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sākt mācīties
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any group or individual who can affect or is affected by the achievement of the organisation's objectives
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sākt mācīties
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direct ownership; shareholders, directors, minority interest owners
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economic or market stakes sākt mācīties
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economic interest; employees, customers, suppliers
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sākt mācīties
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have interests; trade organisations, government agencies
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Economic theory of the firm sākt mācīties
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Organisation is supplied with materials by employees, investors, suppliers and provides products to customers
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sākt mācīties
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economic theory and governments, political groups, communities, trade associations; you must aim for building mutually reinforcing relationships with each of these groups and do it this way that does not trade off the interest of other group
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sākt mācīties
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any of these transactions between two parties may have negative consequences to the third party
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sākt mācīties
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fragmented among various departments; focus on managing relationships; emphasis on buffering the organisation from stakeholders interfering with intend operations
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stakeholder collaboration sākt mācīties
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new approach; integrated management approach; focus on building relationships; emphasis on bridging and creating opportunities & mutual benefits; long-term goals; coherent approach driven by mission, values & corporate strategies
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sākt mācīties
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Corporate Social Responsibility; economic, legal, social and environmental responsibilities of an organisation towards society
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sākt mācīties
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adapting business strategies and activities that meet the needs of the enterprise and its stakeholders today while protecting, sustaining and enhancing the human and natural resources that will be needed in the future
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sākt mācīties
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companies who choose stakeholder management use it as a tool to report on their company's progress
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What to report? 4 principles defining content sākt mācīties
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materiality, stakeholder inclusiveness, context, completeness
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1st principal of integrated reporting: Materiality sākt mācīties
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topics & indicators reflecting the organisations economic, social impact
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2nd principal of integrated reporting: Stakeholder inclusiveness sākt mācīties
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3rd principal of integrated reporting: Context sākt mācīties
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Organization's performance in wider sustainability context
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4th principal of integrated reporting: completeness sākt mācīties
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report contains significant material topics & boundaries to reflect the significant economic, social and environmental impact ts enabling stakeholders to assess the organisations performance
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sākt mācīties
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a matter of concern related to the organisations decision and operations
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sākt mācīties
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Issue - 2nd definition point of conflict in opinions and judgements regarding company's decisions and operations
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How to deal with sustainability issues? sākt mācīties
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1. Diagnosis - issue identification and analysis; 2. Strategic options (Reactive and Proactive)
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Reactive strategic options sākt mācīties
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1. Buffering - stonewalling the issue, denying there is an issue (defensive); 2. Bridging - accommodating stakeholder concerns, often after pressure
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Proactive strategic options sākt mācīties
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thought leadership - staking a positive leadership position on an issue that benefits stakeholders (also a form of bridging)
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Choice of strategy depends on sākt mācīties
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the intensity of the issue; the importance of an issue to the organisations stakeholder groups; values and beliefs of managers in an organization; increasingly growing perceptions of industry responsibility
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Why CSR activities are pursued? sākt mācīties
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They are pursued not only in order to improve profits, but to address important concerns of the wider society
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Sustainability - definition sākt mācīties
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the ability to meet the needs of the present without compromising the ability of future generations to meet their needs
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sākt mācīties
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economic, social, environmental performance that simultaneously satisfies the demands of the stakeholder groups
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primary stakeholder groups sākt mācīties
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the constituents on which the firm relies for its continuous survival and prosperity - shareholders, employees, customers, suppliers, governments, communities
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secondary stakeholder groups sākt mācīties
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those who are affected or affect the corporation, but are not part of the transaction - trade unions, social groups, i.e. Greenpeace
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2 anpporaches to why stakeholders matter sākt mācīties
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1. Instrumental view - treating stakeholders well may indirectly help financial performance; 2. Normative view - firms ought to be self-motivated to do it right cuz they have societal obligations
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sākt mācīties
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CSR that focuses on activities that are good for both the firm and its stakeholders; can be done in 3 ways
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Ways of creating Shared Value sākt mācīties
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1. Company can look for unmet social needs in the community; 2. Modifying their business practices to increase benefits for external stakeholders; 3. Initiatives can be launched that create value for a local community but indirectly benefit the company
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sākt mācīties
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norms considered valid anywhere in the world - i.e. respect for human dignity
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