Chapter 8: Community Relations PDF

# Chapter 8: Community Relations ## Appreciation Moving beyond the dynamic of brands and consumers, we move toward stakeholders or the very communities that exist around the company or organization. This chapter will elaborate on the nuances of various communities, their importance, philosophy, an...

# Chapter 8: Community Relations ## Appreciation Moving beyond the dynamic of brands and consumers, we move toward stakeholders or the very communities that exist around the company or organization. This chapter will elaborate on the nuances of various communities, their importance, philosophy, and the role of the companies in this interaction. The importance of community relations will also be raised in discussion, emphasizing the various narratives surrounding it. Finally,a discussion on the core strategies will be tackled as well as the advantages of proper community relations in the following sections. Furthermore, we will also focus on the problems that may happen if the businesses would disregard their relationship with their communities. ## Diagnostic Questions: 1. In your own words, discuss what community relations in the context of commerce is. 2. What do you think is the importance of having a good relationship with the different communities that brands or companies have? 3. What could be the consequences of having a negative impression on your brand? 4. Imagine yourself as a business owner, and if you were to be asked right now, what would be your three main strategies in maintaining a good relationship with your communities? As always, it should be realistic, sustainable, and cost-efficient. ## Exploration ### Psychological Contract and the Community Back to our discussion with employees and employers, we have tackled the psychological contract between them. It was established that this relationship strives to create overall value by reciprocating each other's expectations. Discussing it as concisely as possible, this contract is neither absolute nor infallible. Its success and continuity rest on each party's dedication to meet and exceed their expectations from one another. This type of relationship does not only exist within the confines of the company, but as well as outside of it. There exist multiple communities within the brand, employee, or company ecosystem beyond the company or the customers' boundary or control. A psychological contract between companies and communities also exists, and is as important as the bond with the industries, customers, and employees. The psychological contract that exists with companies and communities mimics the same characteristics as those with the relationship between companies to employees and companies to customers. The bottom line here is that companies are also expected to meet the expectations of the communities around them. The bilateral and communal relationship also works both ways where both parties have a set of needs and wants, which adds to their expected behavior from the other. To give an example of what could be the general questions of the company and community in the context of a company moving into a certain town, here are some queries: #### Company Questions: * What are the community's pressing needs and expectations of the company? * What is the community’s culture, and what types of behavior are accepted and detested? * What should not be done by the company to avoid hostilities with the local folk? * How welcoming are they to corporations coming in? * How can we reach the community and who are the best channels to communicate with? #### Community Questions: * What does the company need from us, and what do they expect from the community? * What will the company do, and will they cause problems or opportunities for the people? * What will the company bring to the community? Will these be beneficial? * How will they mesh with the culture we have? * How can the community be protected from possible exploitative practices of the company? If we are going to study the exchange here, we can easily conclude that at the end of the day, both company and community reap value and benefit from each other, and these questions will eventually create their perspectives and view on the situation at large. Expectations are created from this exchange, and the success or failure of the move may well be determined by this initial engagement. Of course, the questions are not only limited to the given above, but these will provide some insight into how the process of bargaining takes place. ## The Community as Gatekeepers The role of the community is a large one in the success factor of a company. Later on, we will see various kinds of communities, but in this instance, we are sticking with the most basic community collective, and these are the people living within cities and towns. Using this as our basis, communities are members of a collective that share a common or shared identity. While each member has their own perspectives and interests, the amalgamation of these views culminates in the overall expectation of the community. Ideals such as a peaceful and safe living space, an environment that is free from pollution, and job opportunities are shared by the members of the community. In a larger perspective, government or state power can be felt being one of the primary gatekeepers of their vicinity