Group 5: Horrible

Bosses
Nicholas See
Edmond Lim
Clarice Lee
Nguyen Quang Huy
Kevin Yeo

CSR: NTUC FairPrice

Introduction
Introduc
tion

Economi
c

Legal

Ethical

Philanthro
pic

4 Tiered Pyramid of CSR

Phil
ant
hro
pic
Ethical

Legal

Economic

Introduc
Introduction
tion

Economi
c

Legal

Ethical

Philanthro
pic

4 Tiered Pyramid of CSR

Phil
ant
hro
pic
Ethical

Legal

Economic
Introduc
Introduction
tion

Economi
Economic
c

Legal

Ethical

Philanthro
pic

Economic Responsibilities
Definition

Importance

Exampl
Examples and
es Impact

Maximize stakeholders and

shareholders benefits

Committed to being
consistently profitable

Maintain high operating

efficiency

Maintain strong competitive

position

Introduc
tion

Economi
Economic
c

Legal

Ethical

Philanthro
pic

Economic Responsibilities
Definition

Motivation

Exampl
Examples and
es Impact

A holistic CSR definition entails the

full spectrum of business practices

All other CSRs are based upon

Economic CSR
Introduc
tion

Economi
Economic
c

Legal

Ethical

Philanthro
pic

Economic Responsibilities
SOCIAL MISSION

Avian flu crisis: Regulated egg price

Providing house brand products:
Quality yet affordable

Regulating
Prices Of
Essentials

IMPACT

Supply Chains

Stakeholders: Consumers benefit from lower

prices
Company/Shareholders: Business remained
profitable yet more attractive to consumers,
extra revenue earned

Introduc
tion

Economi
Economic
c

Legal

Ethical

Co-operative

Philanthro
pic

Economic Responsibilities
Exclusive foreign suppliers: tech
transfer, direct negotiation/supervision
Fresh food distribution center:
ensure fresh products, reduce
spoilages
IMPACT

Regulating
Prices Of
Essentials

Supply Chains

Company: Operational efficiency, cost

reduction, products appeal to consumers
Shareholders: Brand equity over competitors

Introduc
tion

Economi
Economic
c

Legal

Ethical

Co-operative

Philanthro
pic

Economic Responsibilities
Dividends: NTUC Members received
total dividends at 5% of share price
Cash rebates: amount up to 4% of
total purchases
IMPACT

Regulating
Prices Of
Essentials

Supply Chains

Company: Attractiveness of rebates/dividends

means more customers and members
Shareholders: As NTUC FairPrice is a co-operative,
any profits are channeled back to shareholders, or
reinvested to benefit its stakeholders

Introduc
tion

Economi
Economic
c

Legal

Ethical

Co-operative

Philanthro
pic

4 Tiered Pyramid of CSR

Phil
ant
hro
pic
Ethical

Legal
Economic

Introduc
Introduction
tion

Economi
Economic
c

Legal
Legal

Ethical

Philanthro
pic

Legal Responsibilities

#1

Fulfil SGX Reporting

requirements

Fulfil Legal
Obligations

Independently Audited by
Deloitte & Touch LLP
Unqualified Opinion (good!)

Compliance
with Local
Regulations

SGX Reporting requirements

2 Rule 703(4)(a) obligates an issuer
to provide timely disclosure of
material information in accordance
with this policy. The Exchange
regards disclosure as fundamentally
important to the operation of a fair
and efficient market for the trading
of securities.

Products
meeting
quality
standards
Introduc
tion

Economi
c

Legal
Legal

Ethical

Philanthro
pic

Legal Responsibilities
MOM Foreign Worker Quota

Fufil Legal
Requirements

ALLOWED

ACTUAL

40% vs 10%

#2

Compliance
with Local
Regulations

Impact
More Singaporean
Jobs

Products
meeting
quality
standards
Introduc
tion

Economi
c

Awarded Best
Workplace in 2012

Legal
Legal

Ethical

Philanthro
pic

Legal Responsibilities
Product Certification

Fufil Legal
Requirements

Product Certification

All food products adhere to AVA ISO

9001 standard
All non-food products audited by
SPRING & NEA
Silver Award from the Agri-Food &
Veterinary Authority (AVA)

Compliance
with Local
Regulations

#3
Introduc
tion

Impact
Protect customer
wellbeing & safety

Products
meeting
quality
standards
Economi
c

Earns public

Goodwill & Trust

Legal
Legal

Ethical

Philanthro
pic

4 Tiered Pyramid of CSR

Phil
ant
hro
pic

Ethical
Legal

Economic

Introduc
Introduction
tion

Economi
Economic
c

Legal
Legal

Ethical
Ethical

Philanthro
pic

Ethical Responsibilities

#1

Impacts of Corporate Social

Responsibilities

Clear Product
Labelling

Company
Portrays a positive image

What is Ethics?

