Porter and kramer 2006 corporate social responsibility pdf

December 2006 62 managing the right tension dominic dodd and. The issue of csr vs business performance has been a longstanding debate key questions are corporates responsible for social consequences of their activities. Categorising firms csr activities into responsive and strategic csr agendas porter and kramer 2006, this. Fundamentally, csr refers to a broader concept that. Although many companies have undertaken great efforts to improve the social and environmental consequences of their business as part of csr, porter and kramer 2006 concluded that these efforts have not been as productive as they should have been. Friedman critical view of csr to porter and kramer sharedvalue. Kramer organizations that make the right choices and build focused, proactive, and integrated social initiatives in concert with their core strategies will distance themselves from the pack. Reviewing corporate social responsibility communication. The link between competitive advantage and corporate social responsibility mark r. Kramer is a senior lecturer at harvard business school and a cofounder. Any additional printing, copying, or posting is considered a. The recommendations on corporate governance contained in king iii, the new integrated reporting guidelines in the global reporting initiative, and the iso 26000 standard for social responsibility, all work from a similar premise.

Strategic corporate social responsibility management for. Governments, activists, and the media have become adept at holding companies to account for the social consequences of their actions. It traces the origins of the concept and creates a theoretical framework for international use, thus having the benefit of applicability in both developing as well as developed economies. On this basis, we show how csr has adapted to value creation. Traditional corporate social responsibility csr is failing to deliver, for both companies and society. They 4 suggested that the traditional school of thought on corporate social responsibility csr focus on the tension between business and society rather than on. Pdf the link between competitive advantage and corporate. The authors make the case that the more closely tied a social issue is to a companys business, the greater the opportunity to. Executives need a new approach to engaging the external environment. Thus, this paper examines how csr can integrate with the. According to porter and kramer 2006 there is a lack of success with. Social responsibility and competitive advantage of the companies in serbia cedomir ljubojevic,ph. Most companies feel the competitive few have figured out. Strategic corporate social responsibility by a local firm.

Designmethodologyapproach traces the rise in interest in corporate social responsibility csr and the range of methodologies available to rank. Porter me, kramer mr 2006, dec 2006 the link between competitive advantage and corporate social responsibility. Corporate social responsibility csr differs from creating shared value, although they share. The current status of corporate social responsibility. Creating shared value csv is a business concept first introduced in harvard business. Maria teresa boschbadia, joan montllorserrats, maria antonia tarrazon. Pdf the link between competitive advantage and corporate social. The dilemma of corporate social responsibility in china management and organization masters thesis july, 2009. In its modern usage, csr pertains to policies and programs aimed at benefitting the different stakeholders of an organization. Corporate social responsibility as competitive advantage.

We analyze, from the viewpoint of value creation, the evolution of corporate social responsibility csr thought from friedman critical view of csr to porter and kramer sharedvalue. Kramer sets out to demonstrate the importance of corporate social responsibility csr in todays business environment. In this article, michael porter and mark kramer propose a fundamentally new way to look at the relationship between business and society that does not treat corporate growth and social welfare as. How to win the battle of ideas in corporate social. Competitive advantage and corporate social responsibility hbr bestseller. Porter and kramer 15, writing on corporate philanthropy, also advocate for strategic giving, i. Porter and kramer 4 proposed the link between competitive advantage and corporate social responsibility. Pdf we analyze, from the viewpoint of value creation, the evolution of. They recognize that many firms corporate social responsibility csr efforts are counterproductive, for two reasons. The link between competitive advantage and corporate social responsibility, michael e.

Theories of corporate social responsibility profolus. The link between competitive advantage and corporate social responsibility, boston. Corporate social responsibility by porter and kramer essay. This article was the winner of the 2011 mckinsey award. As a result, csr has emerged as an inescapable priority for business. The link between competitive advantage and corporate social responsibility. Porter and kramer 2002, 2006, pearce and doh 2005, husted and salazar 2005, 2006, the efforts of these authors do not fill all the theoretical, methodological and practical gaps. Corporate social responsibility and innovation in management accounting volume 9 issue 1. The concept was further expanded in the january 2011 followup piece entitled creating shared value. The idea has generated strong interest in business and academia.

In this article, michael porter and mark kramer propose a fundamentally new way to look. Boston z geneva z san francisco z seattle strategy and society. Harvard business school professor michael porter claims that proponents of csr corporate social responsibility have used four arguments to make their case. Pdf corporate social responsibility from friedman to. Corporate social responsibility from friedman to porter and kramer. Corporate social responsibility or csr is a concept that provides a framework for defining the mission and vision of a business organization, as well as for expressing the extent of its obligations or accountability. Porter and kramer are the cofounders of both fsg social impact advisors. The link between competitive advantage and corporate social responsibility by michael e. Strategic corporate social responsibility csr is the mechanism to reconnect the society and business which are interdependent entities. Purpose to discuss the interrelationship between business and society. Corporate social responsibility from friedman to porter.

Todays businesses take the blame for many of societys economic, social and environmental woes, despite the launch of countless corporate social responsibility initiatives in recent decades. Second, they pressure companies to think of corporate social responsibility in. We analyze, from the viewpoint of value creation, the evolution of corporate social responsibility csr thought from friedman critical view of csr to porter and kramer sharedvalue proposition, emphasizing, at the same time, its parallelism with the evolution of asset valuation models from the viewpoint of common stocks value. The link between competitive advantage and corporate social responsibility in 2006. Pdf corporate social responsibility from friedman to porter and. The models of carroll and visser are integrated to produce the international pyramid model of csr. We believe that the best one is to integrate external engagement deeply into business decision making at every level of a. Harv bus rev 8912, 6277, 2011 introduced shared value as a new conception of capitalism, claiming it is a powerful driver of economic growth and reconciliation between business and society. Pdf strategic corporate social responsibility through.