As one of the most important elements of social responsibility, ethical actions define a company`s core values. Instead of simply obeying the law, a company that focuses on corporate social responsibility needs to go beyond that and make decisions based on what`s right, not just what`s legal. However, the well-being of workers cannot be considered within the narrow limits of legal requirements. Employee well-being is best ensured when management assumes the obligation to ensure and maintain a satisfied workforce and employees have the opportunity to develop their potential skills through education and training. To do the right thing and make real change, brands need to look to the four dimensions of A.B. Carroll`s corporate responsibility. First introduced in 1979 and 1991, Carroll has identified four dimensions of corporate social responsibility that have a real impact on customers. Over the decades, these four dimensions have not only resisted, but have been supported by data from several studies, including the impact of dimensions on brand value. The economic dimension of CSR encompasses all aspects related to the supply chain of organizations, the management of customers, consumers or users and the socially responsible development of tax activity. Therefore, he proposes the definition of CSR in these terms: “Corporate social responsibility encompasses the economic, legal, ethical and philanthropic expectations that society places on organizations at a given time.” Among organizational researchers who have tried from time to time to identify and describe the various forms of CSR, probably the most established and accepted CSR model that deals with forms of CSR is the “four-part model of corporate social responsibility” proposed by Archie Carroll and later refined by Carroll and Buchholtz. This model is shown in Figure 38.1 below. According to Carroll, CSR is a multi-layered concept composed of four interrelated aspects of responsibility: economic, legal, ethical and philanthropic. It represents these different responsibilities as successive layers within a pyramid.
The legal liability of commercial enterprises requires that companies respect the law of the land and the rules of the game. Laws are the codification of the do`s and don`ts of society. Based on the definition of CSR by the European Commission, we can conclude that CSR has three dimensions for the European institution: economic, environmental and social. As brands look for the right way to do the right things to help shape society and positively impact the lives of citizens, a plan that encompasses all four dimensions of corporate social responsibility is a valuable framework. Carroll`s four dimensions will help shape the brand`s responsibility to society, of which it is an integral part. Indeed, the world is becoming increasingly interdependent and fragile due to a growing population seeking greater material prosperity, resource scarcity, loss of biodiversity and ecosystems, climate change, transfers of power between States and also between States and multinational corporations, wars and international peace processes. Multinationals play an increasingly important role in this area: applying (or not) environmental protection, manufacturing and selling weapons (or not), paying their employees a living wage (or not), offering (or not) remedies to victims of human rights violations and pollution, paying bribes to judges and other leaders (or not), lobby for or against legal measures to reduce greenhouse gas emissions. (GES), sponsorship of political campaigns, etc. If you want to start integrating sustainability into your organization, in this article we will introduce you to the 5 dimensions of corporate social responsibility that you should consider. For example, if a company pays its employees a minimum wage, this follows a legal directive. However, if an employer chooses to pay its employees more than minimum wage, believing that workers are doing important work and deserving of appropriate compensation, it is a socially responsible decision. In addition to compensation, employers can offer paid time off, education and training benefits, and health insurance to improve the lives of their employees.
In the face of global challenges, international (and European) law is particularly indispensable. This is the backbone of the vision, as stated in the Earth Charter quoted above: “We must recognize that. We are an earthly community with a common destiny. The Earth Charter is a modern statement of fundamental ethical principles for building a just, sustainable and peaceful global society in the 21st century. It contains, in a nutshell, all the core values covered by the Universal Declaration of Human Rights, international human rights and environmental agreements, among others.4 This document is the result of decades of global intercultural dialogue on common goals and values.5 As a non-legal instrument developed by global civil society, The Earth Charter is used by NGOs and supports their efforts to: Companies and governments in different parts of the world. It has been adopted as a mission statement by private and public organizations and is used externally to explain the organization`s values when communicating with stakeholders. CSR thrives when the people who need to implement it understand the bigger picture. The preamble to the Earth Charter states: The four components of social responsibility are ethical, legal, economic and philanthropic. Scott Robinson addresses a very topical topic in the CSR discourse: “International Obligations, State Responsibility and Judicial Review under the OECD Guidelines for Multinational Enterprises”. His research focuses on the OECD Guidelines and the “National Contact Point” (NCP) regime.18 Each OECD member state must establish an NCP within its national system. This NCP is responsible for promoting the Guidelines for Multinationals and resolving issues arising from the OECD Guidelines. Stakeholders may lodge complaints about violations of the OECD Guidelines by companies using the NCP in their country.
An NCP is considered a “state-based alternative complaint mechanism”.19 NCPs from different states are required to cooperate on issues and report regularly. Robinson analyzes the international nature of state responsibility in the creation of an NCP. He submits that this is an obligation of the State. He then refers to various reviews of the functioning of the NCP by the NGO OECD Watch and concludes that this has not been successful.20 Robinson argues that the nature of the commitment of OECD member states to implement an NCP is now relevant, as the question has arisen as to how this obligation can be enforced. He claims that there is no verification mechanism, either at the national or international level. Robinson stresses that States should establish effective and efficient access to judicial and extrajudicial administrative and independent procedures, including remedies and reparations for environmental and human rights damage, even if caused by corporations (the Earth Charter requires this in Rule 13.d).21 5-dimensional CSR structure for organizations implies that, in addition to the voluntary involvement of the Impact in decision-making and the development of their regular activities, they must also include their commitment to good governance, excellent management of the people who make up the organization and equitable and sustainable economic development.