Analysis regarding the size and dynamics of Corporate Social Responsibility concept

Abstract

Corporations around the world are struggling with a new role, which is to meet the needs of the
present generation without compromising the ability of next generations to meet their own needs.
The concept of CSR is underpinned by the idea that corporations can no longer act as isolated
economic entities operating in detachment from broader society. Traditional views about
competitiveness, survival and profitability are being swept away. This paper examines the
pressures for increased corporate attention to CSR and whether this attention is warranted and
likely to be sustained.
Keywords: corporate social responsibility, analysis, definitions.

Full text

Ioan Abrudan - Coordinator
Proceedings of the 4th
Review of Management and Economic Engineering
International Management Conference
„The Management Between
Profit and Social Responsibility”
18th – 20th of September 2014, Technical University of Cluj-Napoca, România
Organized by
AMIER (Romanian Managers and Economic Engineers Association)
and
Technical University of Cluj-Napoca
Todesco Publishing House
2014

ISSN 2247 – 8639
ISSN-L = 2247 - 8639

iii
CONTENTS:
Social responsibility – theory and practice
Integrating corporate social responsibility and occupational health and safety to facilitate the
development of the organizations ..................................................................................................... 2
Lucian-Ionel CIOCA, Larisa IVASCU, Simona RUS
Social responsibility in public administration .................................................................................. 8
Smaranda CÂMPEAN (TRIPON), Liviu MORAR, Emilia CÂMPEAN, Ileana ULICI (UNGUREAN)
Social responsibility– pillar of the company strategy. Case study .............................................. 14
Daniela CREȚU, Andrei Radu IOVA
A new perspective on Zara’s social responsibility and consumer’s perception of the Zara
fashion brand ..................................................................................................................................... 22
Dana Teodora DRAGONICI
Modern management in Jiu Valley SME’s, a solution to a possible social disaster of a mono
industrial area .................................................................................................................................... 31
Eduard EDELHAUSER, Lucian LUPU DIMA, Csaba LORINȚ
Corporate Social Responsibility in small and medium enterprises from a managerial point of
view ..................................................................................................................................................... 40
Cristina FENISER, Florin LUNGU
Legal Considerations on International Corporate Social Responsibility Standards ................. 46
Gabriela FISTIS, Caius Tudor LUMINOSU, Cristina BORCA
Study regarding the visibility of corporate social responsibility practices within the Romanian
business market ................................................................................................................................ 52
Bogdan FLEACĂ, Andreea DUMITRESCU, Elena FLEACĂ
Insights into the social responsibility developments with respect to environmental protection
concern ............................................................................................................................................... 58
Elena FLEACĂ, Bogdan FLEACĂ, Olivia NEGOIȚĂ, Octavian NEGOIȚĂ
A study of the corporate social responsibility of the year 2014 nominated “10 best us
companies to work for” .................................................................................................................... 65
Emeric Ovidiu LAPOSI, Ioan Simion DAN
The place and the impact of the social economy in Romania ...................................................... 70
Mihaela Ioana LEȘE, Liviu MARIAN, Ionela MANCIU
Corporate Social Responsibility and Christian Social Thought. Are they sharing commonalities
or are they relating to parallel worlds? ........................................................................................... 75
Remus LUNGU, Florin LUNGU
Managers and Engineer Economists between Social Economy Development and obtaining
Profit ................................................................................................................................................... 88
Liliana Doina MĂGDOIU, Ioan Constantin RADA
The management of the Danube Delta as an international ecotourism destination: between
profit and social responsibility ........................................................................................................ 95
Tudor NICIPORUC, Dragoş Tudor VANA
Arguments for undertaking social responsibility .......................................................................... 99
Mirela POPA, Irina SALANŢĂ

