Wednesday, 16 November 2016

                                                           DECISION MAKING

Decision making can be defined as the cognitive process which results in the selection of a course of action among several alternative scenarios. Your decision making style can be intellectual or emotional and rational or irrational.

The thought process of selecting a logical choice from the available options.
When trying to make a good decision, a person must weight the positives and negatives of each option, and consider all the alternatives. For effective decision making, a person must be able to forecast the outcome of each option as well, and based on all these items, determine which option is the best for that particular situation

 Decision making styles:

There are countless perspectives and tactics to effective decision-making. However, there are a few key points in decision-making theory that are central to understanding how different styles may impact organizational trajectories. Decision-making styles can be divided into three broad categories:

  • Psychological: Decisions derived from the needs, desires, preferences, and/or values of the individual making the decision. This type of decision-making is centered on the individual deciding.
  • Cognitive: This is an integrated feedback system between the individual/organization making a decision, and the broader environment's reactions to those decisions. This type of decision-making process involves iterative cycles and constant assessment of the reactions and impacts of the decision.
  • Normative: In many ways, decision making (particularly in groups, such as within an organization) is about communicative rationality. This is to say that decisions are derived based on the ability to communicate and share logic, using firms premises and conclusions to drive behavior.

  • decision making styles


    A huge variety of classifications of decision making style are available. While some of the classifications may be considered true classifications, others are more accurately a description of the decision making model being used. When you look at examples of decision making models this becomes more obvious.
    It's also possible to take something such as a classification of cognitive style, such as the Myers Briggs model, and determine the impact of something such as this on decision making style.
    And there are separate leadership styles, including collective participative  decision making style and authoritative style.
    Many of these decision making styles are actually self-evident, impulsive, procrastinating, pro-active, and so on.
    The fatalistic style is the attitude of 'whatever will be, will be'. There's little that can be done about it so we better get on and pick something.This is an interesting categorization of different types of decision making styles:
    • Agony
    • Impulse
    • Escape
    • Compliance
    • Play it Safe
    • Procrastination

    Agony is where somebody agonizes over a particular decision. It is suggested that this is useful for very important decisions. Impulsive decisions are made with little or no consideration. The individual goes with their first reaction.
    Escape is used to avoid actually making a decision or even to create a false choice so as not to have to make a decision. Compliance is to follow somebody else's instructions about what you should do. This is often a decision mistake in and of itself and it becomes very important in the domain of mind control.
    Play it safe involves making the choice is the least amount of risk. And procrastination is, well, the procrastination decision making style.
    The dependent category is where people allow others to make the decisions for them. 
    omeone who is in the flexible category has the ability to move between different categories and may do so based on the circumstances or situation.
    Normative decision making is actually the study of how people should decide. Behavioral decision making is the study of how people actually decide.
    Rather than decision making styles, this is much more a list of how people make a mess of things when they don't actually know how to make a decision!

    A mixed bag

    Another classification includes the following categories
    • Rational
    • Intuitive
    • Dependent
    • Avoidant
    • Spontaneous

    I think the first two here, rational and intuitive, are much more a description of models than decision making style and examples of the others are given above or are self evident.

    Overlay of styles

    Myers Briggs developed a model which is used as a personality indicator. The four categories, or dichotomies, are extraversion/introversion, sensing/intuition, thinking/feeling and judging/perceiving. Testing indicates whether an individual is an introvert/sensing/feeling/judging or extrovert/intuitive/feeling/perceiving and so on.
    As well as extrapolating how individuals will function in groups or relationships based on their Myers Briggs category, it's also possible to predict their decision making style. And examples include a logical analytical style for someone who is the in the thinking/extrovert//sensing/judgment category. Whereas someone who is introverted/intuition/feeling/perceiving may procrastinate or be dependent in their decision making.

    What works for you?

    Many of the classifications of decision making style and examples are fairly accurate descriptions of what actually happens when people are attempting to make decisions. As I've already mentioned, it's frequently a description of how they actually avoid making decisions.
    If what you really want is to learn a decision making model that works, then you can learn how you personally make good decisions with confidence.