Transparent in their product details

Great efforts in sustaining environment

#2 Not mandated by law but

Green
Practices

Stakeholders

Customers, Suppliers, Partners & Investors

#3
Introduc
tion

socially accepted

Stakeholders confidence in the house

brand products

Protecting
Animal Right

Economi
c

Cultivate a sense of responsibility in

sustaining the environment

Legal

Ethical
Ethical

Philanthro
pic

Ethical Responsibilities

#1

Impacts of Corporate Social

Responsibilities

Clear Product
Labelling

Company
Portrays a positive image

Transparent in their product details

Great efforts in sustaining environment

Green
Practices

Stakeholders
Customers, Suppliers, Partners & Investors

Stakeholders confidence in the house

brand products

Protecting
Animal Right

Introduc
tion

Economi
c

Cultivate a sense of responsibility in

sustaining the environment

Legal

Ethical
Ethical

Philanthro
pic

Ethical Responsibilities
Impacts of Corporate Social
Responsibilities

Clear Product
Labelling

Company

FairPrice
Campaign
PortraysCare!
a positive
image
Transparent
their product details
in
Eco-Store

#2

Great
efforts in sustaining
environment

Encourage
consumers
to recycle
items

Green
Practices

Stakeholders
Customers, Suppliers, Partners & Investors

Love Nature Reusable Bag

Stakeholders confidence in the house

Green
Campaign
brandDay
products

Protecting
Animal Right

Introduc
tion

Economi
c

10 cents off purchases (Min. $10

Cultivate a sense of responsibility in
sustainingSpending)
the environment

Legal

Ethical
Ethical

Philanthro
pic

Ethical Responsibilities
Impacts of Corporate Social
Responsibilities

Clear Product
Labelling

Ban of Shark Fin Products

Company

Portrays a positive image

Ceased the sale of Shark Fin

TransparentProducts
in their product details
Great efforts in sustaining environment

Social Responsible Retailer

Green
Practices

Stakeholders
Customers, Suppliers, Partners & Investors

#3
Introduc
tion

Stakeholders confidence in the house

brand products

Protecting
Animal Right

Economi
c

Cultivate a sense of responsibility in

sustaining the environment

Legal

Ethical
Ethical

Philanthro
pic

Ethical Responsibilities

#1

Impacts of Corporate Social

Responsibilities

Clear Product
Labelling

Company
Portrays a positive image
Transparency in product labelling

#2
#3
Introduc
tion

Great efforts in sustaining environment

Green
Practices

Stakeholders
Customers, Suppliers, Partners & Investors

Stakeholders confidence in the house

brand products

Protecting
Animal Right

Economi
c

Cultivate a sense of responsibility in

sustaining the environment

Legal

Ethical
Ethical

Philanthro
pic

4 Tiered Pyramid of CSR

Phil
ant
hro
pic
Ethical

Legal

Economic

Introduc
Introduction
tion

Economi
Economic
c

Legal
Legal

Ethical
Ethical

Philanthro
Philanthropic
pic

Philanthropic Responsibilities
Impacts of Corporate Social
Responsibilities
Company
Portrays a positive image

TIME

#1
What is Philanthropy?

Fostering stronger bonds among

employees

Volunteering
programs by
employee

Staying true to social mission to help

local community

Stakeholders
Exceeding
Ethical
expectations
by
Customers,
Suppliers,
Partners & Investors
MATERIAL
voluntarily
promoting human welfare
CONTRIBUTIONS

