Corporate Image And Marketing: Understanding Corporate Social Responsibility (CSR) And Issues Management

Theory: Integrating CSR and Issues Management

Discuss About The Corporate Image Through Related Marketing?

The initiation of corporate social responsibility (CSR) strategy is an important element in today’s business competiveness and this is something that is guided by the firm itself (Tai & Chuang, 2014). The importance of CRS strategy is thus, to have a positive influence on the society and increasing the formation of the shared value for the possessor of the business, their employees, shareholders and stakeholders. Thus, CRS provides certain benefits to the organization that are they sustain the results of public value, to have a positive impact on the community, guides being an employer of choice, motivates both professional and personal growth and intensifies the relationships with the consumers (Hilson, 2012). Moreover, it also benefits a company in terms of risk management, cost savings and innovation capacity. The chosen organization for this particular report is Griffith University and the discussion is based on the practices of corporate social responsibility (CSR) taken up by this university.

CSR is a concept of management, which is integrated by the organizations social and environmental apprehensions in their business operations along with interacting with their stakeholders (Asif et al., 2013). CRS is the way through which an organization accomplishes a stability of economic, environmental and social imperatives and on the same time, it addresses the suppositions of their shareholders and stakeholders. However, it is important to extract a distinction between the CSR that can be an important management concept and on the other hand charity, sponsorship and philanthropy. Presently, CSR has three theories and they are as follows:

The stakeholder theory of CSR- in theory has been into work since 1990 as an direct replacement and challenge to the shareholder value theory that was proposed by Freeman in 1984. The stakeholder theory highlights special social than any others unrelated unassociated to the corporation. Thus, CSR according to this theory denotes the organizations stakeholder responsibility (Brown & Forster, 2013).

The business ethics theory CSR- this theory is based on the broader social commitments and moral responsibility that business has towards the community. However, it rationalizes CSR on three different but interrelated ethical causes and they are the modifying and transpired social responsiveness and expectations to specific social issues, extrinsic or intrinsic ethical values that is inspired by Kantian principles and are represented as normative and global principles including social justice, fairness and rights of human and lastly, corporate citizenship (Spence, 2016).

The role of CSR within the organization

Shareholder value theory of CSR- this is the outlook that is signified by the Nobel Laureate Milton Friedman in 1970 proclaims that only social responsibilities of business can develop its profits by following legal norms (Servaes & Tamayo, 2013).

Issues management is the procedure, through which a company manages their policy, recognizes their potential problems, difficulties, and trends that could be imparted in the near future (Weiss, 2014). However, issues management exercises in a long term, problem-solving function which is placed at a higher level of the company via which the organizational policies can be developed and captivate in a public affair process. Through issues management only the appearing issues that will affect the company are looked for along with the intension to develop a long term, trustworthy relation with the customers and both government and the working peoples. However, there must be some pro-activeness from the very beginning to get a proper issues management. Exact issues management can help an organization from an issue fetching a full-blown recall or may be a reason for vital customers to get upset with the organization.

The models of issues management state that many steps that are included in the process but they are categories into three major headings. They are identification and analysis of the issue, decision-making and action are strategic and lastly, evaluation. The first step mainly comprises of scanning and observing. That is scanning the working environment that will help identifying if there are any threats or any opportunity being overlooked. Then, there is strategic decision making that includes prioritization, strategic options and action taking.  Action taking the other steps in strategic decision-making has no value if right action is taken towards the issue raised. The final step is of evaluation where the success of the issue management lies. Here steps are evaluated in setting objectives that are clear and measurable. The challenge in this part is to find the best tool to set the objective.

