Marketing report on: CSR of BHP Billiton

Executive Summary

In this report, CSR of BHP Billiton has been observed. It can be seen that there are various responsibilities in order to implement CSR at the company such as managing of emissions from green house gas, improved energy efficiency, creation of an atmosphere where employees are respected with dignity and respect and wages must be paid according to legal and national standards. These all actions can be managed by management techniques such as planning and organizing. The various recommendations have been mentioned in order to manage the emissions from green house gas and improved energy efficiency such as creation of strategy of sustainable proportion, use of economic instruments in order to mange emissions from green house, the company should develop extra measures of energy efficiency in industrial and commercial sector and the company must provide safe working conditions to employees in order to safeguard them from any kind of hazard.Introduction

BHP Billiton

It is observed that BHP Billiton is a world category business.BHP Billiton offers a broad range of products, users, markets and excellent depth management and desirable collection of development and growth opportunities.BHP Billiton offers innovative excellence of products. In order to hold these products the company had created hubs of twin marketing in The Hague and the Singapore. In General, these kinds of hubs provide innovative and unique users solutions and excellent customer service. It is observed that sustainable growth and development at the company encompasses the dedication and procedures towards safety, health, the environment and society. To ensure enhanced performance the company has set particular targets in these kinds of areas. The company had also stated to accomplish a 6% decrease in the emission of green house gases in the upcoming five years to 2012.In addition the company is aiming to enhance its efficiency of energy by 13% during the coming five years to 2012.It can be seen that BHP Billiton shall be spending more of its dollars in this area on growing technologies to create the fueling of the coal a more sustainable proposal. It is observed that clear and clean coal technologies, no matter who develops them shall be of great advantage to the business and the household globally provided they are healthy and competitive. It is observed that as of June 2007, the company had already incurred $75 million on creating and developing of clean coal technologies in US and Australia. Both BHP Billiton and its biggest mining competitor, Rio Tinto, have been working on projects to generate electricity with zero greenhouse gas emissions. And it is pleasing to see that these enormous companies are taking seriously their responsibility to develop and adopt sustainable business programs (Toyne, 2005)

CSR

It is observed that CSR is defined as responsibility of the business and the company action on moral, environmental, communal & economic issues. It can be seen that CSR actively coordinate and integrate the social, economic and human right activities. CSR helps in reflecting organization & international values, reaping advantages for its operations and creation of goodwill in the society in which it operates.CSR at BHP Billiton

It is observed that BHP Billiton takes participation in initiatives of external benchmarking in order to measure the company sustainable growth & development as compared to other companies in the industry. These types of initiatives would help managers to point out targets of investment on the foundation of its social and environmental policies and investigate companies which coordinate their risks of HSEC in the more efficient way. It is observed that the company is registered on the index of UK FTSE4.This kind of index is planned and designed to evaluate the performance and efficiency of companies which encounter internationally known CSR standards and to create investment and speculation in these companies. In generally, CSR is what organizations do in order to become socially responsible.CSR describe the issues of scanning of the environment and management issues. These two functions of management planning and organizing can be used by managers to support the implementation of corporate social responsibility in BHP-Billiton.

Management Techniques

Planning

Planning is a process which helps organizations to create and maintain plan in order to achieve preferred and desired goal in some respect. Planning is a basic property of outstanding behavior. This process is vital for the development of a plan with the framework of scenarios. Planning is the association that it holds with prediction. It can be seen that the planning helps the management in determination of goals and objectives, helps the management in minimizing the uncertainties, helps the management in coordination and integration of activities towards business objectives, helps the management in improving the morale of the employees, helps the management in achieving economies, helps the management in encouraging innovation and open environment for employees and helps the management of the company in achieving freedom of association.Organizing

In general organizing is defined as to place distinct objects in consistent arrangement for enhanced searching. There are various purposes of organizations in order to achieve organizational objective such as first, organizing helps in accomplishing organizational objectives, second, organizing helps the management of the company in optimum utilization of resources, third, organizing help the company to execute managerial functions, fourth organizing helps management to achieve development and expansion and lastly it helps in managing behavior of employees.

There are various responsibilities on the head of the company in order to achieve CSR such as  reduction in emission of green house gases, improved energy efficiency, protection of child labor, protects inhumane treatment of employees, wages must be paid on legal and national standards, to ensure workplace and healthy environment and freedom of association among employees. These all responsibilities can be handled by the manager of the company by using two management techniques such as planning and organizing. Planning helps the company manager in estimation of techniques for future growth & development. Organizing helps the company manager in managing the behavior of employees at the workplace, helps the company manager in deciding of remuneration of employees and helps the company in managing of emissions from green house gases.

It is observed that BHP Billiton, to manage emissions from greenhouses gas the company had produced targets for sites to achieve 100000 tonnes of CO2 per yearly in order to have management programs for greenhouse. It can be seen that Worsley Alumina is a combined venture among BHP Billiton, Sojitz Alumina and Associates of Japan Alumina for creation of bauxite mine and facilities of port. Worsley help BHP Billiton by using a variety of Fuel substitution, efficiency of energy and offset procedures in order to do reduction in emissions from green house gas. This is also a responsibility for the company to achieve CSR and this responsibility can be solved with the help of management technique planning because planning helps in management of the programs. Worsley helps in improvement of energy efficiency which includes enhanced efficiency of boilers of coal fired and helps in Fuel substitution by using coal fired for limiting the emissions from greenhouse gas.