iv
The implication of Corporate Social Responsibility on the sustainable development
in Romania ....................................................................................................................................... 106
Roxana-Mihaela SIRBU, Cristina BORCA, Anca DRAGHICI, Oana Ramona LOBONȚ
Capitalization as social responsibility of corporate governance in majority state-owned
economic entities ............................................................................................................................ 115
Sabin SISERMAN
CSR in automotive: fad or key to success? The case of Romanian car manufacturer Dacia . 126
Attila TURI, Marian MOCAN, Sorin-Ioan MAISTOR
Organisational practices
Management skills improvement through Corporate Social Responsibility programs ........... 134
Sofia ALEXE, Paul BARU, Claudiu ABRUDAN
Online shopping key features analysis in Mures county ............................................................ 142
Elena-Iulia APĂVĂLOAIE, Liviu Onoriu MARIAN, Elena Lucia HARPA
Corporate social responsibility in Romania: from conceptual frameworks
to concrete actions .......................................................................................................................... 150
Virginia BĂLEANU, Sabina IRIMIE, Sabin IRIMIE
Perspectives on CSR and cultural dimensions: the case of an American subsidiary
in Romania ...................................................................................................................................... 158
Cassandra Victoria BORDEANU, Alina Aida DRĂGAN
Future managers’ perspective on societal culture: A comparison between Romania and
a cluster of former European socialist countries ........................................................................ 164
Doina CATANĂ, Gh. Alexandru CATANĂ
Characteristics of Communication in Romanian Companies ..................................................... 171
Simion CECAN, Liviu Onoriu MARIAN
The management of team competencies ...................................................................................... 180
Ciprian CRISTEA, Iulian BIROU
Creating competitive advantage through sustainable value chain: insights on automotive and
textile industry ................................................................................................................................. 186
Sunhilde CUC, Constantin BUNGAU
Management of advertising campaigns with children as target audience – between profit and
social responsibility ........................................................................................................................ 197
Dan MIRICESCU, Mihaela Laura BRATU
Vehicle sales analysis ..................................................................................................................... 209
Dorle NELU, Liviu MORAR, Emilia CÂMPEAN, Ileana ULICI (UNGUREAN)
A simple model for employees awareness increase. Concrete improvements ........................ 213
Traian DRĂGAN, Liviu MORAR, Emilia CÂMPEAN
Is CSR a company strategy or a managerial style decision? ..................................................... 219
Emanoil DRAGANESCU, Paul BARU
Work motivation for educational managers ................................................................................. 224
Carmen Sonia DUȘE, Dan-Maniu DUȘE
Innovation and Communication in CSR. A perspective for the Romanian Companies ........... 231
Bogdan GRIGORAS, Simina MOLDOVEANU

v
Analysis of the most important variables which determine innovation among rural
entrepreneurs .................................................................................................................................. 237
Elena Lucia HARPA, Liviu MARIAN, Sorina MOICA, Iulia Elena APAVALOAIE
PLM concepts and competitive design for high-end office furniture ........................................ 246
Oana IAMANDI, Bogdan GHERMAN, Calin VAIDA, Mihai DRAGOMIR, Florin POPISTER
The community’s perception on the initiatives of corporate social responsibility.
Case study ....................................................................................................................................... 253
Andrei Radu IOVA, Daniela CREȚU
Marketing practices adopted in Romanian small and medium enterprises .............................. 259
Șerban MICLEA, Monica IZVERCIANU
Analysis regarding the size and dynamics of Corporate Social Responsibility concept ........ 270
Alina MOLDOVAN, Elena-Simina LAKATOS, Laura BACALI, Oana-Bianca BERCEA, Leda RÎPĂ
Realities and trends on the Romanian logistics market ............................................................. 277
Gina-Maria MORARU, Dan MIRICESCU, Thomas MOSER
The Chamber of Commerce between profit and social responsibility ...................................... 283
Anca Mihaela REDES (married GIURGIU), Liviu MARIAN, Ioana LESE
The CSR Prospects in Romania and Slovakia: A Comparative Study of the CSR-Related
Preferences of the Future Managerial Generation ....................................................................... 290
Anna REMIŠOVÁ, Anna LAŠÁKOVÁ, Doina CATANĂ
The road to entrepreneurial success: entrepreneurial characteristics vs.
social responsibility ........................................................................................................................ 301
Matei TĂMĂŞILĂ, Ilie Mihai TĂUCEAN, Claudiu Tiberiu ALBULESCU
Level of job satisfaction of medical and non-medical personnel of
Trauma University Hospital in Tirana ............................................................................................ 315
Gaqo TANKU, Piro TANKU
Efficiency in organisations
Current status of the interferences between technology diffusion
and marketing management ........................................................................................................... 324
Nadia BARKOCZI, Laura BACALI, Mircea LOBONȚIU
Leadership competencies for succesfully implementing change
in Romanian organizations ............................................................................................................. 332
Paula BĂSU, Costache RUSU
The directions for improvement in polish and Romanian enterprises
in applying the principles of social responsibility ....................................................................... 339
Nadia BELU, Agnieszka MISZTAL, Marcin BUTLEWSKI , Nicoleta RACHIERU
Applied study concerning the development of tools to control the state
of financial balance ......................................................................................................................... 345
Vasile BÎRLE, Gabriela LOBONȚIU
Aspects regarding the transformation of strange attractors from quasi – stabiltiy toward full
blown chaos ..................................................................................................................................... 353
Ștefan Radu BOGDAN, Liviu MORAR, Cristian GELMEREANU
Using the value analysis method for redesigning the management of Hunedoara Energy
Complex S.A. ................................................................................................................................... 360
Florian BUSE, Sorin Iuliu MANGU, Gheorghe Florin BUSE

