Executive Summary
Corporate social responsibility is an issue that needs to be upheld by all firms in the market. This ranges from the large to small firms. The essay will therefore look into the corporate responsibility in connection to Volkswagen. The company has been facing issues due to the diesel emission of their vehicles that later translated to a scandal. The company depicted inability to provide the right information regarding its emissions. The essay will also give some of the recommendations that the company undertook and the implications on the various stakeholders and the mission as well as the corporate responsibility policies.
Background
Various practices that businesses conduct have an impact on consumers. The corporate social responsibility issue also includes environmental issues that the company should be watchful about. It is significant that a firm watches on the sustainable development for expansion and further continuity of business operations to flow smoothly. The environmental issues have an impact on the community that the company serves. There are various ways that Volkswagen Company has been observed to cause pollution to the environment. This has had an effect on the safety of the company regarding having to inhale clean and safe air. The company in its efforts to maintain the security of the environment through controlling its pollution has been seen to lie on the facts of the diesel pollution that have a negative impact on the environment. The company has been producing diesel cars that are then used to cheat the tests conducted on emission. When the cars are not subjected to tests, they are seen to emit an enormous amount of nitrogen oxide that further causes pollution. The impact of the emission scandal has been seen to harm various stakeholders and especially the community who also comprise of the consumer.
There are options that the management of Volkswagen is considering to sort out the issue of the diesel emission that has led to pollution in the form of nitrogen oxide gas. The company has been seen first to admit their fault in providing the wrong information about the reality of its emissions. The company is also undertaking a marketing strategy to restore its image back in the market. This is all in an attempt to gain the confidence of their clients. Volkswagen is also complying with the Environmental Protection Agency that has set out strategies to be adopted by the entire diesel manufacturing car vehicles. There are improved measurement tests for emission to ascertain the actual content that the cars release when they are on the roads. The management systems that have been adopted will then help to check properly the type of light duty diesel that the vehicles on the road are using.
Implications of non-action and the recommendation
The recommendation that has been undertaken by Volkswagen to solve the issue at hand has various effects. The company’s efforts to admit their mistake is a good measure that will, in turn, be taken properly by government authority who are in charge of the case. There are also the policies of the company that relates to the corporate social responsibilities. Volkswagen will be in a position to change their plans if they comply with the new rules that have been set by the Environmental Protection Agency. The new policies to be adopted will be in line with the required guidelines by the legal authorities concerned. The risk assessment of the products that are released by Volkswagen to the market will be of higher quality as well when the recommendations outlined above are followed. This is especially with the measurement tests for emission that will then eliminate any opportunity for the company to lie about the reality of their emissions. Volkswagen will also save a lot of money if they adopt the recommendations since they will avoid legal battles with the authorities and their customer loyalty will be retained hence maintaining a high income.
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