Social Responsibility and Management

Introduction

During this century there has been much change in what society expects of its institutions and in what managers regard as the proper roles in organization. This change has gradually developed into a new concept of corporate social responsibility. Increasingly many managers are adopting the view that besides the obligations they have to their organizations, they have a personal responsibility to the society. Managers are increasingly being held accountable for the social effects of their actions. The questions however remain of where such social responsibility begins and where it ends. For example:

•    should managers place the interest of stockholders before those of society or environment?
•    should a company be responsible for the social consequences of its operations e.g. When drunken husbands assault their wives should Kenya Breweries be held accountable?
•    what does the company owe to its employees, suppliers, customers and the community?
•    should a company contribute to the welfare of society? E.g. pay fees for destitute children or repair roads?

Such are the questions that arise when corporate social responsibility is considered.