and Human Development Index of citizens of a same economy is believed
risky and unsafe. When the imbalance grows and the rich get richer and the poor get
both poorer and more numerous, the chances that society itself will collapse in anger
along the risk of anarchy, increase. The condition will remain same for developed,
developing and poor countries.
Economic sustainability is long-term financial stability against more short-term profits
and unstable revenue. As per the triple-bottom-line model, major businesses have a
moral and ethical responsibility to create business plans allowing stable and continued
action. Sustainability means valuing business plans that may not lead to quick riches
but that also avoid disastrous losses.
it is important that companies contribute to employees work, which at the bottom line
develops and realizes their potential. Also, the workplace security and working
conditions add value to employee's performances.
demonstrates internal CSR.
Business partners: Global competition has brought new paradigm in the business
arena. Business partners such as suppliers, joint venture and alliance partners, and in
some cases even competitors are very important to company's success. Instead to
compete using unpopular actions (i.e. price cutting), business partners should develop
long-term relationship. Doing so, they can increase ethical awareness and reduce
complexity and costs.
communication. Company presumes its stakeholders to support the initiative and work
in harmony with it.
Toyota motor corporate takes efforts to safeguard the personal information of stake
holders and customers who are connected in business.
CSR policy towards employees
The Company values its workforce and considers that the growth and achievement
toyta business duet to each individual contribution and integrated teamwork. The
company encourages the employees to grow and excel. It is always tin companys
interst to render good and acceptable working conditions and to keep a safe and
healthy working surroundings for all the employees.
development team has established technologies enabling the climate and economy to
.exist in harmony
Community- Toyota Motor Corporation applies its policy of respect for people by
giving privilege to the community, culture and customs of each country it is working in. it
always seek out for superior and safer methods that meet the increasing expectation of
society for prolong growth .Toyota contributes to society in terms of offering support to
.NGO and individuals working in the interest of environment and society
Benefits of CSR
Conclusion
The Corporate Social Responsibility (CSR) refers to operating a business during a
manner that accounts for the social and environmental impact created by the business.
CSR means that a commitment to developing policies that integrate accountable
practices into daily business operations and to reporting on progress created toward
implementing these practices. Business ethics theories comprise of ethical values or
codes a company puts into practice to make sure that all employees act with acceptable
behavior. Toyota understands that the future of any business is relying on nature, socio
political and global economy for their sustainability and growth. Toyta has taken
initiatives to control CO2 for global warming. Also reduce energy consumption in all
business activities. The company is looking after all shareholders by respecting them
and providing healthy, safe work environment and economic benefits for employees and
rendering innovative and superior products society with responsibility to built and assist
them all.
Reference
1. Brewster (2008), The changing face of CSR: in search of balance. Human
Resource Management Journal, 16(3),
2. Friedman, M. (1963): Capitalism and freedom. Chicago. University of Chicago
Press. p. 133.
3. "TOYOTA MOTOR CORP/ 2013 Annual Report Form (20-F)" (XBRL). United
States Securities and Exchange Commission. June 24, 2013.
4. Baker.M,
(2004).Definitions
of
CSR.
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