In the recent business world, various strategies re being employed by companies with various aims including that of increasing its competitiveness, increasing the profits as well as increasing its working environment among others. Most companies have engaged in the employment of corporate social responsibility (CSR) as a strategy of increasing their benefits which in return are expected to give the company using it a competitive advantage. Corporate social responsibility is a business practice that comprises of initiatives aimed at benefiting the society and can include various tactics including those of implementing business operations that are greener as well as giving away a portion of the proceedings held by a company to charity. This social
4.2. Governance 4.2.1. Implications of Corporate Governance The methods used for directing and controlling companies are referred to as corporate governance. OECD (1999) signifies the role of corporate governance as the relationship structure along with the associated responsibilities of the board members
Describe Friedman’s view on the responsibilities of business. Do you agree or disagree with Friedman’s views and why? According to Friedman’s view on the responsibilities of business, it is supposed to increase the shareholders profit. In his opinion, the entity should maximally use the resources at its access to increase its profits which would in turn lead to more wealth for the stockholders. I do not agree with Friedman’s view that maximisation of wealth is a core social responsibility.
The main features of this methodology are using both financial and non - financial indicators, and that the strategic objectives are organized into four areas or perspectives: financial, customer, internal and learning / growth. * The financial perspective incorporates the vision of the shareholders and measures the value creation of the company. Answer the question: What indicators have to go well for the efforts of the company really be transformed into value? This perspective appreciates one of the most important objectives for-profit organizations, which is precisely create value for
Board of directors are elected by stockholder is responsible of overseeing a business’s top managers such as general manager to ensure that business is being run in a way that best serves the stockholders’ interest. Employees are the most important element of organization internal environment that perform the tasks of administration. The composition of the organization’s employees is changing, therefore managers required to learn how to deal effectively with these changes. Organization culture is the collective behavior of organization members and the values, belief and habits are attached to their actions. Manager must first understand current culture in order to manage corporate culture.
II. LITERATURE REVIEW Corporate Governance Corporate governance is a concept based on agency theory, and is expected to serve as a tool to give confidence to investors that they would receive a return. Corporate governance is concerned with how the investors believe that the managers will benefit them , confident that the manager will not steal / manipulated or invested into projects that do not give benefit associated with the fund / capital that has been invested by the investor , and deals with how the investors control managers (Shleifer dan Vishny, 1997) Corporate Governance Mechanisms monitoring role Some aspects related to the mechanism corporate govemance is managerial ownership, institutional ownership, the role of the board of commissioners (number
It concerns for availability or resources of the organization and its proper usage to achieve desired goals. It provides various alternatives to achieve the solution to problems of the organization. Business policies are designed by the general management to guide, direct and facilitate the thinking abilities of the middle and lower level of functional executives and to make them actionable, to ensure the optimization of resources to achieve corporate objectives and
While companies often view such point-based programs as a fast way to enhance profitability by inducing customers to buy, they are finding that there is a much greater value provided by loyalty programs: the collection of information from program members. Companies can then use this data to develop a 360-degree view of customer interactions and determine how best to tailor process enhancements by segment – particularly for high-value
From the view of above hypothesis that a company’s CSR activities can impact purchase decisions and the notion that companies should publicize their CSR activities also support for the idea that increased knowledge of a company’s CSR activities leads to more positive attitudes toward the company, Results from study also indicate that increasing consumer knowledge of a company’s CSR activities makes cents in regards to increasing consumers’ positive attitudes toward the company as well as sales and
Moreover, another core advantage of utilising this approach is to have the possibility of attaining a podium in the competitive marketplace and reducing the risk of the comprehensive business portfolio (Simerson, 2011). Roles and Responsibilities of Personnel Who Are Charged With Strategy Implementation However, all important roles and responsibilities of employees that are responsible for implementing the strategy are discussed below: Envisioning Future Strategy The function considers the appropriate key association in an interior and outer way. Moreover, the association is thought to be the internal party while the different partners are thought to be the outside parties. Organisational Alignment Each staff of the association is relied upon to be submitted in respect of procedure usage. These individuals are inspired to follow this procedure and need to have the engaging situation connected with the conveyance of the evolving viewpoint (Steiner, 2010).