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1st Answer

Introduction: Business Ethics refers to a practice that helps organizations and its
employees to determine what is right, wrong and appropriate in the workplace.
Business Ethics is governed by laws, and these principles ensure that the company
and individuals refrain from engaging in illegal activity such as insider trading,
discrimination and bribery.

Concept: Corporate Social Responsibility is a strategic way of an organization to


conduct its business activities in an ethical way, integrating the social and
environmental concerns in their business operations and interactions with their
stakeholders. CSR ensures that the organization is complying with the local laws,
international norms and ethical standards.
L’Oreal is a French-based cosmetic beauty and company with a wide range of cosmetic
brands like Vichy, Skin Cruticals, and Roger & Gallet, and consumer-product divisions
like L’Oreal Paris, Maybelline New York and Garnier. It combines latest in technology
with the highest in quality to develop sustainable products.
The beauty pageant has adopted the following climate-change policies:
1. Reducing the environmental footprint of formulas: L’ Oreal time has focused on
improving the product formula to reduce its effect on the environment by improving the
biodegradability of formulas and reducing the water footprint (impact on aquatic
environment)
Product: In 2017, the luxury product division Biotherm launched its exclusive
Waterlovers sun care range. Research conducted by L’Oreal scientists resulted in a
formula with 96% biodegradable base. (Decomposed by bacteria or other living
organisms and thereby avoiding pollution)
1. Ensuring the traceability of raw materials: L’Oreal traces the origin of the plant,
and the country where it was produced. L’Oréal procures rice bran oil from the Isaan
region in north-eastern Thailand. The Group opted to work with a fair-trade certified
co- operative organic farming and an agroforestry program to enrich soil and
improve moisture retention. They planted 67,168 trees that captured 8,843 tonnes of
CO2 equivalent. This achieved their carbon balance ambition.
2. Packaging Policy: They have implemented a packaging policy based on three
pillars; Respect, Reduce and Replace. The company uses a systematic eco-design
process ahead of product design, for the packaging of finished products.
Respecting environment: L’Oreal uses materials from responsibly managed forests
where biodiversity is protected for its paper, cardboard and wood-fibre packaging, In
2017, 97% of the recyclable paper used for product use instructions, 100% of the
cardboard used for boxes and 89% of the paper and cardboard used in point-of-sale
was certified from Forest Stewardship Council and Programme for the Endorsement of
Forest Certification.
Reducing resources: The product team develops packaging of an optimal size and
weight that use fewer resources. The Group saved 5,092 tonnes of packaging materials
at the end of 2017 through reduction initiatives at source and light-weighting efforts.
L’Oréal is also working to reduce its resource consumption through refillable packaging.
Replacing materials with sustainable sources: L’Oreal replaces conventional
materials with recycle or bio-sourced materials. They integrate recycled materials within
the plastic component of its packaging. For example, the Redken brand products for
hair-care, hair-styling, shampoos and conditioners packaged in 250ml bottles are made
from 100% recycled plastic.

Products:
1. Under the Lancome Brand, the 50ml jars of facial care products are developed with
a re-filling system that reduces the environmental footprint and also proves to be a
premium experience for consumers. The refillable jar and two refills lead to a packaging
weight reduction of 58%, as compared to the use of three conventional facial products.
2. L’Oreal has launched an entirely sustainable brand Seed Phytonutrients with core
objectives of seed diversity, supporting organic farming and promoting natural beauty.
The brand caters to organic hair and body care products. The external shell is 100%
paper-based, recyclable and compostable. The packaging is water-resistant due to a
blend of unique minerals with the paper fibres. The entire bottle can be re-cycled as well
as up-cycled! Each bottle comes with a packet of seeds, to encouraging consumers to
start their own gardens. The seeds can be traditionally planted, or the cardboard shell of
the bottle can be used to start an indoor garden.

