3I CSR in Operations

Question 1

Corporate social
responsibility (CSR)

Answer 1

is the ethical conduct
of a business beyond
legal obligations, and
the consideration of
social, economic, and
environmental impacts
when making business
decisions.

Question 2

CSR considerations for inputs

Answer 2

• sourcing inputs locally, rather than from overseas suppliers, to reduce transport emissions
  and minimise the business’s carbon footprint.
• sourcing inputs from suppliers that use environmentally-sustainable methods when
  extracting and harvesting natural resources.
• implementing operations strategies, such as forecasting and Just in Time, to reduce the risk
  of over-ordering inputs that may later be discarded due to expiry or damage.
• purchasing energy-efficient machinery for production.
• installing reusable, renewable, and/or clean energy sources in the business.

Question 3

CSR considerations for processes

Answer 3

• using technology that performs tasks in a precise and consistent manner to reduce the
  amount of defective products discarded in production.
• developing methods to capture and recycle unused or excess input materials, allowing them
  to be reused in the operations system.
• implementing operations strategies, such as Just in Time and lean management, to reduce
  the number of materials being unnecessarily wasted.
• disposing of any harmful waste that cannot be treated, in a responsible and safe manner.
• developing policies that promote the efficient use of energy in the workplace, such
  as switching off all machinery and lights after use.
• training employees on how to minimise waste when executing production tasks.

Question 4

CSR considerations for outputs

Answer 4

• developing an alternative product that is more environmentally friendly than the business’s
  current good or service.
• creating products that have recyclable or biodegradable elements at the end of their lifecycle.
• eliminating as much plastic as possible in the packaging and creation of the final product.
• delivering products to retailers in bulk to reduce the business’s carbon emissions from
  transportation.
• offering customers incentives for returning the product at the end of its life cycle so that it can
  be properly recycled or reused.
• providing clear labelling on a product about appropriate methods of disposal.