PCTX201- 3. Environmental Responsibility.pdf

CORPORATE SOCIAL RESPONSIBILITY ENVIRONMENTAL RESPONSIBILITY  INTRODUCTION It is plainly obvious to all but those who refuse to see, that the global environment is deteriorating at a dramatic rate (Dummett 2006: 375). Singh and Singh (2017) identify pollution, globa...

CORPORATE SOCIAL RESPONSIBILITY ENVIRONMENTAL RESPONSIBILITY  INTRODUCTION It is plainly obvious to all but those who refuse to see, that the global environment is deteriorating at a dramatic rate (Dummett 2006: 375). Singh and Singh (2017) identify pollution, global warming, ozone depletion, acid rain, depletion of natural resources, overpopulation, deforestation and loss of biodiversity as some of the environmental challenges the world is facing.  INTRODUCTION (CONT’D) Significant changes in global climate and environmental conditions result in a growing public awareness of corporate behaviour, making corporate environmental responsibility (CER) an important topic for both the business world and academic literature. Corporate environmental responsibility (CER) has multiple meanings, settings and practices. Current practices are too often presented at face value; there is thus a need to raise more fundamental questions about CER’s history and purpose.  DEFINING CER CER deals with a company's relationship with the environment. It contains the obligations of decision makers to take responsible actions which aim to protect and improve the environment as a whole, and which are also in line with their own interests. CER can be defined as “practices that benefit the environment (or mitigate the adverse impact of business on the environment) that go beyond those that companies are legally obliged to carry out” in line with the World Business Council for Sustainable Development1. 1 WBCSD is a global, CEO-led organization of over 200 leading businesses working together to accelerate the transition to a sustainable world.  DEFINING CER (CONT’D) Das (2006) defines CER as the environmental aspect of corporate social responsibility which covers the environmental implications of the company’s operations, products and facilities; eliminate waste and emissions; maximize the efficiency and productivity of its resources; and minimize practices that might adversely affect the enjoyment of the country’s resources by future generations.  BRIEF HISTORY OF CER Dummett (2006) states that many global environmental problems, especially pollution, can mostly be traced back to companies especially manufacturing companies, not taking responsibility for the impacts of their operations. This is concurred by Das (2006) who argues that there has been contentions that unrestricted private sector behaviour has been considered as presenting the “environmental problems” while governments have borne the responsibility for mitigation of environmental damage.  BRIEF HISTORY OF CER (CONT’D) Das (2006) traces back CER to the 1980s when a significant shift in thinking about how to improve the social and environmental performance of companies began to take shape. Fig (2007) notes that the pressures on South African business to behave responsibly has grown over the years, and some of the impetus for this has come from external or globalized processes. Duker & Olugunna (2014) in their study note that there has been increasing pressure on certain organizations in Sweden to be environmentally responsible in order to minimize the impacts of their business operations on the environment.  CER AND RELATED CONCEPTS Environmental sustainability - meeting the needs of the current generation without compromising the ability of future generations to meet their needs (Morelli 2011). Green business - a business functioning in a capacity where no negative impact is made on the local or global environment, the community, or the economy. Green economy – an economy that results in improved human well-being and social equity, while significantly reducing environmental risks and ecological scarcities. It can be seen as a means to achieve a resilient economy that provides a better quality of life for all within the ecological limits of the planet.  KEY DRIVERS OF CER Dammett (2006) notes that a number of key influences which have acted either separately or in concert with one or more others to encourage or force CER; he lists them as: government legislation or threat of legislation cost savings market advantage protection or enhancement of reputation and brands avoiding risk, or responding to accident or environmental threat a ‘champion’ within the organization pressure from shareholders pressure from consumers pressure from non-government organization societal expectation Examples from the media Examples from the media Environmental Advert: Beyond the Label Dear Future Generations advert KEY DRIVERS OF CER  ENVIRONMENTALLY-FRIENDLY BUSINESS PRACTICES Recycle, Reuse, Reduce waste management methods Green energy/energy-efficient infrastructure Water conservation practices Green procurement practices Green Marketing Green Marketing example  LEARNING MATERIALS Useful websites * Toyota South Africa http://www.toyota.co.za/environment * Shell South Africa https://www.shell.co.za/sustainability.html * SAPPI Global https://www.sappi.com/environmental-responsibility-planet * MTN Group https://www.mtn.com/en/mtn-group/sustainability/eco- responsibility/Pages/environmental-management.aspx * Vodacom South Africa http://www.vodacom.com/sustainability.php Online articles * Mining vs the environment http://www.politicsweb.co.za/archive/mining-vs-the-environment * Criminal convictions and fines for environmental offences http://www.polity.org.za/article/criminal-convictions-and-fines-for- environmental-offences-2012-10-29 * #EveryDropCounts: Old Mutual goes off grid with water plant https://www.iol.co.za/capeargus/news/everydropcounts-old-mutual- goes-off-grid-with-water-plant-16558329  REFERENCES Das, T.K., 2006. Corporate Environmental Responsibility. Excellence: Special issue on Corporate Social Responsibility, 3, pp.166-174. Duker, J. and Olugunna, M., 2014. Corporate Environmental Responsibility (CER): A case of Logistics Companies in Sweden. Dummett, K., 2006. Drivers for corporate environmental responsibility (CER). Environment, Development and Sustainability, 8(3), pp.375-389. Fig, D. (ed). 2007. Staking their claims: Corporate social and environmental responsibility in South Africa. Scottsville: South Africa. Morelli, J., 2011. Environmental sustainability: A definition for environmental professionals. Journal of environmental sustainability, 1(1), p.2. Singh, R.L. and Singh, P.K., 2017. Global Environmental Problems. In Principles and Applications of Environmental Biotechnology for a Sustainable Future (pp. 13-41). Springer, Singapore.