Ioan Abrudan - Coordinator

Proceedings of the 4th

Review of Management and Economic Engineering

International Management Conference

„The Management Between

Profit and Social Responsibility”

18th – 20th of September 2014, Technical University of Cluj-Napoca, România

Organized by

AMIER (Romanian Managers and Economic Engineers Association)

and

Technical University of Cluj-Napoca

Todesco Publishing House

2014

ISSN 2247 – 8639

ISSN-L = 2247 - 8639

iii

CONTENTS:

Social responsibility – theory and practice

Integrating corporate social responsibility and occupational health and safety to facilitate the development of the organizations ..................................................................................................... 2 Lucian-Ionel CIOCA, Larisa IVASCU, Simona RUS

Social responsibility in public administration .................................................................................. 8 Smaranda CÂMPEAN (TRIPON), Liviu MORAR, Emilia CÂMPEAN, Ileana ULICI (UNGUREAN)

Social responsibility– pillar of the company strategy. Case study .............................................. 14 Daniela CREȚU, Andrei Radu IOVA

A new perspective on Zara’s social responsibility and consumer’s perception of the Zara fashion brand ..................................................................................................................................... 22 Dana Teodora DRAGONICI

Modern management in Jiu Valley SME’s, a solution to a possible social disaster of a mono industrial area .................................................................................................................................... 31 Eduard EDELHAUSER, Lucian LUPU DIMA, Csaba LORINȚ

Corporate Social Responsibility in small and medium enterprises from a managerial point of view ..................................................................................................................................................... 40 Cristina FENISER, Florin LUNGU

Legal Considerations on International Corporate Social Responsibility Standards ................. 46 Gabriela FISTIS, Caius Tudor LUMINOSU, Cristina BORCA

Study regarding the visibility of corporate social responsibility practices within the Romanian business market ................................................................................................................................ 52 Bogdan FLEACĂ, Andreea DUMITRESCU, Elena FLEACĂ

Insights into the social responsibility developments with respect to environmental protection concern ............................................................................................................................................... 58 Elena FLEACĂ, Bogdan FLEACĂ, Olivia NEGOIȚĂ, Octavian NEGOIȚĂ

A study of the corporate social responsibility of the year 2014 nominated “10 best us companies to work for” .................................................................................................................... 65 Emeric Ovidiu LAPOSI, Ioan Simion DAN

The place and the impact of the social economy in Romania ...................................................... 70 Mihaela Ioana LEȘE, Liviu MARIAN, Ionela MANCIU

Corporate Social Responsibility and Christian Social Thought. Are they sharing commonalities or are they relating to parallel worlds? ........................................................................................... 75 Remus LUNGU, Florin LUNGU

Managers and Engineer Economists between Social Economy Development and obtaining Profit ................................................................................................................................................... 88 Liliana Doina MĂGDOIU, Ioan Constantin RADA

The management of the Danube Delta as an international ecotourism destination: between profit and social responsibility ........................................................................................................ 95 Tudor NICIPORUC, Dragoş Tudor VANA

Arguments for undertaking social responsibility .......................................................................... 99 Mirela POPA, Irina SALANŢĂ

iv

The implication of Corporate Social Responsibility on the sustainable development in Romania ....................................................................................................................................... 106 Roxana-Mihaela SIRBU, Cristina BORCA, Anca DRAGHICI, Oana Ramona LOBONȚ

Capitalization as social responsibility of corporate governance in majority state-owned economic entities ............................................................................................................................ 115 Sabin SISERMAN

CSR in automotive: fad or key to success? The case of Romanian car manufacturer Dacia . 126 Attila TURI, Marian MOCAN, Sorin-Ioan MAISTOR

Organisational practices

Management skills improvement through Corporate Social Responsibility programs ........... 134 Sofia ALEXE, Paul BARU, Claudiu ABRUDAN

Online shopping key features analysis in Mures county ............................................................ 142

Elena-Iulia APĂVĂLOAIE, Liviu Onoriu MARIAN, Elena Lucia HARPA

Corporate social responsibility in Romania: from conceptual frameworks to concrete actions .......................................................................................................................... 150 Virginia BĂLEANU, Sabina IRIMIE, Sabin IRIMIE

