Corporate Social Environmental In Services -Myassignmenthelp.Com

Question: Discuss About The Corporate Social Environmental In Services? Answer: Introduction Business value assessment initiative is taken for a business to analyse its business, techniques and ethics. The organisations make a team in order to assist the organisation to identify, capture business and measure the business value to recommend for overcoming the current situation to achieve the benefit-based business goals (Caridi et al., 2014). In this part of the study, Nike and Adidas have been chosen for assessing the value of the organisations in social ethics. In addition, issues dealt with social reports of these two organisations have been evaluated. Furthermore, country-based social differences have also been discussed in this study. Social accounting approach has also been taken to delineate the quality of social approach of these two companies. Identifying and describing the two companies; their core business activities and the countries and industries in which they operate In this part of the study, Nike and Adidas have been chosen in order to proceed as they are in the same industry; however, they belong from two different countries. Nike Inc is an American multinational company and it is engaged in developing, designing and manufacturing footwear, sports equipment accessories and apparel products. Headquarter of Nike is located in Washington County, USA and it is served in a worldwide basis. Nike was established in the year 1964 (Nike.com, 2018). Revenue of Nike in the year 2017 was US$34.35 billion and it was established in the year 1964. Nike segments the market into footwear, apparels, equipment and global branding. Nike has been maintaining the leadership position in competitive sportswear and apparel market. Core activities of Nike are associated with development, design and marketing (Lu, Liu Rahman, 2017). Nike has been outsourcing of non-core activities like contract manufacturing of the products. Nike does not have any manufacturing site and it produces through independent contractors. In order to be a leader in the market, Nike focuses on development and design and they use DyeCoo technology, advance waterless textile dyeing. Nike uses Plant PET Technology Collaborative (PTC) to accelerate Poly Ethylene Terephthalate materials and fibre. Adidas is a multinational corporation and it has it headquarter in Herzogenaurach, Germany. It designs and manufactures accessories, clothing and shoes. Adidas is the largest manufacturer of sportswear in Europe. This organisation was established in the year 1924 and it is the sponsor of world's major sports' clubs. It serves worldwide and it collected revenue of 19.28 billion (Adidas.group.com, 2018). Adidas believes in creating a new product line for exciting future. Adidas is unique portfolio brand and it has a strong identity in sports. Adidas mainly appeals to the athletes. The business activities mainly depend on speed as they try to be fast in satisfying customers' needs and in internal decision making (Lu, Liu Rahman, 2017). Adidas identifies six different cities to grow their business and it is going to be the first sports brand to be part of consumers, athletes and partners. Evaluating the differences evident between the two companies in terms of the range of issues dealt with in their social reports and the depth of coverage on specific issues Nike believes that it is not enough to adapt to what future may bring and the organisation is creating the future what they want to see through sustainable innovation (Buckler, 2017). Nike is accelerating toward a low-carbon growth in the economy. They do not have manufacturing units; however, Nike gives emphasis to those manufacturers who have less impact on society. As stated by Suliman et al., (2016), Nike has been using Flyknit technology that has reduced nearly 4 million pounds of waste in the year 2016. Since the year 2010, Nike has converted three billion plastic bottles to polyester in order to make products like Vapour football and they are using colour dry technology to save water. Nike has targeted 10% reduction of the average environmental footprint to increase use of more sustainable materials (Nike.com, 2018). Nike has been making a contract with manufacturers that uses mainly renewable energy to operate the manufacturing works. 85% of Nike's manufacturing contract comp anies reach a performance rating to demonstrate to value the workers and improve the environmental standard. Adidas bears responsibility towards the society and environment. Adidas mainly focuses on the supply chain in order to be a more socially responsible organisation to empower staffs and promote safe, fair and healthy condition to suppliers' factories. Adidas is trying to improve the environmental footprint to create the best for the athlete. Most importantly, according to Agan et al., (2016), Adidas drives innovation in product creation and they have made a partnership with Parley in order to raise awareness about Oceans. Adidas has taken initiative in order to make shoes from filament and yarns and recycled from ocean's waste. Adidas has joined UN taken initiative on Climate Neutral to help the society to have a better understanding of climate change. As opined by Uhrich, Koenigstorfer Groeppel-Klein (2014), Adidas always takes, identifies and manages human rights in business operation and supply chain partnership. Average resource consumption of pair of sports shoes shown below: 2015 2016 2017 Energy use 2.93 2.36 2.98 Wastewater 0.34 