with the implementation of law and order among other examples. Even if large businesses gain approval from the government, community members have the power to influence and overturn this decision. If they deem that the companies that are moving in will be a detriment or do not share their ideals, communities can go against and stop a company from conducting its business within their space. Examples of this in the Philippines is the challenge for telecommunications companies to put up cellular sites within towns since many are scared of the long-term health effects due to having a cellular site near their living space. Another conflict that is often heard in local media are factories that deal with hazardous chemicals that intend to relocate to rural areas, but are often shunned away by community members because of the environmental repercussions of having such a plant in their vicinity. The final example are malls that often dominate local wet and dry markets that will cause many community members to lose their livelihoods as sellers and middlemen. These instances show the power of communities and what companies should never overlook. ## A Brief History of Community Engagement Before the eighties, companies were contented with dole-outs as their primary tool for community engagement. The power of the bank check defines the era, and it was the only way to every community's heart. Many in the industry have coined the term “balloons and T-shirts” because of how these projects are conducted. Frequently, the strategy is simple and direct; community engagements are limited merely to donations. These donations are directed to particular units of the community, such as hospitals, schools, and police, or fire departments to show solidarity and support. The act of goodwill is expected to have some traction in the community or the media that acts as a catalyst toward long-lasting partnerships. After the 1980s, there was a shift in how community engagement is also done because of the emergence of new actors and ways of communicating with the community. During the eighties, what was in the vogue were neoliberal ethos of the free market where government intrusion is frowned upon. As the abbreviation T.I.N.A. (There Is No Alternative) would suggest and as a reference to the rise of the free market, the way companies are being run are also on track toward the same neoliberal evolution and lack of other substitutes. Coming alongside this free-market philosophy are the budget cuts that severely affected social services. In the United States, Raegan era economics ushered in the new era of community relations by enticing companies to increase their involvement with the public and also support nongovernmental organizations that were hit hard by the budget cuts. During this era, companies were on the move, and have grown steadily in their involvement with communities. Despite the cuts, nonprofit organizations were flourishing and growing, and in the mid-nineties, it grew exponentially, and demand more funding from companies compounded on their worries. This triggered yet again another evolution of thought. Businesses found the need to manage demand by creating dedicated departments within their corporate hierarchy to handle these cases. Mostly, staff members filling up these roles came from their public relations arm to facilitate communications and coordination with other organizations. More so, business owners saw the need to create to serve and manage the expectations of customers, employees, shareholders, and now, communities. Businesses also saw the need to organize their ranks by creating associations to consolidate their efforts with the communities. The Philippines was a pioneer in this regard with the establishment of the Philippine Business for Social Progress that was established in 1970 with members coming from the top 50 corporations in the Philippines. The organization aimed to aid communities with projects to alleviate poverty in the Philippines. Today, its current chairman is Manny V. Pangilinan, with Ramon R. Del Rosario, Jr. as vice chairman, and Br. Armin A. Luistro FSC as its president. The board is made up of various corporate heads of the top firms in the country, and has made significant contributions in the field of education, health, environment, and local entrepreneurship. ## Why is there a Need to be Involved? At first, companies did not see the importance of community involvement in the company’s growth. They saw community relations as a token for companies to ensure their approval within the community. Ritualistic, tokenistic, and temporary -- this is how companies initially saw community relations. It was during the nineties where community relations have become trendy for companies. With the advent of information technology and globalization, consumers are aware and conscious of what companies and brands' values are. No longer are buyers acting as mindless or passive consumers, but as meticulous judges of a company. Many see the importance of trust, values, and responsibility that later became "corporate responsibility." Fueling this trend further were nonprofit organizations and advocacy groups fanning the flames, asking companies to be accountable and responsible for their actions that directly affect communities, environment, and public safety. Technology became a huge