Perspectives on CSR and cultural dimensions: the case of an American subsidiary in Romania ...................................................................................................................................... 158 Cassandra Victoria BORDEANU, Alina Aida DRĂGAN

Future managers’ perspective on societal culture: A comparison between Romania and a cluster of former European socialist countries ........................................................................ 164 Doina CATANĂ, Gh. Alexandru CATANĂ

Characteristics of Communication in Romanian Companies ..................................................... 171 Simion CECAN, Liviu Onoriu MARIAN

The management of team competencies ...................................................................................... 180 Ciprian CRISTEA, Iulian BIROU

Creating competitive advantage through sustainable value chain: insights on automotive and textile industry ................................................................................................................................. 186 Sunhilde CUC, Constantin BUNGAU

Management of advertising campaigns with children as target audience – between profit and social responsibility ........................................................................................................................ 197 Dan MIRICESCU, Mihaela Laura BRATU

Vehicle sales analysis ..................................................................................................................... 209 Dorle NELU, Liviu MORAR, Emilia CÂMPEAN, Ileana ULICI (UNGUREAN)

A simple model for employees awareness increase. Concrete improvements ........................ 213 Traian DRĂGAN, Liviu MORAR, Emilia CÂMPEAN

Is CSR a company strategy or a managerial style decision? ..................................................... 219 Emanoil DRAGANESCU, Paul BARU

Work motivation for educational managers ................................................................................. 224 Carmen Sonia DUȘE, Dan-Maniu DUȘE

Innovation and Communication in CSR. A perspective for the Romanian Companies ........... 231 Bogdan GRIGORAS, Simina MOLDOVEANU

v

Analysis of the most important variables which determine innovation among rural entrepreneurs .................................................................................................................................. 237 Elena Lucia HARPA, Liviu MARIAN, Sorina MOICA, Iulia Elena APAVALOAIE

PLM concepts and competitive design for high-end office furniture ........................................ 246 Oana IAMANDI, Bogdan GHERMAN, Calin VAIDA, Mihai DRAGOMIR, Florin POPISTER

The community’s perception on the initiatives of corporate social responsibility. Case study ....................................................................................................................................... 253 Andrei Radu IOVA, Daniela CREȚU

Marketing practices adopted in Romanian small and medium enterprises .............................. 259 Șerban MICLEA, Monica IZVERCIANU

Analysis regarding the size and dynamics of Corporate Social Responsibility concept ........ 270 Alina MOLDOVAN, Elena-Simina LAKATOS, Laura BACALI, Oana-Bianca BERCEA, Leda RÎPĂ

Realities and trends on the Romanian logistics market ............................................................. 277 Gina-Maria MORARU, Dan MIRICESCU, Thomas MOSER

The Chamber of Commerce between profit and social responsibility ...................................... 283 Anca Mihaela REDES (married GIURGIU), Liviu MARIAN, Ioana LESE

The CSR Prospects in Romania and Slovakia: A Comparative Study of the CSR-Related Preferences of the Future Managerial Generation ....................................................................... 290 Anna REMIŠOVÁ, Anna LAŠÁKOVÁ, Doina CATANĂ

The road to entrepreneurial success: entrepreneurial characteristics vs. social responsibility ........................................................................................................................ 301 Matei TĂMĂŞILĂ, Ilie Mihai TĂUCEAN, Claudiu Tiberiu ALBULESCU

Level of job satisfaction of medical and non-medical personnel of Trauma University Hospital in Tirana ............................................................................................ 315 Gaqo TANKU, Piro TANKU

Efficiency in organisations

Current status of the interferences between technology diffusion and marketing management ........................................................................................................... 324 Nadia BARKOCZI, Laura BACALI, Mircea LOBONȚIU

Leadership competencies for succesfully implementing change in Romanian organizations ............................................................................................................. 332 Paula BĂSU, Costache RUSU

The directions for improvement in polish and Romanian enterprises in applying the principles of social responsibility ....................................................................... 339 Nadia BELU, Agnieszka MISZTAL, Marcin BUTLEWSKI , Nicoleta RACHIERU

Applied study concerning the development of tools to control the state of financial balance ......................................................................................................................... 345 Vasile BÎRLE, Gabriela LOBONȚIU