    Meena M. et al. / International Journal of Arts and Science Research. 2(2), 2015, 44 - 55. Available online: www.uptodateresearchpublication.com July – December 44 Research Article ISSN: 2393 – 9532 AN EMPIRICAL ANALYSIS ON TRAINING AND DEVELOPMENT - A CASE STUDY OF MADHUCON SUGAR INDUSTRY LIMITED

    PERFORMANCE APPRAISAL DEFNITION: Performance Appraisal is the systematic evaluation of the performance of employees and to understand the abilities of a person for further growth and development. Performance appraisal is generally done in systematic ways which are as follows: 1. The supervisors measure the pay of employees and compare it with targets and plans. 2. The supervisor analyses the factors behind work performances of employees. 3. The employers are in position to guide the employees for a better performance. Objectives of Performance Appraisal Performance Appraisal can be done with following objectives in mind: 1. To maintain records in order to determine compensation packages, wage structure, salaries raises, etc. 2. To identify the strengths and weaknesses of employees to place right men on right job. 3. To maintain and assess the potential present in a person for further growth and development. 4. To provide a feedback to employees regarding their performance and related status. 5. To provide a feedback to employees regarding their performance and related status. 6. It serves as a basis for influencing working habits of the employees. 7. To review and retain the promotional and other training programmes Advantages of Performance Appraisal It is said that performance appraisal is an investment for the company which can be justified by following advantages: 1. Promotion: Performance Appraisal helps the supervisors to chalk out the promotion programmes for efficient employees. In this regards, inefficient workers can be dismissed or demoted in case. 2. Compensation: Performance Appraisal helps in chalking out compensation packages for employees. Merit rating is possible through performance appraisal. Performance Appraisal tries to give worth to a performance. Compensation packages which includes bonus, high salary rates, extra benefits, allowances and pre-requisites are dependent on performance appraisal. The criteria should be merit rather than seniority. 3. Employees Development: The systematic procedure of performance appraisal helps the supervisors to frame training policies and programmes. It helps to analyse strengths and weaknesses of employees so that new jobs can be designed for efficient employees. It also helps in framing future development programmes. 4. Selection Validation: Performance Appraisal helps the supervisors to understand the validity and importance of the selection procedure. The supervisors come to know the validity and thereby the strengths and weaknesses of selection procedure. Future changes in selection methods can be made in this regard. 5. Communication: For an organization, effective communication between employees and employers is very important. Through performance appraisal, communication can be sought for in the following ways: a. Through performance appraisal, the employers can understand and accept skills of subordinates. b. The subordinates can also understand and create a trust and confidence in superiors. c. It also helps in maintaining cordial and congenial labour management relationship. d. It develops the spirit of work and boosts the morale of employees. All the above factors ensure effective communication. 6. Motivation: Performance appraisal serves as a motivation tool. Through evaluating performance of employees, a person’s efficiency can be determined if the targets are achieved. This very well motivates a person for better job and helps him to improve his performance in the future.

    Saturday, 13 August 2011

    hr job descriptions

    Job descriptions of HR

    Question: What Does a Human Resources Manager, Generalist, or Director Do?

    Human Resources Generalists, Managers, and Directors, depending on the size of the organization, may have overlapping responsibilities. In larger organizations, the Human Resources Generalist, the Manager, and the Director have clearly defined, separated roles in HR management with progressively more authority and responsibility in the hands of the Manager, the Director, and ultimately, the Vice President who may lead several departments including administration.
    HR directors, and occasionally HR managers, may head up several different departments that are each led by functional or specialized HR staff such as the training manager, the compensation manager, or the recruiting manager.
    Human Resources staff members are advocates for both the company and the people who work in the company. Consequently, a good HR professional performs a constant balancing act to meet both needs successfully.
    The Changing Human Resources Role
    The role of the HR professional is changing. In the past, HR managers were often viewed as the systematizing, policing arm of executive management. Their role was more closely aligned with personnel and administration functions that were viewed by the organization as paperwork.
    When you consider that the initial HR function, in many companies, comes out of the administration or finance department because hiring employees, paying employees, and dealing with benefits were the organization's first HR needs, this is not surprising.
    In this role, the HR professional served executive agendas well, but was frequently viewed as a road block by much of the rest of the organization. While some need for this role occasionally remains — you wouldn’t want every manager putting his own spin on a sexual harassment policy, as an example — much of the HR role is transforming itself.