L’Oreal looks at climate change as part of their risk management due to the following
reasons:

1. Raw materials: L’Oreal relies on natural materials like palm oil, which are threatened
by deforestation caused by environmentally destructive farming techniques and rising
global temperatures. So, it has adopted zero deforestation policy to ensure that none of
their raw materials and ingredients are risked being produced due to deforestation.
100% of the Palm Oil, palm oil derivatives sourced from the pulp of palm’s fruit, and
palm kernel oil derivatives extracted from the kernel comply with the Roundtable on
Sustainable Palm Oil standards.

2. Benefits for Investors: L’Oréal uses the deforestation risk evaluation tool devised by
NGO Global Forest Watch. Furthermore, the soya oil derivatives used by the
company are sourced from zones posing no risk of deforestation. This not only helps
them to achieve zero deforestation, but also procure their main ingredients without
variability in raw material pricing.
3. Change in consumer demand: In 2017, the company has implemented a tool
known as the Sustainable Product Optimization Tool across all brands. SPOT
allows the company to simulate diverse design options (ingredients, packaging,
sourcing, etc.) in order to assess their impact on the environment and society, and
identify potential opportunities for improvement and cost reduction. It also helps
them to quantify the impact reduction across every aspect of the product, leading
to cost-effective product design and more proportion of renewable ingredients
sourced sustainably instead of petroleum-based materials.

Everyday consumers are becoming more health conscious about the products
they use, and investors are rapidly demanding a shift to product formulations away
from petroleum-based materials, which makes it extremely important for L’Oreal to
make the SPOT product assessments accessible to consumers, which not only
encourages them to make choices of sustainable products with natural
ingredients, but also to build a broader consumer base. With environmental
conscious habits passed on to consumers through awareness on environmental
issues, price sensitivity would rarely be an issue. Although a beauty product
company is responsible for little emissions, a strategy for sustainable development
not only helps them reduce the risk of losing loyal customers, but also gain
competitive advantage.

Conclusion: So, L’Oreal has incorporated certain principles of business ethics


with respect to the environment. The initiatives of having a good packaging
policy in order to reduce its resource consumption through refillable packaging,
co- operative organic farming and an agroforestry program to ensure traceability
of raw materials, facial care products developed with a re-filling system that
reduces the environmental footprint are some examples of their CSR practices.
The brand ensures that their initiative lets them source sustainable raw materials
of consistent quality at a low cost that reaps repeat orders from the socially-
conscious customers of today’s world, benefits the investors with cost-reduction
and helps them to keep up with the changing demands of consumers.
2nd Answer

Introduction: The General Data Protection Regulation would define the principles to
ensure lawful handling of personal information. Handling includes the organization,
collection, storage, structuring, usage, consulting, combination, communication,
restriction, destruction or erasure of any kind of personal data.

Concept and Application:

Usually, these principles include:

Purpose limitation
Fairness, lawfulness and transparency
Minimization of data
Limitation of storage
Accuracy

So, one must ensure identification of the least amount of personal data one needs to
fulfil the purpose. One must not hold that much information, and that is the first of
three principles about the standards pertaining to data, along with accuracy and
limitations pertaining to the storage.

The accountability principle implies that one must be able to ensure that he or she
can demonstrate that they have appropriate processes to make sure that they only
collect and hold the personal data required.

Also, it is important to bear in mind that the UK GDPR mentions that the individuals
have the right to complete any incomplete data that is inadequate for the purpose,
under the rectification rights. They also have the right to get the company to delete
any data that may not really be important for the purpose, under the right to erasure.

The UK GDPR doesn’t define these terms. Clearly, though, this would depend on the
specified purpose to collect and make use of the personal data. It can also differ
from one individual to another.
So, in order to assess whether one is holding the right amount of personal data, one
must be clear about why one requires it.

For special category of data or data pertaining to criminal offence, it is important to


ensure that one can collect as well as retain only the least amount of information.

One may have to consider this separately for every individual, or for every group of
individuals sharing important characteristics. One must, in particular, consider any
specific factors that an individual would bring to the attention, for instance, as part of
an objection, request for any kind of rectification of data that is incomplete, or
requesting erasure of data that is unnecessary.