Aspects regarding the transformation of strange attractors from quasi – stabiltiy toward full blown chaos ..................................................................................................................................... 353 Ștefan Radu BOGDAN, Liviu MORAR, Cristian GELMEREANU

Using the value analysis method for redesigning the management of Hunedoara Energy Complex S.A. ................................................................................................................................... 360 Florian BUSE, Sorin Iuliu MANGU, Gheorghe Florin BUSE

vi

Analysis of the external general environment of the logistic market in Romania .................... 370 Dănuţ Dumitru DUMITRAŞCU, Wiegand Helmut FLEISCHER, Thomas MOSER

Reverse logistics in Romania, a point of view of electrical and electronic products retailers ................................................................................................... 377 Cristina Mihaela GHEORGHE, Raisa Floralia RADU

Employees’ risk attitudes and the linkage to organizational security and health in the construction industry in Romania ................................................................................................. 385 Andrada-Iulia GHETE, Lorena BALAN

A New Approach on Software Self-Assessment Tool Based on EFQM Model ......................... 390 Andreea IONICĂ, Monica LEBA, Remus DOBRA

Strategic planning horizons used by both small and big companies from the north-west Romania......................................................................................................... 399 Gabriela LOBONȚIU, Vasile BÎRLE, Nicolae UNGUREANU

Mathematical model for improving the efficiency of productive organizations ....................... 407 Ionela MANCIU, Liviu MARIAN, Anca Mihaela REDES (married GIURGIU)

The Framework of methodology for identification of organizational maturity with assessment of excellence level of logistics systems ......................................................... 415 Anna MAZUR, Agnieszka STACHOWIAK

Using protégé and jess in the management of product development ....................................... 423 Adrian PETROVAN, Mircea LOBONȚIU, Nicolae UNGUREANU

Transposing the constraints into feasible alternative solutions within renewable energy projects ............................................................................................................................................ 431 Gabriela PROSTEAN, Cristian VASAR, Andra BADEA

A complexity management model for industrial services ........................................................... 439 Frank RENNUNG1, Daniel PASCHEK2, Anca DRAGHICI

Inсrеasеd соmреtitivеnеss thrоugh imрrоvеd соmреtеnсеs transfеr bеtwееn univеrsitiеs and оrganizatiоns ....................................................................................................... 450 Соstaсhе RUSU, Еlisabеta JABA

Considerations on improving touristic services in Romania ..................................................... 458 Ancuța-Maria SIGMIREAN, Liviu MARIAN, Amelia BOROȘ

Quality management tools used as competitive assets in car sales ......................................... 466 Ileana ULICI UNGUREAN, Liviu MORAR, Emilia CÂMPEAN, Nelu DORLE, Smaranda CÂMPEAN (TRIPON)

65

A study of the corporate social responsibility of the year 2014 nominated “10 best us companies to work for”

Author(s)*: Emeric Ovidiu LAPOSI 1, Ioan Simion DAN 2 Position: Ph.D.Candidate 1, Assist. Ph.D. 2

University: Technical University of Cluj-Napoca1,2 Address: Memorandumului Street, 28, 400114, Cluj-Napoca1,2

Email: laposie@hotmail.com 1, simion.dan@mis.utcluj.ro 2 Webpage: http://www.utcluj.ro

Abstract No major company strategy is complete these days without a statement on corporate social responsibility (CSR), and this is because profitability, innovation and customer satisfaction alone are necessary but no longer sufficient factors to assure the sustainable development of any corporate business. The companies’ strategies focus on connecting their people synergy in creating value which goes beyond customers and stakeholders, to invest in communities, care for the environment and build a better society.

Understanding what the company has actually done, good or bad, in terms of its products and services, in terms of its impact on the environment and on local communities, or in how it treats and develops its workforce, predicts the future performance.

The “best 10 US companies to work for” in 2014, stand out as prime examples of how social responsibility can be productively coupled with sound strategies to advance goodwill, while building sustainable and impressive businesses. Year after year they provide the leadership to demonstrate how marketers can pursue both objectives simultaneously. As such, socially conscious companies have stepped up their efforts with increasing effectiveness and productivity, ranking in top preferences of their employees and communities they operate.