part of this push, and slowly, companies had no choice but to accept the new norm, and this is the birth of the socially responsible corporation. ## Marketing the “Good” Later on, companies saw the opportunity of doing good and jumped on the opportunity to maximize it to their benefit. This served as a precursor for the creation of two marketing strategies that raise the good in each company. * **Cause Marketing:** It works by highlighting the causes that companies support through tri-media, such as print, television, and radio as well as the Internet. Focusing on the cause is an effective call-to-action not just for the cause, but is also a good tool to associate subconscious awareness to the brand by association. * **Social Marketing:** This targets consumer behavior indirectly by tying the cause to the purchase of the product or service. This can be done by tying the transaction to the supported cause, such as giving away a portion of proceeds through the sale of a certain product, or promoting green practices by using a certain product that the brand has under its line. These examples of how companies utilize small openings left some in bad taste because they saw the act or campaign as manipulative and insidious regardless of the cause they are championing. On the contrary, this practice is still practiced by global businesses and has only widened in scope and use throughout the years. With the growth of the Internet, information transparency has reached an all-time high, and consumers, businesses, and communities have reached new highs in partnerships and co-generation of value across the board. ## Strategies for Community Relations Companies essentially need strategies to build sustainable community relations practices. For it to matter and be productive, the brand or company should use holistic methods to reach out and ensure the welfare of their new partnership. This can be done by implementing three simple philosophies. 1. **Create sustainable community links:** When engaging the community, have a long-term timeline in mind. Meaningful connections demand time, effort, and commitment to create trust. Having a constant working relationship with the community is essential in making the company grow and the people with it, creating opportunities for partnerships with the community and the local government, and the media in the long run. 2. **Know the needs of the people:** Being sensitive to the plight of the community bolsters the bond between the company and the community. Immersing with the people will give the company other perspectives and information essential for foreseeing trends and even problems that may arise in the future. Anticipating spaces for growth will add value to the company while creating contingency plans that will help ensure the future of the business and the well-being of the employees. 3. **Aim to improve the community:** A company coming to operate within the community has vast repercussions and ripple effects on the community’s way or quality of life. Essential to this are disruptions that may happen due to operations that could endanger the community or the processes that can be toxic to the environment that directly affects their health. Others can be a little bit indirect, such as marketing that may offend the community's sensibilities and beliefs. If the companies themselves are not keen on the fine details regarding the possible effects of their actions, in that case, they may be a start of something more detrimental that can ruin the overall relationship and destroy the trust between the company and the community. Companies should ensure that their “community practice” is well in line with the community as well as develop “community support” programs that will aid in improving the welfare of the people. ## Different Kinds of Communities Communities are not only, as what we have discussed in this chapter, the immediate neighbors of the company labeled as the "fenceline community." There are various communities that the company must deal with and it should be known that they have different sets of expectations that the company must meet and exceed. ## Types of Communities Around the Corporation: 1. **Fenceline community:** As said above, these are the communities that live near the site of the company. They are one of the first people to be impacted by the operations of the company, and should be one of the priorities of the company. 2. **Site community:** This is the town or city the company is operating in. They are one of the important community pillars around the company because local governments have the power to allow or stop companies from operating if it violates the interests of the constituents. Laws, policies, and ordinances should be followed by the company at all times and maintain a good working relationship with its leaders. 3. **Interest community:** These are communities that are made up of individuals that share a common intent or goal. Common interest communities share mores and norms that are parts of advocacies that they champion. Examples of these are environmental organizations and other groups that uphold a specific interest. 4. **Impact community:** This describes the communities that are outside the geographic location of the company, but are also affected by its operations. A good example of this is remote warehouses where goods are dropped off inside the company's control and management. 