0.45 0.57 Average VOC 20.3 19.5 20.4 Table 1: Average resource consumption (Source: Adidas.group.com, 2018) Explaining social activities differences by the country and other explanations In recent time, climate change is a global issue that needs a global solution. In footwear and sports industry, resource scarcity, prices of raw materials and issues in supply chain create concern for Nike. Nike can understand the broader impact of climate issue to foster low-carbon growth in the economy (Plambeck Taylor, 2015). In addition, Nike takes innovative imperative as a systematic change to forecast the rate of emission of carbon and other greenhouse gas in supply process. In the USA, CSR activities are important as US citizens expect the organisations to generate a profit and take the business in ethical and socially manner. In a global financial crisis, the organisations need to ignite the public concern to attract the customers (Parsa et al. 2015). USA industry is viable and customers' preferences change with time. The USA is a developed country and the customers' disposable income is high. In addition, USA based business freely acknowledge their social responsibility an d ethical obligation. These responsibilities of the organisation go beyond political, legal and economic obligations. US Sentencing Commissions' provides guidelines to continue the business including socially responsible, labour unions, unincorporated organisations, partnership and community service. Adidas identifies that sustainability is beyond the carbon and they want to be helpful for supporting the labour, operating the business and supply chain to continue to serve the customers (Russell-Smith et al., 2015). Adidas has been focusing more on making supply chain greener and they need to fight climate change. In Europe, Adidas ranked first in Corporate Information Transparency Index, it is recognition of the Environmental and social performance of the organisations. Adidas is in Germany and in Germany, there are many other multinational companies' operate their businesses. German-based businesses mainly value water and Adidas does 20% water saving at strategic water suppliers and 35% water savings for employees at the own site (Plambeck Taylor, 2015). German people are aware of social responsibilities of the businesses as they are literate and they want that businesses must empower them. Adidas try to improve the health of the employees to participate in sports supporting he alth, nutrition and fitness of the people. Assess the apparent quality of the social accounting approach utilized by each company according to Zadek et al.s (1997) criteria This principle is about ethical and social accounting that needs to reflect on views of principal stakeholders. Nike always asks the stakeholders to participate in decision-making issues. In addition, Adidas makes a committee with stakeholders in market research in order to make the one-way process to create a single set of objectives. It is about the performance of the organisation should be judged in order to compare the assessment of the value of the other organisation (Zadek, 2004). Nike has set the external benchmark for largest selling the sportswear. Nike spends a significant amount of money on social activities. On the other side, Adidas focuses mainly to supply chain to deliver the products on time in right vehicles. They focus mainly on the wage of the labours. In this criterion, companies' activities must be systematically checked and no areas will be missed. In CSR report of Nike, they mainly focus on sustainable business operation and sustainable product development. In case of Adidas, CSR report of Adidas focuses all aspects of the business. Adidas follows all essence of the business and stakeholder groups know about exploration. It is not possible to cover up the entire company's footprint. Nike tries to reduce the environmental footprint by taking initiatives of dry watercolour, PET system and other technologies. Adidas takes the initiatives of supply chain innovation and company's accountability to the wider public. Management policy and systems: Companies need to do both environmental auditing and financial policy. Nike does this with systematic policy and organisation develops clear policy. In case of Adidas, it allows accounting process of social responsibility in evaluating the organisational awareness. Companies need to provide the information whether social and ethical accounting is made for internal and external audiences. Nike uses the management tool to disclose the social report for the external and internal public. On the other side, Adidas clearly focuses on internal audiences and also for external audiences in order to strengthen the company's legitimacy. Externally verified: External verification is important for strengthening the accountability. Nike takes the permission of USA based government agency in order to emphasis mainly on professional quality. Adidas on the other side validates the published material by an external body. Continuous improvement: Progress is the ultimate aim of any organisation, not just the retrospective performance (Zadek, 2004). Nike always strives for better future and it improves values, objectives and mission. Adidas organisation establishes the measurement of progress to improve the product, people and profit of the organisation through social and ethical performance. Discussing the extent to which the social reports provided by these companies reflect their stated values Nikes stated values are: Nature is there to innovate. Nike