Corporate Social Responsibility has a main
aim that is attracting business entities to consider their activities effect on
the community members including the company's shareholders and other
stakeholders. The triple bottom line explains that three goals exist for
corporations to achieve which are the social, economic and environmental goals.
Corporate social responsibility is an
approach that tries to improve the business sustainability through adding
advantage to the society related to the environment, economy and society. Managers focus on many aspects that are
relevant to applying CSR including health, safety, people, education, rights,
environmental issues, work environment and others that can help in improving the
economic status in a community. Corporate social responsibility is the firm's
responsibility towards the community and the society and this is base3d upon
three types, the environmental responsibility, economic responsibility and
social responsibility. Long term sustainability of the business organization
depends on CSR and applying the three aspects related to it. The three aspects
have to be applied in a balance that ensures reaching long term sustainability
which helps the company strengthen its market business and reputation and
profits as a result. The triple bottom
line that has been issued by John Elkington tells that the company should have
three basic bottom lines which can include main three Ps which are profit,
people and planet. (Elkington ,1998). Profit is the first in the bottom line
and it is related to the company's revenues and profits, the second is people
who are related within the company's stakeholders and the third is planet that
account for the company’s activities related to its corporate social
responsibility and how far the business is applying it throughout time.
Kuwait Oil Company is one of the biggest
oil companies in Kuwait and the Gulf area as it was established in Kuwait in
1934. The company has a plan for ensuring long term sustainability through its
corporate social responsibility development. The company has many activities
related to the three basic areas related to CSR and there are many proofs on
that on the social, environmental and economic levels and this is included
within the 2030 strategic plan of the company. KOC studies the present and
future needs related to environmental and social matters in the society of
Kuwait and then it tries to face any problems that are found in Kuwait in that
regard.
Economic responsibility has a very important role that relates to
the company's stakeholders which makes the company's management able to make
more profits and to improve the business market position and ranking. In KOC
2030 strategy, the company has many items that can add too much to the economy
including using petrol to improve the strategic value, improving the business
performance to raise profits and minimize the flaring of the gas to reach one %
instead of 17 % in the past which is a great responsibility that helps the
company decrease its costs to improve the economy. On the environmental level,
this is another responsibility as it helps the company share in pollution
reduction in Kuwait. Efforts done by KOC are asserted by the world bank related
to gas flaring as the company had set a specific plan for maximizing the home
usage of gas and this helps in imprisoning the associated gas and stop gas
wasting and emission which helps the environment greatly. The KOC annual
report, among the most important goals of KOC, there is cost saving that uses
both innovation and technology in different business areas to reduce costs and
at the same time help in the heavy petrol reservoirs improvement and
development. The company has also made good contracts for offshore drilling in
order to support its financial position in the market. (KOC, 2017).
Environmental responsibility is the second type of responsibility
applied by KOC management and it is based on main activities that help keep the
environment clean and protect it from harmful elements in addition to keeping
its resources healthy. The company also tends to manufacture in a way that
ensures health and safety related to the environment with low pollution levels
and less costs of production in order to reach competitiveness of the company
in the global market. KOC policy is based on using resources wisely and
reducing wasting materials that may be additional cost to the business. The
company tended to build Ahmadi Hospital in 1960 to be an opportunity for
offering medical care for the company's workers and others working in the oil
production field and their families. The company has other services that
include public campaigns, training courses, students' assistance and holding
medical conferences that are important for people's health and medication. KOC
is a very important organization that is interested in blood donation and the
company has a home agenda that puts it on its most important activities.
Another area of interest considered by the company is safety which is ensured
through many ways such as applying international safing measures as ISO
14001-2004 and the Occupational Health and Safety Management 18001-2007
certificate. The company also helped in reducing the problem of traffic through
supporting the Traffic General Directorate degree and help find innovative
solutions for traffic problems. The company was also regarded as the first oil
company that added in the marine colony improvement in 2007. The company helped
in gas reduction and it also helped in waste water disposing which helps in the
environment protection. (KOC, 2017)
Social responsibility is the third area of the company's CSR as
managers of the company puts the issues of the Kuwait society in consideration
and tries to match the needs of that society regarding issues of health, human
well-being, respect and cleanliness and other areas. In KOC, the company tries
to invest in its human resources and workers as being member of the Kuwaiti
society and community. Labor force of the company are considered main target of
interest and respect and the company spends much on their development and
support. The company has cooperation programs with international universities
that provide different training sessions for workers of the company and provide
Master and PHD opportunities for the company's engineers in the field of
Petroleum and engineering study. The company help in presenting many employment
opportunities for people of the Kuwaiti society which reduces unemployment
problems and satisfy the social need of employment, this helps the society feel
more satisfied about the company and its CSR activities. (KOC, 2017)
References
Books
Carroll, Archie, B. and Schwartz, Mark, S.
(2003). “Corporate Social Responsibility: A ThreeDomain Approach”. Business
Ethics Quarterly, Vol. 13, No. 4, pp. 503-530
Crowther, D. (2008). 'Corporate Social
Responsibility.' Bookboon. P120-140.
Rasche, A. Morsing, M. Moon, J. (2017). 'Corporate
Social Responsibility.' Cambridge University Press.
Website
KOC, 2017, annual report of KOC , visited
in 9-3-2019, available ;
https://www.kockw.com/sites/EN/Annual%20Reports/2017-2018%20English.pdf
KOC, 2016, CSR of KOC , visited in 9-3-2019,
available ;
https://www.kockw.com/sites/EN/Other%20Publications/Corporate%20Social%20Responsibility.pdf
KOC, 2019, Corporate Social Responsibility,
visited in 9-3-2019, available ;
https://www.kockw.com/sites/EN/Pages/We%20Care/Social%20Responsibility/Introduction.aspx
KOC, 2019,World Bank Praises KOC’s Gas Flaring
Reduction Efforts, visited in 9-3-2019, available ;
E-library
Baden, D. (2016). ' A reconstruction of
Carroll’s pyramid of corporate social responsibility for the 21st century.' International
Journal of Corporate Social Responsibility20161:8
Cavalic, A. (2017). '
The pyramid of
corporate social responsibility in the companies of Bosnia and Herzegovina.' 5th
International Scientific Conference “Economy of Integration” – ICEI 2017, At
Tuzla
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