excellence that they provide the most stimulating
career opportunities for talented professionals in
all disciplines.
• To provide those professionals with rewards and
incentives which encourage a sense of ownership.
• Last, but not least, to enhance share owner
value.
Stakeholders are persons or groups that with an interest in the activities of a company. A firm's stakeholders include employees, consumers, the community and government.
It is said that a social contract exists between a business and its stakeholders. The stakeholders agree to support the activities of the organisation as long as the organisation acts in a manner that is acceptable to the stakeholders.
After vast amount of research I have identified that WWP Media’s main stakeholders are their shareholders, clients and employees that are the primary stakeholders and the environment, community and the society in general are their main secondary stakeholders.
Using the Stakeholder mapping theory I have recognised that the shareholders within the company have greatest influence with power and interest as they manage the business. Employees are those who have a high interest in the company but do not have much power within company because they are further down in the hierarchy of decision-making.
As in any multinational company, the shareholders are one of the key stakeholders. In the case of WPP Media, the confidence of the shareholders is so much more important then ever before because of the their growth development programme worldwide which needs the backing of the shareholders. Employees at WPP Media have seen the best perks in recent years. Long-serving employee’s i.e. over 2 years are given share options in the group. With the company ever-growing, with take-overs and parent companies forming, employees will benefit from bonus dividends.
As WWP Media is mainly a service-based company their impact on the environment is small, but the Group recognises that the pursuit of economic growth and a healthy environment are inextricably linked. WPP, as a parent company to their operating companies, upholds the principle of 'subsidiarity' and charges their companies to adhere to best practice. In their worldwide operations they endeavour to adopt good environmental practice in respect of premises, equipment and consumption of resources.
The other two secondary stakeholders they value, community ant the society in general. WPP supports a number of community programmes including the Partnership Against Drugs, a UK-government initiative led by Business in the Community, and has participated in the Prince of Wales' Business Leaders'Forum. WPP is a founder member of the RSA's initiative, Centre for Tomorrow's Company, which advances best competitive - and ethical - business practice.
Ethics has direct affect in the running of WPP Media. As the behaviour and the standards set by the company affects many of their main stakeholders. They need make that the relationship they build with their stakeholders is through honesty, tradition and discipline in order to protect their very good reputation as a multi-national company.
The treatment of staff is very essential not only for WPP Media but every other large company. A strong code of conduct within the company is the protection of the staff and so the company will not tolerate any sort of discrimination whether it is race, religion or gender. Important stakeholders such as the board of directors stress the importance of good business ethics from the company as it allows then to see that they are taking an interest of not only the values of the company but also the needs of everyone affected by them. This shows they have good business practice and comply with their code of conduct of being ethical.
'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.'
WPP Media have duty to be socially responsible when it comes to the community because they play a very active role in the economy. They are undertaking many programmes in relation to being socially responsible. In the last few years they have invested in millions in improving areas such as education, employment and financed government schemes. As part of WPP's strategy of supporting young people through education, they have pledged £60,000 to London's first Arts College for the Media Arts: Charles Edward Brooke, a state secondary school for girls from multi-ethnic backgrounds. This government-backed initiative aims to equip young people with the skills needed to succeed in business and to make learning more relevant to the needs of future employers. Group companies are contributing help, counsel and equipment to the college.
In conclusion of this essay, I would say the WPP Media are showing signs of being a Company that is dedicated to high standards of ethical practice. They are taking up projects, policies and standards that please all of their main stakeholders and are still improving every year. The needs of them are being met and constantly exercised, it remains to see what entails for company in the future.
Bibliography
Authors: David Campbell
George Stonehouse
Bill Houston
Published 2001
Chapter 14 ‘social responsibility and Business ethics’
Business strategy, an Introduction
Authors: Fred L. Fry
Charles R. Stoner
Richard E. H
Published 2001
Chapter 5 ‘The links between business and its stakeholders’
Business, an integrative approach ( 2nd Edition)
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