Corporate Social Responsibility at Domino’s Pizza Enterprise Limited
CSR is a unique and dynamic management concept whereby organization integrates environmental and social issues in their business operations and actions with their stakeholders. Domino’s pizza enterprise limited has been chosen in the task. The company is engaged in the actions and operations of retail food outlets and the activities of the franchise services. The company operates its business activities in various countries such as Australia, New Zealand, Japan and Europe. Further, the paper also explains the CSR activities and governance structure of Domino’s pizza enterprise. Carroll’s pyramid and Watrick and Cochran’s model also have been explained in the task. These models help in analyzing and evaluating the role and significance of corporate social responsibility.
Domino’s pizza enterprise limited is the biggest pizza chain in Australia that was incorporated in 1983. It is one of the significant and biggest brands in the world. The firm has around 2000 stores in the market that provides food products to the large number of customers widely (Reuters, 2018).
Corporate social responsibility may be defined as an organization responsibility for the impacts of its effective decisions and actions on environment and society. It is considered voluntary commitment of business to include in their corporate practices social, economic, environment criteria and operations that are beyond and above legislative needs, requirements and to a wide range of stakeholders (Idowu et al, 2013). The community values are also considered heart of the company. Along with this, the company is accountable for charitable funding. Domino’s pizza began to develop and enhance a corporate social responsibility strategy or approach by analyzing and identifying current business practices in 2013 (Domino’s pizza group plc, 2014). The organization wants to make a dynamic and unique image in the minds of the customers by delivering fresh pizza to them. Moreover, the organization is responsible to uphold the solid and strong reputation in the global market. To ensure and enhance the sustainable business for the future, Domino’s pizza enterprise has developed a responsible and unique delivery plan. One of the significant and effective CSR strategies of the firm is to provide premium quality and delicious food products to the customers across the world (Rahman, 2011). The organization also reduces the energy consumption, and emission to satisfy the needs and requirements of the customers in the international market. In addition, the company has healthy and happy staff to conduct business activities and operations successfully and smoothly. The primary motive of the company is to serve wide range of customers by providing delicious and tasty, quality food. The organization is further committed to seeking at innovative and unique ways to improve and enhance energy performance around the supply chain centers and fleet of trucks. To increase the endeavors of company’s facilities and transport teams in this, Domino’s Pizza has decided to utilize the internationally recognized excellent practice energy management standard as a tool or framework for handling the energy consumption (Domino’s pizza group plc, 2014).
Apart from this, the company has increased worker employee reviews by pruhealth of 12.9% and introduced free weekly fruit baskets (Domino’s pizza group plc, 2014). Moreover, the company has introduced an online application process for corporate opportunities in the market. The firm also strives to provide a happy and safe environment for the workers to run the business functions and operations widely (Barnea and Rubin, 2010).
Corporate Governance at Domino’s Pizza Enterprise Limited
The corporate governance also plays a significant role in each and every company to accomplish the long-term mission and vision of the firm. The corporate governance is an effective and unique system of processes, practices, and rules by which a company is controlled and directed. The corporate governance helps in protecting the rights and interests of the stakeholders such as suppliers, financiers, customers, government, community and shareholders (Baker and Anderson, 2010). The corporate governance is a significant mater to Domino’s pizza enterprises limited and board of the directors (Dominos, 2018). The management and board highly support the principles and rules of excellent corporate governance and they believe that strong and unique corporate governance practices help in making unique and effective decisions within the organization. The organization follows 8 principles for maintaining effective and strong corporate governance and sustainability within the organization. The corporate governance is significant to determine whether how the board has applied the regulations, rules, principles, and provisions to carry out the business activities and functions effectively and efficiently. The code establishes principles, approaches and particular provisions on how the company must be controlled and directed to attain standards of excellent corporate governance and further it provides a guide to a number of key elements of effective and dynamic board practices. The board of Domino’s pizza enterprise is committed to the principles of corporate social responsibility and corporate governance. Along with this, the board also regularly takes account of the corporate governance instructions of institutional shareholders and their representative bodies. The board identifies that good and unique governance helps the business to render the strategy, protect the shareholder long-term interests and generate shareholder values and it is also ensured to high standards of corporate governance. The board of directors, chief executive officer, chairman, chief executive officer, and non-chief executive officers are included in the composition of the board. The company is the biggest franchise for Domino’s pizza brand across the world. Aside this, the firm holds the exclusive master franchise rights for the Domino’s brand and network in Australia, France, Japan, Germany, New Zealand, Netherlands and Belgium (Dominos, 2018).
Corporate social responsibility includes the conduct of a business so that the company can take ample of benefits in the international market. There are various layers of Carroll’s pyramid mode that help the managers see the different types of obligations that community aspects of businesses. The layers of Carroll’s pyramid model have been discussed below.
Economic responsibility in Carroll’s CSR pyramid: It is stated that the responsibility of the business of producing food products and services needed by the community and selling them at appropriate prices. This aspect helps the company to generate maximum profit and revenue in the international market. It reflects the growth and success of the company widely. Food is a core of the company, therefore, the company is able to increase and enhance the sales volume in the market. The net profit after tax (NPAT) of the company is $118.5m that indicates that the firm is expanding and flourishing the profit and returns in a large extent (Domino’s, 2018).
