What is CSR?

Business organizations are often faced with serious issues in their operations. These issues threaten the well-being of the business if not proactively and effectively addressed. The risks faced by businesses threaten to harm the organizations’ reputation and image that would translate to poor organizational performance. The issues that result from a conflict between the organization’s behaviors and the expectation of the business stakeholders threaten organizations market share through reduced consumption of products and services. Additionally, the risks give room for competition to come in and take the dominant position in the market. These issues result from poor customer services, environment degradation activities, outsourcing of business manpower and resources and other conducts that create a gap between the stakeholders’ expectations and organization conduct. Hence, business organizations need to engage in effective CSR issues management to proactively identify, monitor and address the issues that threaten to harm their operations.  

Corporate social Responsibility 

Corporate social responsibility (CSR) is the business conduct to engage in activities that show care to all stakeholders within the environment in which the organization operates. CSR incorporates business behavior that benefits the society economically, socially and environmentally. Corporate social responsibility is a concept where business organizations interact with the stakeholders and integrate their concerns in their business operations (Khan, Khan, Ahmed & Ali, 2012). CSR involves activities that contribute to sustainable development of the society. According to Schwartz (2017), CSR is the process whereby Companies express their social consciousness and develop their corporate culture towards the community and all stakeholders.  Organizations engage in activities that enhance their relationship with their employees, customers, government and the community. These activities are informed by the knowledge of the stakeholders’ expectations. CSR is simply the organization engagement with the society (Saeidi, Sofian, Saedi, saedi & saaedi, 2015). Thus, CSR is the mindful behavior of the corporate to the needs and expectations of the stakeholders.   

Organizations engage in CSR activities in an attempt to continue operating in the society and develop the society. Organizations engage in CSR as a fulfillment of the eligibility license to operate in the society (Coombs, 2014). Business organizations hold more obligations in the society and thus, engage in CSR activities to fulfill the social expectations. Companies are under intense pressure from civil societies groups and the society on issues such as human rights, provision of labor, environmental care and thus, have to engage in CSR activities (Kolk, 2016). Thus, organizations’ engage in CSR activities to meet the social expectations, acquire the license to keep operating, develop the society and uplifts the communities’ lives and gain a competitive edge in the market.  Additionally, CSR activities allow organizations to generate positive attitudes towards its operations and products and increase the consumptions of its products and services.

Why is CSR important for business organizations?

Issues Management 

Issues management is the engagement in effective strategies to address the emerging issues in the business operations. Organizations engage in Issues management to identify and control issues that threaten the business existence and operations. According to Tata & Prasad (2015), issues management is a tool used by organizations to anticipate, identify, monitor and manage the threatening emerging issues. The issues may accumulate to occurrences of concern that draw attention and criticism from the stakeholders.  Issues management is the process of building, maintain and amending relationship with stakeholders (O’Riordan & Fairbrass, 2014). Thus, issues management is the concept of proactively responding to emerging trends that may affect the running of the business.

Issues management helps organizations to proactively respond to changing shareholders expectations and trends that could potentially affect the business. Issues management allows organizations to respond to emerging trends that have possible consequences to the business (Yawar & Seuring, 2017). Moreover, Issues management launches effective responses after critical assessment and establishment that emerging issues will harm the business. Lim & Greenwood (2017) note that issues management is the proactive applications of strategic business planning, identification, analysis, monitoring, and effective corporate responsibility responses.  Therefore, Issues management is the establishment of issues and collaboration of stakeholders to avert risk and crises in organizations.

CSR Issues Management

CSR issues management involves the upgrade to the right standards the CSR activities of an organization to solve emerging issues that could have an impact on the organization. CSR issues management is a proactive management strategy that strengthens the organizations CSR and reduces the vulnerability of the organizations (Cantrell, Kyriazis & Noble, 2015). Thus, CSR issues management is a process that identifies and analyzes emerging CSR issues and responds effectively to manage potential risks.

Jojoba Company is an Australian based and owned beauty Products Company.  The organization uses CSR to project itself as an eco-friendly, responsible and customer oriented Company.  Jojoba Company engages in environmentally friendly practices on the farming of ingredients and production of their products. The organization produces pure and natural skin care products as a result of natural ingredients and appeals to the customers. Additionally, the organization farming of products ingredients removes carbon from the atmosphere, hence, promoting a healthy environment. Jojoba uses no pesticides, no chemicals, no artificial fragrance and petrochemicals in the production of their ingredients and products (Jojoba Company, 2008). Thus, the company provides to the customers’ nature-based products.

What is issues management?

