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Green Management
1.0 Introduction
Corporate Social Responsibility (CSR) has gained significant momentum in recent years. The
push is on to identify projects that reflect the corporation's sense of social responsibility and to
tailor projects to reflect that sense. This is perhaps a step in the right direction when it comes to
the corporation's position in the host community, but is extremely difficult and complex in its
implementation. Many management experts say that companies will survive and continue to
survive (sustainable advantage) if able to compete with competitors, one way is that the company
will be able to survive if adaptive to the environment. Many ways can be done by the company
to make it happen, and one of them is to apply corporate social responsibility, or corporate social
responsibility.
Today, the word Corporate Social Responsibility is a very popular word where in company
profiles generally contained within websites almost always feature this activity. CSR which is a
business world commitment to contribute to sustainable economic development with due regard
to social responsibility. Actually CSR program has been done since the beginning of the 20th
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century, but according to evidence of literature, since 50 years ago new CSR activities began to
be documented (Carrol, 1999). Allegedly at the beginning of the CSR program, this activity is
not required or there is no law governing CSR programs. So at that time not all companies do
CSR activities.
The form of CSR activities also changes from time to time. At first this activity is not a
mandatory activity and is only for the short term. But in its development, the CSR program is of
a long term nature and its importance not only for the company but also for the benefit of the
community around the company, even at the district and provincial levels. At present, almost
every country regulates the obligation of companies to create CSR programs as an effort to
improve the welfare of communities outside the enterprise to support economic improvement.
The tourism industry in general and the hotel industry in particular must also conduct CSR
programs with the aim of community economic empowerment and environmental preservation.
Hotel is one element of tourism that has a big role in providing services for tourists. The hotel is
not a tourist destination but it is a place where tourists rest and organize their next activities.
Therefore, hotels with various facilities must be able to meet the needs of the tourists. Hotels
with qualified human resources are needed to meet the expectations of the guests, hence having
qualified employees become a significant and important hotel within the hotel by the fact that
guests who want to enjoy the various facilities within the hotel almost all want a service with a
Hotel management continuously evaluate and improve service besides its products can surely
improve the quality according to what is expected by the guest. Quality improvement is often
associated with the value of a product, especially in the improvement of services, especially
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services, so that the application in accordance with consumer expectations. Acquiring products in
the form of quality services must be selective and not impressed follow-up, so customers are not
disappointed if it turns out the standard used is not one person different from what is desired by
others.
The existence of cooperation between the Hotels with a company will certainly be able to
improve the quality of a Hotel. In addition, there is a reciprocal of the Hotel to the respective
provide information about the Hotel who concerned both internally and externally.
The rapid development of hotel business world resulted in the emergence of competition in
grabbing the attention of its audiences. One effort made by the company to maintain its existence
in the eyes of the public is to maintain good relations with the public in order to create an image
companies, especially after reform, should be valuable lessons for owners and management of
the company to give better attention and responsibility to the community, especially around the
company site. Because the continuity of a business is not only determined by the level of profit,
In fostering the relationship between the company and the public one of the activities undertaken
Public Relations is with CSR (Corporate Social Responsibility). The existence of CSR makes the
industry able to carry out its responsibilities and also the feeling of sharing with the community
can be accomplished, thus creating a balance between the life and continuity of the company as
well as the community. In addition to CSR activities commonly performed by Public Relations,
among others, holding an event such as seminars, talk shows, and others related to the interaction
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to the community and fellow colleagues. Then Public Relations can also coordinate with the
leaflets, banners, brochures or pamphlets to the community, in addition to sales promotion it can
also be used as a medium to interact with the community indirectly with the purpose Affect
society at large.
One of the five-star hotels in Kota Kinabalu, Le Meridien Hotel, also relies on Public Relations
(at Le Meridien Public Relations Hotel also called as Marketing Communication) to smoothen its
hospitality business. As a company that is innovating in the use of meeting rooms, Hotel Le
Meridien needs public support. One way used is to establish good relations with the mass media.