    New HR Role

    The role of the HR manager must parallel the needs of his or her changing organization. Successful organizations are becoming more adaptable, resilient, quick to change direction, and customer-centered.
    Within this environment, the HR professional, who is considered necessary by line managers, is a strategic partner, an employee sponsor or advocate and a change mentor. At the same time, especially the HR Generalist, still has responsibility for employee benefits administration, often payroll, and employee paperwork, especially in the absence of an HR Assistant.
    Depending on the size of the organization, the HR manager has responsibility for all of the functions that deal with the needs and activities of the organization's people including these areas of responsibility.
    • Recruiting
    • Hiring
    • Training
    • Organization Development
    • Communication
    • Performance Management
    • Coaching
    • Policy Recommendation
    • Salary and Benefits
    • Team Building
    • Employee Relations
    • Leadership
    .
    HR Role: Business and Strategic Partner

    In today’s organizations, to guarantee their viability and ability to contribute, HR managers need to think of themselves as strategic partners. In this role, the HR person contributes to the development of and the accomplishment of the organization-wide business plan and objectives.
    The HR business objectives are established to support the attainment of the overall strategic business plan and objectives. The tactical HR representative is deeply knowledgeable about the design of work systems in which people succeed and contribute. This strategic partnership impacts HR services such as the design of work positions; hiring; reward, recognition and strategic pay; performance development and appraisal systems; career and succession planning; and employee development.
    To be successful business partners, the HR staff members have to think like business people, know finance and accounting, and be accountable and responsible for cost reductions and the measurement of all HR programs and processes. It's not enough to ask for a seat at the executive table; HR people will have to prove they have the business savvy necessary to sit there.

    HR Role: Employee Advocate

    As an employee sponsor or advocate, the HR manager plays an integral role in organizational success via his or her knowledge about and advocacy of the employees. This advocacy includes expertise in how to create a work environment in which people will choose to be motivated, contributing, engaged, and happy.
    Fostering effective methods of goal setting, communication and empowerment through responsibility, builds employee ownership of the organization. The HR professional helps establish the organizational culture and climate in which people have the competency, concern and commitment to serve customers well.
    In this role, the HR manager provides employee development opportunities, employee assistance programs, gain sharing and profit-sharing strategies, organization development interventions, due process approaches to employee complaints and problem solving, and regularly scheduled communication opportunities.

    HR Role: Change Champion

    The constant evaluation of the effectiveness of the organization results in the need for the HR professional to frequently champion change. Both knowledge about and the ability to execute successful change strategies make the HR professional exceptionally valued.
    Knowing how to link change to the strategic needs of the organization will minimize employee dissatisfaction and resistance to change.
    The HR professional contributes to the organization by constantly assessing the effectiveness of the HR function. He or she also sponsors and supports change in other departments and in work practices. To promote the overall success of his or her organization, the HR professional champions the identification of the organizational strategic plan: mission, vision, values, goals and action plans. Finally, he or she helps determine the measures that will tell the organization how well it is succeeding in all of this.

