Management in the wider

environment
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Management in the Wider Environment

Introduction
Unilever is committed in delivering the quality products that right in the consumer
needs in terms of nutrition, hygiene, and personal care. The firms ensured that their
competitive brands can help the people feel good, look good, and get more benefits as
they enjoy their life (Unilever website). This vision of the organization states and
manifests their ability and willingness to put more effort in creating the products that
will answer the needs of the market. Unilever is a British-Dutch multinational
corporation that manages the wide arrays of consumer products which includes food
and beverages, to personal care, and even cleaning agents. These products are widely
recognized because of the firm's ability to expand their management control and
through establishing business branches al-throughout the different nations.
Although the firm is recognized as a dual-listed company-one is Unilever NV in
Netherlands and another is Unilever PLC in UK-still the firm is consisted in
establishing a unified structure when it comes in management. This means that the
two companies are not completely separated entities and they have the same
directors and other important management positions that can aid the company to
achieve the effective operation. As of the competition, the Unilever recognizes it
contemporaries that are also performing in the local and international market. In the
international scene, Nestl and Procter & Gamble are its close rivals, while there is a
relevant competition in terms of the product ranges because of the companies like
General Mills, Johnson & Johnson, Pepsico, and many others (Unilever website).

In this paper, the aim is to critically examine the application of the European and
global integration among the organizations. In order to satisfy this aim, there are
objectives that need to be considered. First is to measure the effects or impact of the
European and global integration on the organization - the chosen organization in this
assessment in Unilever. Second is to investigate the range and effects of

environmental legislation directives and guidance and the processes that the
organization needs to adopt. And third is to explore the socio-cultural, ethical, and
moral issues that affect the organizations in the current economic environment to
establish and implement good practice.

Organizational Overview
The management of Unilever presented the different possibilities as well as
challenges in incorporating the globalization in their operation. If we observe closely,
the European Union or EU's policies are drawn to the concept, principle, and
transparency of the business performance. This also gives highlights in the
organization's facilitation of governance and the integration processes. As Unilever
starts to touch every nation's culture, there is a significant form of engagement in the
global economic imperatives. The Unilever asserted that their operation do not forget
to recognize the corporate social responsibility and which they claim as the heart of
their business (Cescau, 2007). Actually, the corporate social responsibility (CSR) is
an essential element of present and future social policies. The strategy is to develop
the multinational economic and financial groups that is needed in global market
economy or firms that going through serious of internal crisis. The strategy is a
replacement for many socially and ethically irresponsible practices to avoid or lessen
the possibilities of bankruptcies, fraudulent actions, and even disrespecting for the
basic working values. People being brought by their values and attitudes in work are
guided by the core values and reflecting the moral principles. These values affect the
situation in facing the issues and problems on one's perceptions in relation to their
choices and actions (Fry, 2005).
But despite of the organization's action in emphasizing the CSR functions, the
transition towards the responsible and sustainable firm is on-going, which means
that the firm must continue its responsible actions even in different cultures. At this
point, Unilever attracted various criticisms from the areas of politics, environment,
and human rights because of their inability to achieve the CSR goals within the
various dimensions-like cutting of trees (China CSR, 2009). Hence, corporate social
responsibility does not exist in isolation from the society in which companies
operate. It is another way to response the needs in different societies with different
expectations. The corporate social responsibility is not only obliged to the business
strategy, partnered the willingness of management to deliver it, but also people who
are prepared to accept the kind of responsibility in their personal career and action.
The corporate social responsibility is more effective with the communication and

readiness to learn more and using their skills efficiently (Britwum, Enu-Kwesi, &
Akorsu, 2006).

Global Integration
Within the circle of the European or global integration, we can find that it presents
significant challenges. The global integration traced in the performance of the
organization suggests that there are common misunderstandings on the true
meaning of globalization and it leads the Unilever to be not consistent with the
concepts of CSR. It is suggested that in order to measure the impact and effects of the
globalization in the performance of an organization, they must know first the essence
of globalization and its relationship with the organization. In this way, the
organization can gain advantages like exercising the meaningful approach with the
relation to globalization (Hay & Rosamond, 2000).
The European integration and globalization are broad fields in discussion. More
likely, there is no one or single concept of globalization and its theories are presented
in the current economy of UK. For the organizations such as Unilever, their ability to
perform in market-conforming ebb of demand and needs is taken from their
understanding on the concept of globalization but also because of the apparent
economic constraint that can also contribute in the organizations limitations. The
future Western social model may challenge the implications of the globalization in
the social context as much as its role in the economy (Hopkin, 2000).

