Chapter 3

Question 1

What are the 5 dimensions of CSR?

Answer 1

environmental, economic, voluntariness, stakeholder, social

Question 2

What does the environmental dimension entail?

Answer 2

• extent to which operatoins have negaitve effects on environment
• often operations failure at root of pollution disasters
• product design has large effects on environment
• operations can support reducing waste
  (analyze according to operation decision areas)

Question 3

What does the social dimension entail?

Answer 3

• organizations have impact on society
• need to balance external (social) consequences of actions with more direct economic consequences
• devise jobs that allow individuals to contribute talent without undue stress
• dealing honsetly wiht employee representatives
• social reponsibility extends to community
• particularly important are supply network issues, in light of globalization
  (Analyze according to decision areas)

Question 4

What does the economic dimension entail?

Answer 4

• economic consequences to taking socially responsible decisions (positive and negative)
• economic consequences related to time perspecitve
• investment made by individual business, but benefits for all
• effects on
  1) input costs (supplier relationships)
  2) transformation costs (energy & waste, staff-related costs)
  3) output costs (end-of-life responsibility, replacing products with services)

Question 5

What does the stakeholder dimension entail?

Answer 5

• broad range of stakeholders
• judgements not always straightforward
• need to identify and understand issues concerning various stakeholders
  1) customers (safety, disclosure of information)
  2) staff (work-life balance, exposure to hazards)
  3) suppliers (pressure, ehtical standards)
  4) community (social license to operate)

Question 6

What does the voluntary dimension entail?

Answer 6

• going beyond regulatory requirements
• create internal benefits in acorporation

Question 7

What are the CSR issues?

Answer 7

• conflicting short-term and long-term costs and benefits
• different views/standards
• complex mix of operationsl, strategic, socio-economic and geopolitical aspects

Question 8

How do you apply trade-offs and efficient frontiers to CSR dimensions?

Answer 8

• changing balance between social and financial performance
• societal pressure and stockholder expectations create forces

Question 9

How would you analyze CSR issues as risk management?

Answer 9

Prevent, Mitigate & Recover