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Файл:Corporate Social Responsibility. Monograph
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favorable working conditions, support of the local community and
charitable activity and sound business practice too. In such a case, the main
criterion is the correspondence of programs to the aims and a strategy of
business development. The social activity of a company expresses in
realization of various social programs both the internal as well external
directionality. Different peculiarities of the social activity programs are
their voluntary participation, the system character and the bond with the
mission and the strategy of a company development.
The types of social programs can be the following: private
programs of companies, programs of a partnership with non-commercial
organizations; programs of collaboration with social organizations and
professional associations; programs of informative cooperation with media.
The development of the local society is the trend of social programs
of a company, which is realized on the voluntary basis and is intended to
make a contribution in the development of the local society (social
programs and actions of the support of the disadvantaged social groups, the
support of childhood and youth, the conservation of objects of the culture –
historical value, sponsorship of cultural, educational and sport organizations
and measures, the support of the socially important researches and
companies, participation in charitable contributions). Socially responsible
investment includes not only in incomes extraction but and in realization of
social aims by investment in companies, which are effective on ethical
practices [17].
Advantages which realize corporate responsibility strategies to
companies contain stepped up satisfaction of personnel, reduction of the
staff turnover and increase of the brand value. Companies, which are not
incorporated, miss out on the chance to business, loose competitive
positions and fall behind in management. Not implementing the strategies
of CSR, they, firstly, don’t follow and don’t control the impact of their
production on the society and environment and, secondly, don’t realize their
economical potential fully.
One of the main constituents of the CSR concept is the
minimization of business risks, in other words identification and filling of
all gaps, which are in mutual relations of a company and a society.
Identification of these gaps is the first step on the way to implementation of
CSR. Some people compare it with insurance politics, which protects the
company from surprises and problems in future. Now, time and resources,
spent on changes in key business-processes, come at a price.
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CSR is the integrated part of corporate management but it is not a
simple function of public relations. This activity, which reflects in the
system of economical, ecological and social factors of the sustainable
development, is the part of the strategic planning and the company
management; it is realized through the regular dialogue with a society.
That’s why solutions in the sphere of CSR are taken by all integrated levels
of corporate management: owners of companies, boards of directors and
management. The main point of this work is that some industrial and
economical solutions are taken with account of their social and ecological
consequences for companies and for a society. In such construction, CSR is
transformed in the powerful factor of strategic development, strengthening
of business reputation and competiveness and the growth of market
capitalization of companies too.
In practice, CSR is the politics and realization of sustainable
development strategy of a company. Answering the public requests, socially
responsible company can undertake supplemental liabilities, entering the
voluntary set of features of social responsibility that in a whole is in the
interests of the company and the society.
The definition of CSR includes [18]:
The responsibility of an organization in front of the
partners;
Social aspects of cooperation with suppliers and customers
of products and services;
Corporate development – carrying out of restructurisation
and organizational changes with participation of
representatives of the high management of companies,
personnel and public interest organizations;
The responsible politics as for employees, management by
personnel development;
Ecological responsibility, ecological politics and using of
natural resourced;
Cooperation with local authority, state structures and public
interest organizations for decision of general social
problems;
Responsibility of an organization in front of a society in a
whole.
Corporate social responsibility as against legal responsibility
implies the definite level of the voluntary ambition to give financial and
physical resources on the decision of social problems on the part of
organization management.
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Social responsibility of entrepreneurs is included in organization
and successful management by their own business, in intensive research of
beneficial cooperation.
