Business ethics exam to chapter 7 global corporate citizenship

Global corporate citizenship

Refers to putting an organization's commitment to social and environmental responsibility into practice worldwide, not only locally or regionally. When a company puts its commitment to social and environmental responsibility into practice worldwide, not only locally or regionally it is called.

Bottom Line

Refers to the figure at the end of a company's financial statement that summarizes its earnings, after expenses

Citizenship Profile

Research by Gardberg and Fombrun argues that corporate citizenship activities should be viewed as strategic investments (like research and development). -Create intangible assets that lead to improved legitimacy, reputation and competitive advantage - Particularly true of global firms where citizenship activities overcome nationalistic barriers and build local advantage

Elementary

Stage 1: Global Corporate Citizenship Stage: Citizenship is undeveloped. Managers are uninterested. Citizenship Content: Jobs, Profits and Taxes Strategic Intent: Legal Compliance Leadership: Lip Service, Out of touch Structure: Marginal, Staff-driven Issues Management: Defensive Stakeholder Relationships: Unilateral Transparency: Flank protection

Engaged

Stage 2: Global Corporate Citizenship Stage: Companies typically become aware of changing public expectations and see the need to maintain their license to operate. Citizenship Content: Philanthropy, environmental protection Strategic Intent: License to operate Leadership: Supporter, in the loop Structure: Cross-functional coordination Issues Management: Reactive, policies Stakeholder Relationships: Interactive Transparency: Public Relations

Innovate

Stage 3: Global Corporate Citizenship Stage: Organizations may become aware that they lack the capacity to carry out new commitments, prompting a wave of structural innovation. Citizenship Content: Stakeholder Management Strategic Intent: Business Case Leadership: Steward, on top of it Structure: Cross-functional coordination Issues Management: Responsive, programs Stakeholder Relationships: Mutual Influence Transparency: Public Reporting

Five

According to Philip H. Mirvis' and Bradley K. Googins' model, how many stages are there of global corporate citizenship?

Integrated stage

Companies see the need to build more coherent initiatives as they move into the:

Crowd-sourcing audit

Company gathers information directly from workers using their mobile phones

Internal audit

Company hires and trains its own staff of auditors whose job is to inspect factories—either its own or those operated by contractors—to determine whether or not they are in compliance

External or third-party audit

Company hires another organization to carry out the audit and report back to the company

Triple bottom line report

Financial, social and environmental results are reported together in a firm's financial statements.

Transforming stage

Managers responding to the needs of the local education system as a normal or routine aspect of its operations is an example of an organization in the

Integrated

Stage 4: Global Corporate Citizenship Stage:Companies see the need to build more coherent initiatives. Citizenship Content: Sustainability or triple bottom line Strategic Intent: Value Proposition Leadership: Champion in front of it Structure: Organizational alignment Issues Management: Proactive System Stakeholder Relationships: Partnership Alliance Transparency: Assurance

Transforming

Stage 5: Global Corporate Citizenship Stage: Companies at this stage have visionary leaders and are motivated by a higher sense of corporate purpose. Citizenship Content: Change the game Strategic Intent: Market creation or social change Leadership: Visionary ahead of the pack Structure: Mainstream; Business driven Issues Management: Defining Stakeholder Relationships: Multi-organization Transparency: Full disclosure

Social Audit

Systematic evaluation of an organization's social, ethical, and environmental performance. The results of the audit are used to improve the firm's performance and to communicate with stakeholders and the public

Corporate social reporting

When a company decides to publicize information collected in a social audit.

International Organisation for Standards

Which of the following organizations have developed standards to judge corporate performance?