Globalisation
has offered businesses more opportunities than ever before.
With the increasing reach that businesses have comes the question
of ethics and the responsibility that business have to the
wider community. This short article will outline the main
academic points of CSR and what RFT’s stance is towards
the wider community.
Areas of Social Responsibility
Organisational stakeholders
In the first instance businesses have immediate responsibility
to three stakeholders these are employees, customers and investors.
Using the example of RFT we can see how they interact with
their stakeholders
.
Customers-
RFT strive to treat their customers fairly and pay particular
attention to charging fair prices, honouring contracts, meet delivery
commitments, high levels of customer service and providing correct
and up-to-date information.
Employees-
In order to create a happy and productive work force that act
ethically with the interests of the organisation in mind, RFT
go to great lengths to recruit and train their employees.
Shareholders-
To maintain a socially responsible stance to shareholders RFT
ensures that its managers provide relevant and up to date information
to their shareholders, follow appropriate accounting procedures
and maintain the interests of the shareholders in mind.
Looking at other issues that business should consider we can
again use the example of RFT to show how businesses can act
responsible.
The Natural Environment
A transport company preaching about the natural environment
seems a bit rich but let’s consider the facts. We still
need goods delivering in the UK, medical supplies, food, clothing
and other essentials all need delivering as well as luxury
items that we want for comfort. It would never be practical
to stop deliveries of goods been transported from one place
to another. RFT have considered this and have implemented
a strategy to reduce its effects on the natural environment.
They encourage coordination between firms so that vans are
never half full, back loads are actively sort to reduce unnecessary
driving, vehicles are regularly maintained to prevent unnecessary
omissions, optimal driving is required by all drivers.
General Social Welfare
There are over 9000 people in Bradford with a disability,
through surveys it has been identified that the main barriers
to those people accessing the provisions they require is transport.
RFT have taken a proactive stance to this problem as transport
experts and have been working closely with disability organisations
to try and help. RFT also frequently help disability organisations
when setting up events by providing vans and drivers. This
really helps the organisations as it is a big part of an event
getting everything to the right place at the right time and
obviously it is a large cost that is absorbed solely by RFT.
Approaches to Social Responsibility
There are four main approaches to social responsibility that
will be outlined here.
Obstructionist stance
These organisations do as little as possible to address social
or environmental problems. When they do cross those lines
they typically deny or avoid accepting responsibility for
their actions.
Defensive stance
These organisations will do only what is required of them
by law and nothing more. For example if they had to install
some pollution detection device they would only install the
one dictated by law. They would not install a higher model
even if it meant less pollution. Firms that take this position
are less likely to cover wrong doing.
Accommodative stance
A firm that takes this stance will go beyond what is required
in selected cases. They will often voluntarily take part in
social programmes, but they often have to be convinced that
the programme is worthy of their support. All though they
provide good work in important areas they generally do not
proactively seek avenues for contributing.
Proactive stance
This is the highest degree of social responsibility; firms
that take this approach take to heart the responsibilities
of the stakeholders. Often they view themselves as citizens
in a society and proactively seek opportunities to contribute.
They proactively seek how they can shape and improve society
for the better. They indicate a sincere and potent commitment
to improving general social welfare.
RFT take an accommodative stance at the moment but are aiming
to become proactive in the next 10 years.