    *The director of industrial relations forms labor policy, oversees industrial labor relations, negotiates collective bargaining agreements, and coordinates grievance procedures to handle complaints resulting from disputes with unionized employees. The director of industrial relations also advises and collaborates with the director of human resources, other managers, and members of their staff, because all aspects of personnel policy-such as wages, benefits, pensions, and work practices-may be involved in drawing up a new or revised contract.
    Labor relations managers and their staffs implement industrial labor relations programs. When a collective bargaining agreement is up for negotiation, labor relations specialists prepare information for management to use during negotiation, which requires familiarity with economic and wage data as well as extensive knowledge of labor law and collective bargaining trends.
    The labor relations staff interprets and administers the contract with respect to grievances, wages and salaries, employee welfare, health care, pensions, union and management practices, and other contractual stipulations. As union membership is continuing to decline in most industries, industrial relations personnel are working more with employees who are not members of a labor union.

    What Does a Dispute Resolution Specialist, an Arbitrator and a Mediator Do?

    *Dispute resolution - attaining tacit or contractual agreements - has become increasingly important as parties to a dispute attempt to avoid costly litigation, strikes, or other disruptions. Dispute resolution also has become more complex, involving employees, management, unions, other firms, and government agencies. Specialists involved in dispute resolution must be highly knowledgeable and experienced, and often report to the director of industrial relations.
    Conciliators, or mediators, advise and counsel labor and management to prevent and, when necessary, resolve disputes over labor agreements or other labor relation's issues. Arbitrators, sometimes called umpires or referees, decide disputes that bind both labor and management to specific terms and conditions of labor contracts. Labor relations specialists who work for unions perform many of the same functions on behalf of the union and its members.
    Other emerging specialists include international human resources managers, who handle human resources issues related to a company's foreign operations, and human resources information system specialists, who develop and apply computer programs to process personnel information, match job seekers with job openings, and handle other personnel matters.

    What Does an International Human Resources Manager Do?

    Other emerging specialists include international human resources managers, who handle human resources issues related to a company's foreign operations.
    The international human resources manager may work worldwide in company operations, may help place staff returning from overseas assignments, may prepare staff members to work in various international operations, and may translate cultural and international customs for North American staff. A second or multiple languages are a plus in the international human resources manager’s role.
    What does a Training Manager, a Training Director, or a Training Specialist Do?
    Training and development managers and specialists conduct and supervise training and development programs for employees. Increasingly, management recognizes that training offers a way of developing skills, enhancing productivity and quality of work, and building loyalty to the firm. Training is widely accepted as a method of improving employee morale, but this is only one of the reasons for its growing importance.
    Other factors include the complexity of the work environment, the rapid pace of organizational and technological change, and the growing number of jobs in fields that constantly generate new knowledge. In addition, advances in learning theory have provided insights into how adults learn, and how training can be organized most effectively for them.

    Training specialists plan, organize, and direct a wide range of training activities. Trainers conduct orientation sessions and arrange on-the-job training for new employees. They help rank-and-file workers maintain and improve their job skills, and possibly prepare for jobs requiring greater skill. They help supervisors improve their interpersonal skills in order to deal effectively with employees. They may set up individualized training plans to strengthen an employee's existing skills or teach new ones.

    Training specialists in some companies set up leadership or executive development programs among employees in lower level positions. These programs are designed to develop potential and current executives to replace those retiring. Trainers also lead programs to assist employees with transitions due to mergers and acquisitions, as well as technological changes. In government-supported training programs, training specialists function as case managers. They first assess the training needs of clients, and then guide them through the most appropriate training method. After training, clients either may be referred to employer relations representatives or receive job placement assistance.
    Planning and program development is an important part of the training specialist's job. In order to identify and assess training needs within the firm, trainers may confer with managers and supervisors or conduct surveys. They also periodically evaluate training effectiveness.
    Depending on the size, goals, and nature of the organization, trainers may differ considerably in their responsibilities and in the methods they use. Training methods include on-the-job training; schools in which shop conditions are duplicated for trainees prior to putting them on the shop floor; apprenticeship training; classroom training; and electronic learning, which may involve interactive Internet-based training, multimedia programs, distance learning, satellite training, videos and other computer-aided instructional technologies, simulators, conferences, and workshops.

    What does an Employee Assistance Plan (EAP) Manager Do?

