CORPORATE SOCIAL RESPONSIBILITY

Three major multinational company's corporate social responsibility



Three major multinational company's corporate social responsibility

Introduction

The CSR concept can be traced back to the 18th century when companies started to recognize the importance of having an efficient workforce. Insufficiencies in food, housing and healthcare had a negative effect on the workforce's efficiency and as a result of that, companies started to invest in medical facilities, housing and subsidized food for their own employees. From the companies' point of view this philanthropic act was really coming from an enlightened self-interest (Brown. 200i p. 18).

The contemporary CSR originated in the 1950's or 1960's mainly due to two principles. The principle of charity suggests that those who are well off should give to those less fortunate. The second one is the principle of stewardship that says that companies have an obligation to serve the public's interests because the power and wealth that companies enjoy come from the society they work within and they should therefore serve the society's needs. This affected how companies were perceived by governments, press and other groups which led to the birth of new more socially responsible laws (Sims. 2003. p. 48).

Comparison BP, Exxonmobil and Shell

We have examined the strategies of ExxonMobil, Shell, BP websites. The selection of these companies is based on several considerations. First, we expect that the strategies chosen by these companies vary significantly. Secondly, these four 'majors' represent some of the world's largest enterprises (prior to the Chevron Texaco merger they were the four largest private oil companies). Hence, in terms of size, outreach and providers of energy to fuel the economy, these four companies are likely to be key players in the regions and countries in which they operate. Third, the selected companies can also be seen as industry leaders.

Hence, our findings could plausibly indicate where the industry as a whole is heading. The study draws primarily on secondary sources, including assessments of company literature and the web-sites of the four companies. A substantial literature search, including newspapers and journals, was also carried out. For the studies on Shell, BP , we conducted interviews with company officials. For more comprehensive and detailed rundown of the strategies and statements of the individual companies, see the associated company studies (Tangen, 2003; Christiansen, 2002; Skjærseth, 2003; ECON, 2002).

Customer social responsibility

The company websites of ExxonMobil, Shell, BP , however, reveals substantial differences in their strategies. Variations are identified with respect to the language used by the companies in addressing macro CSR challenges, and the amount of attention paid to particular social responsibility issues in external communications. In general, the company websites of ExxonMobil pays less attention to CSR than does that of BP and Shell. The two latter companies also appear to frame their sphere of responsibility in broader terms than ExxonMobil do. For example, all company websites declare their support of the Universal Declaration on Human Rights, but only BP and Shell support the Sullivan Principles (voluntary business ...