Corporate Social Responsibility Reporting Questions

CorporateSocial Responsibility Reporting


  1. CSR reporting is the process by which a company communicates its corporate social responsibility progress.

  2. Theories for explaining CSR practice include instrumental principles, maximizing the value of shareholders, a strategy for earning competitive advantage and political theories (Hanke &amp Stark, 2014).

  3. The conceptual basis for CSR in firms is realizing the responsibility of the firms towards the society (Hanke &amp Stark, 2014).

  4. There are different sources of motivations for firms to engage in CSR. For some companies, it is their values and culture. In countries like Australia, it is the high amount of media attention directed towards CSR issues.

  5. Climate change presents an opportunity for firms to put in their efforts towards sustainable environmental practices.

  6. Carbon tax




Cleandevelopment mechanism.

  1. The current voluntary CSR reporting tends to be self-laudatory with minimal adverse disclosures. Regulation will improve the quality of reports in the interests of the communities.

  2. Global Reporting Initiative

InternationalFederation of Accountability Sustainability Framework

TheKyoto Protocol

TheWorld Bank’s Prototype Carbon Fund

TheEuropean Union Emissions Trading Scheme

  1. The governing agencies in charge of regulation are currently awarding certificates that lie about the actual value of emissions from firms to create a good impression of the companies.

  2. Energy used during the year

Thecompanies` goals to reduce emissions

Financialimplications of such goals

Financialgains from reduced energy consumption

Environmentalinformation available to employees

  1. The Tokyo Protocol is a multi-nation agreement that includes over 165 countries. It came into implementation in 2005 based on the fact that nations share the atmosphere and they have common, differentiated duties to reduce emissions. Countries have targets to reduce greenhouse gas emission and emission trading mechanisms.

  2. Global Reporting Mechanism is an organization that sets standards for sustainability reporting. It spells how firms should communicate their social, environmental and economic performance.

Exercisesand Problems

  1. a. Environment: CCA aims at conducting business in ways that conserve the environment.

Target:to have the best practice in water use

Program:Water stewardship

b.Marketplace: CAA aims to offer commodities that meet customer needs.

Target:Increase non-sugar beverages in the market

Program:Responsible product marketing

c.Workplace: To achieve business success by highly motivated, committedand productive workforce

Target:To increase diversity

Programs:Safer workplace

d.Community: To foster goodwill within the communities through variousinitiatives

Target:To have more staff volunteering

Program:Coca-Cola Staff volunteering days

  1. Company: ABC Inc.

Bothcompanies comply with sustainable requirements of GRI-G3. Theirapplication levels are at A+

Bothcompanies do not provide future assurance that they will maintainGRI-G3 guidelines. The reports lack estimations, targets and theiranticipations of future fulfillments of the enterprise.

  1. The company selected is McDonald`s in the food industry. The primary motivation for the company was to gain a competitive advantage by showing it support to the community. Such a report is likely to contain accomplishments and efforts that the company is making towards environmental conservation and assistance to community projects.

  2. Comparison between Toyota and ABC Inc.

WhileABC Inc. insists on environmental responsibilities towards thecommunity, Toyota Company stresses on social relationships. It aimsat fostering positive interactions with its stakeholders andmaintaining good relations throughout.

ABCInc. has invested in a disaster assistance fund, which is absent inToyota’s report.

  1. Modco’s CSR policy is to contribute to the growth of education and health in the communities. It provides financial aid to local farmers and the poor people. It has the policy to offer food at affordable prices. Modco has a good reputation in the society.


Hanke,T., &amp Stark, W. (2014). Strategy Development: ConceptualFramework on Corporate Social Responsibility. Journalof Business Ethics, 85(3):507-516