Making good relations with the mass media is done by Public Relations Hotel Le Meridien,
which is under Sales & Marketing Department. According to Scott M. Cutlip (2006: 6), public
relations is a management function that builds and maintains good and useful relationships
between organizations and the public that affect the success or failure of the organization. The
notion of public relations includes building and maintaining good relations with the mass media,
According to Yosal Iriantara (2008: 32), media In doing media relations, Hotel Le Meridien
always try to foster good relations with the mass media, both print and electronic media. The
goal is to get publications in the mass media, as well as promotions. Promotion is basically
informing or informing people or consumers about products or services offered with the aim that
people or consumers are willing to try even to buy products or services offered. Informing the
company to the public is highly unlikely done face to face with one by one public, but company
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requires mass media to disseminate the information. The media masses have great power to
influence the public, so the message in the form of company information can reach the audience
target. That way, mass media can be a partner, especially for disseminate and provide company
information.
This writing will be sought the conclusion whether CSR program run by a hotel is a profit or
even become a loss for the hotel. This view arises because with the CSR program, the hotel must
provide special funds for the implementation of CSR that may reduce the profits of the hotel. In
addition, this writing will see whether the hotel mind has applied green management in the CSR
program and to which stage of the implementation of green management. To prepare a report for
this CSR project, I appreciate the opportunity to meet the Human Resources Manager; Jaclyn
Low and she said the group deeply values people and CSR programme plays a role to serve back
to the society.
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2.0 How The CSR Project Is Embarked?
Green Management began to bloom in about the 1960s. Green Management is the awareness of
the Managers of the impact of the company's operations on the natural environment (Robbins &
Coulter, 2012). With the Green Management of the Manager will think about what impact will
affect the nature of the products produced. For example in the production of goods, Coca Cola as
one of the soft drink companies, replacing all Coca-Cola refrigeration and vending machines into
HFC-free cooling (hydrofluorocarbon emissions). HFC is an emission that can damage the ozone
layer.
From some concrete actions by business actors in both the hospitality industry and other
management, this stage is referred to as Green Approaches (Robbins & Coulter, 2012):
i. The legal approach: in this stage, the actions the company takes in business of saving the
environment is limited to obeying the rules. This is the lowest stage of awareness of
ii. The market approach: at this stage any request requested by consumers (only one party)
in terms of saving the environment will be met by the company. This stage is included in
demand (farmers) to reduce the use of chemical / pesticide drugs to their plants, the
DuPont make herbicide drugs that are environmentally friendly and can reduce the use of
iii. The stakeholder approach: at this stage the company seeks to prioritize the interests of
saving the environment to meet the demands of various stakeholders / stakeholders such
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as employees, distributors, or community environments. For example: Hotel Le
Orangeries which has environmental program starting from supply chain (suppliers),
iv. The Activist approach: This stage is the last stage where the concern for the environment
is very high and this is the social responsibility. For example: Hotel Les Orangeries
which has an environmental program starting from supply chain with less carbon and
recycle product, hotel product design with ecofriendly design, and work operation
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3.0 How These Items Are Implemented?
Understanding green management can not only be linked in decision-making issues to the
company's operations. In terms of marketing, also known as the term green marketing. In
Boone and Kurtz (2012) mentioned, Green Marketing is the marketers tie their
more and more of these goods, providing profits and opportunities for growth to the
companies that make and sell them. With all the development of CSR activities how CSR
developments in industrial hotels today. We can see some examples of CSR activities
While some concrete efforts TOTAL in effort to pay attention to aspect of environmental
by:
iv. Make adjustments and improve the environment to reduce negative environmental
impacts and develop positive impacts and utilize natural resources wisely.
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ix. Conducting training on environmental pollution prevention.
ii. Corporate social responsibility is part of the Company's vision to deliver more
value to the stakeholders in order to create a good, forward and growing synergy.
iii. The Company has legal and social, moral, and ethical obligations and
Communications
Community Relations
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3.2 Time Arrangement
Time Activities
Welcome Address
9.00 AM
by Tan Sri Dr Fong Chan Onn, Chairman, Enterprise Asia
Foundation, Malaysia
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Panellist:
Forestry, Malaysia
Philippines
Business Profitability
Panellists:
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of Japan Business Initiative for Biodiversity,
Japan.
