In a world characterized by globalization and economic crises, it has become an urgent and growing necessity for business organizations to be aware of and adapt to their impact on society and the environment. The evaluation of business organizations no longer depends solely on their profitability, nor do these organizations rely only on their financial standing to build their reputation. Modern concepts have emerged to help create a competitive environment capable of dealing with the rapid developments in economic, technological, and managerial aspects worldwide. Among the most prominent of these concepts is the "Social Responsibility of Business Organizations."

The traditional view of organizations, as summarized by economists like Milton Friedman in the 1970s, is that a business organization's responsibility is fulfilled by paying wages to employees for their work, providing goods and services to consumers for their money, paying taxes to governments which in turn provide public services to citizens, and respecting the rule of law by honoring contracts. However, this traditional view is no longer acceptable. Today's business organizations are concerned with more than just providing goods and services and paying a fair share of taxes. Although the role of organizations in development, governance, and society has evolved radically in recent decades, expectations are that this role will continue to evolve in the future. Studies also indicate that consumers care about the social behavior of organizations. The traditional argument that organizations are only accountable to their owners is perhaps no longer acceptable in today's complex world, a world that offers consumers numerous choices, where investors seek stability and security for their investments, and where organizations face hefty fines for legal violations.

Indeed, the commercial role of business organizations in society is vital. Failing to fulfill this role can damage their reputation and standing, impose additional costs on their business activities, and reduce their opportunities for distinction. In fact, many studies indicate that responsible business practices—which consider factors other than just short-term profit maximization—help organizations improve their business results and enable socially responsible organizations to outperform their competitors.

The advantages of applying the concept of social responsibility for business organizations are clear. This concept can be used as an effective tool to improve relationships between employees and the community. Its implementation must be monitored closely as it can help the organization reduce risks, strengthen its position, increase its market share, boost its sales, and more effectively introduce its brand to consumers. Thus, social practices will lead to the perpetuation of the competitive advantages of business organizations.

Importance of the Book

The topic of social responsibility is one of the most important issues occupying the minds of Arab management. Social responsibility in Muslim societies has different connotations, being of great importance as it stems from Islamic teachings on one hand, and the belief in the necessity of cooperation among community members for the public good on the other. From this perspective, the importance of this book lies in its alignment with the features of the comprehensive development plans adopted by most Arab countries, which prominently include urging business organizations to play a greater role in society to foster community development and achieve a sustainable competitive advantage.

The book's importance also stems from the need to highlight the concept of social responsibility among managers and to clarify the role that a social responsibility strategy can play in building a competitive advantage for business organizations, thereby enabling them to enter the competitive market.

There are several objective and subjective justifications that led us to write on this topic, the most important of which are:

• The growing importance of corporate social responsibility, which has been strongly re-emphasized in the world of business organizations of all types and sizes, supporting the future direction of the organizations under study to do more regarding their social responsibilities.
• The scarcity of Arabic books that have addressed the topic of social responsibility and its relationship to the economic and social benefits for business organizations and its role in building the desired competitive advantage. As a modest contribution, we decided to write on it to enrich the Arab library in general.
• The need to bridge the gap between business organizations of an economic nature and civil society organizations of a social nature, making the latter a supporting force for economic activity in Arab countries.

Book Structure

The book is divided into four sequential sections as follows:

First Axis: In this section, we analyze the theoretical foundations of the concept of social responsibility. We begin by examining the historical roots and Islamic origins of the concept, discussing its early beginnings with evidence from Pharaonic civilization up to Islamic civilization. We then turn to the modern development of the concept from the dawn of the classical school to the age of globalization. The second chapter contains a set of definitions provided by a group of academics specializing in social responsibility, along with a review of the most prominent definitions from relevant international bodies and organizations. Discussing social responsibility led us to identify a set of approaches that have emerged from research and studies, which agree on dividing social responsibility into dimensions: the economic dimension, the legal dimension, the ethical dimension, and the philanthropic dimension, also known as the humanistic dimension. The commitment of business organizations to social responsibility and business ethics requires that all their functions and activities be practiced within ethical and value frameworks for functions such as production and operations, marketing, finance, human resource management and development, customer service, and public relations, as discussed in the third chapter.

Second Axis: This section is also divided into three main chapters. The first chapter deals with the environmental responsibility of business organizations, defining it and identifying the motivations for its adoption by organizations, touching upon the environmental management system. The second chapter is titled "Ethical Responsibility of Business Organizations," where we define this concept, note the reasons for paying attention to it, and then list the main sources on which ethics are based. Finally, we discuss the ethical organization and the key components of its construction. The third chapter discusses the ISO 26000 social responsibility standard according to its guidance document, which serves as a guide for organizations on how to adopt and implement social responsibility.

Third Axis: Social accounting is a relatively new phenomenon that took shape after modern economies began to focus on helping to achieve social welfare. Therefore, it was necessary to address its emergence and development, mentioning its importance and objectives in the first chapter. The second chapter discusses the measurement of social performance by comparing social costs and benefits. We conclude the section with the third chapter on accounting disclosure of social responsibility, its various models, and the standards that help in preparing its reports.

Fourth Axis: This section brings together the topics of social responsibility and sustainable competitive advantage. The first chapter addresses the conceptual framework of sustainable competitive advantage, including its theoretical origins with various definitions and strategies for building it. It also mentions the six approaches that allow for integrating renewed needs and desires into the core of the organization's business to maintain its competitive advantage. Given the importance of the dimensions that make up competitive advantage, we dedicated a full chapter to discuss the dimensions of lower cost, responsiveness, quality, innovation, and reputation. The final chapter is the culmination of the preceding chapters, being a relational chapter par excellence, aiming to clarify the interconnected role of both social responsibility and stakeholders in achieving sustainable competitive advantage, in addition to the supporting role of value chain activities.

Weight: 0.82 kg

Dimensions: 17 × 24 cm

ISBN: 978-9957-12-768-8