ACTG 2011 Lecture Notes - Corporate Social Responsibility
14 Jan 2013
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Document Summary
A business may have important non-financial objectives which will limit the achievement of financial objectives. The provision of employee welfare is an important objective; this relates to issues such as wages. & salaries; comfortable and safe working conditions, training and development; pensions etc. The value of many businesses is critically-dependent on attracting and retaining high quality employees which makes managing the welfare of such people even more important. As all marketers understand, a critical activity of business is to understand and meet the needs and wants of customers. In the long-term, this objective is the foundation for a financially successful business. Non-financial objectives under this heading would include meeting defined delivery standards, product quality, reliability and after-sales service levels. Management can, and do set objectives which are essentially about their own welfare. These include objectives in relation to pay and conditions. Responsibilities to suppliers are expressed mainly in terms of trading relationships.
