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In recent years, the role of purchasing and logistics has matured into a holistic and strategic business function (Tan, 2001). The achievement of this new-found importance for purchasing has required the repositioning of the function at the centre of business strategy and a change of mind-set in management. Purchasing has developed from a functional exercise into a strategically important operation which builds long-term supplier relationships. While this development has led to many positive outcomes for large organisations, it also exposes them to risks from their supply base in terms of non-compliance with expected norms and principles. Large organisations are now considered to be at least partially responsible for the conduct of their suppliers, as well as their own (Andersen and Skjoett-Larsen, 2009; Boyd et al., 2007). Successful supply chain CSR relies heavily on the extent to which an organisation’s policies have been integrated into its functions and processes (Andersen and Skjoett-Larsen, 2009). Manufacturers are under intense pressure from governments, lobbyists and end consumers of their products to demonstrate socially responsible supply chain practices (Amaeshi et al., 2008). The sourcing practices of large automotive organisations such as the sponsor company are under increasing scrutiny, as they are a perceived weak point (Amaeshi et al., 2008). The consequences for any organisation found to be operating in an irresponsible manner go beyond immediate legal concerns and can go on to negatively impact on the brand and public perception (Amaeshi et al., 2008; Boyd et al., 2007; Maloni and Brown, 2006).The study featured in this paper outlines a process for the evaluation of an automotive organisation’s suppliers by CSR measures. The CSR evaluation process identifies which suppliers should be considered for CSR audit. Studies such as those featured in this paper are increasingly important because shareholders and government agencies are taking interest in the social aspects of businesses. In today’s global competitive climate, social responsibility stretches across borders and encompasses not just the immediate operations of the business but also its extended supply chain and how that impacts on the environment and the community. Manufacturers are increasingly being asked by their customers to comply with and promote socially responsible business practices. Authors such as Burke and Logsdon (1996) also highlight strategic benefits that a CSR focus can bring to an organisation, including direct financial benefits.
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