5. **Employee community:** It pertains to the communities of the employees. This is to ensure the welfare of employees and their relations with their communities. 6. **Cyber community:** One of the fastest growing communities, cyber community is a virtual community. Today, this pertains to Internet users, including social media and other platforms that are engaged with the brand. Although unlike the communities discussed, it is more decentralized and lacks a hierarchy that exists in other communities. However, because of this, the complexity of managing cyber communities fall into the hands of social media managers and forum moderators that can control and influence the flow of information and interaction between users. ## Elaboration ### Mini Case Study "Philippines: Mining impacts on Subanon indigenous peoples' rights" **Source:** https://www.business-humanrights.org/en/philippines-mining-impacts-on-subanon-indigenous-peoples%E2%80%99-rights In 2005 a coalition of researchers began a human rights impact assessment of TVI Resources' Canatuan mine on the Mindanao Island of the Philippines. The research was designed to investigate the social, economic, political, and environmental impacts of the mine on the Subanon indigenous peoples living on the land, and addressed six core human rights principles: the right to self-determination, to security, to an adequate standard of living, to adequate housing, to work, and to education. The assessment involved eight focus groups and 97 individuals from the community, as well as 35 key representatives from Philippine Government agencies involved with the mine, including the National Commission on Indigenous Peoples, the Mines and Geosciences Bureau, the Department of Environment and Natural Resources, and officials from the Canadian embassy. For ten months, the research team reviewed existing material on the topic, organized a workshop for farmers, fishers, small-scale miners, and various communities, orally translated the research guide into language the communities would understand, solicited their ideas, and tried to gauge their understanding of human rights. This involved a combination of storytelling, making maps of the area, and constructing timelines. The results of the assessment reveal the mine has had a negative impact on their right to self-determination and on their system of governance. Additionally, forced evictions and militarization of the area surrounding the Canatuan mine has had a negative impact on the ability of the Subanon peoples to enjoy the right to security and housing, while mining activity appears to have increased the levels of sediment and metals in some local waterways, threatening human right to an adequate standard of living. The assessment's concluding recommendations were to: 1) encourage the Government of the Philippines to assume responsibility for investigating the current conflict in Canatuan and for adopting procedures that would ensure such examples do not reoccur in future; 2) give local communities capacity training on human rights so that they can identify abuses and assert their rights; and 3) require companies to make all efforts to resolve the many issues and conflicts in Canatuan before proceeding with an expansion of its operations in adjacent areas. Following the assessment, the Commission on Human Rights of the Philippines conducted investigations into incidents at the mine, and British MP led a further international fact finding mission. In 2007, the Subanon people, along with NGOs, submitted a complaint to the United Nations Committee on the Elimination of all forms of Racial Discrimination to raise concerns about the right to free, prior, & informed consent. In 2011, the community decided to enter negotiations with the company as part of the process, TVI admitted fault to recognize Subanon leaders, and committed to paying fines to the community under an indigenous justice trial. The mine ended operation in 2014 after ore reserves were exhausted, but farmers and fishermen continue to experience negative impacts of mining. ### Timeline * 1997: TVI and Benguet Corp. sign Mineral Production Sharing Agreement * 2002: TVI starts mining operations * 2004: TVI stops cyanide exploration * 2005: New mining projects begin; Human rights impact assessment starts * 2006: Two-day conference with community representatives for final inputs * 2007: Subanon & NGOs submit complaint to UN Committee on the Elimination of all forms of Racial Discrimination * 2007-2010: UN CERD issues various communications to Government of Philippines raising concerns about impacts on Subanon rights * 2011: Community enters negotiations with company; company engaged in traditional cleansing ritual, and admits fault in recognizing Subanon leaders * 2014: Mining operation ends; Subanon continue struggle for remedies ## Reflection ### Questions for discussion: 1. Given the case above, what can you infer about the responsibility of firms to the communities around them? 2. What were the effects on the community and how do you think the Philippine government can intervene in this kind of case? 3. Based on the case, was the community duly served justice? Why or why not? 4. If you were the mining company, what would you have done to avert this kind of conflict from happening? 