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THE SOCIAL ROLE OF BUSINESS
the role of business in the society

Every business, from our point of view, should carefully consider its own role within society. Today running a business means much more than the common definition of the phrase would imply.
There is an English term that is extremely right and that has a meaning broader than the one that the Italians meant when they daily use it (even because today it is a neologism of our beautiful language). This term is: "Business". Today "doing business" is a daily and completely renewed challenge compared to the old outlines of the economic development cycles: the factory cycle is now almost out-of-date, today it must take place a new cycle, the industry one.

"... Industry is the place where we aren’t simply limited to transformation and production, but we also utilise knowledge, professionalism, human resources and technology ..." (ETHICS AND BUSINESS Convention- presented by the Young Industrialists Group of Cremona - Cremona, January 27th, 2005).

On this basis, it is reasonable to think that the relationship with society has changed – even if some may still find it difficult to admit that modern company has a social role!
Current-day company management, despite having the optimisation of profits as their main objective, must however achieve these goals respecting moral rules, legal, social regulations and laws: we are talking about business ETHICS.

The company itself becomes, therefore, the bearer of ethical values without suffering or living them as constrictions. Ethical factors transfused into and from a company or transmitted to multiple subjects with whom that company has relationships do not need to be or become legally binding "Norms”, a cage or, worse, the fine print on a certificate to adorn oneself with or only for appearances sake, but rather a “moral duty” to take on a central Social role and positively affect that Society. It’s like a Certificate of Quality for company procedures: if you're not open to living these procedures as an element for growth (and thus modifying them when necessary), but you undergo them as a requirement, they will only become moulded papers clogging up your desk drawers!

Company ethics should be a lighthouse that helps company-ship to avoid the sea-shoal, rocks or wreck in search of pure and simple profit. A sort of practical guide for several ethics which must live together and must be constantly cultivated in a company: environmental ethics, social ethics, political ethics, business ethics. Summing up this is what the European Commission Green Paper defined as CSR in 2001 (Corporate social responsibility) “corporate integration in social and ecological issues in their business and relationships with stakeholders.”

An ethical company responds to their own actions but above all to those of the Stakeholders who have a legitimate interest in their behaviour.  The higher the quality of involvement of all involved subjects (clients, suppliers, employees, institutions, the community, etc.), the higher the company ethics can be.

It’s a curious thing: since 1995, the year which HDG was founded, in our management offices (on the front wall in the photo of our reception area), a framed parchment has been brightening up our office. This parchment is a copy of a famous phrase by an illustrious Italian personality, who was famous for his incredible personal ethic and who has never been sufficiently imitated by posterity. Our offices have been re-organised over the years with new instruments and new personnel, but that parchment has always remained in its original position, reciting for our visitors:

La reception di HDG

“..... Thousands, millions of individuals work, produce and save money regardless of our efforts to bother, stop and discourage them. Their driving force is a natural vocation, not just thirst for money. Good taste, pride in observing their companies' prosperity, to gain credit, to inspire trust in a growing customers, to buy more machinery, to improve their workplaces, these all represent a progress boosts as strong as profit.
If this were not true, it would not be possible to explain why there are entrepreneurs who put all their energies and invest all their capital to make smaller profits than those which other professions could have surely and easily provided them.”

From "Perché imprenditori" - Luigi Einaudi, 1954

A phrase written by Luigi Einaudi more than fifty years ago has always guided HDG management in its company operating choices. It is quite moving and interesting when compared with the lucid, updated definition by the European Commission, don’t you think? Could it perhaps have been the starting seed for the current CSR which many companies now follow – oftentimes unintentionally?

In fact, many small and medium businesses carry out CSR activity inadvertently, without being aware of the official definition and without communicating the initiatives undertaken. Simply by sponsoring winning choices carried out by third parties, very often the hope is to convince other persons of the fact that being socially responsible brings concrete economic-commercial advantages for everyone.
Because the world can only get better putting into action autonomous choices, which can be a few thing but they are a true daily evidence of being responsible, such as: only dealing with true advertising of one's own products and on the labels accompanying them, documenting and informing the public with factual scientific evidence, therefore without any sort of misunderstandings, choosing raw materials with the least possible environmental impact (renewable, as much as possible, or else with production and processing cycles with zero or minimal impact on the environment), putting into place a series of choices to limit productive activity impact as much as possible (energy consumption, packaging, water, paper, etc.) and, last but not least, denouncing the abuse and many illegalities so common on all levels.
Because the world can only get better, if we all make the most consciousness choices. And with a positive example - and only with a positive example - we can think about to leave behind a true "testimony" to future generations: you can't cheat to win the game, or else the team lose.

 
CONDIVIDI
Sistema Informativo Nazionale Ambientale Istituto Superiore per la Protezione e la Ricerca Ambientale ISES ITALIA, sezione italiana dell'INTERNATIONAL SOLAR ENERGY SOCIETY Un blog per un'imprenditoria vicina all'ambiente Kyoto Club LIFEGATE: il portale di eco-cultura Mediterranean Education Initiative for Environment & Sustainability
EDILIZIA SUL WEB
Edilportale Infobuild Edilizia in Rete
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Website Publication : April 24th, 2001 - Last update: 2012-04-21
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