Corporate Governance and Social Responsibility Wesfarmers

Question: Describe about the Corporate Governance and Social Responsibility for Wesfarmers. Answer: Introduction: This particular study has provided an in-depth understanding and knowledge for assessing and comparing the sustainability report of Wesfamers. The overarching term sustainability can be defined in three perspectives that include environmental, economic and social. Environmental sustainability implies maintaining the rates of environmental resources by maintaining pollution, harvest and non-renewable resources. Economic sustainability indicates the ability to maintain economic growth and production. On the other hand, social sustainability implies on maintaining the social systems for the well-being of society. In order to make an organizational image and reputation in various geographical areas, every business organization has to take a major concern on maintaining sustainability report. This particular study has focused to deal with an effective comparative analysis on the sustainability report of Wesfamers between the year 2014 and 2015 (wesresources.com 2016). Wesfamers is one of the recognizable companies of Australia occupying a predominant place in the realm of conglomerate industry. This particular organization is possessed with large number of sections such as retail sector, chemicals and fertilizers, coal-mining industry and so many. In order to survive in the market effectively with the current needs and demands of the customers, maintaining sustainability practice is highly important. While preparing the sustainability report the company would like to follow GRI G4 guideline of government. As per the GRI G4 guideline, the organization should make their sustainability report in such a way that it should be easily accessible and available for the viewers. Report on sustainability (based on report of 2014 and 2015) As per the sustainability report, it can be evaluated that Wesfamers is very much concerned about the identifying the stakeholders and making an effective stakeholder analysis (Arjalis and Mundy 2013). Stakeholders play a major role in rendering the success of a business organization and maintaining a long-term business process as well. The particular page our data is completely based on the five years database of the entire social activities of Wesfamers. This particular section has been included in the sustainable report of this organization. The data that has been primarily pointed out in this page include a detailed record of injury, the frequency rate of injury, the contribution of community for the development of firm, the percentage of emission of greenhouse gas and so on. As per the sustainable report, provided in the year 2014, it has been pointed out that the total number of injuries happened within the organization was 5. In different kinds of issues like health and safety issues, issues of benefits and facilities the employees intend to claim compensation (Ball, Grubnic and Birchall 2014). The report of 2014 says that total 13 employees of Wesfamers had claimed compensation for the sake of these reasons. Moreover, the contribution on behalf of the community was .24 in total. On the other hand, the overall report of 2015 is quite positive and effective. The record says that the total number of injuries in 2015 was stick to 4.2. Therefore, number of injuries had been decreased up to .8 in comparison to the 2014. On the other hand, number of employees who has claimed for compensation as per the report of 2015 includes 11. Therefore, the report says that the number of employees claiming for compensation had also been decreased (Ballou et al. 2012). At the same time, it is undeniable that the total contribution of the community towards Wesfamers had been decreased to .12. As per the evaluation of sustainable development, it has been observed that Wesfamers has made an improvement within the business process in comparison to the year 2014. It cannot be denied at the same time that the sustainability report has faced some of the major negative aspects at the same time due to the several reasons (Barkemeyer, Holt, Preuss and Tsang 2014). The level of greenhouse gas emission in the year 2014 was 627 at the same time it has been decreased to 569 in 2015. As per the sustainability report of 2014 and 2015, the current progress of business as well as the business development has been emphasized. In addition, the way of business progress in 2015 in comparison to the year 2014 has been discussed clearly in this particular study. Comparison on Wesfamers Comparison of Sustainability Report Division Sub-division 2014 2015 Economy The total economic contribution of Wesfamers towards the society has clearly mentioned in the sustainable report of 2014. The sustainable report says, Wesfamers has spent $62349 for the sake of operating revenue and sales (wesresources.com 2016). The employee wages has also become a major concern for this particular organization. The company has spent $7787 for the category of employee wages and finally $1880 has been kept for maintaining government tax policies (Bebbington, Unerman and O'Dwyer 2014). The sustainability report of 2015 implies that $7830 has been spent due to the employee wages. As per this particular data, it is clear and evident that Wesfamers is able to spent better employee wages in comparison to the previous year. The revenue growth has been increased certainly due to which the organization is able to provide better salary package to the employees (Beckmann, Hielscher and Pies 2014). In addition, $1578 million revenue has been spent for the government taxes as per the sustainability report of 2015 (wesresources.com 2016). Environment The report of 2014 says that carbon emission had been decreased to 4.1 percent lower rather than the previous year. Therefore, it is quite evident and clear that the company has maintained the environmental sustainability very effectively. As per the report of 2015, it has been observed that 37 percent carbon emission has been reduced in last five years. As a result, the organization has maintained an effective sustainability practice on environment effectively (Benn, Dunphy and Griffiths 2014). GRI guideline has mentioned that the sustainability report should be provided in such a way that people would not have to struggle in order to understand the level of business growth. Social Human rights In order to run the entire process of business effectively this particular organization has implemented some of the major plans and policies. The policies include health and safety act, right to information