vi
Analysis of the external general environment of the logistic market in Romania .................... 370
Dănuţ Dumitru DUMITRAŞCU, Wiegand Helmut FLEISCHER, Thomas MOSER
Reverse logistics in Romania, a point of view of electrical
and electronic products retailers ................................................................................................... 377
Cristina Mihaela GHEORGHE, Raisa Floralia RADU
Employees’ risk attitudes and the linkage to organizational security and health in the
construction industry in Romania ................................................................................................. 385
Andrada-Iulia GHETE, Lorena BALAN
A New Approach on Software Self-Assessment Tool Based on EFQM Model ......................... 390
Andreea IONICĂ, Monica LEBA, Remus DOBRA
Strategic planning horizons used by both small and big companies
from the north-west Romania......................................................................................................... 399
Gabriela LOBONȚIU, Vasile BÎRLE, Nicolae UNGUREANU
Mathematical model for improving the efficiency of productive organizations ....................... 407
Ionela MANCIU, Liviu MARIAN, Anca Mihaela REDES (married GIURGIU)
The Framework of methodology for identification of organizational maturity
with assessment of excellence level of logistics systems ......................................................... 415
Anna MAZUR, Agnieszka STACHOWIAK
Using protégé and jess in the management of product development ....................................... 423
Adrian PETROVAN, Mircea LOBONȚIU, Nicolae UNGUREANU
Transposing the constraints into feasible alternative solutions within renewable energy
projects ............................................................................................................................................ 431
Gabriela PROSTEAN, Cristian VASAR, Andra BADEA
A complexity management model for industrial services ........................................................... 439
Frank RENNUNG1, Daniel PASCHEK2, Anca DRAGHICI
Inсrеasеd соmреtitivеnеss thrоugh imрrоvеd соmреtеnсеs transfеr bеtwееn
univеrsitiеs and оrganizatiоns ....................................................................................................... 450
Соstaсhе RUSU, Еlisabеta JABA
Considerations on improving touristic services in Romania ..................................................... 458
Ancuța-Maria SIGMIREAN, Liviu MARIAN, Amelia BOROȘ
Quality management tools used as competitive assets in car sales ......................................... 466
Ileana ULICI UNGUREAN, Liviu MORAR, Emilia CÂMPEAN, Nelu DORLE, Smaranda CÂMPEAN
(TRIPON)