Jojoba Company engages in water and land conservation. The organization farm is located in Australia near the communities in which the organizations operate from and the plantation is anchored in sustainability. Moreover, the organization products are salt tolerant and require little or no water to thrive (Jojoba Company, 2008). Thus, the organization ensures proper utilization of scarce resources such as water. 

The organization makes communication about the CSR activities through the Company’s website, social media platforms, and newsletters. The adoption of the internet technology has enabled the Company to communicate with all stakeholders.

The Australian government and environmentalist are key proponents of eco-friendly business practices in the country. Jojoba Company in recognition of this engages in environmentally friendly activities through plantations that are carbon negative. The plants remove carbon from the atmosphere. Additionally, the production of chemical-free products promotes an eco-friendly environment. The adherence to government and environmentalist groups expectations boost the brand and reputation of the company as a responsible organization that means well for the communities and country.

The organization recognizes the importance of conserving scarce resource such as water and, thus, engages in plantations that consume little or no water in their growth. This conserves the environment and ensures the communities around have enough water to use. The society-caring behaviors boost their reputation as the communities perceive them as a concerned brand.

Customers are key stakeholders in the operation of Jojoba Company and the company has ensured the production and sale of high-quality products. Additionally, the organization has provided provision of products return for exchange and refund (Jojoba Company, 2008). The provision ensures high-quality customer services and products. The production of natural beauty products boosts the Company’s brand as it packages itself as a known organization that produces chemical-free products for use by every member of the society from children, men, and women of all age. Moreover, the organizations boost its reputation as the customer-oriented organizations that can deliver and accept back products from customers if they got wrong orders or changed their minds.

Jojoba Company needs to manage the issues of energy wastage. The organization has a number of extraction plants and filters of the products up to fourteen times (Jojoba Company, 2008). The move is likely to stir confrontation with community social action groups and government regulatory agencies over extreme energy consumption.

Furthermore, Jojoba has embarked on the process of sourcing additional contemporary ingredients for their products globally (Jojoba Company, 2008). The move is likely to stir confrontation from the local communities who feel they have the potential to farm and sell the products to the company. The issue may result in local consumers boycott and reduced market for their products. Additionally, the community may perceive the organization as not committed to developing the communities and improving the lives of the locals by buying from them.

Why is issues management important for business organizations?

Jojoba Company should use the media to try and alter the expectations of the stakeholders that may make them pressure the organization. Thus, Jojoba Company should use the media to outline the benefits that all stakeholders will draw from the organization engagement with these activities.  According to Doorley & Garcia (2015), Organizations may lure the attention of the media to advance their intentions and objectives. The media is a critical tool in response to an issue in the organization through issuing of public relations messages.  There exists a positive association between the specific organization media drawn attention and the effective utilization and commitment of the organizations’ resources for the public good (Plewa, Conduit, Quester & Johnson, 2015).

CSR issues management will allow Jojoba Company to avert issues that would bring confrontation between the organization and all stakeholders’. The CSR issues management allows organizations to meet stakeholders’ expectations (Lane & Devin, 2018). The absence of conflict will keep Jojoba away from negative media coverage that would harm the brand and reputation. Through effective CSR issues management, Jojoba will identify, analyze and respond to the emerging trends and avoid conflicts. 

Jojoba Company projects its image as a natural beauty products manufacturer suitable for anyone. The company appeals to the customers to perceive them as the sole natural beauty products Company. Jojoba CSR messages are consistent with their image as they explain the natural growth of ingredients and natural manufacturing of the products. Jojoba Company products ingredients are grown naturally without any chemicals or pesticides, handpicked so that they are not contaminated and produce products free of artificial fragrances and perfumes (Jojoba Company, 2008). The beauty products customers desire natural products that may not harm them but fulfills their needs. Thus, the company is consistency with its messages in regard to its desired image and CSR messages to customers as they tell about the natural origin of the products and, the use of products for babies and mature skin.

Jojoba Company packages itself as an environmentally conscious company. The Company portrays its images as environmentally friendly through the farming of its products’ ingredients. The Company CSR messages are consistent with the desired image as they explain the eco-friendly farming practices of the product’s ingredients.  Jojoba farm plantations are carbon-positive and, they reduce carbon in the atmosphere. Additionally, the plantations grown by the Company use little or no water and, thus, conserve the scarce commodity for the use of the communities around. The lands are rarely cultivated and the plantations rarely pruned, hence, conserving the land and eliminating waste (Jojoba Company, 2008). The government and environmentalist groups advocates for eco-friendly business behavior and, thus, Jojoba packages its CSR messages to match the government and environmentalist expectations.