#2

Contributions by company

Receiving social support with a

personal touch

Reducing Voluntary Welfare

Organizations(VWO) operational cost

Introduc
tion

Economi
c

Legal

Ethical

Philanthro
Philanthropic
pic

FairPrice Foundation
What is it

Our Strategic Thrusts

POOR &
E
NEEDY

Introduc
tion

Boys Brigade(Singapore):
Share-a-gift

Food from the heart

Retailer with a heart

NATION &
P
COMMUNITY
BUILDING
WORKERS
F
WELFARE

Example

Volunteering Programme :
Share-A-Textbook

Work with different partners

10% rebates for all employees

Study grants for lower income

Community
Projects

Welfare of workers
& their families

Economi
c

Legal

workers children

Ethical

Philanthro
Philanthropic
pic

NTUC Philanthropic Initiatives

NTUC CURRENT EFFORTS

TIME
Volunteering Programs by employees

Food from the Heart (FFTH)

1

MATERIALS
CONTRIBUTION
Contributions by Company

Introduc
tion

Economi
c

Legal

Employees participating in the

packing of FFTHs Food
Goodie Bag.

Ethical

Philanthropic
Philanthro
pic

NTUC Philanthropic Initiatives

NTUC CURRENT EFFORTS

TIME
Volunteering Programs by employees

MATERIALS
CONTRIBUTION
Contributions by Company

Ren Ci Nursing Home

2

Introduc
tion

Economi
c

Legal

Employees devoting their time

to accompany the elders
through Karaoke Session,
Massage and exercising.

Ethical

Philanthropic
Philanthro
pic

NTUC Philanthropic Initiatives

NTUC CURRENT EFFORTS

TIME
Volunteering Programs by employees

MATERIALS
CONTRIBUTION
Contributions by Company

Share-A-Textbook
3

Introduc
tion

Economi
c

Legal

Engaging local community to

donate used books for lowerincome family kids

Ethical

Philanthropic
Philanthro
pic

NTUC Philanthropic Initiatives

NTUC CURRENT EFFORTS

TIME
Volunteering Programs by employees

Boys Brigade(Singapore)
1

MATERIALS
CONTRIBUTION
Contributions by Company

Introduc
tion

Economi
c

Legal

Sharing of gifts to the

underprivileged during
Christmas season

Ethical

Philanthro
Philanthropic
pic

NTUC Philanthropic Initiatives

NTUC CURRENT EFFORTS

TIME
Volunteering Programs by employees

MATERIALS
CONTRIBUTION
Contributions by Company

Study Grants
2

Introduc
tion

Economi
c

Legal

Grants ranges for $250 to

$3000 for lower income members
and employees

Ethical

Philanthro
Philanthropic
pic

NTUC Philanthropic Initiatives

NTUC CURRENT EFFORTS

TIME
Volunteering Programs by employees

MATERIALS
CONTRIBUTION
Contributions by Company

Introduc
tion

Economi
c

Legal

NTUC FairPrice Food

Voucher Scheme
Help the needy in the
provision of food and daily
essentials

Ethical

Philanthro
Philanthropic
pic

Impact of Initiatives
Impacts of Corporate Social
Responsibilities
Company

#1
#2

TIME

Fostering stronger bonds among

employees

Volunteering
programs by
employee

Staying true to social mission to help

local community

MATERIAL
CONTRIBUTIONS
Contributions by company

Stakeholders
Customers, Suppliers, Partners & Investors

Receiving social support with a

personal touch
Reducing Voluntary Welfare
Organizations(VWO) operational cost

Introduc
tion

Economi
c

Legal

Ethical

Philanthro
Philanthropic
pic

Conclusion
2 Key Takeaways
What drives NTUC FairPrice to
engage in CSR

Impact of CSR on Company and

stakeholders

In Summary
Economic

Legal

Ethical

Philanthropic

Strive to make
a profit

Obey the law

Be ethical

Be a good
corporate citizen

NTUC is an exemplary example of how a firm can combine all 4

aspects of CSR and still make a profit.
Introduc
Introduction
tion

Economi
Economic
c

Legal
Legal

Ethical
Ethical

Philanthro
Philanthropic
pic

Question & Answers

The End!
Q&A
(Class Part starts now)

Introduc
Introduction
tion

Economi
Economic
c

Legal
Legal

Ethical
Ethical

Philanthro
Philanthropic
pic

$5

$5

$10

$10

List the 4 tiers of

CSR

List 1 example each

from the Economic
and Ethical CSR

Philanthropic activities
can be grouped into 2
categories. List one
NTUC example from
each category

How do Ethical and

Philanthropic CSR
differ?

Correct!

Wrong
!

Correct!

Wrong
!

Correct!

Wrong
!

Correct!

Wrong
!

The End!