Australian universities are witnessing different governmental initiatives that have been providing funds so that they can integrate corporate social responsibility (CSR) issues contributing to training the expertise with a powerful sense of ethics, social values and anxieties for the consequences of the activities of businesses in the society (de Lange, 2013). At the Griffith University that is the chosen organization for this report, Dr Heather Stewart and Dr Rod Gapp are presently inspecting the terms and applications of CSR in smaller to medium enterprises. Griffith University related to CSR is however, related to environmental education. Here the negative impact is reduced on the individual about the natural world as well as on the environment and accommodating production and consumption is decreasing their ecological impact. However, students are further urged to take up the environmental problems at heart; educational systems are growingly influencing environmental issues in the courses of university.  Students are further encouraged to get themselves occupied with social and environmental problem that goes beyond the students domain of interest. This helps the student get involved in improvising the system and in preserving the resources so that the future generation gets the benefits of its prosperity and well-being (Ahmad, 2012).

Role of CSR issues management for your organization

Griffith University like any other organization called upon shareholders and stakeholders so that they can boost their bottom line as well as help in addressing some of the country’s most demanding problems that involve both economic and environmental development. This university has engaged stakeholders because it has the ability to influence its success at different levels, for further engagement among the company and their shareholders and stakeholders and lastly, to hike in sustainable and accountable investing (Mason & Simmons, 2014). When analyzing investment decisions shareholders and potential investors are progressively assessing the CSR concerns.  Apart from the other benefits of CSR, it also affects the organization’s brand and reputation. Branding mainly comprises of an organizations logo, tagline and name with one main aim of creating modified name and image for the organization (Lii & Lee, 2012). However, from this perspective CSR for Griffith University creates that modification. Before using the logo and name, CSR for Griffith University uses its social responsibility programs that are displayed through different applicable actions. However, by social responsibility the Organizations are mainly set themselves apart from their competitors but only when this work is done correctly. Thus, the best way to encourage the good reputation of the organization is to improvise their CSR.

The organization needs to manage the following issues –

The diminishing role of the government- diminishing governmental resources combined with a suspect of regulations, which has led to the inspection of voluntary, and the involuntary capability instead.

Request for substantial disclosure- there is always an increasing demand for corporate revelation.

Growing pressure of the investor- investors before investing mainly focuses on the performance of the company and the ethical concern they have.

Increased students interest- for a university the ethical conduct applies on the increasing effect on the decisions of the students. It is how they perceive the social performance.

However, media has an effective role to play in how CSR is reported to the mass. It is not at all possible for the organizations to do all the things required for the social causes. The world must also know and get inspired and organizations must set an example so that others can follow it. Griffith University uses the media to search for volunteers wherever they are setting their CSR initiatives. Through media, it helps the society to look above the profit. Media is also used to publish articles by the university and helps in spreading the mission of the university and advertising its CSR (Park & Ghauri, 2015). As organizations today are facing with enormous stakeholder group thus, they are getting attracted with greater attention and pressure on both social and environmental issues. Thus, rendering good causes into particular benefits of suitable corporate reputation is of immense value. CSR issue management thus plays a key feature of a reputation of the organization where the stakeholder’s groups perception of how the university’s CSR initiatives and results connect with the stakeholder’s social and environmental values as well as expectations. Thus, CSR issue management is the essential drivers of the reputation of the organization (Park, Chidlow & Choi, 2014).  

Corporate image is the way in which outsiders recognize the organization, its activities and services (Vanhamme et al., 2012). However, the real power of the corporate communication messages is explained by its consistency. This consistency is very difficult to achieve until there is a specified brand strategy.  Therefore, communication to the stakeholders in reference to the organization’s image and reputation are important for the following causes-

• The stakeholders through the organizational image understand its need and achievements. Moreover, shareholders are attracted for the funding and essential investments.
• It helps in making the positive relationships among the people and organization and also the media and interest groups who influences the stakeholders.
• Using message communications builds dialogue with the stakeholders and so by using the social media or forums helps to answer negative comments or misunderstanding.
• This also helps in focusing on the stakeholders who have the considerable influence on the organization’s success.
• Long-term effective relationship with the key groups can be maintained if communicated on a regular basis with the stakeholders. However, proper communication brings a wide range of satisfaction. Thus, to maintain a consistency with corporate communication messages with respect to the brand image is of high importance.