270
Analysis regarding the size and dynamics of Corporate Social
Responsibility concept
Author(s)*: Alina MOLDOVAN1, Elena-Simina LAKATOS2,
Laura BACALI3, Oana-Bianca BERCEA4, Leda RÎPĂ5
Position: Ph.D student1, Ph.D2, Professor, Ph.D3, Student4,5
University: Technical University of Cluj-Napoca1,2,3,
Organizational Start and Development Center, Cluj-Napoca, Romania4,5
Address: Memorandumului Street, 28, 400114, Cluj-Napoca
Email: aalina.moldovan@gmail.com1, simina.lakatos@mis.utcluj.ro2,
laura.bacali@mis.utcluj.ro3, bianca_bercea@yahoo.com4, leda_ripa@yahoo.com5
Webpage: http://www.utcluj.ro
Abstract
Corporations around the world are struggling with a new role, which is to meet the needs of the
present generation without compromising the ability of next generations to meet their own needs.
The concept of CSR is underpinned by the idea that corporations can no longer act as isolated
economic entities operating in detachment from broader society. Traditional views about
competitiveness, survival and profitability are being swept away. This paper examines the
pressures for increased corporate attention to CSR and whether this attention is warranted and
likely to be sustained.
Keywords: corporate social responsibility, analysis, definitions.
Introduction
One cannot establish the exact “date of birth” of the CSR concept or of the first non-formal
movements that promoted it. There is, though, a certain concord according to which the concept
was born in the 60s-70s in the USA, considered the most liberal market. After an enthusiastic
adoption of the concept in Europe in the 80s-90s, the corporate social responsibility concept was
easily added to the Romanian management vocabulary.
The social responsibility of the companies means achievement of economic success in an ethical
manner, having regard for the economic, social and natural environment. The CSR must be in
concordance with the ethical, legal, commercial and other expectations of the society and make
decisions that balance the needs of the interested parties.
While analyzing the CSR concept, Bibu and Nastase (Bibu & Nastase, 2010) referred in their study
to Bowen, Donaldson and Wood, registering aspects connected to the term „corporate social
responsibility”, introduced for the first time in 1953 by Bowen in the study Social Responsibilities of
the Businessman (Bowen, 1953).
Bowen asserts that a company is compelled to “follow those policies, make those decisions or
follow those action lines which are desirable in terms of social objectives and values” (Bibu &
Nastase, 2010).
Davis defines CSR in 1973 as “the corporation’s problem approach and analysis, excelling beyond
the economical, technical and own legal (of the company) requirements which lead to achieving
social benefits and accumulating the traditional economic benefits the company has proposed”. On
the other hand, Lantos (2001) differentiates three types of CSR politics, focusing on the nature
(mandatory or voluntary) and the purpose (to be beneficial to shareholders, to other investors, or to
everybody) of the CSR activities of these corporations: ethical, altruist and strategic. Lantos’

271
strategic CSR politics leads to achieving the strategic goals of the corporations, also promoting
welfare in the society.
In a complex and dynamic environment, Corporative Social Responsibility becomes a more and
more prominent factor in the academic and business circles. Corporations have won
socio-economic power due to the increasing number of branch offices, of employees, of purchasing
and selling power, held in relation with the supply and distribution services, and the increased
impact corporations have on clients through the prices and product quality strategies and practices.
Another statement about CSR belongs to Donaldson (Donaldson, 1983), who regards the social
responsibility as a contractual obligation of the companies towards the society. Companies have a
central role in the society, and this allows them to use both the human, and the natural resources in
order to perform their tasks in production and to achieve the power status. It results that the society
has certain implicit social rights: in exchange for the right to exploit the resources in the production
process, the society can claim its right to control this process. The specific character of this contract
type can be changed as the social terms change too, but, generally, this is the legitimacy ground of
the CSR demand or assentation.
Wood extends these ideas, by identifying three principles of corporate social responsibility to be
followed (Wood, 1991):
1. The companies are „social institutions” and this compels them to use their power in a
responsible manner;
2. The companies are responsible for what they offer the environment in which they are active;
3. The managers are „ethical agents”, compelled to exercise responsibly their decisional
prerogatives.
Figure 1. Development of CSR concept approach
Source: (Freeman, 1984); (Stark, 1993); (Hussain, 1999); (Phillips & Margolis, 1999); (Borzaga & Defourny, 2001);
(Warhurst, 2001); (Graafland, 2002); (Korhonen, 2002); (Phillips, 2003); (Amaeshi & Adi, 2006); (Duff & Bull, 2011).