    *Employee assistance plan managers, also called employee welfare managers, are responsible for a wide array of programs covering occupational safety and health standards and practices; health promotion and physical fitness, medical examinations, and minor health treatment, such as first aid; plant security; publications; food service and recreation activities; car pooling and transportation programs, such as transit subsidies; employee suggestion systems; childcare and elder care; and counseling services.
    Child care and elder care are increasingly important due to growth in the number of dual-income households and the elderly population. Counseling may help employees deal with emotional disorders, alcoholism, or marital, family, consumer, legal, and financial problems. Some employers offer career counseling as well. In large firms, certain programs, such as security and safety, may be in separate departments headed by other managers.

    What does a Benefits Manager Do?

    *Employee benefits managers and specialists handle the company's employee benefits program, notably its health insurance and pension plans. Expertise in designing and administering benefits programs continues to gain importance as employer-provided benefits account for a growing proportion of overall compensation costs, and as benefit plans increase in number and complexity.
    For example, pension benefits might include savings and thrift, profit sharing, and stock ownership plans; health benefits may include long-term catastrophic illness insurance and dental insurance. Familiarity with health benefits is a top priority, as more firms struggle to cope with the rising cost of health care for employees and retirees.
    In addition to health insurance and pension coverage, some firms offer employees life and accidental death and dismemberment insurance, disability insurance, and relatively new benefits designed to meet the needs of a changing work force, such as parental leave, child and elder care, long-term nursing home care insurance, employee assistance and wellness programs, and flexible benefits plans. Benefits managers must keep abreast of changing Federal and State regulations and legislation that may affect employee benefits.

    What does an Employment Manager, a Recruiter, or a Placement Specialist Do?

    *Employment and placement managers oversee the hiring and separation of employees and supervise various workers, including equal employment opportunity specialists and recruitment specialists. Employment, recruitment, and placement specialists recruit and place workers.
    Recruiters maintain contacts within the community and may travel extensively, often to college campuses, to search for promising job applicants. Recruiters screen, interview, and sometimes test applicants. They also may check references and extend job offers. These workers must be thoroughly familiar with the organization and its personnel policies to discuss wages, working conditions, and promotional opportunities with prospective employees. They also must keep informed about equal employment opportunity (EEO) and affirmative action guidelines and laws, such as the Americans with Disabilities Act.

    What does an Employer Relations Manager Do?

    Employer relations representatives, who usually work in government agencies, maintain working relationships with local employers and promote the use of public employment programs and services. Similarly, employment interviewers-whose many job titles include personnel consultants, personnel development specialists, and human resources coordinators-help, match employers with qualified job seekers.

    What does a Compensation Manager Do?
    Compensation managers conduct programs for employers and may specialize in specific areas such as position classifications or pay studies.
    Establishing and maintaining a firm's pay system is the principal job of the compensation manager. Assisted by staff specialists, compensation managers devise ways to ensure fair and equitable pay rates. They may conduct surveys to see how their rates compare with others and to see that the firm's pay scale complies with changing laws and regulations. In addition, compensation managers often oversee their firm's performance evaluation system, and they may design reward systems such as pay-for-performance plans.

    What Does a Job Analysis or Occupational Specialists and Managers Do?

    Job analysis specialists and managers conduct programs for employers and may specialize in specific areas such as position classifications Job analysts, sometimes called position classifiers, collect and examine detailed information about job duties to prepare job descriptions. These descriptions explain the duties, training, and skills each job requires. Whenever a large organization introduces a new job or reviews existing jobs, it calls upon the expert knowledge of the job analyst.
    Occupational analysts conduct research, usually in large firms. They are concerned with occupational classification systems and study the effects of industry and occupational trends upon worker relationships. They may serve as technical liaison between the firm and industry, government, and labor unions.

    Thursday, 28 July 2011

    cross culture training

    What is Cross Cultural Training?

    The term "cross cultural training" refers to a variety of different training courses. Each in essence aims to develop awareness between people where a common cultural framework does not exist.