One must regularly review the processing in order to check that the personal data
that is being hold is still important as well as adequate for the purpose, and also
delete anything that one no longer requires.
When could we be processing too much of personal data?

One must not have more personal data than one requires in order to achieve the
purpose. Nor must the data involve irrelevant details.

Instance: A debt collection agency would be engaged to find a debtor. It would


collect information on various people having a similar name to the debtor. During the
enquiry, some of these people are discounted. The agency must delete most of their
personal data, and keep only the least data required to form a basic record of an
individual that has been removed from their search. It is okay to keep this small
amount of information so that these people are not contacted again regarding debts
that don’t belong to them.

If one has to process particular information regarding certain individuals only, one
must collect it for those individuals, the information tends to be excessive as well as
irrelevant with respect to the other people.

Confidentiality refers to the essence of being trusted. As per the GDPR Principles,
controllers as well as the processors must make sure that there is enough
appropriate security of personal data, and this involves implementation of
appropriate technical and measures pertaining to organizational.

GDPR Principles: Integrity and Confidentiality:

When data subjects share their personal data, there is enough expectation of
security that only the necessary people would have access to that information. They
trust that companies would be able to do this. Failing to do so would increase the
consumer distrust. In addition, regulators are likely to penalize you for this also.

It is important to image that if a hospital is hit by a ransomware attack. The hacker


would steal the data and also deny the access to all the doctors in the hospital. So,
they are unable to access the chart having the information about the patient and also
treat them in a proper manner. Such a situation may have financial consequences
but also the ones that threaten life.

So, prevention of a data breach must be at the top of each company’s to-do-list.
When deciding what measures are appropriate to make sure security of data, one
would have to conduct an assessment of risk for that information. One must review
the personal data held by a company and how the company makes the use of it in
order to assess how valuable, sensitive or confidential it is.

Conclusion: One must also consider the following:


The nature and extent of the premises of the company as well as the computer
system. The number of employees and the extent of their access to personal data;
and any personal data that is been held or made use of by a data processor acting
on your behalf. One requires developing a culture of awareness of security in the company
and ensure creation of policies as well as controls in order to enforce them. Technical
controls are also important. Anti-virus encryption, access controls and managers of
password.
3rd Answer
3a.

Introduction:

A stakeholder refers to a person, group or an organization having a vested interest,


or a stake in the decision-making as well as activities of a business, organization or
any project.

Concept and Application:

Stakeholders are often the members of an organization they have a stake in, or they
may not have any official affiliation. These stakeholders often have direct or an
indirect influence on the activities or projects of an organization. Their support is
needed for success of business and project.

On the basis of this, stakeholders often involve consumers, employees, investors,


suppliers, BODs, members of a community and organizations along with government
entities.

The capitalism of stakeholder is a system where an organization would prioritize the


interests of a stakeholder.

Human beings invented products causing pollution, but they will have to also solve
the challenges caused by it. There are three parties bearing this responsibility.
Governments that often make and enforce rules, companies producing or using
plastic and customers. Every party has its own responsibilities.

However, instead of tackling the pollution together, people often point fingers at one
another. Companies often place the responsibility on the consumers, who are
supposed to act in a responsible manner and leave nothing in the environment.

Governments, in turn, are reluctant to come up with new regulations, let alone
enforce them.

WHO IS RESPONSIBLE?

Humans invented plastic, but humans will have to also solve the problems caused by
it. Who is responsible for the plastic pollution? There are three parties that bear this
responsibility. Governments that can make and enforce rules, companies that
produce or use plastics, and consumers. Each party has its own responsibility. But
instead of tackling the plastic soup together, people tend to point fingers at one
another. Companies tend to place the responsibility on consumers, who are
supposed to behave responsibly and leave nothing in the environment.
Governments, in turn, are reluctant to come up with new regulations, let alone
enforce them. And consumers like to point to the government and the companies,
while they can already do a lot themselves.