seems to innovate as it is there to use core organisational competence Nike uses social responsibility as brand management technique Nike is a brand and it uses Swoosh logo Consumer decides Nikes products Nike is the largest sportswear brand in the world and it focuses on innovation in order to be sustainable in the market. Nike helps to the community by reducing the carbon footprint and reduces environmental impact through the supply chain. Nike is transforming the manufacturing unit and in the betterment of the people, they unleash human potential through innovation and inspiration (Lu, Liu, Rahman, 2017). They make a contract with suppliers and manufacturers in a correct way. Nike generates revenue through Nike brand stores, online sales and Nike factory stores. Adidas has its core values like: Adidas believes in performance and it supports athlete in sports Adidas supports passion in working and passion is the heart of this organisation Integrity is another value for the organisation and Adidas is honest, ethical and open in operation (Adidas.group.com, 2018) Diversity in workplace is another value Sustainable business practice and innovation Adidas believes to continue to enable open collaboration to share the knowledge and expertise with partners, suppliers and stakeholders. German-based businesses do follow technological specialisation in order to innovate materials and processes. Adidas drives innovation in product creation and it makes supply chain greener to fight climate change (Lu, Liu Rahman, 2017). Advancing for human rights is the first priority for the business. For product, Adidas values water, raw materials and conserve energy. For the people, Adidas empower the staffs, improve the health of the people and inspire action of the staffs and community people. Reflecting on groups discussions and conclusions Both the organisations Adidas and Nike are world famous for sportswear and apparel. They are competitors in the global market as they both in the same industry. Being in the same industry, their social activities are different. Nike is very much engaged in the sustainable development of the products that would help the organisation in long-term. They engage in climate change and carbon footprint reduction. Nike publishes social reports with data of the organisation with sufficient activities related charts. On the other side, Adidas is much focused on the triple bottom line of the CSR, people, planet and profit. Adidas focuses on people to improve health, empower and inspire, they are staffs and community. Adidas focuses on the planet, this is related to the environment. They try to reduce the environmental impact through giving the value of energy, water and raw material innovation. Adidas in last five years has been integrating sustainability into core business practices. In produc t creation, licence management and supplier and customer-consumer management, Adidas achieved this by establishing sustainability expertise. Above all, it has been observed that values of the organisations can be achieved through embedding functions of social and environmental standards in procedures and policies that can steer day-to-day business performances. Scenario: Adidas perceives that employees are the heart of the business and Adidas offers attractive work environment. It is very important that people can develop professionally and professionally. The CEO of Adidas wants the workplace must constantly strive for innovation. In order to recruit new employees in Adidas headquarter, HR manager needs to take permission of the CEO. The CEO, Kasper Rorsted (1st Oct 2016 Present) fosters engagement of the employees, collaboration and innovation in the workplace. Human resource team in Adidas recruits the greatest talents anywhere in the world and they search for diversity and uniqueness. Adidas recently moved into a new office (PITCH) where they are going to test various workplace concepts. In the new office building, they needed new employees for various posts. HR manager of Adidas, Karen Parkin went to meet the CEO one day for discussing future recruitment in headquarter of Adidas, Herzogenaurach. In this meeting, Karen told the CEO about the new recruitment of Adidas and why it is necessary for Adidas. The new office building of the Adidas provides an extra feature that employees do not need to work at a designated desk, they can choose their workstation based on the current task. This extra feature accelerated to recruit new staffs to the organisation to smooth the work. Karen told that Adidas would roll out the advertisement in which they would mention the new recruitment policy. Adidas has been using an external agency to recruit new employees. Karen wanted to provide the responsibility of recruitment to that external agency. Kasper never disagreed with this before, however, this time, Kasper denied to Karen. Kasper told Karen that they would be recruiting from offline university campuses. Karen did not understand what the CEO was trying to convey. Adidas recruits college students as freshers for their subsidiaries and branches in different countries. However, for the posts in headquarter in Herzogenaurach, recruiting f rom university, would be a risky step. Kasper added that Adidas would be recruiting from private universities and Adidas would charge money from universities for giving placements. Karen got flabbergasted as he did not have any idea what Kasper was trying to make out. Adidas is a world-famous organisation and they needed experienced employees for headquarter. New