Social responsibility also known as corporate social responsibility is understood as the obligation of decision-makers to take actions that protect and improve the welfare of society as a whole along with their interests. Every decision the business person makes and every action he or she contemplates has social implications. Be it Deciding on diversification, expansion opening of a new branch, closer of an existing branch, are replacement of man by machines, is society is affected in one way or the other. Even routine matters like overtime and my shifts, handling of employees due to falling in demand have a social impact. Whether the issue is significant or not, The manager should keep his or her social obligations in mind before contemplating any action.
What is significant in that CSR makes a corporation accountable for any of its actions that affect people, their communities and their environment.
What is equally significant is the fact that CSR extends beyond its regular activities that are carried out lawfully. the social action which of form undertakes in the name of its CSR occurred “
“beyond the factory gate”
And will benefit society in general. Successful companies need a healthy society. Education healthcare and equal opportunity to a productive workforce. Safe products and working conditions attract customers and minimize the cost of accidents. The efficient utilization of land, water energy, and other natural resources make businesses more productive. Ultimately are healthy society creates additional demand for business as more human needs are made and aspiration grows. Any business that pursues it’s an at the expense of the society in which it operates will find its success to be usually and short-lived.