EXTENDED PRODUCER RESPONSIBILITY (EPR)

Irrespective of how well-educated customers are and how many garbage bins they
place in public places, there are always going to be some polluters, vehicles and
other products and chemicals causing pollution.
So, most of this pollution can be avoided by making the producers responsible for
the wastage phase of their products.
In other words, they would remain the owners of the plastic they sold, and must also
accept it back after the use.

An extended producer responsibility would aim to lower the total environmental


impact of a product. The products are returned or collected after use so that the raw
materials are reused. Unfortunately, companies are aware of the costs that they
would have to incur. And, if they have this fear that their competitive position would
be impacted, they would soon find the government on their side.

Container Deposit System:

Container deposit systems refer to good instances of extend producer responsibility.


In many places in a country like India, one may see any large PET bottle on the
street, but there are small PET bottles. From the bottles that have been returned,
new plastic bottles can be made. This initiative would make a significant difference
in the amount of litter and costs of clean-up.

Consumer responsibility takes personal responsibility for the cost of environment


along with the consequences of what one purchases and uses.

Zero waste is first about the prevention of waste in order to reduce and reuse as
much as possible before purchasing new, then about recycling and composting.

Zero Waste Tips:

It is important to reuse and repurpose to reduce waste: It is important to be creative


with gift-wrapping. Using old calendars, catalogs, maps or any product having the
potential to cause any kind of pollution. If one doesn’t have compostable bags to
collect food scraps, one can use newspaper to line their bin.

Zero Waste Tips


Reuse and repurpose to reduce waste.

• Be creative with gift wrapping. Use old calendars, catalogs, maps, or


newspapers. Don't have compostable bags to collect food scraps? Use
newspaper to line your bin.
• Save used, empty food jars to store small household items or other food
products, instead of buying special containers.
• Donate unwanted clothing and furniture, buy less, refuse to buy what you
don't need.

3b.

Introduction: In order for an organization to truly succeed and leave a lasting


impression that is positive, management has to find a way to ensure making ethical
decisions. Right now, customers of all ages, and also the younger generation are
basing many of their purchase decision on whether a company does what is right for
the environment as well as the community surrounding them.

Concept and Application:

However, what that is nice, the company can also have an ethical decision to reduce
waste and pollution so that one can sell their products while making the world a
much better place.

Be Responsible, Save the Planet:

If a company is producing products and services that have been sold to the people of
the planet, they may and they obviously have a moral as well as an ethical
responsibility to also protect the earth, ensure that the consumers are safe and thank
them for enabling the business to succeed. The fact is that pollution from waste as
well as manufacturing refers to a global issue, and it is worse than one may think.

As per the reports, around 70% of the pollution around the world gets produced by
only 100 companies, and the company doesn’t want to be on the list.
While customers are glad that the products exist and likely understand that some
waste can be a side impact.

The first step that the company must take is to research as well as ensure that one is
following all the state regulations and guidelines when it comes to pollution,
management of waste as well as energy efficiency.
Once the individual has reached that point, then one can look at additional moves to
make their planet a better place.

Some of these activities include:


Sourcing of sustainable materials from ethical and suppliers who do fair-trade.
Maximum efficiency and reduction in the use of energy in the workplace.
Partnering with non-profit companies to positive climate action.
Using shipping companies that are committed to reduction in the emissions.

Examination of each aspect of the production of the product and service, and also
ensuring determination of how one can become more eco-friendly with every
process steps.
Eliminate Waste: One of the most important components of being eco-friendly is to
ensure elimination of unnecessary waste. The company can start this with packaging
materials that they use to send out the products. Many companies create useless
waste by the usage of oversized boxes, unnecessary paper and a lot of plastic

• Ship orders out in form-fitting boxes.

Conclusion:

While the companies are out in the nature, the management may give a little
presentation on the beauty of the outside world and why it is so important that all of
us can work together to ensure elimination of waste and also focus on sustainability.
It would be a great message and each of them would know that they are a part of the
solution.

As one can see, the ethical obligation of the company is to be more eco-friendly and
also operate more on sustainability is also a good way to improve the culture of the
workplace and also engage the employees. It is important to consider these tips and
the company can improve in every possible manner.

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