act, data protection act and so many. The employees have the right to get necessary facilities and benefits from the organization at the time of any kind of health issue (Boiral 2013). Employees should have the equal right to get an in-depth knowledge and information regarding any information related to the business. In addition, data protection act implies that people should never leak any data and information in front of the third party without the permission of that particular individual. These kinds of acts and regulation are both applicable for both the employees and the employers. In the report of 2015, two more acts and regulations have been implemented. The regulations include anti-discrimination acts and low employee health and safety act. With the help of anti-discrimination act, people from various geographical boundaries would be treated with equal respect and dignity (Boons and Ldeke-Freund 2013). Not a particular religion, culture, or gender would be entertained within the organization. Society In 2014, the company has provided relevant information on how the Wesfamers has maintained community relation in order to maintain the organizational image and reputation effectively. Along with maintaining community relation, this particular organization has added two or more social compliances more effectively in order to stretch the entire process of business in various geographical areas. Corporate Social Responsibility is the major initiative taken by Wesfamers due to which the organization has maintained their sustainability process more effectively (Boons et al. 2013). In addition, corporate social responsibility is fruitful for both the customers as well as the organization. Product responsibility As per the report of 2014, this particular organization is able to provide quality products to the customers so that they can easily rely on the product quality of Wesfamers. The 2015 sustainability report says that organization would like to organize effective events in order to deal with the customers effectively (Christofi, Christofi and Sisaye 2012). Customers before purchasing a specific product and services, like to get an overall overview regarding the reliability of products and services with the help of effective promotional tools (Crane, Matten and Spence 2013). As a result, the organization has received a large number of positive responses from the customers of different geographical boundaries. Accessibility of report After evaluating an in-depth analysis on the sustainability report of two years, it can be stated that the overall report is possessed with an essay format that helps the analysts to understand and evaluate necessary data and information effectively. Based on the report of 2014, it can be stated that the report was primary concerned with the social responsibilities and product responsibilities (Dagiliene 2015). In addition, the report of 2014 was not very much concerned on presenting the report with the help of graphical representations. As a result, the analysts had to face innumerable difficulties in evaluating the data and information effectively. On the other hand, the report of 2015 has taken graphical representation as their matter of concern. Graphical representation enhances the scope of an individual in order to understand the data effectively and to evaluate data based on the level of understanding (de Grosbois 2012). In addition, while dealing with the graphical representation, the data analysts had understood at a glance about the overall scenario of business growth (Dhaliwal et al. 2012). Part B: The sustainability report of company and comparison written on two countries Introduction: This particular part has provided a deep insight regarding the sustainability report that is published by Fuji Xerox. An in-depth comparative analysis would be conducted between the year 2014 and 2015 (Fujixerox.com 2016). Fuji Xerox is a popular company occupying a predominant all over Tokyo. This particular organization primarily aims to provide xerographic documents in various countries of the World. Fuji Xerox has also followed G4 guidelines at the time of preparing this particular sustainability report. This particular report has also focused to highlight the importance of making sustainability report at the end of every year. Sustainability report is the summary of overall performance of a business organization. Customers even before using a particular product and services from a specific organization, tends to get an overall idea about the sustainability record for understanding the reliability on products and services. Assessing report on sustainability It can be evaluated following on the G4 guidelines that the entire report of Fuji Xerox has maintained an overall transparency entirely so that both the internal and the external stakeholders do not have to struggle in order to understand the analysis of entire report (Dubois and Dubois 2012). Any kind of complication as well as confusion within the business report may hamper the relation of internal as well external stakeholders. As per this particular sustainability report, the viewers have received a clear and in-depth analysis on how society, economy and environment have a major contribution for rendering the success of a business organization (Ehnert and Harry 2012). While providing the financial statement, the report has mentioned on how this particular organization has implemented numerous plans and policies within the business organization with the help of which people would get a better feedback from the customers as well as from their employees. The organization likes to maintain a professional relation with the stakeholder by following participative leadership style at the workplace (Epstein and Buhovac 2014). With the help of participative leadership style, both the employers and the employees can take an effective decision-making. Business managers of this particular company never tend to impose any kind of decision on the mind of employees (Fernandez-Feijoo, Romero and Ruiz 2014). While making a business strategy, both the employees and the employers like to make a collective decision based on which employees get an enthusiasm for providing effective services to the customers. In addition, in order to maintain an effective business relation with the employees, the business managers like to make an effective interpersonal relation with every individual performer (Ganescu 2012). The managers tend to know the problems and difficulties an employee has to face within the business organization. Managers like to create a friend ly environment within the business