Carroll’s Pyramid Model for CSR
Legal responsibility in Carroll’s CSR pyramid: It is one of the effective and foremost layers of Carroll’s pyramid model. It is the responsibility of the top management, managers, and employee to comply with all necessary laws, norms, and regulations. Therefore, they should follow the all the regulations such as competition, health and safety and employment. The top management ensures that the company follows all the rules, legislation and norms.
Ethical responsibility in Carroll’s CSR pyramid: The ethical responsibility of Domino’s pizza covers ample of responsibilities that affect the attitude and behavior of the people. It is noted that ethical responsibilities are not imposed by the law but they are expected from various ethical companies. The ethical responsibility shows that the organization is following all the moral, code of conducts and ethics. It does not go beyond the rules and norms that have been decided by the law. The firm maintains an effective and unique corporate governance structure to generate a wide range of profit and outcomes. It is the liability of the company to act ethically and morally in the workplace (Carroll, 2016).
Philanthropic responsibility in Carroll’s CSR pyramid: It is considered a top layer of Carroll’s pyramid model. By using this layer, the company is able to improve and enhance the quality of life of the workers and local communities. It has been analyzed that Domino’s pizza enterprise conduct various sessions, seminars, activities, and programs to provide support to the workers and society in a large extent. In this way, Carroll’s pyramid provides ample of benefits to the top management and employees within the organization (Nalband and Kelabi, 2014).
According to the Watrick and Cochran’s CSR responsibilities are categorized into the three parts that include principles, process, and policies.
Principles play a fundamental role to gain competitive advantages and attain long-term desired objectives and goals in the international market. The principles are further divided into four segments such as legal, economic, ethical, and philanthropy. This segment helps in conducting business actions and operations smoothly with maintaining ethics and code of conducts. It has been found that Domino’s pizza enterprises fulfill all the norms, rules and responsibilities that are explained in Carroll’s pyramid model.
Secondary, process also plays an empirical role in fulfilling the CSR activities effectively and efficiently. A process may be defined that CSR activities are divided into four parts that include defensive, accommodative, proactive and reactive. This segment explains the capability of the business to handle and manage the managerial changes in the competitive market. It also focuses on the behavior and aspect of the managers.
Policies explain the social and ethical issues that are being faced by the top management within the organization. There are three pillars of this segment that include issues identification, issues analysis, and response development. It is analyzed that Domino’s pizza enterprise needs to focus on the issues related to the ethics, code of conducts and moral. By using effective and dynamic policies, Domino’s pizza enterprise has been able to make a strong and attractive image in the eyes of the customers. The main purpose of this segment is to analyze and identify the issues and challenges related to ethics globally.
Conclusion
It is the liability of Domino’s pizza enterprise to fulfill the expectations and demands of the stakeholders effectively and efficiently. It focuses on the needs, requirements and wants of the various stakeholders to accomplish the desired mission and vision in a hassle-free manner. The significant stakeholders of the company include customers, shareholders, workers, community. The primary objective of Domino’s pizza enterprise is to protect the rights and interest of the various stakeholders with providing delicious food to the customers across the world. CSR activities and sustainability play a dynamic role to attract and retain maximum customers in the marketplace. The firm understands the significance of successful relationship with stakeholders in the global market (Rahim, Jalaludin and Tajuddin, 2011). The dedicated team of the company constantly strives to attain best practice operations and activities. The firm is also involved in the multi stakeholder’s actions to stand out against the competitors widely. Domino’s pizza enterprise is also engaging with external stakeholders and partners to attain maximum level of outputs globally. The firm is engaged with ample of stakeholders to earn more revenue and returns in the competitive market (Visser and Tolhurst, 2017). The various stakeholders of the company include the following:
Customers: The customers include devoted team members, customer care centers, and social media engagement. CRM is an effective and unique part of Domino’s pizza enterprise that helps to maintain good and strong communication and collaboration with various stakeholders in the global market (Clifton and Amran, 2011).
Society: It is a vital and significant part of the company that includes plant visit, community meetings, and partnerships on general issues and concerns.
Employee: It includes top management, senior executives, employee communication, ethics hotline and health and safety communication programs.
Regulatory and government bodies: It includes various government and regulatory bodies such as chamber of commerce and foreign investment advisory councils.
Furthermore, the organization also focuses on the environment to maintain sustainability in the marketplace. It focuses on the globalization, climate change and weather to meet the long-term needs and requirements of the customers (Prakash and Singh, 2011).
It shall be noted that there is no gap in the stakeholder’s expectations and Domino’s pizza enterprises. The company further conducts programs, sessions, and seminars to beat the competitors globally. It will further to help to cope up with rivalries internationally.
Conclusion
It concludes from the above-mentioned analysis that corporate social responsibility is significant for each and every organization to conduct business in a hassle-free manner. Corporate social responsibility and sustainability provide support to fulfill the expectations and requirements of the various stakeholders in the global market. The above analysis indicates that how the company uses Carroll’s pyramid model to maintain sustainability globally. The paper explains that how the firm fulfills the wants and desires of the key stakeholders.
References
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