Answering the public requests, socially responsible Russian
entrepreneurs can undertake the supplemental liabilities, which in included
in the voluntary set of features of social responsibility, that answer the
interests their enterprises and a society in a whole, namely[19]:
Economy and corporative management
to comply with the principles of social responsibility, as
laid down in Corporate Code of Conduct and Social Charter
of Russian business;
To work out and to honour internal corporate codes or other
documents of own business ethic consecutively;
To develop the quality, consumer properties and the social
importance of their products and services;
To support the development of small and medium business,
including own technological chains and taking part in the
appropriate branch and interbranch programs and funds;
Ecology
Take measures of technological character, directed to the
economy of energy consumption, water other resources;
To organize waste recycling and waste water purification,
implementing unwaste technologies of production in
phases;
To limit ejection of materials, greenhouse gases, chemical
compounds and other pollutant emissions in atmosphere
which destroy the ozone layer;
To organize the rational land-utilization and to support
biodiversity and natural habitat which include recreation
areas and nature reserves;
Social politics
To take part in social investments through their external and
internal programs;
To develop their own personnel through the system of
professional education of the staff;
To realize social projects of sponsor and charitable
character on the territory of their presence, supporting own
social prosperity, safety and stability;
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To participate in sponsor and charitable programs of the
regional and federal significance directed on decisions of
major national problems;
To support social projects in the sphere of culture, sport and
education;
To take part in projects of private- state partnerships,
directed on decision of social and ecological problems of a
society;
to take part in charitable and social projects;
to support public and non- commercial organizations of the
civil society;
to hold disputations and public hearings with interested
parts (stakeholders): with stockholders and investors,
employees and trade unions, suppliers and consumers,
representatives of local, regional and federal state
authorities, media, professional organizations, public and
non- commercial organizations and others and to make
necessary modifications in their activity on this basis;
to increase the openness and clarity of own business
through the systems of regular social and international
reporting about the sustainable growth, which allows to
improve the quality of manufacturing management, social
development and nonfinancial risks.
Additional features and events in the sphere of business social
responsibility don’t have any limits constituting the subject matter of
voluntary civil initiative in cooperation with interested parts of the company
and the society in a whole. Promoting the effective management of nonfinancial risks, additional measures are the powerful means of
demonstration by business of moral responsibility for the state and society
development. CSR is the means of the permanent and consecutive
competitive growth of the Russian business, stimulating its technological
and social innovation [20].
Summary.
Social responsibility in Russian entrepreneurship is not any
particular caused only by the special circumstances, but it is the norm,
arising from traditions of patronship and charity in Russia, which were
formed for centuries.
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Chronicle of the first millennium says: “…povelel vsyakomu
nichemu i ubogomu prihoditi na dvor kniazh I vzimati vsyku potrebu, pitie i
yadenie …”1. This form of charity, connected with the personal initiative of
princes and tsars became gradually the anxiety of the own state in Ancient
Rus [21].
Few people know that the Tsar Ivan IV (the Terrible) was the first
who legalized charity as part of the state policy. And he did not avoid
handing out money to the poor, widows and orphans.
Offices of public assistance were created during the board of
empress Ekaterina II, the foster homes were established for childrenorphans. Everybody of the upper class worked for charitable causes [21].
But most of all, Russian merchants distinguished by their charity
and patronship. Now these dynasties are famous, such as: Mamontovs,
Tretyakovs, Staheevs, Ryabushkinkys, Bahrushins and many others. They
built hospitals and schools, supported the art people and created museums.
There were always traditions in Russia. One of them is the next: when the
ordinary merchant gave his arpent for charity and did it willingly and in this
case he could decide only himself whom and when and how much to give.
Merchants and manufacturers contributed money on building of temples
and built churches themselves. The dream of the almost every Russian
entrepreneur was the ambition to build a temple. So, the idea of making
satisfaction for sins and wealth was affected in the consciousness of
Russian people, which was always connected with sins. For example, we
can consider one famous expression of one of the Siberian merchants of the
beginning of the last century: The person, who provides a service to a
society, wins and grows rich. The most profitable good is the trust and the
trust is given only to impeccable honesty and trade unselfishness. An
inventor only growrich, a pioneer of new universally beneficial business”
[21].
In practice charity became the lifestyle, the feature of character for
highly spiritual people. Many great fabricators and bankers were posterities
of merchants - old believers and inherited the special attitude to wealth and
entrepreneurship from them. The historian and the researcher of the old
merchantry Burishkin suggested that “attitude of an entrepreneur to his
business was special in comparison with the west. They considered their
business not only as a source of profit, but as fulfillment of a task, a
1
“…..order to some beggar and some sleazy person to come to the tsar palace and
to take everything you need, such as food, clothes and drinks…”
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mission, assigned by God or the fate. It was spoken about wealth that God
has given it in using and will require the report about it. That’s why charity
and practice in collecting were developed in the merchant surroundings
most of all. They considered it as implementation of assigned business from
on high. Wealth is as responsibility”, – a banker Pavel Ryabushinskiy said,
teaching the juniors.
First of all, these people were creators – “The special spirit lived in
them. And they were not motivated by thirst of wealth. They didn’t create
capitals, first of all, they created production: factories and manufactures.