12.40 PM Lunch
Extra Mile.
Panellists:
2.15 PM
i. Dr Milagros O. How, Executive Vice President
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3.15 PM Closing
3.3 Budget
Details Expenses
Arrangements
Facilities RM250.00
Total RM2800.00
Hospitality
Total RM2800.00
Program
Total RM15700.00
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Public Relations
RM2500.00
Total
Decorations
Total RM1750.00
Childcare
Total RM1000.00
Miscellaneous
Total RM 450.00
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3.4 Project Duration
As a starter, green management project duration will be in 12 month (1 year) after the
seminar of green management held in 10 May 2017. This means, the implementation of
Green Management of a Hotel is a hotel design that synergizes tourism and ecology
sectors in line with the concept of green architecture with emphasis on energy efficiency.
In this Green Hotel management will use the system chain operated system that is a
company system managed with the same management system for all operational
activities. The hotels are operated like linked links between one with other. The purpose
green architectural concepts based on sustainable tourism development. That the tourism
industry is expected to run sustainably without sacrificing future generations. So the goal
tourists through adequate facilities and are recreative and commercially based on
environmental awareness. The scope of services provided by the Green Hotel in general
almost the same as other hotels include basic needs such as sleeping, eating, drinking,
bathing, entertainment, or recreation. In addition, this CSR program also aimed to the
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3.6 Performances
world's oldest, most complete, and most detailed green level of assessment. BREEAM's
assessed parameters cover 10 aspects of management, health and quality of life, energy,
transportation, water, materials, waste, land use and ecology, pollution and innovation.
Greenship is a green building standard developed by the Green Malaysia Consul Society.
The consul was formed by the non-government sector, although in its development it was
prepares the green standard that is applied in Malaysia as Greenship. There are seven
aspects that are assessed in the Greenship standard, namely appropriate site development,
energy efficiency and conservation, material and recycle resources (material and cycle
materials), indoor and comfort health (indoor health and comfort ), Building Conditions
attention to the environment in which the hotel is built to minimize the impact it has on
the environment. The characteristics of the green management of a hotel itself are:
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3. A smoke free environment.
10. Wastewater treatment from bathroom, kitchen and laundry to water the garden.
There are three fundamental reasons to apply Green Hotel to the tourism industry in
Malaysia:
i. The tourism industry such as hotels should be able to participate in the dangers of
ii. Hotels that conserve energy such as electricity, water, and fuel are apparently
iii. Demands from the public that business actors participate in energy saving and
environmental awareness.
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There are 10 criteria of appraisers in Green Hotel Award 2013 covering, land use, energy
social responsibility (CSR). In ASEAN TOURSM STANDARDS, the Green Hotel sense
is a hotel that is environmentally friendly and uses renewable energy. The criteria that
friendly strategy.
iii. The existence of the concern of the hotel to the surrounding community.
iv. Human resources who understand and care about the environment.
x. Wastewater treatment.
