Social Responsibility Review Christopher Thomas EST1 Task Stream: 310. 2. 1-05 Social Responsibility Review Businesses today face a plethora of ethical duties such as upholding corporate governance, maintaining stakeholder relationships, and presenting an image of social responsibility. In review of Company Q’s (Q) current ethics culture, its image in regards to social responsibility is not equivalent to that of its competitors.
In a growing market faced with increasingly challenging competition, there are several areas that Q can and needs to address to bring the company to a level of social responsibility that exceeds stakeholder expectations.
First, attention Q needs to address market demands for additional locations to better serve current customers and attract new customers. Next, Q needs to place focus on community involvement to enhance brand recognition and reputation. Lastly, product lines need to be evaluated to ensure Q is responding to customer demands and promoting healthy living.
Market Penetration and Loss Prevention In the past year, Q has closed the doors of several locations in areas with higher crime rates.
The stores closed had been consistently losing money at the bottom line level, attributed to the high crime rates in the area. Q made this decision thinking internally, ignoring the fact that these stores had steady or growing top line revenue results, indicating that the community had responded well to Q’s entrance and relied on Q for their daily needs.
We cannot undo the store closings, but can better analyze the losses and determine ways to prevent them in the future, enabling Q to re-enter these communities. Q currently does not have a formal Loss Prevention (LP) program, which essentially led to the problems in the closed stores. Q will need to seek out a qualified retail LP professional to assist in the development of an LP program that can be scaled to all store locations, tailoring the program specifics to each locations needs.
By implementing LP measures in its stores, Q will be able to identify the areas of opportunity and implement location specific measures such as CCTV systems, locked liquor items, and stricter cash handling procedures. These enhancements will assist in decreasing losses and help create a more profitable business model, which will be necessary to re-enter the markets previously exited and re-gain consumer confidence. Community Involvement Recently, a local food bank approached Q regarding donating its day-old products.
Q declined, deciding instead to continue to throw away the product, as they thought there could be fraud amongst employees with the disposition of the food. Being involved in the community and enhancing brand reputation need to be at the forefront of Q’s business plan. The choice to disregard the food banks request could be detrimental to Q’s customers’ views of the company. Instead, any concerns of food dispositions can be carefully monitored with minimal costs, by implementing an inventory control program for the goods identified for donations.
These processes can become an integral part of Q’s new Loss Prevention program outlined above. In addition, Q can become more involved with its local communities through volunteering and sponsorships. This is a great avenue to increase employee morale as well. Q can set guidelines for sponsoring organizations or community events, and allow the employees and employee leaders to decide where to direct the efforts. This will also encourage volunteer work, which Q can help support by hosting events such as food or blood drives, or fundraising car washes.
By giving employees a degree of control of the programs, Q will benefit from more engaged employees, leading to more satisfied customers and a positive community image. Product Assortment Making their way onto Q’s shelves—in small quantities—are new healthy living items. Organic foods and health conscious food items have been items requested by Q’s customers for quite a while. Q needs to listen more closely to the customer requests to ensure they are responding in a timely manner, and to ensure it is meeting the cultural needs of its customers.
Obesity is a growing concern across the nation, and bringing in new healthy product lines will show Q’s commitment to healthy living. Q also needs to embrace the current demand for these types of products out of business sense, as most organic and health food items can offer high margins, making them a win for both Q and its customers. A marketing plan should be implemented alongside bringing in more of these products, that can include featuring them in the stores deli/bakery offerings and providing meal plans/recipes giving consumers new ideas to integrate them into their lifestyles.
By considering and implementing these recommendations, Q stands to benefit greatly. It will develop an essential Loss Prevention culture, position itself to re-enter oppressed markets, and possess teams of highly engaged employees. Q will become a model chain for its social responsibility efforts, increasing stakeholder value, and will be heading towards higher levels of profitability further enhancing growth potential.
Cite this Social Responsibility Review in Company Q
Social Responsibility Review in Company Q. (2016, Oct 14). Retrieved from https://graduateway.com/est1-task-310-2-1/