universities pass out students would not fulfil the demands of Adidas. Private management universities in Germany have been facing the issue that they cannot give placements to the students. Karen thought that Kasper might have talked to universities about employees recruitment in Adidas. Karen also thought private universities might have offered money to Kasper and that is why Kasper talked like this. Karen could not understand what he should do now as Kasper is the CEO of Adidas and senior to him. Karen had to listen to him, however, Karens heart revolted to the decision of Kasper. Karen was asked to do something that he feels would violate the values of the organisation. Karen also observed Kasper before that he had been violating the policies of an organisation like deceiving investors and overlooking safety defects in manufacturing of the products. In previous occasions, Karen had observed that Kasper wanted to profit by taking risks and by following unethical works. This time, Kasper was asking to show favouritism to the university students who just passed out. Kasper was asked to recruit the students through offline mode that means this recruitment would be done unofficially. This kind of favouritism is unethical. Life experiences that shaped Karen values did not allow him to do such nasty work. It would be unethical and it would be harmful to Adidas also. This recruitment m ay bring two types of issues, first, the news may get leaked and new employees may not be competent for the organisation. Karen perceived himself as an introvert in nature and he could write well instead of the eloquent speaker. On the other side, Kasper was could deliver a great speech and Kasper asked Karen not to discuss this recruitment with anyone. Karen could not understand what he would do now; however, he was in the HR management post more time than Kasper. Karen was thinking about taking the risks to speak against Kasper. Karen was thinking about to share the fraudulent mentality of Kasper in front of all. Karen also thought about his loss of a job because of this incident. Karen needed financial security also and he did not want to find alternative employment right now. Kasper also offered Karen a percentage of money if Karen accepted the recruitment mode from the university. The working culture of Adidas brings creativity and teamwork; it does not suit the offering of Kas per. Favouritism during the recruitment is strictly opposite what Adidas holds. Kasper shows different outside where he avers that Adidas needs such a workplace where collaborative work would be the only aim. Karen had only two choices, either follows Kasper or revolts against him. All four characters are sitting inside the conference room and four are sitting in their respective chairs. There are 10 chairs in the conference room and a giant table. Some of the chairs are vacant and Kasper Rorsted and Elena Gomez are sitting side by side. The meeting is just going to start and Karen Perkin's face is not happy at all as if he is thinking something in a grave way. The CEO of Kasper Rorsted breaks the silence. Kasper Rorsted: Hello everyone. Today we are going to discuss our contract with private universities. We are going to sign a contract for which we would be recruiting the fresh pass out students in an off-campus way. Private universities will pay a sum of money if we are agreed to this offer. I think Adidas will get the benefit for this as we are going to have new and fresh employees and monetary benefits as well. Our HR manager Karen will help this to recruit new employees from private universities. Karen Perkin: But Sir, we have some Code of Practices and we have to follow this. In Adidas, we never recruited from private universities in an off-campus way. I think it is unethical as it does provide justice to other eligible candidates. Private universities' students are fresher and they do not have maximum experiences to work in the head office of Adidas. We need experienced employees who can handle the huge pressure of work and can communicate subsidiaries and branches across the world. Kasper Rorsted: Karen, I think this contract will be beneficial for the organisation as it provides a monetary advantage to the organisation. This added value will be beneficial for Adidas and private universities' students can bring new ideas to the organisation. Karen Perkin: Then, why don't we follow the on-campus process? It would be more ethical and we can hire the best from the universities? Elena Gomez: Look, Karen, we shall charge extra money to the students who will be enthusiastic for the off-campus interview process in Adidas. Karen Perkin: That would be completely unethical and it promotes the concept of favouritism. Favouritism, cronyism and nepotism are completely banned according to the values of Adidas. We always focus values on each step we take. The existent employees, future deserving candidates, management, customers of the products, the employees from other subsidiaries will be affected by this decision. Incompetent employees will get the benefits and overall, the brand image of Adidas will be harmed. Elena Gomez (In gruff voice): Dont worry, students of Private universities are all deserving and Kasper sir does not have any issue with the decision. James, you are another HR professional in the company, cant you persuade Karen? James City: I have already talked to Karen, but Karen is stick to his decision. He wants to hire employees in a transparent way and he thinks that would help the organisation to meet the objectives. Karen