DBA 703 ADVANCED GOOD & CSR Final Examination.docx
- 1. DBA 703 ADVANCED GOOD GOVERNACE AND CORPORATE SOCIAL RESPONSIBILITY A Final Examination Paper Presented to the Faculty of Graduate School Polytechnic University of the Philippines Sta. Mesa Manila In Partial Fulfillment of the Requirements for the Degree Doctor in Business Administration Submitted to: ____________________________ By CHICKIE D. MARSHALL February 2023
- 2. Introduction Governance is the process by which government makes and implements policy decisions that influence the finance and delivery of education to citizens of a nation. It also implies the way and manner of how power is exercised through a country’s economic, political, social and civil society to use the country’s resources for socio- economic development which have an impact on each household, individual or nation. Good governance is an act by which political process translates to the will of the people into public policies by establishing rules that will give room for efficient delivery services to all citizens of the country. Good governance can be seen as full respect of human right, participation of people in decision making, transparency and accountability, resources management, equity, access to knowledge and the likes that foster responsibility towards the realization of goals and objectives. Good governance in this study is a set of responsibilities and procedures exercise by an institution or government to provide strategic direction to ensure educational objectives are achieved through effective and efficient use of resources, accountability, and participation of people in decision-making. Good governance in education is concerned with how a school system composes policies, produce funds and expend funds, teacher preparation for teaching, scheming curricula and administration of school population (Khalique, 2010). This means school governance is responsible for school effectiveness, quality, and accountability Kadir (2019) in his study is all about the governance issues in education more specifically in the country of Nigeria focus on the examination with regard to the relationship between resources management, accountability, participatory decision-
- 3. making, and management in secondary schools. The study found out that there was a positive and significant relationship between resources management, accountability, participatory decision-making, and management of secondary schools in Nigeria. It was recommended that government should continue to ensure effective management of the resources, accountability, as well as fostering the voice of citizens through participatory decision-making towards the realization of effective management of secondary schools in Nigeria. However, in the study revealed that in good governance has something to do in their CSR to be aware and focus in their promulgating principles so that the sustainability of the organization must have continue and has achieved the financial resources including environment wherein the people in the organization could feel that there were important and has significant value. Background of the Study The principles of the corporate social responsibility of maritime training centers in the Philippines is to maximize profits with a commitment to provide the very core of maritime training centers’ vision and commitment for the benefit of maritime training personnel, managers and seafarers. Business and social benefits of the corporate social responsibility is commonly defined as an economic activity undertaken by businessmen for profit and that the businessmen serve society best when they profit the most are clearly deceptive. Maritime Training Centers are the organs of the society and do not exist for their own sake, but to fulfill specific social purpose and to satisfy a specific need of the individual, society, and community. Maritime Training Centers’ executives must look upon their power and authority in the business organizations not only with a view of
- 4. harnessing resources and combining them to produce the desired level of profitability, but also a golden opportunity for the development of the society and environment as a whole. Definitely, profit is very important and this is the objective of the maritime training centers in the Philippines. Often, it is the company’s reason for existence and possible expansion; however, business as a human activity must also serve the needs of the society where it operates. Thus, maritime personnel, managers and seafarers in maritime training centers face unprecedented challenges, because as an economic institution, the level of awareness, implementation, business, and social benefits of the corporate social responsibility of maritime training centers in the Philippines has a mission as well as responsibility to society. According to Kreitner (2009), the concept of social responsibility is far from being a new concept. It has been in existence for a long period of time, but unfortunately, it has not been and helped to grow by narrow-minded businessmen, because it would mean a diversion of part of the business’ income to activities other than business and thereby result in smaller profits. Today, the concept of social responsibility of maritime training centers no longer asks what the limitations of business enterprise are, or what they should be doing for those under their immediate authority. It demands that managers and executives take responsibility for social issues and problems and that they be the keepers of society’s conscience and help the government to solve some society’s problems. Those maritime training centers officials responsible for corporate policy should consider not only the interest of the owners of the business, but also the interest of those affected by the activities enterprise is directed towards the owners and other capital providers;
