Business Case For Cooperate Social Responsibility What is Business Case?

Basically business case is a tool that to support planning or decision making such as whether to invest a project, when to invest, how much will yield and so on. In short, cooperate decision on doing social responsibility is part of business case. CSR can enhance long term shareholders value, providing goods and service that society desire, developing a business s reputation, stronger financial performance and gaining competitive advantages. CSR can help a firm to gain reputationby building mutualistic relationship, where by the firm is operating; they are also fulfilling the social need and meeting expectation of stockholders.Likes making donation can gain publicity and attract new customers or build stronger relationship with customers, which increase profit (shareholder s expectation). A strong branding can be build. Business design their external (market) and internal (operation) activity based on CSR. External operation was design based on market demand (create product that social need) and fulfill shareholders interest while internalactivity can be enhance by increasing the relationship with employee. CSR oriented companies are more likely have better relationship with government and non-government. With these advantages, a firm can create differentiation value and gain competitive advantages. Moreover, doing CSR can help a firm to have stronger financial performance as the firm has a differentiation and competitive value that can gain market share, and attract investor. Meanwhile engaging in employees relationship such as welfare can increase profit as the production can increase as employees are more commitment and cost can be cut such as requirement cost can be deduct as employees are more loyal. Tax reduction can happen if the company is doing CSR.

SIME DARBY CSR Sime Darby Cooperate Responsibility divided in four pillars, which are Environment, Education, Community and Sports. Environment Sime Darby understands the importance its businesses have on the environment as a whole. Sime Darby works towards fulfilling its CSR objectives by adopting best environmental practices and ensuring environmental sustainability in all operational activities. One of the highlight activities is the Big 9 programs by Sime Darby, where by the programs was support by Sime Darby Foundation in an effort to contribute to the preservation of nine animals that are classified as endangered species. They are Sunny Bear, Orang Utan, Pygmy Elephant, Malayan Tiger, Hornbill, Borneo Clouded Leopard, Proboscis Monkey and Borneo Sumatra Rhinoceros. Long term programs such as Tabib Wildlife Reserve Programs ,UluSegamaMalua Conservation programs and so on was establish as an initiatives to protect the Big 9 animals. Not to mention, sustainable island programs, and sime R@D mangrove and conservation is other activates done by Sime Darby as part of preserving the environment. Furthermore,Sime Darby is funding research on environmental issues. Through a funding of Rm5million, The UKM- YayasnSimeDarby Chair for climate change was established in 2010. The chair enables National University of Malaysia to do research on climate changes and other environmental issues. Moreover, Sime Darby comes out with few small programs like tree planting initiative, environmental awareness programs and nature camp. The daily operation routine in palm oil industry was conducted based on Roundtable on Suitable Oil Palm Policy. Where by daily routine was done without doing damages to the environment and follow the law and regulations.

From the business case, besides playing a great role as an environmental care company, Sime Darby is also building reputation and they are fulfilling the demand of some stakeholders that are environment care.
http://www.simedarby.com/csr/Environment_Overview.aspx

Education Sime Darby provides educational scholarships, research grants and sponsorship of education programmes for deserving candidates. Sime Darby Fund Scholarship was establish, under this, few scholarshipprogames was made, like YayasanSime Darby Star Scholarship Programs and YayasanSime Darby High Excellence Scholarship Progameswas offer to youngster which achieve great academic and other field like sport, art and music to continue their study. Furthermore, Sime Darby is committed to establishing educational programmes which benefit and enhance the quality of life for Sime Darby employees and their children. One of it is building school for their foreign workers children that unable to study in Malaysia. Besides that Sime Darby also provides class for their employees. Sime Darby also support local community and international education programs by sponsorship like sponsor UK based-The AMCHAM Young Enterprise Programme and funding the building of temporary school blocks in BakunSgAsap High School in Bakun ,Sarawak. With education, Sime Darby can improve their quality and quantity human resources likes recruiting their scholarship holders. Moreover, by providing education to their employees and employesss children can motivate the workers and in conjunction increase company profit and fulfilling the need of shareholders. Community Sime Darby committed allot of CSR for community,from contributing to the construction of community infrastructure facilities that enhance estates and townships and help to keep

the health of the community in check, to developing policies on Gender Equality and Child Protection, and providing aid to natural disaster victims globally and locally. Gender Equality Policy enablesSime Darby female workers work in a fair working environment, and this can improve their working morale, and production will be increase. Infrastructure facilities building also play a role in improving worker morale. In the property development, quality low cost building was build with enhance value like park to provide healthy lifestyle; CCTV was installed and 24/7 patron units to develop a safe township. By doing so,Sime Darby can attract buyers and increase profit which provide shareholders value By providing aid to natural disaster victims like Sichuan Earthquake, Sime Darby exposed their selves to the world and builds a strong brand image. Sport Sime Darby realize that csr done on sport can bring allot of advantages to them. Sime Darby will support local sport council on finding and naturalized sport talent. Examples are funding the Malaysia Hockey Association,forming YayasanSime Darby Track Team and Sime Darby Football Club. Sime Darby also sponsor football, rugby, cricket, and lawn ball tournament. Not to mention, Sime Darby also build Bayuemas Sports Complex. By engaging in sport CSR, Sime Darby not only enhance reputation, they also build relationship with government and non-government organization, that can be their competitive adavatanges.