Different stakeholders have different types of interests, perspectives and priorities. Thus, it is quite natural that they will need different messages. Thus, effective communication occurs when different communicative messages satisfy the various interests, perspectives and priorities of the stakeholders. Various messages are used to communicate the internal and external stakeholders keep in mind their various needs and interests. Internal stakeholders are those who are working within the organization and external are the customers, government, suppliers and the media. However, both of these groups have to communicate with different types of messages (Taylor, 2013).In tough times, appropriate communication is needed for the internal stakeholders to again motivate them if negative stories come in media about the organization they work in. Proper communication messages used in communicating with external stakeholders helps to improvise the outlook of the organization and brand to raise the awareness of the people. Thus, by using various types of messages the rebuilding of the trust is done lone with reinstalling the reputation of the organization. Moreover, both the external and internal communication with the stakeholders is essential for their contributions in various projects. Keeping in mind the situation, needs, outlook and interest of the stakeholder the messages are delivered (Amaladoss & Manohar, 2013).

Griffith University should start working as a policy researcher so that they can support a wide range of policies such as finance, quality, and enhancement, expand the participation of the student, and start with launching campaigns respective to these. This will definitely enhance the awareness of the public for those unacknowledged advantages that the university provides. They can further focus to construct environment in some specific community development and sustainable group. However, by contributing to the environment they can inspire the students as well as others for social enterprises and social innovations. It can also engage in connecting the students along with other universities and businesses to lead with the local community. They can further donate food and clothes. Lastly, what Griffith University can do is to make the university participate and ingress agenda. They can meet with the schools, colleges in their locality and the community groups to assist people from beneath represented groups to walk into higher education. Further, their initiatives can vary from flagship programs of Saturdays for the young people that are designed to elevate attainment to objectified works with adults monitoring to re-engage with education. Thus, this will get the focus of the student retention and their transformation.

These recommendations are definitely practicable and desirable. Many universities have been working with this kind of approaches to support their branding and reputation. However, the university must start with these policies within the next following months so that they can see where their flaws are and how they can take more initiatives and make more adjustments. Moreover, by applying the above recommendations a good corporate image and reputation of the university can be built up. Through corporate branding an effective marketing and promotional strategy can grow for the future prospects. The credibility and integrity is also reflected by working on the above recommendations and thus, in a way it will improvise the brand name and reputation. Branding and reputation is important for any university or institution because it demonstrates confidence, loyalty, trust and a powerful relationship with the students or the customers. However, the above recommendations are important for Griffith University because this will give all the students and the members of the university to contribute towards their society, environment and their country. Contributing to the society will definitely make the name popular and help them stay firm with their reputation. It further guides in creating a long-term positive word of their mouth for the University as a whole, which will again help in their brand name and reputation. The people who are associated with the university also get a feeling of exceptional happiness. They take huge pride in educating the underprivileged people or children who are unable to get proper schooling or receive any kind of formal education. Presently, there are huge competitions among the organizations and everyone is chasing their targets and trying to handle the pressure in the environment and is forgetting about the existence around us. Thus, there is a huge importance of communication in the organization as it promotes motivation, sources of the  information, modifying the attitude of the individual’s, helps in socializing and helps in controlling the behavior of the members associated with the organization. However, by taking the above steps this university can enhance reputation.;

Conclusion

To conclude this report, it can be said that corporate social responsibility (CSR) is the strategy that plays an important role in today’s competitive business that is fully guided by the organization itself. CSR is beneficial for any organization as it reflects a positive influence on the society and maximizes the formation of the shared value of the business, its employees, shareholders and stakeholders. CSR however, comprises of three main theories, which are the stakeholder theory, business ethics theory and shareholder value theory. Griffith university, the one chosen organization for this report relates CSR with its environmental education. Students are encouraged to get involved with social as well as environmental problems that are beyond the interest of the students. Lastly, what this university can do to enhance its reputation is as what other universities have also done is to spread awareness through its social works about those facilities that the university provides but are still unacknowledged.

References

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