- 5. towards the employees; towards the customers; towards the suppliers; towards competitors; towards the local and national government and towards society as a whole. Richardson (2008) explained that corporate social responsibility ensures the sustainability of the business because it is a form, of risk management. It is a precaution because it can prevent the downfall of companies against the worldwide clamor to bring to an end businesses not conforming to corporate social responsibility standards. It is a value because it stresses that all stakeholders can be partners in aiming to the well-being of the society. It is a responsive strategy because it becomes a unique selling point and helps reduce social tension. Stakeholders should make certain that corporate social responsibility is not the end in itself, but instead the means through which business enterprise can help to solve societal problems and yet maintain its competitive edge in the world market. However, nowadays it is difficult at times for some companies to adopt a good sense of CSR because they often want to engage only in direct profitable ventures. According to Michael E. Porter and Mark R. Kramer (2003), the Strategic Philanthropist, companies, can benefit by engaging in CSR activities. It will focus on the cluster and improve capability of the business but CSR should make the profit at the same time. So, companies find the best strategy for making sure that business have responsibility regarding social issues and make profit at the same time. Corporate Social Responsibility (CSR) is viewed as an umbrella concept, which includes corporate citizenships, corporate sustainability, stakeholder management, environment management, business ethics and corporate social performance (Viser. W
- 6. 2005). So, corporate social responsibility (CSR) is one strategy to run the business or sometimes its core business especially in big organizations. Triple bottom line: it is very difficult to talk about CSR without looking at triple bottom line thinking (that is interactive thinking taking into consideration social, environmental and economic factors). These three indicators of CSR are shown in fig 1 below. Figure 3: Triple bottom line Source: Indstate.edu (2010) Economic. No doubt in previous business, economics has influenced our world. Every company in all sectors has focused on the benefits or profits. Some organizations want to serve only shareholders or financial reports. But nowadays it is difficult to do this if companies think about merely their own benefits by ignoring social, environment and other stakeholders. Because it is short term strategies and the firms will face several impacts of organizations. In order to sustain economic businesses, companies should not only concern about benefits of financial forms but also ethnic firms have to care to people or society and environment as well (Elkington .J 1997, p.72). From Eco-efficiency, companies have involved in competitive businesses by offering good prices, products and services to improve the quality of life in order to make
- 7. customer satisfaction. In which these processes try to reduce environmental impacts (Elkington .J 1997, p.78). Natural resource productions relate to maintaining environment and competitiveness which limited environment has created innovation of products as an eco- efficiency (Elkington .J 1997, p 109). To develop economic sustainability, all companies have to rely on ethnic businesses that they cannot run businesses without responsible stakeholders such as their staffs, customers or societies who affect directly to companies such as losing image, profits of companies and so on. On other words, the ethic’s company will receive a lot of economic benefits of organizations by using innovations to operate their businesses which can increase the company’s‟ benefits. For instance, reducing the cost of productions, creating good qualities of products and good image of media including building long run relationship with stakeholders too. It might say these are win-win strategies. Environment. All mankind is involved with the environment. Everybody has used a lot of natural resources in the whole life. Unfortunately, nowadays our environment is destroyed by people or corporations that might not care about it of which there are many impacts on our planet such as increasing pollution around the world, wastes water, climate change etc. because we don’t care about the environment enough. There are two main things of significant natural capitals reformative or replacing natural resources. Firstly, it is necessary for the reservation of life and ecosystem balance. Secondly, it can renovate or replace natural resources such as solar cells in order to limit fuels (Elkington .J 1997, p. 79).
- 8. From many countries, there are regulations to companies for their environmental performances (Elkington .J 1997, p 80). In order to protect the environment or ecosystem, we have to protect the environment by reducing the use of natural resources because some resources can renew again by using technological replacement such as using wind energy to produce electricity or recycle products and also can reduce companies cost as well. Moreover we have to protect environment at the same time by treating waste processes before sending to the environment (to main our earth). All of the above show that, in maintaining the environment it is important that all parties have to realize it. It’s not only you and me but also everybody in our world. Social. Social development is one of the important parts in triple bottom line. It might be affected to economics and environment too. Social capital is trust of people in society which some parts can measure people ability to work together in organization. These capabilities have importance to develop sustainability in every status of society (Elkington .J 1997, p 85). Social accounting focuses on evaluating people who have impacted to the corporation. The area covers training, community relations, product safety, employment, education, donation and so on (Elkington .J 199, p 87-88). For organizations, they have to be responsible communities both inside and outside because it has impact to developing companies by providing good environmental workplace, training skills, welfare, and human right. For outside organizations, it should make good relationships with society by creating activities to support or help society such as donating money into communication or improving society to become better life etc.
- 9. As researcher, it takes as an interest to apply the level of awareness, implementation, business, and social benefits of the corporate social responsibility of Maritime Training Centers in the Philippines in my course description in advanced good governance and corporate social responsibility.