From the above explanation the authors can conclude that the Green Hotel is a hotel
design that synergizes the tourism and ecology sector in line with the concept of green
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4.0 The Challenges In Developing The Project
Corporate Social Responsibility (CSR) Program is a responsible corporate liability not only for
consumers, shareholders or employees. Now the company is also doing CSR program to the
government and industry alone, but every human being also plays a role in realizing social
welfare and managing the quality of life of the community. Now the business world is no longer
just looking at the company's financial records alone (single bottom line), but already includes
financial, social, and environmental aspects (Triple bottom line). The synergy of these three
elements is key to the concept of sustainable development. The concept of corporate social
responsibility has been known since the early 1970s, which is generally defined as a collection of
policies and practices related to stakeholders, values, legal needs, community awards, the
CSR is not only a creative activity of the company and is not limited to the fulfillment of the rule
of law alone (Siregar, 2007). Many people do not believe that the company is not serious in
implementing CSR. They assume that a company is pursuing profit only, it is impossible to have
a noble purpose and aim to empower the community, respect its labor rights, and not damage the
environment. It is therefore not possible to sue the company to be socially responsible. CSR does
not provide financial results in the short term. However CSR will have a direct and indirect
impact on the company's future finances. Investors also want their investment and public
confidence in their company to have a good image. Therefore, CSR programs are more
(Siregar, 2007). A company with high profitability should carry out its corporate social
responsibility in a transparent manner. However, in reality domestic hotels have not carried out
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corporate social responsibility in a transparent manner. The public hopes that hotels will not only
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5.0 The Problem Managing The Projects
The Le Meridian Hotel is located in Greensboro, New York. Consisting of 147 rooms with
supporting facilities such as restaurant, conference room, meeting room and event facilities. The
Le Meridian Hotel was built in November 2007, the hotel was awarded LEED Platinum by
USGBC for adopting green building concept. One of the treadmill processing strategies used is
with restoring the small lake that is around the tread. The restoration stage is done by making the
erosion to prevent erosion, maintain and maintain native plants around the lake, through the
arrangement of adding plants and rocks for Appear more natural. Energy efficiency is a very
important issue where its application in order not to reduce the comfort of hotel occupants.
Application of energy-efficient technology is one solution that can save energy up to 33.5% of
hotels in general. Electrical mechanical installations applied are geothermal refrigeration system,
variable speed hood, sensor technologies, regenerative elevators, insulated precast envelopes,
and installing 100 solar panels for water heating. The Le Meridian Hotel uses precast concrete
wall panel system, which by this system can reduce radiation exposure Sunlight and reduce
a. Financial Risk
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Inconsistent earnings
To reduce risk, the auditor shall obtain the LK assertion in the form of a statement of
management (1) existence, (2) completeness, (3) rights and obligations, (4) evaluation and
allocation, (5) presentation And disclosure of various accounts and important accounts of
Financial Statements. For example, audit risks at the account balance level of accounting records,
risk)
The risk that the auditor failed to find the wrong book and / or misstatement
(detection risk).
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The impact of risk-identified on the financial statements.
c. Inheren Risk
The risk of misstatement of financial statements related to congenital risk due to the type
of business, type of industry, type of operation typical of the industry and the risk of
Various companies choose not to use system guidelines & procedures (written &
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Moral, ethical standards, such as tuition may be accepted, your sustenance is a
cultural risk.
d. Control Risk
procedure. Various control risks always exist because of the inherent limitations of the
internal control structure. If the policies and procedures are ineffective, the auditor
exercises as much risk control assessments as possible, provided that the cost of risk
control should be less than the risk control benefit. In general, inherent control is
risk is designed to minimize these residual risks wherever possible, then the remaining
risk becomes the task of detection strategies, system-detection procedures, KKN and
material misstatements.
e. Detection Risk
The risk of detection in the form of auditor risk is not able to detect
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7.0 The Key Success Factor For A Successful Of The Projects
Companies that practice CSR achieve better reputation, improved brand image, increases in
sales, more visible to investors, and increases in customer loyalty. It can also lead to enhanced
public relations and benefits. For example, due to LaRosas Pizzerias contribution to
community growth and development, two hundred volunteers, who had benefited from LaRosas
generosity over the years, came to the aid of LaRosas Pizzeria after a fire. The volunteers made
up for the short fall that resulted from inadequate insurance, with work and loans and saved the
Thus, companies deemed good corporate citizen are attractive to new customers and workers,
and assist in raising staff morale, and have lower operating expenses. A recent study by a
that are perceived by the public to demonstrate more socially responsible business practices and
ethics are likely to perform financially better than those who do not. In 1995, a study conducted
by Vanderbilt University found that eight of ten cases of low-polluting companies financially
outperformed their dirtier competitors (Brands that do good, 2003; Act responsibly, 2004; Clark,
2006). As such, consumers prefer to do business with companies that have good CSR
reputations.