They created and the urban environment: dwellings, training schools,
hospitals. The case study of such merchant – the creator is Arseniy I.
Morozov. In spite of the fact that this person possessed by the great funds,
he permanently felt his duty to his country, God and people and worked
returning this duty to people in the form of working places, building of
temples and hospitals. He sacrificed to people in need, gave education to
children of workers. It was the normal path of relations’ development of
wealth and poverty, associated with high morality” [21].
Undoubtedly, wealth, and ambitiousness, the desire to be
noticeable, to serve favors of court, thirsty of awards, privileges and
benefits were among reasons. However, the main source, which determined
the scale of this movement was intrinsic motives of Russian charity givers,
development of the national spirit and consciousness in their surroundings,
which led gradually informed and intellectual people to understanding of
personal responsibility in front of the society.
Measures connected with the increase of living standards and
labour activity of employees of this enterprise are assigned to corporate
social responsibility. So, some researchers suggest that CSR has the
multilevel character [22]:
The base level suggests the implementation of the next obligations:
timely payment of taxes, payment of salaries, offering of
new workplaces (staff increase);
the second level includes both the offering to employees of
optimal conditions for their labour activity as well
improvement of the quality of their life: professional
growth of employees, treatment, housing construction, the
development of social sphere;
the third highest level of responsibility suggests charity.
Having examined the definition of corporate social
responsibility, we can make the conclusion, that it is the
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multi-aspectual process including not only obligations in
front of consumers of services and the staff of a company,
but and responsibility in front of environment and social
surrounding of a region, in other words the responsibility in
front a society in a whole.
CSR in Russian business environment is characterized by the
presence of three stages [23]:
1. 1991-1998 – is the restructurisation of social infrastructure of
companies during privatization, a revival of traditions of pre-revolutionary
charity and patronship. “Wild” charity became the first stage in
development of social responsibility of companies in Russia. At that time
financial support of the indigent, as a rule was from the “black cash”. One
of the main factors for taking the decisions about assistance was the
emotional factor. There was philanthropy- in Soviet in parallel with it in
Russia, based on soviet beliefs about social help and worked in accordance
with principle of “bandaid approach” in the destroyed state social system.
2. 1999 – 2001 – is gradual transition from the non-recurrent aid to
private individuals and organizations to financing of purpose-oriented
programs; formation of the concept about the social responsibility in the
business environment and society in a whole.
3. The period from 2002 to the present day is the beginning of
institutionalization of corporate philanthropy, release of corporate and
private funds, attraction of non-commercial organizations to realization of
corporate programs , professionalization; active discussions in the questions
of social responsibility. Generalizing experience of Russian companies in
the sphere of social responsibilities, we can mark three approaches CSR:
pragmatic, “soviet” and the oriented approach on charity. The concept of
social responsibility as a synonym of charity is very popular, it is informal
social obligation for Russian business.
During the period of economic recovery (2000s) and the passage of
enterprises from survival to development, the part of them proceeded with
restructurisation of social infrastructure and optimization of its profile
activity. The use of social objects was considered by enterprises as a part of
realization of conscious social politics.
Social responsibility in business environment, namely the
responsibility of Russian entrepreneurs before people and a society, in a
whole, acquired momentum in its development. On the one hand, beginning
from the XIII Congress of the Russian Union of Industrialists and
Entrepreneurs where the President of Russian federation called Russian
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entrepreneurs to be “social responsible”, the evident process of voluntary
activity in this sphere began on the part of the more responsible and
visionary representatives of Russian entrepreneurship. Business people
began the active dialogue with interested public groups, began to put in
practice modern international standards of socially oriented and ecological
management. The activity of enterprises in this sphere is directed on
regular, effective and corporate relationship building with the regional and
local authority and the civil society too.
Russian entrepreneurs explain actualization of problems of
corporate social responsibility by the entrance of our country in the new
stage of social development and by the natural “maturation” of Russian
capitalism. Certainly, described staged approach should not be absolutized.
A variety of Russian enterprises continue today to reduce the social sphere
and other companies only are passing to the period of stabilization and
perhaps they will not come to optimization for a long time. These stages
reflect the differences both in the types of results as well in the range
activity and in the time scale in which the costs and benefits associated with
social infrastructure activities are compared.