Perkin: Adidas follows the culture of honesty, respect, responsibility, fairness and compassion of the employees. Doing good is often based on our values, perceptions and rules. Kasper Rorsted: Reasons for following less than ethical are definitely related to the more immediate circumstances. Here, if we agree on the proposal of Private University committee, we will get a contract of having a good sum of money in a frequent basis. Additionally, we will get new staffs through this contract. Karen Perkin (in confident voice): Since childhood, I have trained myself in a way that I will follow my values despite the opposing pressure. Here, the ethical dilemma is that should we advertise favouritism in such a way where less than deserving candidates will get the chance to get the job. Elena Gomez: We know, it is quite opposite the Utilitarian Duty Based concept where we promote the decisions and actions based on the choice. Karen, you have the responsibility to recruit the employees and you just need to follow the instruction of your CEO. James City (in suggesting tone): Karen, we have to follow our basic duties of determining the need of new employee and we have to look for the right employees. We need to create an application process and interview process for the recruitment. If we follow the contract, we dont need to make all the process of recruitment. We just need to arrange the job training and employee development. Keeping good employees within the organisation is our only motto and we can develop the private universities students as our own. Karen Perkin: It is not illegal always as it depends on why the candidates are being favoured. Here, we are doing this because of money and it does not associate with harassment or discrimination. I always believe that having skilled workplace is a blessing for the organisation and in a difficult situation; skilled and experienced employees help to increase the productivity. Kasper Rorsted (disgustedly): Hiring the right people that fit to the organisation is your sole aim and I can understand this. I am your senior and listening to the seniors is also a duty. You can understand that it is not altogether unethical if we make a contract with Private University Committee. You can think such a way that we are giving the chance to the unemployed students with a job opportunity. Karen Perkin (in a firm tone): We can do this easily if we recruit these people to the subsidiaries and branches. For the head office, this decision can backfire. In headquarter, we need people who are experienced in their field and they must be acquainted with the work culture also. Adidas is a world-famous organisation and hiring such people would make the situation worse. Employers need to pay particular attention towards bringing the best talent. In recent statistics, it is clear that 34% of the organisations in Europe follow the nepotism in recruitment and selection and we should not promote this practice. James City: We can show a false assessment test and from there we can choose our favourites! Candidates qualifications and Private University Committees decision will be judged to recruit the people. Kasper Rorsted: We can remove the interview system from the recruitment process in selecting the off-campus employees. We can direct recruit the people from our choice by starting a fake test. Karen Perkin (astonishingly): Being a CEO of an internationally famous organisation, you can say this. Monetary benefit is always not the solution. We have to judge the candidates' skills and capabilities. It is very much needed to bring the right people at the right place. We should follow the traditional recruitment and selection test banning the favouritism and nepotism in the system. Organisations must hire the people whom they think will take a place in the organisation. Elena Gomez (in disgust): Stop arguing. Implementing multi-stage interviews would be difficult for you people and it makes the process complex. I can recommend that you can take a test and you can recruit the people from this. Karen Perkin (in an angry tone): Who are you to recommend? I'm the HR manager of the organisation and I have a team to recruit and select the people. I don't think it is a rational decision to sign your contract paper. Good staffing is very much needed for our organisation so that we can fulfil our goal. Sir, (pointed to Kasper) we should follow the traditional recruitment process and I take the sole responsibility to give you the best employees who can ensure the best work. I will set a training team for the newly recruited candidates for induction so that they can understand their job role. Finding the ideal hire in this will be cost-effective for the organisation. Karen Perkin: We shall advertise on the specific requirement and I myself will make the person specification and job description. I will add the necessary skills about the new candidates and in the screening process, we will give the responsibility to the panel to select the right decision. It is very much important that we go through the selection heavily to allow the candidates to understand vision and mission of Adidas. The students of private universities cannot be the good choice for the organisation as they are new and they would be hired in an off-campus way. Therefore, it suggests that these students do not get the job in an ethical way. Kasper Rorsted (in convincing tone): Hiring responsibly is needed for Adidas as competent employees can make the organisation profitable. 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