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8.0 Experience Of Failed And Its Solution
In making decisions, management, should consider environmental outcomes, which limit and/or
reduce the impact of operations on the natural environment. Hotels management need to
implement responsible measures because of high cost associated with electricity consumption for
heating/cooling, lighting, cooking, etc., which levies pressure on local resource and increase
costs. Thus, the impact on the total cost consumption of a hotel from energy conservation
measures is strong and more direct (Kasim, 2006).
Consumers are progressively more concerned with how companies make their money and are
expecting businesses to engage in responsible activities that will limit, as well as lessen their
social, ethical, and environmental impacts on society and the community. White, (2006) cautions
that, that travel-savvy consumers are more environmentally aware and that having
environmental and social programmes in place are a consideration in selecting accommodation.
Furthermore, any CSR program must involve the employees in order to achieve success. White
(2006) also points out that, It's not enough for senior management to devise new ways to engage
customers, to make these programs work; they must involve employees at all levels. This means
ensuring that everyone in the company is informed about CSR policies and practices and are
involved in implementing them.
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9.0 How To Monitor The Objective, Performance And Scope.
Corporate social responsibility means different things to different people. The underlying
themes regarding CRS are that it is good and necessary, activities within which businesses
participate should not be viewed or undertaken lightly, but rather, serious consideration must be
given to how best CSR should be implemented. To be effective and deemed as true corporate
citizens, businesses should not only demonstrate CSR during times of economic well being and
its practices, during such periods as the current recession, based on measures of
adherence. According to Porter & Kramer (2006), if corporations were to analyze their
opportunities for social responsibility using the same frameworks that guide their core business
choices, they would discover that CSR can be much more than a cost, a constraint, or a charitable
organizations adopt and integrate CSR into their organizational strategies, they can facilitate
innovativeness, increase and/or improve their organizational competitiveness, while at the same
time contributing to solving problems in society that may arise.
concept (Good Coporate Governance). Good Corporate Governance is required for the behavior
of business actors to have referrals by arranging relationships of all stakeholders' interests that
can be met proportionately, preventing significant errors in corporate strategy and ensuring the
mistakes that Happens to be fixed immediately.
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Understanding that, basically CSR has a function or a strategic role for the company, namely as
part of risk management, especially in forming social safety valve (social security). In addition
through CSR the company can also build its reputation, such as improving the image of the
company and its shareholders, the company's brand position, as well as the business field of the
company.
It should be emphasized that CSR is different from charity or social contribution. CSR should be
run on a program by taking into account the needs and sustainability of the program in the long
term. While social donations are more temporary and temporary. The spirit of CSR is expected
to be able to help create a balance between the company, society and the environment. Basically
corporate social responsibility is expected to be a culture for the Malaysian nation in particular,
and the world community in togetherness to overcome social and environmental problems.
basically a rational decision. Because the implementation of CSR programs will cause a golden
circle effect that will be enjoyed by the company and all its stakeholders. Through CSR, welfare
and socio-economic life of local communities and the wider community will be more secure.
This condition will in turn ensure the smoothness of the entire process or activity of the
company's production and marketing of the company's production. While preserving the
environment and nature in addition to ensuring the smoothness of the production process also
If CSR is truly implemented effectively then it can strengthen or increase the accumulation of
social capital in order to improve the welfare of the community. Social capital, including
elements such as trust, cohesiveness, altruism, mutual cooperation, networking and social
collaboration have a major impact on economic growth. Through a variety of mechanisms, social
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capital can increase the sense of responsibility towards the public interest, the widespread
participation in the democratic process, the strengthening of community harmony and the decline
The responsibility of the company to the public interest can be realized through the
implementation of sustainable CSR programs and directly touch the aspects of community life.
Thus the realization of CSR programs is a corporate contribution indirectly to the strengthening
of social capital as a whole. Unlike the case with financial capital that can be quantitatively
calculated, social capital can not be calculated its value for sure. However, it can be emphasized
that the expenditure of CSR programs is an investment company to foster social capital.
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References
Boone, L. E., & Kurtz, D. L. (2012). Contemporary marketing. Ohio: South Western Cengage Learning.
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