The social responsibility of multinational corporations

Companies need to be consistent in their CSR strategies. What they do abroad needs to be in line with what they do at home or they will be seen as hypocritical. It is wrong for a company to present itself as socially responsible in Canada but misbehave in other countries. Today's consumers are well educated and can easily spot corporate malfeasance through technologies like the Internet and special interest groups. A responsible corporate record is important to a company's success because consumers find out about bad behavior and spend their money elsewhere.

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If companies want to establish consistent CSR practices, they need to educate employees about policies, practices and expectations. Many companies provide employees with a code of ethics that includes international factors such as bribery, cultural sensitivities, vendor-customer relationships, information confidentiality and the treatment of workers. Sun Life Financial has a code of business conduct designed to educate its employees. The code addresses topics such as integrity, fraudulent activity, money laundering, client confidentiality and workplace fairness. Enterprises also need to support the practice of CSR by developing a CSR budget, appointing CSR directors, and establishing an incentive system to support and encourage CSR. While companies may have a lot of policies about corporate social responsibility, they can't guarantee that every employee will act in an ethical manner. It is important for companies to hire honest employees and managers who will serve as moral role models.