272
There are many ways to define the social responsibility of the companies, but in simple terms
CSR can be described as “all the actions performed to promote a certain social interest, beyond the
direct interest of the organization and beyond law demands” (McWilliams & Siegel, 2000).
The organizations are living entities that share motivations similar to those of the individuals
(Badrus, 1989). Each organization has a distinct personality, named organizational culture.
This culture is constructed around a complex set of convictions and suppositions that build a mental
pattern of people’s beliefs (Fig 1.) about how the world should be (Barrett & Murphy, 1998). In the
book „Implementing Effective Corporate Social Responsibility and Corporate Governance” we find
a pattern according to which the corporations improve their performances guided by the changes
that take place among stakeholders (Rosam & Peddle, 2004).
Transparency in Corporate Social Responsibility Practices
Many players of the business sector of a country confront issues like the way of developing their
activities in competition with other inland or foreign players. Besides the existing competition
policies in the business sector, the transparency of the business sector is an important evaluation
criterion of the business sector of a country and a method to increase the number of investors on
that market. From this point of view, the Romanian legislation stipulates that no matter if the social
capital of an economic player is autochthonous, foreign or a mix of the two, all participants in the
economic process have the same rights and obligations.
Transparency, in every economic or social activity, refers to providing information regarding the
activity of the economic organizations to all the interested parties.
There are some principles directly affecting transparency established by EU Treaty. The
representative democracy principle enshrines the right of every citizen to participate in the
democratic life of the Union and ensure that decisions shall be made in a way as open and as close
to the citizen as possible. It is also recognized the right of citizens, of representative associations
and civil society to make their opinions public, and the Union shall maintain a continuous dialogue
and consulting sessions with these structures through the Commission.
Complete, objective and consistent information of financial nature or in connection with the mission
and strategic planning of activities that can have repercussions on the public life should be provided
all the time. Transparency allows any person on whom an act of an entity produces an effect to
know the reason of it. In return, the entities receive feedbacks consisting of a thorough assessment
of their work.
The lack of transparency in decision-making organizations, along with other deficiencies of the
regulatory activity, leads to low confidence in the strength and importance of the company activity to
the benefit of society. Insufficient consultation on social actions causes a frequent changing of
results, leading to increased instability and not providing the necessary security of the social
framework existing in Romania.
Transparency is a prerequisite for successful CSR strategies. It gives credibility to the CSR policies
and programs of companies. Two of the most important ways to make the CSR policies transparent
are assessment and reporting. To understand how assessment and reporting became necessary
we must follow the evolution of the CSR concept (Oancea & Diaconu, 2013).
Transparency is a necessity and its rigors are the only tools that give consistency to the corporate
ethical discourse. As an ethical management strategy, CSR covers all four dimensions of business
impact: the market, i.e. shareholders and business partners of the company, customers, suppliers,
distributors, clients, creditors; workplace i.e. employees and syndicates; local communities and the
environment. Transparency is a prerequisite for effective communication between the company
and stakeholders.

273
Performance Measurement and Communication
The social responsibility report is the information about the situation of a company at some point in
terms of social responsibility by taking into account the opinions of different interest groups. It
reveals the attitude and commitment of the company and its credibility regarding CSR and
sustainable development. The quality of the report can be assessed by specific criteria:
• Reporting quality;
• The quality of strategic analysis;
• Presentation quality.
We can say that a social responsibility report should not be exclusively self-declaring, but to be
relevant it must be externally certified by experts (third parties). To achieve its objectives, the
process of conceiving the report must meet the expectations of the parties involved. It is
recommended that the report to be: active and open, relevant and timely, reliable, to have
partnership value, to be credible and verifiable, provable, clear, comparable and accessible. It is
desirable to establish a pre-report containing all the essential information of the report:
• The CSR/sustainability vision of the company;
• Reflection on the main CSR issues and challenges;
• The results of the undertaken actions (performance);
• Conduct policies and the chosen progress direction;
• External views on the company and its policy of social responsibility.
Social reporting purposes
Social reporting within a company, besides evaluating and communicating the way the company
works, also contributes to credibility building. It is necessary that the interested parties to be
convinced that those actions ensure the sustainability of the company and the sustainable
development of the community.
International Standards for Corporate Social Responsibility
On the background of the higher exigencies of the communities and governments towards social
responsibility there has been created a set of principles, codes, standards etc. The standards
related to CSR (Table 1) are of a major importance worldwide, offering interested parties a
guarantee of the level of corporate social responsibility.
The term “standard” in this case is used to designate “a document that seeks to influence the
behavior of the organizations so that it can be noticed and reproduced in order to improve the social
responsibility performance of the organization in which it has been implemented” (Ungurean, 2013).
The standards are the interfaces between the international reference principles that the company
adheres to and its internal values. Therefore, these standards relate to different fields such as:
process standards, reporting standards, result standards, standards for specific sectors.
Future Directions in Approaching Corporate Social Responsibility
While most research efforts have been made up to this moment, either descriptive or normative, the
understanding of the institutional arrangements and practices has proven itself to be a new study
area awaking considerable concern.
In a world where the forecasts about the future of the human kind are coupled with increasing
population number, water, food, energy, climate change, deforestations, bio-diversity and a series
of other aspects, the image of the future seems not to be optimistic at all. Actually, the situation
seems to be extremely somber. Though, a serious attempt to install the necessary CSR
mechanisms, on the side of the corporate entities, of the governments and of the international
organizations, will contribute, by providing solutions, to the assistance of human kind in its efforts to
solve the environmental issues, instead of amplifying them.