    In general, cross cultural training has two parallel approaches:

    General Cross Cultural Awareness Training, and
    Culture/Country Specific Training.

    Cross cultural awareness training deals with the manifestations of culture in the workplace and has many applications. Its main purpose is to evaluate and constructively tackle the challenges cross cultural differences can bring to the workplace.

    A few examples of the courses we cover can illustrate the different applications of cross cultural awareness training:

    Team BuildingCross Cultural Team Building Training will aim to raise team members' awareness of each other culturally in order to foster mutual trust, respect and understanding. The result of which will be clearer lines of communication.

    Diversity ManagementCross Cultural Management Training aims to equip management staff with the knowledge and skills to effectively supervise a multi-cultural staff. Cross cultural awareness training results in a more convivial and understanding work environment.

    Negotiation WorkshopCross Cultural Negotiation Training assists negotiators involved with foreign clients or customers with whom they are discussing possible terms and conditions.

    Diversity SeminarCultural Diversity Training offers HR staff support in helping them understand their responsibilities to ethnic minority staff and/or look at ways of nurturing harmonious inter-personal relationships at work.

    Diversity SeminarCulture Specific Training is generally aimed at individuals or teams that regularly visit a foreign country or who frequently interact with overseas clients or colleagues. Such training usually focuses on areas such as values, morals, ethics, business practices, etiquette, protocol or negotiation styles with reference to one country. This better equips participants with the key skills that will help in building successful business relationships.

    cross culture training

    What is Cross Cultural Training?

    The term "cross cultural training" refers to a variety of different training courses. Each in essence aims to develop awareness between people where a common cultural framework does not exist.

    In general, cross cultural training has two parallel approaches:

    General Cross Cultural Awareness Training, and
    Culture/Country Specific Training.

    Cross cultural awareness training deals with the manifestations of culture in the workplace and has many applications. Its main purpose is to evaluate and constructively tackle the challenges cross cultural differences can bring to the workplace.

    A few examples of the courses we cover can illustrate the different applications of cross cultural awareness training:

    Team BuildingCross Cultural Team Building Training will aim to raise team members' awareness of each other culturally in order to foster mutual trust, respect and understanding. The result of which will be clearer lines of communication.

    Diversity ManagementCross Cultural Management Training aims to equip management staff with the knowledge and skills to effectively supervise a multi-cultural staff. Cross cultural awareness training results in a more convivial and understanding work environment.

    Negotiation WorkshopCross Cultural Negotiation Training assists negotiators involved with foreign clients or customers with whom they are discussing possible terms and conditions.

    Diversity SeminarCultural Diversity Training offers HR staff support in helping them understand their responsibilities to ethnic minority staff and/or look at ways of nurturing harmonious inter-personal relationships at work.

    Diversity SeminarCulture Specific Training is generally aimed at individuals or teams that regularly visit a foreign country or who frequently interact with overseas clients or colleagues. Such training usually focuses on areas such as values, morals, ethics, business practices, etiquette, protocol or negotiation styles with reference to one country. This better equips participants with the key skills that will help in building successful business relationships.

    corporate social responsibility

    Corporate social responsibility (CSR, also called corporate conscience, corporate citizenship, social performance, or sustainable responsible business)[1] is a form of corporate self-regulation integrated into a business model. CSR policy functions as a built-in, self-regulating mechanism whereby business monitors and ensures its active compliance with the spirit of the law, ethical standards, and international norms. The goal of CSR is to embrace responsibility for the company's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere. Furthermore, CSR-focused businesses would proactively promote the public interest(PI) by encouraging community growth and development, and voluntarily eliminating practices that harm the public sphere, regardless of legality. CSR is the deliberate inclusion of PI into corporate decision-making, that is the core business of the company or firm, and the honouring of a triple bottom line: people, planet, profit.

