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Social Responsibility

Social responsibility is a defined ethical framework within which various duties are assigned to individuals, groups, or organizations, all of which are beneficial to society. In simpler terms, these responsibilities are individual duties performed by every member of an organization, and fulfilling these duties ensures a proper balance between the ecosystem and the economy of society. Individuals must accept and carry out their roles in maintaining this balance effectively.

Generally, developed societies place more importance on individual duties within an ethical framework, and individuals in these societies embrace their social responsibilities. However, in culturally impoverished societies, these responsibilities have little meaning, and no one feels obligated to adhere to them.

These commitments also manifest in organizations in specific ways. Social responsibilities of organizations are often referred to by the acronym CSR (Corporate Social Responsibility). This means that organizations, in addition to pursuing profitability, must fulfill their social commitments to avoid harming the environment and society. For example, consider an organization that wants to produce a product. The materials used for production should be environmentally friendly, and the organization should work closely with social organizations. In fact, the organization’s activities can have a broader impact on society.

Types of Social Responsibility in Organizations

  1. Environmental Social Responsibilities:
    In this type of social responsibility, organizations focus on environmental conservation and natural resource management. Some organizations do not use carbon emissions in their production processes, or they manufacture products using biodegradable materials to minimize environmental harm.

  2. Philanthropic Social Responsibilities:
    In this type of responsibility, organizations focus on addressing social issues. They organize various campaigns for this purpose. For example, an organization may launch a campaign to support child laborers or allocate part of its budget to treating patients with special needs.

  3. Ethical Social Responsibilities:
    The ethical aspect holds high importance in this type of responsibility. Organizations that consider this type of responsibility believe that their focus should not solely be on increasing profits but on solving overlooked problems. These responsibilities include providing opportunities for the unemployed, avoiding partnerships with organizations with poor histories, and paying employees higher wages through increased bonuses.

Social Responsibility Segmentation in Organizations

In organizations, social responsibilities are divided into three categories based on whether they are voluntary or mandatory:

  1. Economic-Social Responsibilities:
    In this category, adherence to these responsibilities is so critical that an organization’s survival would be severely threatened if they fail to comply.

  2. Legal-Social Responsibilities:
    This category includes social responsibilities that are also legally mandated. These organizations aim to comply with legal requirements set by lawmakers. It also takes into account stakeholders whose rights are legally protected, such as ensuring that the organization respects minority rights when hiring new staff.

  3. Ethical-Social Responsibilities:
    In this category, organizations go beyond profit-making and legal obligations and aim to adhere to ethical principles in society. Even if these ethical principles conflict with the organization’s profitability, the organization prioritizes ethical standards. Activities in such organizations are voluntary, with all members freely participating.

Benefits of Implementing Social Responsibility in Organizations

In general, the benefits of social responsibility can be divided into two categories: global and local. Local social responsibilities pertain to the internal conditions of the society. On the other hand, global social responsibilities involve global standardization, stakeholder activities, investment incentives, and market access. However, if we are to list the overall benefits of social responsibility, they include:

  • Increased Employee Productivity: Creating a sense of belonging among employees boosts their efficiency and effectiveness.

  • Improved Brand Image: Customers develop a better and more favorable image of the brands.

  • Reduced Social and Environmental Impacts: Organizations minimize negative social and environmental consequences, generating shared value.

  • Competitive Advantage: It creates a competitive advantage, increases market share, and raises the level of competition within organizations.

  • Increased Transparency and Accountability: Organizations improve their transparency and accountability practices.

  • Risk Reduction: It helps reduce risks and enhances the organization’s international reputation and credibility.

  • Lower Control Costs: It helps decrease costs related to operational control.

Social Responsibility in Various Sectors

The social commitments and responsibilities of organizations are defined in different areas. Some of these areas include:

  • Commitment to Environmental and Ecosystem Conservation: Industrial organizations should prioritize this aspect significantly.

  • Commitment to Justice and Meritocracy in Hiring Employees: Ensuring fairness in hiring processes.

  • Commitment to Meeting the Basic Needs of Employees and Their Families: Fulfilling the essential needs of employees and their families.

  • Commitment to Offering Safe and Healthy Products: Ensuring that products are safe and healthy for consumers.

  • Commitment to Proper Utilization of Earnings: Using the organization’s profits for lawful and productive purposes to promote development.

  • Commitment to Humanitarian Treatment of All Stakeholders: Ensuring that all individuals associated with the organization are treated with respect.

  • Commitment to Consumer Rights: Ensuring that consumer rights are respected and protected.

All these aspects are significant components of an organization’s social responsibility. They emphasize humane behavior in all areas. In manufacturing and industrial organizations, human resources departments typically handle matters related to health, safety, and environmental commitments.

In line with its social responsibility, Tabeiran Company established a one-classroom school in the village of Chahardezbar, Kermanshah Province, to improve the welfare of the students and their families.