The transition from one stage to another depends on both economic
status of a company and on the level of understanding of social problems
faced by market participants or will face in future. At the moment, as an
empirical analysis shows, many Russian companies have seen the need of
adopting a system and social policy. It stimulates their leaders to creation of
management structures which are responsible for realization of the social
policy, to implementation of new social technologies on their enterprises
and building of partnership relations with authorities of different level in the
sphere of social policy.
It is worth to notice that corporate charity is realized in its
traditional variant (the help to socially disadvantageous groups, culture
institutes, ROC). This sort of corporate policy was founded on traditions of
paternalism or on “the Soviet approach”. The Soviet approach is founded
on the high social protection of the staff and suggests conservation of the
remained social infrastructure and intensives scheme which stayed after the
old economy.
Approval of such form of SCR by authorities and creation of
positive social climate in regions of enterprises presence are advantages of
the use of “the soviet approach” by entrepreneurs. However, in the market
conditions, management by non-major objects of social infrastructure is
onerous for entrepreneurs, that’s why, today Russian entrepreneurs aim
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gradually to reform management system of the social sphere for increase of
marketability and profitability, to optimize the package of social services.
Within the scope of the business-oriented (pragmatic) approach, social
programs are considered as business projects, directed on the sustainable
development of an enterprise, creation of positive environment for own
business dealing and supporting of social stability in regions of activity
[24].
Russian entrepreneurs understand the necessity of social activity
and many of them are ready to put up extra-budgetary resources in it. At the
moment, CSR is considered as one of the most important directions, which
is directly connected with the common strategy of business.
Modern entrepreneurs begin to open up the social direction of
business dealing. Today experts suggest that one of the latest tendencies of
CSR development in Russia is social entrepreneurship.
Social entrepreneurship is business activity, aimed to the decision
of social problems and in a whole on improvement of a life of a local
society. These projects can concern the most various spheres. For a
example: to decide problems of employment, to help to disadvantaged
social groups of the population. These are ecological, medical and sport
projects and everything that concern to art or culture. However, as against
of charity which is aimed to permanent feeding of projects with the help of
grants, we shall speak about entrepreneurs’ initiatives, in other words about
the creation of financially sustainable models, which are capable to generate
the permanent incomes at the expense of which operating business and
enterprise development are provided.
Social entrepreneurship as a phenomenon and the concept of
business appeared about 30 years ago and began developed very quickly in
different countries of the world with various types of economy, policy and
the level of people life. The important part of the sector of Social
entrepreneurship is social investors - organizations and private persons,
which are ready to disregard by the investment yield for decision of their
social problems.
Social entrepreneurship as charity is based on empathy – it is the
capability to feel with other people. A Russian social entrepreneur abides
by the laws of business, but his main aim is not the profit extraction, but
solving or relief of problems at very least. The state cannot solve these
problems for whatever reasons. This business with the social mission which
can be realized by the way of creation of the socially significant service or
the product, the aid to people with limited capacity and etc.
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Social entrepreneurship in Russia is on the contact point between
traditional entrepreneurship and charity and takes the entrepreneurship
approach from business and social orientation of the activity from charity.
In recent times national and supernational organizations appear
which accumulate funds of social investors and invest them with the help of
collaborating social and charitable organizations on the places in
perspective social enterprises. The example of the social entrepreneurship
in Russia is the feminine society of the social support “Woman, Person,
Society” in Ribinsk, which works with poor mothers of many children. This
society created the workshop “cheerful felt” having gone from pure charity.
Here, women produce and sell felted toys, jewelry and other art products.
Another example of social entrepreneurship is Tula household of domestic
services "Berezen", which includes social barber shop, print shops and the
company, making and repairing clothes, where citizens are served by
disable people.
There are the specialized foundations of the support. For example,
the foundation “Our future” became the first organization in Russia giving
the support to social entrepreneurs in our country. The complex support of
beginner social entrepreneurs by this Foundation includes:
financial support in the form of grants, loans, participation
in further capital;
training and consulting about actual questions of their
activity;
informational application and promotion;
other forms of the support
Every project, supported by Foundation, is estimated upon the
performance indicators compulsorily, among them are:
the number of employed persons;
the number of taught persons;
the number of rendered social services;
the number of manufactured goods.
In view of brief review of the most successful projects of social
entrepreneurship we make the following summary.
The idea of social entrepreneurship takes root in Russia. However,
there are some differences in forms of social entrepreneurship in Russia and
abroad.
The creation both the social value as well and economic, lies in the
base of foreign and social enterprises. Besides of the social problem
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