fi
fi
fi
.
## Chapter 3 ## Keypoints
The triple bottom line : People, Planet, and Pro t
New standard of success people, planet, pro t.
Each representing an organization's social, enviormental, and
Financial peformance.
* Success in these areas con be measured through social audits,
systematic assesment's in a companies pet Brmance in
implementing socialy responsible programs
Millenials appeal this as they peter meaninful lifes over protit.
The community stakeholders inside the Organization
• Managers operate in two enviorments : 'Internal / External
Internal - Is made up of employees, owners, board of directors
External - coustumers pay Competitors
Suppliers
Distributors "Middle Mon"
Strategic groups Employee organizations
Local communities Financial Institution
Groverment regulators Special Interest groups
Economic Forces Technological Forces
Sociocultural Forces Demographic Forces
Political - Legol Forces International Forces
Ethical Responces
Standards of "righta vs. 'wrongo
Strive for ethical leadership
Four approaches to deciding etlical dilemas;
1) utilitarian 2) Individual 3) Moral - Rights 4) Justice
Sarbox
require
nancial record keeping
· How to foster high ethical standards
7) Top monoyers must support ethical Climote 3. Reward ethical
2) Must have written code of ethics
expaw ssew (It
Task Enviorment
General Enviorment
TASK ENVIORMENT
GENERAL
.
behavior
fi
fi
fi
fi
fi
fi
.
Social Responsabilities
Managers duty to take action that will bene t society
Social Responsability has two viewpoints:
1) Supporting - Buissnes creates issues, it should help solve them
2) Opposing - Make pro t
Archie Carroll suggests responsabilities in the following order
1) Be a good corporate citizen <> Be ethical in practices
3) Obey the law
4) Make pro t
• Three bottom line called planet is identi ed as :
Natural Capital - Value of natural resources
Philanthropy - Making chortable donations to society
* Positive Social $ Ethical behavior can lead to:
retained employees, less froud, sales growth, coustumer goodwill
better stock price, en hanced pro ts
.
Corporate Crovernance
System in, governing a company to protect owners and
stake holders
* For example requesting stronger nancial systems
✓ 5 SMART BOOK PRACTICE I v
Forward-thinking, organizations" - employees are the most important resource
“Clawbacks" – Ithem buisnekses don't pay back with promised evento/ therys
a