International Symposium

THE ECONOMIC CRISIS: TIME FOR A PARADIGM SHIFT ~ .

TOWARDS A SYSTEMS APPROACH

 

January 24-25, 2013
Universitat de València - Facultat d'Economia
Avda. Tarongers, s/n. 46022 València, Spain
email: bslab.sesge.valencia.2013@gmail.com

Panel 5 - Room 1

Friday, January 25: 15,30 am - 19,30 pm

[CORPORATE] SOCIAL RESPONSIBILITY. AN APPROACH TO OVERCOME THE CRISIS

Chair: Matjaz Mulej - IASCYS

Professor Emeritus of Systems and Innovation Theory at the University of Maribor,

 

Scope of the Panel:

According to the European Union document 'A renewed EU strategy 2011-2014 for Corporate Social Responsibility (COM(2011) 681 final, Brussels, 25. 10. 2011)' Social Responsibility is considered a very important approach to solving the current socio-economic crisis; data show that social responsibility helps organizations, individuals, and countries. Governments, trade unions, NGOs, big enterprises are urged to become role-models of social responsibility by defining social responsibility as 'their responsibility for their influences on society'.

One should use ISO 26000 and related documents, e.g. by United Nations, as the applied basis for strategy and actions, which means aiming (1) at replacing independence and dependence with interdependence, and (2) onsidedness with holistic approach. Thus, EU speaks for application of the systems approach as the necessary, but not yet usual, paradigm.

Though, the EU document is short and rather frame-work, rather than including concrete details. This fact makes room for economists to contribute their ideas, proposals, suggestions, models that would provide concrete information for concrete actions and work of governments, enterprises and other organizations of any size and business program, as well as individuals. Thus, one might be able to find a new way out from the current socio-economic crisis, for which no solution seems to be offered by the traditional economic theory and practice.

On the other hand, the Milton Friedman's neoliberal economic theory does not allow entrepreneurs and managers to accept social responsibility, but they shoud consider owners' benefit and legal obligations only without thinking much about other stakeholders. Thus, consideration of interdependence and holistic approach is forbidden; market should take care of them, but the current extreme level of the role of monopolies and hidden treasures of the richest elite members show that neither market nor governments can do it, if the decisive persons do not practice social responsibility as their personal attributes and their organizations' strategy. This should include a broader and more long-term perspective beyond the very narrow and short-term benefits. The latter benefits are often fictious, the current economic data (depts, ruined nature, missing natural ressources, crisis of affluence, greed rather than need, 85% of humankind under 6 USD a day) say around the world, and can be considered the common denominator of the current global socio-economic crisis. Thus, the remaining alterative for humankind may be dramatic: either social responsibility as the new ethics and socio-economic order or distruction of humankind's current civilization, including possibly a terrible world-war (including nuclear and chemical weapons). Let humankind stop hating our own children and grandchildren and embrace social responsibility! Thank you for your participation, action, and contribution of knowledge for the better alternative to happen.

Matjaz Mulej

 

Panel Program

- “Addressing the critical need for a 'New Way of Thinking' in dealing with Complex Issues” by Ockie Bosch , Nam Nguyen and Daowei Sun, University of Adelaide Business School (Australia).

- “The Ultimate Actor Network: Consuming the Biosphere” by John Schouten, Aalto University (Finland).

- “Shifting the Paradigm of Return on Investment: Towards a Composite Index to Measure Overall Corporate Performance” by Roland Bardy & Maurizio Massaro, Florida Gulf Coast University (USA) and Udine University (Italy).

- “Systemic views on responsible competitiveness. Potential explanations why ‘it depends’’” by André Martinuzzi, Samanthi Silva and Robert Kudlak, Research Institute for Managing Sustainability, Vienna University of Economics and Business (Austria).

- “Motivation of corporations to implement the better CSR-practices: factors of influence and methods of measurement” by Antonina Cherpak, Kyiv National Economic University “Vadym Hetman” (Ukraine).

 - “Teaching Sustainability Leaders in Systems Thinking. Experiences in applying constellation work in management education” by Ursula Kopp & André Martinuzzi, Research Institute for Managing Sustainability, Vienna University of Economics and Business (Austria).

- “Belarusian Practice of Corporate Social Responsibility under a Modern Economic Crisis” by Valentina Simkhovich, Belarus State Economic University (Republic of Belarus).

 - “Sustainable Development and the Economic Crisis as Challenge for a Paradigm Shift in Latvia” by Edgars Kasalis & Maiga Kasale, University of Latvia (Latvia).

- “Corporate Social Responsibility in the South African Mining Industry: Convenience, Conformity or Necessity?” by Abel J. Diale, Tshwane University of Technology (Republic of South Africa).

- "Social Responsibility, Tourism and Quality of Life in the Time of Economic Crisis" by Branka Jajić & Jelena Jajić, Technical Faculty "Mihajlo Pupin Zrenjanin" (Serbia).

- “The revival of rural tourism - viable solution to the economic crisis in Romania” by Mirela Stoican, Bioterra University of Bucharest (Romania).