Case study: Jojoba Company and its CSR activities

Jojoba projects its image as a customer-service oriented company that offers high-quality services to their clients. The company CSR messages are consistent with the desired image as the organization website communicates on how to enhance customer experience. Jojoba provides a provision for the clients to return products for exchange or refund. The organization provides rewards to customers upon the purchase of products of different worth. Moreover, the website has a provision for clients to sign-up to give feedback to the company. The Company new media sites and website provide marketing information about the products, how to inquire and place an order (Jojoba Company, 2008). The availability of products information, incorporation of clients’ feedback and timely responses are at the heart of customer experience. Jojoba CSR messages are consistent with its desired image on Customers expectations.

Effective corporate communications ensure the Company promotes its brand and reputation in the industry. Jojoba Company engages various channels of corporate communications to communicate CSR messages to all stakeholders. Jojoba employs the use of Company’s website to communicate about its CSR messages and activities. Through the website, the Company informs the government and the environmentalist groups about their environmentally friendly activities in the growth of ingredients and the manufacturing of the products. Additionally, the Company uses the website to give customers products information, communicate about product return policy, give communications about rewards and seek customers’ feedback. Furthermore, Jojoba uses the website to communicate to the community members and social action groups about the CSR. The Company tells about the source of their ingredients and the water conservation activities. The use of the organization website is consistent with the CSR messages to all stakeholders’.

The Company uses the social media platforms to inform the customers about the benefits of Jojoba products and how to get them. The organization’s Facebook page, twitter handle and Instagram account communicate information about the products, photos, how the products benefit the clients and how to purchase them (Jojoba Company, 2008). Moreover, the Company YouTube channel gives video communication on the process of making their natural products. The use of new media channels is consistent with the CSR messages to different stakeholders such as customers, community, government, social action groups, and employees.

Furthermore, Jojoba Company uses the Organization newsletters to put forth information to different stakeholders about products and CSR activities. Published newsletters contain information about sales of products, testimonials, new releases and customers’ feedback (Jojoba Company, 2008). The communications through newsletters are consistent with the CSR messages to customers’ aimed at attaining effective customer’s experience. 

What are the issues that Jojoba needs to manage?

Recommendations

• Jojoba Company should periodically use the traditional mainstream media to communicate about the organization CSR. Mainstream media such as print, radio, and TV still have the highest readability, listenership, and viewership and remains as the most influential in confirmation of information. Through the seasonal use of mainstream media, Jojoba will reach to all stakeholders and outline the organization CSR activities. The use of mainstream media will promote the Jojoba brand and reputation through the coining of media messages to communicate positive CSR messages. Media engagement in corporate communication promotes credibility and legitimacy Castelló, Etter & Årup Nielsen, 2016). Jojoba mainstream media CSR messages will boost stakeholders confidence build a positive corporate image. Thus, CSR messages through mainstream media will reach a huge population of key stakeholders and draw positive reactions that promote consumption of the products and a conducive environment of operation.
• Jojoba Company should include community philanthropic programs in their CSR activities. Launching of voluntary community support and development projects will build a positive Jojoba corporate image and boost the brand and reputation in the market. The organization should involve stakeholders in the community to brainstorm the desired development projects and the running of the projects. The move will boost the reputation of the company in the community and increase the consumption of the organization’s products, have a competitive edge in the market as well as create a business-friendly environment. According to He & Lai, (2014), engaging in social interest issues attracts an effective labor force. Thus, the organization will get qualified and competent labor from the community that will actualize the organizations business objectives.

Conclusion

Corporate communication is essential in communicating the organizations CSR, boosting the Company’s brand and reputation to enhance the success of the business. However, during business operations organizations are faced by challenges that threaten the productivity of the firm. The risks call for organizations to engage in CSR issues management to identify, analyze and address the emerging issues.  

Jojoba Company is a beauty products manufacturer that engages in eco-friendly processes to manufacture natural products. The Company CSR messages address the expectation of many stakeholders. However, Jojoba must deal with the issues on energy wastage and possible importation of raw materials. The Company CSR messages on quality natural products, environmentally friendly activities, conservation of water and exceptional customer experience are consistent with the desired image as the leading natural beauty products manufacturer, eco-friendly business and customer oriented.   The company has employed the use of organization websites, new media and Company newsletters to communicate the organization CSR messages. However, the Company needs to adopt the use of mainstream media and launch voluntary society development projects to boost the organization, image, brand, and reputation. 

References

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Jojoba Company (2008, May 13). Our Farm. Retrieved September 26, 2018, from https://www.thejojobacompany.com.au/pages/our-farm 

Jojoba Company (2008, May 13). Our Philosophy. Retrieved September 26, 2018, from https://www.thejojobacompany.com.au/pages/our-philosophy 

Jojoba Company (2008, May 13). Returns, Refund and Shipping Policy. Retrieved September 26, 2018, from https://www.thejojobacompany.com.au/pages/return-refund-policy 

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