Key words: Corporate Social Responsibility

Introduction It is already a “sophism” the statement that the most valuable assets of an organization are not the products, equipment, real estate, but they are its intangible assets: brand, intellectual capital, knowledge created by it’s people, the staff. In his study in 2011, Kotler proves how products are becoming more and more like each other and how quick the innovation is imitated soon after its appearance. So if the innovative products are no longer creating the competitive advantage, only for a short time, what are the factors which are key for companies’ differentiation and theirs strategic initiatives in the most competitive global world ever? No major company strategy is complete these days without a statement on corporate social responsibility, and this is because profitability, innovation and customer satisfaction alone are necessary but no longer sufficient factors to assure the sustainable development of any corporate business. The companies’ strategies focus on connecting their people synergy in creating value which goes beyond customers and stakeholders, to invest in communities, care for the environment and build a better society.

66

Theoretical Context of the Corporate Social Responsibility Traditionally in the United States, Corporate Social Responsibility has been defined much more in terms of a philanthropic model. Companies make profits, unhindered except by fulfilling their duty to pay taxes. Then they donate a certain share of the profits to charitable causes. It is seen as tainting the act for the company to receive any benefit from the giving. The European Commission presents Corporate Social Responsibility as: “A concept whereby companies decide voluntarily to contribute to a better society and a cleaner environment. A concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis”. The World Business Council for Sustainable Development in its publication Making Good Business Sense by Lord Holme and Richard Watts, uses the following definition: “Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large” The common ground of the above definitions is about how companies manage the business processes to produce an overall positive impact on society, the concept being illustrated in figure 1. The inner circle represents the quality of corporate processes and people, where outside circle illustrates the nature and quantity of their impact on society in the various areas. Understanding what the company has actually done, good or bad, in terms of its products and services, in terms of its impact on the environment and on local communities, or in how it treats and develops its workforce, predicts the future performance.

Figure 1. The Business in Society (adapted by Baker, c, 2014)

67

The 10 Best Companies to Work For Every year, the Fortune in partnership with the Great Place to Work Institute, a global research and consulting firm operating in 45 countries around the world, conduct the most extensive survey on US corporate companies. In 2014 year, 257 companies with more than 252,000 employees at those companies were surveyed by the institute. Two-thirds of a company's score is based on the results of the institute's Trust Index survey which asks questions related to their attitudes about management's credibility, job satisfaction, camaraderie and social responsibility. The other third is based on responses to the institute's Culture Audit, which includes detailed questions about pay and benefit programs and a series of open-ended questions about hiring practices, methods of internal communication, training, recognition programs, and diversity efforts. Social responsibilities activities has been recognized as the value it gets from doing this, both from the employee's perspective - in improving staff engagement and morale, and by being an employer staff can feel good about - and from the perspective of clients, who are increasingly monitoring and checking their suppliers. Social responsibility has become all but a requirement for companies looking to appeal to consumers who are focused on doing well in the world. Many studies have indicated that customers are willing to switch brands to support companies that contribute to a social cause, and this trend hasn't gone unnoticed in the business world. More and more, for many companies the value of responsibility to "give back" to society, became a core company value. This focus includes, but not restricted to contributions of time and money, an effort to design and provide environmentally friendly integrated operations, products and services, and a wish to improve the lives of individuals here and around the globe. The following 10 companies stand out as prime examples of how social responsibility can be productively coupled with sound strategies to advance goodwill, while building sustainable and impressive businesses. Year after year they provide the leadership to demonstrate how marketers can pursue both objectives simultaneously. As such, socially conscious companies have stepped up their efforts with increasing effectiveness and productivity, ranking in top preferences of their employees and communities they operate. The Top 10 companies to work for with the number of employees, are listed in table 1:

Table 1 - 2014 year’s Top 10 Companies to work for

Rank Company name No. of

Employees

1 Google 42,162

2 SAS 6,588

3 The Boston Consulting Group 2,552

4 Edward Jones 38,015

5 Quicken Loans 8,386

6 Genentech 11,998

7 Salesforce.com 6,739

8 Intuit 7,728

9 Robert W. Baird & Co. 2,704

10 DPR Construction 3,546

68

Regardless the field of operations, from technology communications to building constructions, biotechnology to sales or financial services, companies’ brands and people have touched and improved consumers’ lives, being seen and perceived as a tremendous force that can make an impact on society that matters. Strongly believing in the value of community involvement they deliver theirs Community Matters program by: contributing funding, donating products and through a comprehensive employee volunteer initiatives. Nurseries, playgroups, disabled children’s groups, hospices, women’s refuges and local community projects are among those benefiting from donations of products, just to name some. These companies are committed to operating as a responsible business, taking into account the impact of our activities on society and the environment. Their social responsibility strategy aligns with the business mission to be the outstanding competitor in their markets by addressing the four major priorities, which will make a positive difference to customers, employees, the environment and the communities in which operate. After 15 years of operations, Google, the $46 billion Silicon Valley company, has about 26,000 employees in the US and 40,000 worldwide and, and owns Motorola Mobility, and YouTube, and the Android operating system. "Google is one of the most visible Internet companies in the world; our name is immediately recognized, and almost universally loved”. The company's Donations for Doers program encourages volunteerism by donating $50 for every five hours a Googler volunteers with an approved nonprofit. As part of a separate initiative, in 2012, Google gave more than $100 million in grants and $1 billion in free and discounted ads, apps and products to nonprofits around the world. Jim Goodnight, the founder of SAS, explains what makes his company so great: “SAS walks the talk on work-life balance.” SAS employees describe their employer as one finely attuned to their needs, both on and off the job. Quicken Loans, a mortgage company operating in Detroit, and its team members contributed in 2012 year alone with more than 10,000 volunteer hours and $7 million helping the community. 96% of the employees describe their workplace as a "family" or a "team." Genentech, a biotech company, specialized in breast cancer drugs, and its 12,000 contributed nearly $1 million in volunteer time and donations in year of 2012. Salesforce.com has grown rapidly in 11 years, from 250 employees to 12,800. Since day one, salesforce.com has instituted a unique 1/1/1 philanthropy model: the company donates 1 percent of employees' time, 1 percent of pre-IPO equity, and 1 percent of salesforce.com product to the communities it serves. Intuit, a radio media company, places a big emphasis on its "We Care and Give Back" culture. Employees get four days of paid time off a year to volunteer. Through a “We Care and Give Back” program in 2012 Intuit and its employees donated $54 million and more than 10,000 volunteer hours, making 95% of the employees being proud of how they contribute to society. Baird and Co., a financial service company, organizes each year “Baird Gives Back Week”, creating opportunities for associates to volunteer with colleagues and family members during regular working hours without using paid time off.

Conclusions More and more companies are integrating in their business strategy the Corporate Social Responsibility programs, as they started to recognize the responsibilities they have to the wider public, community and environment.

69

The ethical value of corporate activities component of the Corporate Social Responsibility definition by Lord Holme, from The World Business Council for Sustainable Development makes the link to the Great Place to Work Institute’s “Trust survey” which enquired in 2014 year the 257 best companies in US about their credibility in the integrity of their leadership management teams. The best ranked companies are also those which have an authentic reputation in positive impacting the community they operate in, regardless the field of activity.

References

Baker, M., a 2014 Should CSR be made compulsory after all?, http://www.mallenbaker.net/csr/page.php?Story_ID=2800 [accesed at 03.05.2014] Baker, M., b 2014 The most ethical companies - maybe, http://www.mallenbaker.net/csr/post.php?id=480 [accesed at 23.05.2014] Baker, M., c 2014 Corporate social responsibility - What does it mean?, http://www.mallenbaker.net/csr/definition.php [accesed at 21.06.2014] BORT, J. 2014 The 10 Best Tech Companies To Work For That Are NOT In Silicon Valley, http://www.businessinsider.com/10-best-tech-companies-not-in-the-valley-2014-5?op=1#ixzz3DKTcDlTz [accesed on 12.05.2014] Kotler, P., Pfoertsch, W. 2011 Business-to-Business Brand Management, Brandbuilders Grup, Bucuresti. Holme L., Watts R. 2012 Making Good Business Sense, The World Business Council for Sustainable Development Rangan, K., Chase, L.A., Karim, S. 2012 Why Every Company Needs a CSR Strategy and How to Build It, Working Paper, Harvard Business School. http://www.greatplacetowork.com http://fortune.com/best-companies