organization so that employees do not feel hesitated for sharing views and opinion with the business managers. The sustainable report says that this particular company has expanded the entire process of business in 21 locations all over the World. In every location, the organization has followed eco-system for maintaining an ecological balance throughout the environment. While establishing the financial report the report has emphasized to focus on improving the supply chain management (Hahn and Khnen 2013). Supply chain management. Supply chain management is one of the most effective ways of maintaining a balance between supply and demand of a product. Therefore, customers show their interest in using the service of particular business organization only when they would be able to receive the product within time. The supply chain management of this particular company is still restricted to the off line procedure. The use of advancement technology within this process is rare (Hk, Moldan and Dahl 2012). This is one of the most important reasons, due to which the company has to suffer in making t heir revenue growth in last five years. The transportation system on the other hand should also be improved so that the customers can get an in-depth knowledge about the status of their products (Ioannou and Serafeim 2014). Maintaining a telecommunication is the only way based on which the customers can get effective feedback about the service of their products. Technology should be used properly so that customers can make an effective communication with the supply chain managers. Fuji Xerox has published the sustainability report in Japan. This particular sustainability report has the company immensely for fulfilling the current needs and demands of the customers. In order to satisfy the local customers the organization has taken into consideration some of the major plans and policies of sustainability (Jensen and Berg 2012). Among those important sustainable policies, community relation and corporate social responsibility are the most prominent. As per the concept of community relation, the organization tends to provide some additional benefits and facilities to the community either by reducing the product cost or by recruiting the employees from community. This particular policy helps the organization immensely for surviving in the regional market effectively (Joung et al. 2013). In order to survive in the market, the business organization has to focus on satisfying the needs and desires of regional market where the organization is currently situated. This particular company is not exceptional to that. Establishing their entire process of business in 21 locations of the World, this particular organization is able to maintain an effective community relation in the regional market (Junior, Best and Cotter 2014). As a result, the company is successfully maintaining an effective organizational image and reputation throughout the years. Corporate social responsibility is another major pathway for rendering the success of a business organization. Fuji Xerox report of 2015 says that CSR activity is one of the major sources of maintaining social sustainability for a business organization (Kiron et al. 2012). This particular company while maintaining CSR activities intended to take an active participation in various agendas of government such as higher education program, basis training program, HIV campaign, against child labor and so many. In addition, in order to treat every employee with equal respect and dignity, this company has implemented diversity culture within the process of business (Lee and Saen 2012). As a result, employees are recruited within organization from different cultures and background. This kind of initiative is truly helpful to maintaining organizational image and reputation. Comparison on Fuji Xerox4 Division Sub-division 2014 2015 Economy The report of 2014 says that the company has spent 47% money for the development of office. Office development implies improvement of advanced technology, increasing the number of physical resources, enhancing the workforce and so many. Apart from investing money in office equipment, the organization has spent money 24% in global services and 17% in product services (fujixerox.com. 2016). As per the report of Fuji Xerox, it has been observed that the company has invested 13.2% for the production services. Production services include quality of product, product packaging and carrying cost. It has been observed that the company has spent less for production services than the previous year. 15.7% has been allotted for global services. The organization has already spread the demand in multinational countries (fxasustainability.com 2016). Therefore, the transportation system controlled by the supply chain managers is very strong. As a result, the company has easily entered into the global market. In addition, 16.1% money has invested for office purpose. By investing this money, the company is able to develop the quality of official equipment. Environment The environmental report of 2014 has stated that the company has taken environmental management system in order to keep a constant control on ecology (Manetti and Toccafondi 2012). As a result, the people do not have to face environmental pollution massively. The environmental sustainability report of 2015 has pointed out that environmental system has controlled the process of emission of waste material. As a result, eco-system has been balanced in a better way. Social Human rights As per the 2014 sustainability report, it is clear that employee of every culture and background within the organization is possessed with equal respect and dignity (Milne and Gray 2013). Both the employees and the employers can use some of the major regulations and acts within the business organization for maintaining organizational image and reputation. The report of 2015 is more concerned on the right of the workers as well as on the external stakeholders. External stakeholders imply government, customers, suppliers, shareholders and so on. In order to render the success of a business organization, the role of organizational employees is highly important (Prez and Del Bosque 2012). The employee performance would be successful only when they would get necessary facilities and benefits from the business managers. Society The implementation of corporate social responsibility becomes the primary concern of this particular organization. It has been observed that people from different geographical boundary would like to show their interest for purchasing products and services from a particular