Unilever in Wider Environment

Globalization might not fully traced or found in the action of the Unilever pertaining
in its social and environmental activities. According to Unilever Sustainable Living
Plan, the company might address some ambitious plans such as creating jobs and
aiding the increase of the household income, improve the livelihood programs in
order to link it through the success of the business and community relationship. Part
of the organization's plan in supporting the future and determining the extent of the
globalization is includes the stakeholders, shareholders, suppliers, and investors
around the world. Since the organization wants to sustainable plans focuses and
targeted to enable the people to increase their quality of life. But this is argued that
the firm also has a great potential in increasing their contribution towards the
environmental impact. As emphasized in the plan, the Unilever aims to aid in the
improvement of the people's health and well-being, have control in the environment
impact of products, and manage to provide the agricultural raw materials as their
input for their products.

Exploration of the Good Practice

The concept of corporate social responsibility accommodates a wide variety of
achievements and initiatives that covers the moral and ethical concerns such as the
code of conduct and good governance. The aim for corporate social responsibility is
to have an overall positive impact on society through a socially responsible conduct.
It also includes the voluntary integration by the companies of social and
environmental concerns towards the commercial activities and the relationship with
stakeholders (Fonteneau, 2003).
The corporate social responsibility is an important way for organizations to increase
their contribution to society and to sustainable development. The strategy covers the
things and organizations have an impact beyond its immediate operations and legal
obligations. Because of corporate social responsibility that goes beyond legal
obligations that involves the issues of health and safety in the workplace,
employment policies and environmental protection (Noon, 2008). A business
recognized the role of the corporate social responsibility in contributing to the
development of the communities in which the business operates. The application of
the responsibility is common in pushing the initiatives for the business (Perigot,
2003). Ethics is primarily concerned in exploring the question of what are the values
and principles of good behavior and well-being that may affect the decision-making.
The fundamental needs emphasize the issues of standards criteria of behavior,
ethical and spiritual well-being (Vasilecu, 2008).
An ethical process reflects the requirements for being a leader, as well as leaders can
influence the follower empowerment to facilitate the values across the proposed
strategies. Corporate ethics and social responsibility overlaps the concepts the
positive human health and well-being through the human existence and their
relationships to values and attitudes. The development in a workplace's spirituality,
character ethics, and positive leadership to incorporates the social responsibility. The
business ethics and corporate social responsibility had drawn interest for decades as
it became a major principle or guideline in a business society. It is a call from the
ethical missteps done by a company that results in many allegations as it
continuously expressing the responsibilities in business (Sims, 2003).
Corporate Social Responsibility (CSR) is a concept wherein companies integrate
social and environmental concerns into their business operations and in their
interaction with their stakeholders on a voluntary basis. The important aspect of this
responsibility is voluntarism. Businesses are expected to recognize the opportunity

and the responsibility to set high standards for protecting the natural, human and
economic environment of the citizens in their areas of operation (Singh, Kundu, &
Foster, 2006).
For the customers, the CSR is important to ensure that the organizational policies
add value to the customer satisfaction and earn their loyalty. Aside from the broad
commitment to social welfare, there is an assurance that the products and services
offered to consumers are of the highest quality and that these products and services
are provided with due regard for the welfare of employees (Britwum, Enu-Kwesi, &
Akorsu, 2006).
For stakeholders, the company provides training for small scale artisans as part of its
responsibility. This is helpful but it will be even more helpful and educative to all
stakeholders including the academic community if the results of post training
evaluations or tracer studies are publicized. This will allow society to reflect if the
money being invested is yielding desired results. It may also lead to suggestions for
modifications where necessary (Britwum, Enu-Kwesi, & Akorsu, 2006).
Corporate social responsibility is an essential element of present and future social
policies. The strategy is to develop the multinational economic and financial groups
that is needed in global market economy or firms that going through serious of
internal crisis (Okafor, Hassan, & Doyin-Hassan, 2008). The strategy is a
replacement for many socially and ethically irresponsible practices to avoid or lessen
the possibilities of bankruptcies, fraudulent actions, and even disrespecting for the
basic working values (Heugens & Otten, 2005).