    The term "corporate social responsibility" came in to common use in the late 1960s and early 1970s, after many multinational corporations formed. The term stakeholder, meaning those on whom an organization's activities have an impact, was used to describe corporate owners beyond shareholders as a result of an influential book by R. Edward Freeman, Strategic management: a stakeholder approach in 1984.[2] Proponents argue that corporations make more long term profits by operating with a perspective, while critics argue that CSR distracts from the economic role of businesses. Others argue CSR is merely window-dressing, or an attempt to pre-empt the role of governments as a watchdog over powerful multinational corporations.

    CSR is titled to aid an organization's mission as well as a guide to what the company stands for and will uphold to its consumers. Development business ethics is one of the forms of applied ethics that examines ethical principles and moral or ethical problems that can arise in a business environment. ISO 26000 is the recognized international standard for CSR (currently a Draft International Standard). Public sector organizations (the United Nations for example) adhere to the triple bottom line (TBL). It is widely accepted that CSR adheres to similar principles but with no formal act of legislation. The UN has developed the Principles for Responsible Investment as guidelines for investing entities.
    Contents



    Approaches

    Some commentators have identified a difference between the Canadian (Montreal school of CSR), the Continental European and the Anglo-Saxon approaches to CSR.[3] And even within Europe the discussion about CSR is very heterogeneous.[4]

    An approach for CSR that is becoming more widely accepted is a community-based development approach. In this approach, corporations work with local communities to better themselves. For example, the Shell Foundation's involvement in the Flower Valley, South Africa. In Flower Valley they set up an Early Learning Centre to help educate the community's children as well as develop new skills for the adults. Marks and Spencer is also active in this community through the building of a trade network with the community - guaranteeing regular fair trade purchases. Often activities companies participate in are establishing education facilities for adults and HIV/AIDS education programmes. The majority of these CSR projects are established in Africa. JIDF For You, is an attempt to promote these activities in India.

    A more common approach of CSR is philanthropy. This includes monetary donations and aid given to local organizations and impoverished communities in developing countries. Some organizations[who?] do not like this approach as it does not help build on the skills of the local people, whereas community-based development generally leads to more sustainable development.[clarification needed Difference between local org& community-dev? Cite]

    Another approach to CSR is to incorporate the CSR strategy directly into the business strategy of an organization. For instance, procurement of Fair Trade tea and coffee has been adopted by various businesses including KPMG. Its CSR manager commented, "Fairtrade fits very strongly into our commitment to our communities."[5]

    Another approach is garnering increasing corporate responsibility interest. This is called Creating Shared Value, or CSV. The shared value model is based on the idea that corporate success and social welfare are interdependent. A business needs a healthy, educated workforce, sustainable resources and adept government to compete effectively. For society to thrive, profitable and competitive businesses must be developed and supported to create income, wealth, tax revenues, and opportunities for philanthropy. CSV received global attention in the Harvard Business Review article Strategy & Society: The Link between Competitive Advantage and Corporate Social Responsibility [1] by Michael E. Porter, a leading authority on competitive strategy and head of the Institute for Strategy and Competitiveness at Harvard Business School; and Mark R. Kramer, Senior Fellow at the Kennedy School at Harvard University and co-founder of FSG Social Impact Advisors. The article provides insights and relevant examples of companies that have developed deep linkages between their business strategies and corporate social responsibility. Many approaches to CSR pit businesses against society, emphasizing the costs and limitations of compliance with externally imposed social and environmental standards. CSV acknowledges trade-offs between short-term profitability and social or environmental goals, but focuses more on the opportunities for competitive advantage from building a social value proposition into corporate strategy.

    Many companies use the strategy of benchmarking to compete within their respective industries in CSR policy, implementation, and effectiveness. Benchmarking involves reviewing competitor CSR initiatives, as well as measuring and evaluating the impact that those policies have on society and the environment, and how customers perceive competitor CSR strategy. After a comprehensive study of competitor strategy and an internal policy review performed, a comparison can be drawn and a strategy developed for competition with CSR initiatives.

    CSR Approaches