Ruang Tunggu

Since there are so many company which doing their business without the implementation of ethics values and without considering the implication of their operation to the environment, Corporate Social Responsibilities issue is being the hottest topics these recent years. There are so many demand from the society to the companies which doing their business unethically to do their business ethically and more responsible. This condition makes many companies, which do not care about CSR, begin to consider CSR as a part of their business operation. Many seminars also held to discuss about this topic.

CSR concept begins from an idea that a company’s purpose in doing their business is not only to get profit as high as possible, but the company also has a responsibility to their environment. They responsible to both the stockholder and the stakeholder. According to this concept, a company in making its decision and policy must consider not only economics and financial aspect but the social and environment aspect as well and other parties, which affected by the implication of the decision or policy.

This concept also strengthens by an idea that a company cannot act as an economic entity, which separated from the society anymore. The awareness about the importance of CSR concept is being the global trend gets along with the development of the company’s awareness to give priority to the stakeholder. (Handoyo and Djajadiningrat)

However, many people still consider this concept as a philanthropic. In fact, CSR is more than just a philanthropic. CSR concept is a continuity commitment of the business, it is not like a “hit and run” philanthropic. World Council for Sustainable Development defines CSR as “continuation commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and social at large”.

According to the World Bank, CSR is “a commitment of business to contribute to sustainable economic development working with employees and their representatives, the local community and society at large to improve quality of life, in ways that are both good for business and good for development”.

While, according to European, CSR is”a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholder on voluntary basis”.

Generally, those definitions explain CSR as continuing business commitment to doing their operation ethically for both internal (employee) and external parties (local community and society) and integrating social and environmental aspect to the business operation and its interaction with the stakeholder on voluntary basis. It is also said that CSR gives positive implication for economics development and for the business itself.

Actually, CSR is a part of corporate ethics. An action is considered as an ethical action if it meets the three requirements. First, an action is considered as an ethical action if the action gives more benefit rather than its disadvantage. Secondly, the action must respect the human rights. And the last, the action must be fair, a justice refers to balance between someone’s rights and his/her obligation. (Zuhroh)

One of the important aspects in the corporate ethics is to enforce the business ethics in the business and natural environment. The integration of ethics value in those environments is very significant to ensure the sustainability of the business itself. The environment here includes the government, the society and the nature.

Properly implemented CSR program requires an accurate planning process. According to Sugiarsono, there are four steps in implementing CSR program in the company. They are need assessment, planning, implementing and monitoring, and evaluating.

The first step in arranging CSR program is assessing the society’s needs. This step must involve the society to make an accurate assessment about what they really need. If this assessment only conducted by the company, the CSR program may not be suitable for the society.

After assesing the society’s needs, the company arrange the CSR program. This planning include plan the activity, the budget, evaluating indicator, and designate people to run this program.

The third step is implementing and monitoring. In actuating the CSR program, the company should be assisted by the expert consultant in the certain field. The consultant could be a practitioner, research institution or from university. This associate has a significant role to control the implementation of the CSR program, because it will be possible there are many constraints in the implementation.

The last step is evaluating. In this step, the company evaluates CSR programs that had conducted. The evaluation can be done by doing a survey or visit the area. Beside that, it is also needed to match the evaluation result between the internal and external part, so that the result is more objective. The management is required to make a report of the CSR program. The evaluation result is used as a based on arranges the next CSR program.

The company can get many benefits if they consider CSR as a part of their business operation. Doing responsible practices to the social and environment will increase the value of the stockholder, result in the increasing of financial achievement and guarantee a sustainable success of the company. (Fajar)

Susanto explains that CSR program will guide the company to enforce the strong ethics value. They can build stronger relationship with the society. For the addition, CSR also will create a good image for the company.

Beside that, implementing CSR concept in the business operation can increase the customer loyalty and reduce social risks. The company also will get employees’ loyalty. Thus, it will support the performance of the company.

In Indonesia, the CSR concept was brought by the multinational companies and then followed by other domestic companies in Indonesia. According to the CSR survey held by SWA magazine in 2005, on the policy side, many companies have included the CSR concept as their social responsibility purpose such as stakeholder interest, sustainable development and care about environment and society. Explicitly, 48.8% of the respondents have put these elements into the company’s vision and mission. For example, PT. Kaltim Prima Coal states the intention to make a good relationship with the stakeholders in its vision and mission.

From the program’s continuity perspective, many companies begin to make long-term activities. 19% of participants claimed that they run 3-5 years programs, and 6% of participants run 6-7 years programs. Moreover, some of them have established the particular department to handle the CSR program, such as PT Riau Andalan Pulp & Paper with its Community Development Department, which is established in the middle 2005, and Unilever with its foundation.

From the survey to 45 companies in Indonesia, SWA magazine gives an award to PT Kaltim Prima Coal (KPC) as “Outstanding Recognition for All Programs from All Categories”. KPC uses “CSR as social license to operate” as its approach. The CSR programs in this company have been implemented since this company was established in 1992. They had established special division named “External Affairs and Sustainable Development” to handle the CSR implementation in this company. They also cooperate with a number of qualified consultants to make a better CSR program. They have made many programs not only short-term program but long-term program as well. These programs always based on three principles, which are sustainability, self-reliance and community participation.

Finally, the company responsible not only to the stockholder, but also to its stakeholder. The company should consider the implication of all taken policy and decision. CSR is one approach to implementing the social responsibility to the business operation. CSR is an integrated aspect with the corporate ethics so that it existence is very significant for the sustainability of the company. By doing the business ethically, the company will be able to manage its business well and get the positive result.