AFM131 Chapter Notes - Chapter 5: Corporate Social Responsibility, Canadian Tire, Triple Bottom Line

• School: University of Waterloo
• Department: Accounting & Financial Management
• Course: AFM131
• Professor: David H A

Document Summary

Ethics: behaviour that is accepted by society as right vs wrong. Ethi(cid:272) (cid:272)odes are di(cid:448)ided i(cid:374)to t(cid:449)o (cid:271)road (cid:272)ategories : compliance-based ethics codes: emphasize unlawful behaviour by increasing control and penalizing wrongdoers, integrity-based ethics codes: defi(cid:374)es orga(cid:374)izatio(cid:374)"s guidi(cid:374)g (cid:448)alues, supports ethically sound behaviour, and stresses shared accountability among employees. Whistleblowers: people who report illegal or unethical behaviour: outsiders must be told about the ethics program, ethics code must be enforced. Corporate social responsibility (csr): (cid:271)usi(cid:374)ess" (cid:272)o(cid:374)(cid:272)er(cid:374) for (cid:449)elfare of so(cid:272)iety; (cid:272)o(cid:373)(cid:373)itted to i(cid:374)tegrity, fair(cid:374)ess, a(cid:374)d respe(cid:272)t. Companies with good ethical reputations attract and retain better employees, draw more customers, and enjoy greater employee loyalty. Corporate philanthropy: includes charitable donations (i. e. canadian tire jumpstart charities). Corporate social initiatives: includes enhanced formed of corporate philanthropy that are more directly related to (cid:272)o(cid:373)pa(cid:374)y"s (cid:272)o(cid:373)pete(cid:374)(cid:272)ies. Corporate responsibility: includes everything from hiring minority workers to making safe products. There are t(cid:449)o differe(cid:374)t (cid:448)ie(cid:449)s of (cid:272)orporate respo(cid:374)si(cid:271)ility to stakeholders .