Ethical Dimensions of Social Responsibility

Ethics and Social Responsibility work hand in hand. Looking at Ethics,it can be defined as individual, occupational, organizational, or societal morals and values while Social responsibility on the other hand is the practical application of ethical concerns for the benefit of society as a whole.

Now, social responsibility deals with individuals being accountable for fulfilling their civic duty, and the actions of an individual must benefit the whole of society. In this way, there must be a balance between economic growth and the welfare of society and the environment.

Ethical dimension of CSR refers to behaviors and activities that are permitted or prohibited by organization members, community, society, even if they are not codified by law.

However, if the theory of social responsibility is built on a system of ethics, in which decisions and actions must be ethically validated before proceeding. If the action or decision causes harm to society or the environment, then it would be considered to be socially irresponsible.

The dimensions of Ethical Business have been left for interpretation by spectators and stakeholders in business but Social responsibility has been considered as one dimension of ethical business. 

In the era where business units are allowed to undertake profitable ventures with no consideration for ethics defining the contours of ethical business is the need of the hour. 

Instances of unethical behaviour are instrumental in recognising CSR as one dimension of ethics in business decisions. 

Let’s take a look at the notions of business ethics and the replacement of voluntary CSR with legislation and regulation in the wake of scams and controversies surrounding the business world.

1. Understanding of Ethics in Business: Business codes of ethics are written and formal documents which include a set of moral standards and corporate principles – rules of conduct or company philosophy concerning the responsibility to stakeholders and shareholders which help guide corporate behaviour and employees conduct.However, almost every company now has a business ethics program. In part, that’s because technology and digital communication have made it easier to identify and publicize ethical missteps. To avoid the negative implications, companies are devoting more resources to business ethics.

1. Social Responsibility as Ethical Value: It can be recognized that CSR is a part of ethical and responsible business practice for long. CSR is also a sub set of business ethics. It is not an overemphasis that the right of the firm to operate its business carries with it the duty and obligation to the environment of which it is a subset. With the finiteness of resources and multiplicity of human needs business has duties and reciprocity towards the environment for continued sustainable existence for itself and the environment. 
2. Regulation and Legislation in the area of CSR: The after math of the unethical, negative corporate behaviour as seen in various business and financial scams was deliberation for creation of standards of ethical responsibility at International arena for corporation to follow on voluntary basis. Deliberation at various platforms on the concern of social aspects of business transformed the philanthropic and ethical content to social responsibility of business with dimensions covering all stakeholders like public, society, employees, environment and shareholders.