Corporate Social Responsibility: Could be a tool for increasing Social Accountability in Corporate Governance?

Maneesh Thakkar

Abstract

The corporate world works for higher profitability and lesser risk in production and distribution. The emergence of corporate social responsibility (CSR) obligated corporations to share a certain percentage of their profit with the public as a social duty. It created a debate that CR reduced the profitable opportunities of corporates and increased the risk & over-involvement in non-productive activities due to no congruence between the core works of corporates and CSR-obligated works. It is seen that most corporate institutes are performing such kinds of work that are neither related to their core domain nor too productive. Corporate responsibility comes with an ethical obligation to do specific work and holds accountable to corporate institutions. These obligations and accountability impose bourdon of responsibilities and reduce money flow in the industrial institutions. This paper tried to find the working dimensions of CSR and ways to make CSR more corporate and public-friendly regarding social responsibility through corporate governance, which will benefit both. Corporate accountability must be obligatory and a motivating factor in promoting the wise use of corporate capital. Also, analyse the difficulties faced by the corporate governance system while promoting the concept of CSR with advantages too. This is an Applied and Fundamental kind of study. Secondary resources were used to conduct this study. Empirical case studies and normative literature were analysed to fix corporations' accountability.