5. Study how various communities contributed to the resolution of the case and elaborate on how it affected the overall outcome of the dilemma. ## Action ### Time to Give Back Instructions: Group yourselves into five and once again read and discuss the merits, variables, and actors in the case. With this, imagine that your team is the mining company's community relations department, and you are expected to draft five projects that the company could do in alleviating the community's stance against the mining practice. Present these projects with only five slides per project totaling to 25 for the whole pitch presentation. As always, the project should be realistic, sustainable, and cost-efficient. # Chapter 9: Social Responsibility in a Global Perspective ## Appreciation Social responsibility traces its roots from corporations based in the United States, based on the written accounts and study of corporate history. We have tackled the development and evolution of social responsibility from its early forms to what later emerged as corporate social responsibility. From its early forms, the social responsibility movement has spread globally and has now drastically changed and altered the way corporations operate concerning the world environment. Exploring and updating ourselves with the most recent developments and its emergence is important if we strive to push the boundaries of social responsibility to be more relevant, impactful, and sustainable in the future. ## Diagnostic Questions: 1. What do you think are the differences in how various countries implement social responsibility? 2. What are the factors that can alter social responsibility and corporate governance in each country? 3. What do you think are the values that are needed for a business to thrive in the new global environment? 4. How can managers adapt their managerial ethos in the global environment? 5. How should companies adapt to variations and practices from country to country? ## Exploration ### The Emergence of Social Responsibility Globally New frameworks are emerging to meet the challenges of the world order of the status quo. Social responsibility today is defined by the needs not only by the community, but also by the world. Boundaries today are blurred with global citizenship as a common buzzword among practitioners. Gone are the monolithic ideas of a static community defined by geography, language, culture, customs, or norms. It is now replaced by the encompassing idea of citizenship that goes beyond the self, and is now transcending the idea of a global village where accountability is no longer just shared by communities, organizations, or states, but by everyone living on this planet. This shift is also because of the world's challenges from environmental pollution, forest degradation, dwindling food security, access to clean water, education, and others. The United Nations best captures these challenges with the creation of the millennium development goals and is now updated to the Sustainable Development Goals (SDGs), which was adopted by the members of the United Nations in 2015. The goal of the SDGs is to eradicate most of the global problems that persist today by 2030. In total, there are 17 goals, and they are structured in a way to solve overarching problems from social, environmental, economic, health, education, and others. ## Sustainable Development Goals [Image of the Sustainable Development Goals] Social responsibility now intersects with the global needs that should be prioritized. From individuals to companies and other mechanisms to help in aiding global progress, the need for a new framework for social responsibility should be addressed. ## The MDGs Centers on Five Principles: (Source: United Nations) * **People:** We are determined to end poverty and hunger, in all their forms and dimensions, and to ensure that all human beings can fulfill their potential in dignity and equality, and a healthy environment. * **Planet:** We are determined to protect the planet from degradation, including sustainable consumption and production, sustainably managing its natural resources, and taking urgent action on climate change to support the needs of the present and future generations. * **Prosperity:** We are determined to ensure that all human beings can enjoy prosperous and fulfilling lives and that economic, social, and technological progress occurs in harmony with nature. * **Peace:** We are determined to foster peaceful, just, and inclusive societies that are free from fear and violence. There can be no sustainable development without peace and no peace without sustainable development. * **Partnership:** We are determined to mobilize the means required to implement this Agenda through a revitalized Global Partnership for Sustainable Development, based on a spirit of strengthened global solidarity, focused in particular on the needs of the poorest and most vulnerable and with the participation of all countries, all stakeholders, and all people. The interlinkages and integrated nature of the Sustainable Development Goals are of crucial importance in ensuring that the purpose of the new Agenda is realized. If we realize our ambitions across the full extent of the Agenda, the lives of all will be profoundly improved, and our world will be transformed for the better. The SDGs pledge to solve the lingering global problems in 15 years from 2015 until 2030 and seek to transform global welfare and sustainability within the given timeline. Its predecessor, the Millennium Development Goals from the year 2000-2015, was successful in minimizing the problems that were identified and have aided millions of people from the developing world with its eight goals. ## Millennium Development Goals 2000-2015: 1. **Eradicate extreme poverty and hunger:** Extreme poverty rates were cut in half, but from 2015, there remained 1 of 8 people globally who are in extreme conditions of poverty and hunger. 