business organization only when the organization is involved with immense social responsibilities such as taking sponsorship for running sports club, maintaining hospital or health care center for the sake of organizational image and reputation (Slack 2012). At the same time, these kinds of initiatives are beneficial for the business of people in general as well. In order to appreciate the flawless endeavor of organizational employees, the company liked to arrange a reward ceremony where the best employees had been awarded. This kind of social deeds truly inspired on employee motivation (Schaltegger, Ldeke-Freund and Hansen 2012). In addition, the people who had been going through under-performance for a several times get immense motivation by observing the best performers lifting best employee award in their hand. In addition, reward ceremony motivates the employees for maintaining organizational culture and behavior at the workplace (Smith 2012). The internal organization behavior and discipline of Fuji Xerox is highly effective for motivating the employees for providing best services towards reaching the business goal. Product Responsibility As per the sustainability report of 2014, Fuji Xerox has concentrate to enhance the quality of product by emphasizing on effective group performance rather the individual performance. A team bonding is necessary for providing a good quality of product to the customers. Only one effective performance of an individual is not very much effective for rendering organizational success. Before making a particular product, the organization is more concerned on the current market demand. With the changing progress of civilization the needs and demands of the customers are changing gradually. Therefore, providing innovative ingredients as well as effective designs are one of the major ways of maintaining product responsibility. Factors that influence on making sustainability report After evaluating the sustainability report of Fuji Xerox, it has been observed that both the two companies have presented their sustainability report on two ways due to the different cultures of Australia and Japan. While making the report both the two companies have followed GRI G4 guideline. Instead of that, the way of approach in preparing the two sustainability is different from each other. Wesfamers is more concerned on graphical representation in order to get the appropriate data at a glance. On the other hand, the report of Fuji Xerox is primarily concerned on the critical analysis of various business aspects. Some of the major factors highly influence on making the sustainability report. The factors are as follows: Power distance: This is the cultural dimension model established by Hofstede. Organizations intend to distribute power by maintaining an organizational hierarchy. As per the culture of Australia, the organizations like to distribute the power based on experience and days of work. On the other hand, in Japan power is distributed as per level of performance. Individual vs. Collectivism: Japan believes in collective performance rather than concentrating on the performance of an individual. On the other hand, Australia strictly focuses on the performance of every individual. Uncertainty avoidance: In order to handle any kind of uncertain situation the Japanese have lagged the Australian behind. Australia has scored 51 whereas the score of Japan in uncertainty avoidance is 92. The record says that the organizations of Japan can handle any kind of uncertain situation more skillfully than the business organizations of Australia. Masculinity vs. femininity: Japan is based on masculine dominated society. This particular concept has a major impact on the business organizations as well. While recruiting an individual employee, Japan organizations prefer to select male candidate rather than the female employees. In addition, the female employees at the workplace have to face immense challenges in order to hold a higher position despite having skills and competencies (Willard 2012). On the other hand, as per the culture of Australia both the male and female get equal respect and dignity at the workplace. Long-term orientation vs. short-term orientation: Most of the business companies of Australia believe on long-term business strategy. The marketing plans and polices that have been prepared for making promotional activities are very much long-term for maintaining sustainability. On the other hand, Japan tends to change business strategies and policies within the changing tastes and demands of the current market. Based on that different cultural dimension, the sustainability report has been reflected in two different ways. Part C: Recommendation and conclusion This particular study has provided an in-depth understanding about the importance of sustainability report for maintaining organizational image and reputation. In this specific assignment, an effective comparison has been provided in the sustainability report based on the year 2014 and 2015. After evaluating an effective comparative analysis, it has been observed that the organizational culture of Australia and Japan differs from each other. While reflecting a sustainability report, the different ways of approaches of both Wefamers and Fuji Xerox have been clearly pointed out. Wesfamers sustainability report is more concerned on graphical representation. On the other hand, the report of Fuji Xerox has focused to deal with critical data analysis. However, after evaluating the entire sustainability report of two countries some of the major recommendations can be taken into consideration. The recommendations are as follows: In case of Fuji Xerox, the company should focus on graphs and charts more effectively so that the viewers can get an overall knowledge and experience without going through the entire report At the same time, along with maintaining an effective graphical presentation, Wesfamers should focus on data analysis more effectively. Only graphical presentations are not sufficient to get an in-depth analysis of the organizational activities and agendas. Therefore, graphs should be presented in simple lucid language so that people do not have to struggle for understanding the activities of organization. Part D: Reflective journal on personal development After evaluating, the two sustainable reports of two separate companies I have gained sufficient knowledge and experience on how a particular organization should make sustainable report properly. Sustainability is highly important for rendering organizational image and reputation. 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