It is observed that for achieving the CSR the company has started to implement broad range of standards which includes all aspects of operation. The company had implemented activities which had the capability to influence the prospect of HSEC. Health – the company promotes and enhances the health of employees. Safety – the company provides a safe workplace to employees where they can work without getting injured. Environment – the company promotes the efficiency of resources for minimizing the pollution. Community –the company constantly engages with social and economic benefits & contributes to the development of sustainable community. This action can be managed with the help of management technique planning because planning helps in coordination & integration of activities.It can be seen that apart from managing the reductions of emissions from green house gases and improved energy efficiency there are other responsibilities on the head of the company in order to achieve CSR like employees must not be recruited before completion of their elementary education, creation of an atmosphere where employees are treated with full respect and dignity.

In order to achieve CSR the responsibility for the management of the company is to ensure that employees should not be recruited to business before completion of their basic education. The management of the company is to ensure the least age for make an entry in the employment should be more than 15 years. One of the objective of the planning is to ensure the economies with the help of management technique, planning the company manager is capable of ensuring the society that they will not hire employees under the age of 15.

It is observed that, the supplier of the company ensures that there will be no forced and involuntary labor in order to achieve CSR this thing can be managed with the help of organizing because it helps in execution of managerial goals.

It is observed that, in order to achieve CSR it is the duty of the supplier to build an atmosphere where all employees treated with self respect and dignity and should not implement any fears of violence, sexual misuse, psychological annoyance and abuse. It is observed that one of the major functions of the organizing is to manage the behavior of employees so; management technique organizing would help the company manager in achieving CSR by managing the behavior of employees.

It is observed that wages and incentives paid to employees should be based on minimum legal and national standards or domestic benchmarks of industry whichever is larger. This is also a part of responsibility in order to achieve CSR at the company and this responsibility can be achieved with the help of management technique organizing which helps in deciding of remuneration package of employees (Michaels & Knappenberger, 1996)

It is observed that supplier at the company should ensure the safe and strong working conditions to safeguard employees from hazards and estimated dangers, employees must receive daily and continuous health, and accommodation given to the workers must be clean and safe to satisfy the general wants of employees and this type of responsibility also plays an important role in implementation of CSR at the company and this can be successfully implemented with the help of management technique planning because planning helps in managing of uncertainties and risks.

It is observed that in order to achieve CSR at the company it is necessary for the company to achieve freedom of association; the supplier should accept an open behavior regarding the legal actions of trade union. The representatives of employees should be allowed to take out their programs in the workplace and should not be biased against. This can be achieved with the help of management technique planning because planning helps in achieving of open environment for employees and helps in achieving freedom of association.

Recommendations

BHP Billiton should create the strategy of sustainable transportation which would help the company in minimizing the emissions from green house gas in the period of long run.

The company must develop renewable energy particularly in generation of electricity.

The company should use economic instrument in order to control the emissions from green house gas. It is observed that economic instrument include emission fees which permits company to achieve environmental costs at fewer cost.

The company should implement extra measures of energy efficiency in sectors of industrial and commercial and take some procedures to minimize emissions of non energy like controlling methane emissions from sites of landfill and improving sinks of carbon dioxide like forests.

The company should improved support for R&D on efficiency of energy and renewable energy to have sufficient technology in the upcoming decades.

The company must research to enhance the estimations of changes take place in climate.

The company should promote attitudinal changes in order to reduce the usage of energy.

The company should make clear to suppliers that they must eliminate child labor and spread labor rights throughout sub contracted operations. It is observed that many companies do cost cutting by employing workers at very low wages so this problem can be solved by having proper rules and regulation regarding child labor.

The management of the company should involve employees and suppliers in any decision regarding forced and involuntary labor.

The company should team up with other parts of society for e.g. Trade unions & local governments in order to ensure wages and incentives paid to employees should be based on minimum legal and national standards or domestic benchmarks of industry whichever is larger.

 The company should make an atmosphere where all workers are respected with full      dignity & respect and ensure an open atmosphere where they can feel free to discuss their queries with their supervisors (Leeora, 2006)

The company should make an effort in order to deal with the particular challenges faced by the workers of the company such as the representatives of employees should be allowed to take out their programs in the workplace and should not be biased against and the supplier should accept an open behavior regarding the legal actions of trade union (Michaels & Knappenberger, 1996)

The company should provide safe and clear working conditions to workers and safeguard them against any type of hazard and danger that take place in working conditions.

The company should ensure that children’s working under age of 14 , 15 or 18 are required to work as per the rules and regulations of international agreements and should not involved in the poor types of child labor as mentioned in convention of the ILO(Michaels & Knappenberger, 1996)

  Conclusion       It is observed that, in June 2007, BHP Billiton came out with new policy on climate change to the praise of sustainable advisors and displeasure of environmentalists. It is understood that, as of June 2007, BHP had already expended $75 million on developing clean coal technologies in both Australia and United States. And it is pleasant to view that this huge company is taking seriously its responsibility to grow and adopt sustainable business programs. There are various responsibilities on the company head in order to achieve CSR such as managing of emissions from Green house gas, improved energy efficiency , employees should not be hired before completion of their elementary education and creation of an environment where employees are treated with self respect and a dignity(Kerr,1997). These all activities of CSR can be successfully implemented with the help of management techniques such as planning and organizing. For e.g.the company had implemented activities which had the capability to influence the prospect of HSEC and these HSEC activities can be managed by manager with the help of planning because planning helps in coordination and integration of activities. The various recommendations have been suggested to the company in order to manage the emissions from green house gases, improved energy efficiency and to safeguard employees in working conditions (Kerr, 1997)

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