2. **Achieve universal primary education:** Primary education enrollment increased from 83 percent to 90 percent, however, 1 out of 10 are still left behind. 3. **Promote gender equality and women empowerment:** More women are now joining the workforce and are given chances to study and earn more rights. 4. **Reduce child mortality:** Fewer than 17,000 children die per day. 5. **Improve maternal health:** Maternal mortality dropped by 45 percent; however, prenatal care remains scarce in frontier and developing countries. 6. **Combat HIV/AIDS, malaria, and others:** Deaths due to HIV and malaria have dropped down by 40 percent, but the problem of the spread of HIV/AIDS remains today due to the lack of sexual education and access to reproductive health supplies. 7. **Ensure environmental sustainability:** One-fourth of the global population has now improved their sanitation, but still, 2.5 billion people lack access to it. 8. **Develop a global partnership for development:** Global trade has improved, and now even aid has drastically improved to \$134.8 billion (2013). Undoubtedly, there is more to do, and sovereign states, nongovernmental organizations, and others need all the help they can get, and this is where corporate entities can help through the power of social responsibility. ## Social Responsibility in the Americas North America has been spearheading the push toward social responsibility despite not being heavily regulated as compared to other regions in the world such as Europe. In the Americas, social responsibility relies on each company and their will to pursue it. It was explained in the first chapters of this book that the United States pioneered social responsibility with the creation of various frameworks that later guided the movement of the socially responsible corporation. The triple-bottom-line idea is such an example where people, planet, and profit are the mantra that they adapt as a holistic solution to ongoing global concerns. The pressure to adopt a more socially conscious business practice comes from various actors, namely, consumers, communities, media, and even shareholders themselves who are looking to help organizations that have strict compliance with their ethical practices and social projects. The scope of social responsibility in the region, specifically the United States, is wide-ranging and again is determined by the companies themselves and not through policy recommendations from the State. This only adheres to the notion of the free market that the West has been promoting. In turn, companies are more vocal of their advocacies, and use this to their advantage by anchoring their reputation through these advocacies with emphasis on the liberal use of social and cause marketing. On the other hand, this free-for-all definition of what social responsibility is only contributed to the confusion on the practice, and the contrary has pushed the movement beyond its potential impact. For other companies, CSR is still all about dole-outs. For some, it goes deeper by conducting projects and so on. Despite these variations, their mission is clear and simple, and this is to pitch in on solving the problems our world face. Internally, corporations have already adapted to this trend, and now even imbibe the philosophy of social responsibility within their company DNA and identity as a driver of growth. The time when social responsibility was left to a single department is now over, and the new era of socially responsible businesses are the new norm. Social responsibility is now exercised throughout the whole chain of operations internally from employment, sourcing, manufacturing, research, and logistics; the idea of sustainable and socially conscious efforts has altered the way businesses are run. ## Immediate concern in the Americas: * **Governance concerns:** Due to the priorities of the United States, it has lost its leadership in the international arena when it comes to the promotion of socially responsible practices despite being one of the pillars of it. Now, it solely relies on the private sector to promote and push for socially responsible practices. ## Social Responsibility in Australia/Oceania Compared to the Americas and Europe, Australia has yet to reach the same complexity in the field of CSR practice. Regardless, Australia has been leading in a completely new category that is contextually unique to them and this is about CSR projects linked with indigenous minorities. Australia/Oceania has been through changes in the nineties. One such example of this was the Native Title Act that was inclusive to the rights of the minorities even if it was hated by the business sector at first. However, through the years, it has helped in molding the working relationship of local