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Table 1. CSR standards: illustration and classification
Standard Types Standard Names
Management
processes
 AA 1000
 Institute for Social and Ethic Responsibility
 SIGMA (The Sustainability Integrated Guidelines for Management)
Reporting  GRI (Global Reporting Initiative)
 PERI (Public Environmental Reporting Initiative)
 OECD Recommendations (Organisation for Economic Co-operation
and Development) Project of theEuropean Union
 WBCSD Menu Guide (World Business Council for Sustainable
Development)
Results  SA 8000
 ISO 14040
 Balance Score Card
 IRRCi (Investor Responsibility Research Center Institute)
 Through WRI Atmospheric Emissions (World Resources Institute)
 OECD
 ISO 26000
Sectoral  In the cement industry CSI (Cement Sustainability Initiative)
 In the forestry sector FSC (Forest Stewardship Certification)
 In the chemical industry ICCA (International Council of Chemical
Associations)
 Conduct codes in the pharmaceutical industry
Source: (adapted from Dubigeon, 2002)
Secondly, the CSR allows the companies to re-evaluate their activities, not only from the
environmental point of view, but also from a broader perspective, by starting a discussion about the
measures that must be taken in order to develop sustainable industrial practices, both in the
developed countries and in the developing ones.
During the implementation process of CSR practices, the companies have the opportunity to
interact both with their customers, and with the suppliers in order to prove their engagement,
gathering the marketing benefits or simply improving their image and reputation among the
purchasers of their products or services and among those with whom they interact along the
supply-chain.
There are also other reasons why we should be concerned about the future of the CSR. The
industrialists and CSR experts worldwide believe that, even if some of the problems caused by
certain industrial sectors are constantly diminished due to the higher levels of CSR engagement,
the frail practices from other sectors will bring new economic, social and environmental problems.
The CSR engagements can be developed both qualitatively, and quantitatively, in the rhythm of the
industrial development, but the higher demands for time and resources, as well as other logistic
issues, could hinder the engagement of a large number of companies in CSR efforts. The causes of
this apparent dilemma are well known: the CSR compels those who make decisions in the business
community to balance carefully productivity and resource consumption, taking into account
important values like ecologic integration and social cohesion.
The future of the CSR, both in the developed and the developing countries, seems to be promising.
UNO and some governments are applying meritorious measures, meant to secure the survival in
time of our planet. In the past pursuit of productivity and profitability, many actions were performed
by corporate entities, with no regard for the future consequences upon the environment and the
natural resources. Some of these effects have become obvious for all of us. It is no longer
necessary to say that now is the right moment to act, no matter the position we have in this world.

275
Within the framework of the Conference on Climate Change from Bali, the General Secretary of
UNO, Ban Ki-moon, observed, immediately after the „Map from Bali” (adopted by the 185
participating countries), that it was „a first essential step, towards an agreement that could eliminate
the threats of climate changes, the definitive challenge of our times”. This statement can be
interpreted as a sign of the CSR (and its sub-assemblies) future, but only and only if we take the
challenge.
If not supported by actions from all countries - big or small, rich or poor, dismissive to their
characteristics- and by the aggregated actions of the business world in partnerships with the
NGOS’ and the entire civil society’s, the adoption of the Map could become a missed occasion to
prevent a catastrophe of the Earth and of the human kind.
ACKNOWLEDGEMENT: This paper is supported by the Sectorial Operational Program Human
Resources Development POSDRU/159/1.5/S/137516 financed from the European Social Fund
and by the Romanian Government.
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