What is missing?
Unilever has been criticized in the deforestation because of their introduction of
palm oil. According to the report of Greenpeace UK (2001), Unilever admits that they
dump toxins which do not only causes deforestations but also damaging the
Indonesia's rainforests. This is one of the failures of Unilever in committing to their
environmental responsibility. Their aggressiveness to produce a product might affect
the sustainable environmental support. All of the sustainability and competitive
performance of the organization are aimed to be obtained in 2015, therefore Unilever
acts in the most possible as they can. Because of the production of the palm oils of
the organization, the business is required to satisfy certain policies in Roundtable
Sustainable Palm Oil (RSPO) European Union (Unilever website). Probably these
policies are endorsed by the RSPO that is designed to tackle the environmental and
societal problems in the pursuance for the sustainable production of the palm oil.

Another issue that Unilever is facing is the animal testing where they can face the
legal requirements and application of necessary law. Unilever's their idea of
developing the alternative approaches to animal testing (Unilever website) arose
various criticisms because the firm is suspected to put a little effort to gain the good
publicity in terms of the ethical issues. In addition, the organization is also accused in
child labor. Accordingly, the firm is using some low-cost production of materials like
in Indian states. The cottonseed production in this state used the children to work
which is apparently so-supported by most of the Indian-owned companies. The
children do not work heavily but they are often referred as agents and called seed
organizations (IRC, 2003). The fact that the children are involved in working is
already considered as a child labor. However, Unilever denied the accusation and
even promote the actions against the child labor.

Specific Measures for Improvement

The term of organization in the midst of the globalization clearly defines the different
forms of knowledge. Through adopting the various links within the social practice,
therefore it is important that organization should develop their analytic approach
and interpreting the different schemes that are found in the society in order to
understand the flow of globalization (Jabri 1996). Organization should understand
that the globalization exists and that it is, at some point, form of external economic
constraint. In the overview on the manufacturing sector, there involves the factors of
production and the mobility of capital. The organization is suggested to welcome any
strategies to improve their relationship with the market environment. More likely,
the strategic alliance or partnership can be a good example thus it does not only cut
down the burden in investing and operation but also the potential in receiving the
tremendous risks (Hombach, 2000). Furthermore, the organization can receive more
of the benefits in adopting the international policies because it aligns the
organization's objective towards the economic sustainability and the awareness in
sustaining the environment. This will also prevent the organizations like Unilever to
be accused with the issue of child labor because they can improve the safety and
health of the workforce and will not take too much advantage in low-cost producing
countries. Diversification is one of the greatest factor in which the organizations
should also manage because the globalization may leads its way the rigorous
competitiveness of the organization and thus organizations should have a basic
principle in the cost reductions, welfare retrenchment, labor market flexibilities and
supply chain management as the organizations started to expand and be more global
(Hopkin 2000).

Conclusion
The issues of globalization greatly affected the current and future management of the
organization. Most likely, we can say that globalization contributed in the
development of the societies. Apparently, as the researchers paid most attention in
reflecting and studying the movement of the globalization, they recognized that it is
associated with the issues with regard to power and knowledge. Aside from the
effective use of technologies and its technical counterparts, the organizations
acknowledge the various risks and developments that will give them the competitive
advantage once they pursue their objectives and goals. Part of the developments and
issues in globalization in the European integration that gives light in intensive
deployment of the corporate strategies are the policy and policy-making, journalistic,
and the importance of corporate communities. In recent years, the Western society
like Europe created a tremendous approach in these developmental policies which
became very popular in other related societies. With the increasing interdependence
and heightened competition that generally affects the nation's economy; it is
assumed that the global integration will not be the reason in the demise of the sociocultural, moral, ethical, and environmental aspect.