aboriginal people with the mining industry through cooperative practices and partnerships. Another significant leap in the CSR practice happened in 1998 when the first corporate citizenship conference was held in Australia, organized by Deakin University's Corporate Citizenship Research Unit. It has jumpstarted the movement that caught on with their government. Other critical policies that followed: * **Financial Services Reform Act (2001):** Required the disclosure of labor, social, environmental, and ethical standards in investments for companies offering financial products and services * **Corporations Act (2001 and 2004):** Mandated companies to show details pertaining to violations of environmental laws as well as licenses in their annual reports ## Immediate concern in Australia/Oceania: * **Governance concerns:** Unlike the Americas, CSR standards in Australia are guided and primarily supported by their government, and thus, it is essentially organic and tailor-made to their needs, and is now considered by the OECD as one of the model countries for CSR practices. ## Social Responsibility in Africa Companies have had a long history with the African nation and its people. While this history is not always good, today, Africa is one of the hotspots for companies due to the region's growth. Also, the region has been a hotbed of activity recently because of the rich mineral deposits that it has that are needed for new devices from mobile phones to computers. Despite Africa's potential with its rich natural gifts and young population, its people have yet to reap the full benefits of their growth with millions still in extreme poverty. These extremes are easily seen in the region such as in South Africa where in Johannesburg, the extractive cost of businesses has scarred the environment to a point of irreversible degradation due to mining practices. Unmitigated economic practices have proven to be damaging. Other parts of Africa have been struggling to establish stable democracies and governmental regimes due to the abuses of despots and leaders with totalitarian aspirations. Thus, most African nations have struggled to achieve long-term and continued economic growth due to the continuous civil wars and revolts that result in humanitarian concerns to those caught in the crossfire. Even with the United Nation's continued efforts to support the region, it has yet to sustain its recovery toward tangible societal mobility without the base of solid governance practices. Due to this, the companies often second guess regarding directly helping out the region, which is also the same reason why it needs companies to pitch in since their governments cannot stretch their resources enough to help everyone. Africa is still struggling to improve access to health care, clean water supply, access to proper sanitation, childcare mortality, cases of HIV/AIDS/Malaria, lack of infrastructure, and power sufficiency. ## Immediate concerns in Africa: * **Governance concerns:** Even if democracy is an uphill battle for most African states, working conditions are improving overall also due to the help of both international government and nongovernmental organizations that contribute to legislations that positively impact the people. * **Humanitarian concerns:** Still, there are many social problems that they are currently facing, such as human trafficking, child labor, recruitment of child soldiers, local militias, and epidemics such as HIV, AIDS, and Ebola. * **Environmental concerns:** Because of the potential of natural resources, Africa has been on the radar for both legal and unscrupulous traders. Lacking proper government oversight, the gains that are reaped from these businesses, rarely benefit or trickle down to the communities themselves. ## CSR practices in Africa: Most CSR activities in Africa come from western entities. The bulk of social responsibility activities in the region, however, are led by international governmental and nongovernmental organizations such as the various arms and projects of the United Nations, such as the UN Global Compact and World Summit on Sustainable Development. The World Bank and the International Finance Corporation are also key drivers of social impact and cooperation in the region through their programs. Africa also has the African Union, which promotes a standard for corporate governance practice and CSR. The African Union promotes these through the New Partnership for Africa's Development (NEPAD) as its mechanism to check and evaluate. Because of Western companies' growing activity in Africa to ensure CSR practice standardization, multinational companies use the Organization for Economic Cooperation and Development (OECD) guidelines for their social responsibility initiatives. ## Social Responsibility in Asia CSR progression in Asia is yet another region that has been vast in its social responsibility networks and models. Though still a long way to go compared to the Americas, Asia has been the center of world commerce during its growth from the eighties, nineties, onward to the 2000s. East Asia was the first wave to have had this rise, with Japan rising the most post-war. Industries have emerged from automobiles, electronics, and heavy industries, which was followed by the meteoric rise of China and the steady pace of South Korea. The second wave of growth was headed