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increases. Ignoring the impacts would be, according to Peter Drucker, irresponsible. What are
the constraints?
Impacts which are not essential and which are not. part of one's specific purpose and mission,
should be kept to the minimum. Even if they appear to be beneficial, if they are outside the
boundaries of one's function, they will sooner or later be resisted and considered an imposition.
Secondly, the acceptance of this responsibility requires concern, compassion and conviction of
all executives. This has to become a value throughout the organisation. This is particularly so, in
organisations that are large and decentralised like insurers. In such large organisations, the
policy decisions must be clearly understood throughout. Unless specifically taken care of, the
Chief Executive, committed to the doctrine of social responsibility, might be surprised by the
neglect that may occur, at distant parts of his organisation.
Activities concerning social responsibility are not usually quantifiable. They do not become
numbers that constitute economic performance and results. Managers tend to focus on
numbers that reflect their work, as survival of self takes precedence. There may be difficulties in
developing systems that focus on social issues, as much as on organisational outputs.
There is need to incorporate into strategic and operating plans of regional organisations or
profit centres, specific objectives in areas of social concerns, strategically related to the
economic activity and community environment, of the organisation unit. The executive at the
corporate head office cannot know or specify the appropriate social strategy in some other
parts of the country. Intermediate managers who are familiar with (a) the social policy of the
organisation and (b) the needs of that society, must elicit and generate from below, proposals
for investment of time, money and energy.
Financial, production and sales requirements may be transmitted down rather drawn upwards
in an efficient planning process: But not social policy. If a community-centered social strategy is
initiated from the top, it can only be in terms so general as to be ineffective. It will also stifle
creativity and commitment.
(d) Dimensions of Social Responsibility
1. Society expects that organisations should perform as responsible citizens, meaning being
trustworthy and reliable, not causing harm. Some of the ways in which these expectations are
expressed are detailed below.
First of all, the organisation is expected to satisfy customers, for which it will produce more,
better and greater variety
Also the organisation will conserve and utilise resources entrusted to its care without wastage,
thus improving productivity and reducing costs, passing on the gains to the workers and the
society.
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