to South East Asia, South Asia, and most recently, Central Asia. Drivers of growth primarily in these economies were due to the race to the bottom of most multinational companies who were deadest in making the most of cheap labor and loose government regulations, as well as competitive tax rates. Social responsibility in Asia is relatively a new concept that is still in the process of mainstreaming toward the majority of local corporations. Mostly, social responsibility programs in Asia are rooted in the ideals of environmental protection, child labor protection, human trafficking, and inclusivity of ethnic minorities. Being the main workshop that houses thousands of multinational companies, the challenges for the region is to pursue and maintain the conduct of social responsibility and the rights of the workers themselves. Beginning as "sweatshop factories," today, Asia has given birth to a new generation of workers that are highly skilled, motivated, and self-aware of their ideals. India and the Philippines are primary examples of this next wave as offshore companies hire college graduates to fill their ranks of outsourced knowledge workers. This generational shift also has empowered other groups of the population, such as women as they are now given more freedom in the region to be part of the workforce. ## Immediate concerns in Asia: * **Governance concerns:** Asia has vastly improved over the years, but has remained as a consistent political flashpoint with various democracies under threat due to various concerns ranging from corruption, military take-overs, and unpredictable regime changes, which pose a major threat to CSR efforts. * **Humanitarian concerns:** Another aspect that Asia has significantly changed is through humanitarian efforts that are slowly being eradicated by various sectors. It also helps that there is a huge presence of international governmental and nongovernmental organizations in the region that pours significant funds to humanitarian projects. * **Environmental concerns:** Slowly, the region recognizes the importance of protecting the environment and balancing growth with sustainable practices. Government policies have been enacted and treaties have been signed by Asian countries to abide by standardized rules and procedures through the United Nations, and the Association of Southeast Asian Nations. ## Social Responsibility in Europe The European CSR model is far different from those in the Americas, Australia, and other continents. The practice of social responsibility is guided by a collective goal for the whole region through the European Union but also, like the United States, companies are not required to practice CSR. Most of the CSR practices are in line with the guidelines set by the European Commission Today, CSR as a practice in the European region is also bursting with diversity and still is growing steadily. ## CSR focus in Europe: * A focus on European efforts to achieve sustainable corporate practices in the region * Gather more traction and commitment with the business community and encourage other sectors such as governments and other organizations to pitch in including nongovernmental organizations, interest groups, the academe, and even individuals to champion and push social responsibility forward. ## CSR goals in Europe: * Capacity and competence building * Equity and diversity * Safety and health * Environment * Entrepreneurship * Innovation and research To achieve these, the CSR in Europe is also holistic by tapping multiple sectors in their CSR missions from employees, customers, communities, and even other businesses. Given this, the region's CSR model also uses varied approaches, such as looking into socio-political, institutional, population, and technological factors in their practice. Also, factors of efficacy, brand reputation, and trust are important for businesses concerning their stakeholders. ## Governance concerns: CSR practice in Europe is driven by businesses with strong support from organizations. Because of this ecosystem, there is a mutually beneficial relationship between government and the private sector even if CSR practices may vary, but their goals and approaches are mostly shared among them. In conclusion, governmental organizations, governments, and businesses are the drivers of CSR growth in Europe. ## Elaboration ## Mini Case Study "Coronavirus Is Putting Corporate Social Responsibility to the Test" **Source:** https://hbr.org/2020/04/coronavirus-is-putting-corporate-social-responsibility-to-the-test For millions of Americans, the new relief law will be too little too late. It is expected to take three weeks for cash payments to reach laid-off employees and small businesses. Businesses may defer payments and cut costs, but employees who have lost their income without warning cannot wait three weeks to feed themselves and their families. For much of America, this is a crisis that requires an immediate action that only companies can take. The way large companies respond to this crisis is a defining moment that will be remembered for decades. Thirty-eight years ago, seven people in Chicago died from taking poisoned Tylenol pills. It was a rare and localized event, but Johnson & Johnson immediately pulled all Tylenol from all stores everywhere, taking a huge loss to avoid even a single additional death. People