Business Responsibility In Peru

Business responsibility in Peru

Authors such as Ochoa (2003) explain that we cannot talk about CSR in Latin America as a totality that progresses uniformly, due to different kinds in Latin American countries, that is why it is necessary to make an analysis specifically in each country. On this occasion, CSR will be analyzed in Peru and for this it is necessary to start knowing how this practice appeared in the country.

Appearance of corporate social responsibility in Peru

"Social responsibility in Peru has gone through various stages, from the concept of philanthropy to the care of corporate social responsibility policies, policies and programs in companies belonging to various sectors". (Pedro, 2007, P. 4)

The first historical antecedent that approaches the conception of social responsibility comes from pre -Hispanic times, in which the principle of Andean reciprocity practiced by the ancient Peruvians was intended to boost the associative and collaboration spirit. This organizational system allowed both production and distribution. This reciprocity was replicated within the economic and social system, for example, through the distribution of goods among the members of the former Peruvian society. This system found its end with the Spanish conquest, which unstructured and submitted Andean society to forced labor imposed by the conquerors changing their quality of life and eliminating its ethnic identification (Pedro, 2007). Now, corporate social responsibility as it is currently known does not have a definite arrival in Peru, but it is estimated that it would have begun at the end of the 20th century.

Taking into account the above, we can see that the arrival of this trend is relatively recent; However, this does not develop at the same rate nationwide, due to this it is necessary to count the main state companies and programs that develop and promote CSR.

Cases of Corporate Social Responsibility in Peru

In the case of Peru, most companies that develop CSR are large companies and transnationals of great foreign capital, among the main cases we have:

Backus. The Backus brewery is one of the most emblematic and old companies in Peru. This is because 90% of the national beer market supplies. Backus has been a pioneer in the implementation of quality improvement strategies in our country since the early last decade (Del Castillo & Yamada, 2008).

This is because in the 90s while Peru was whipped by the whip and the companies sought to subsist in Backus projected to globalization and their preparations began to be able to fight for market domain with future companies. Essentially these preparations were those who determined their future victory against their future competitors because when they arrived Backus had already reached a high level of development and competitiveness which these companies could not cope.

The five pillars of the business according to (Del Castillo & Yamada, 2008) are: growth, competitiveness, total quality, cost control and sustainable development. From the latter, the deployment of its strategy is essential, so the task of the Human Resources area is linked to the search for the sustainability of Backus’s good practices.

Backus is also characterized by being a company which invests in its workers being an example of that its recruitment process in which the company hires young people who have as a requirement to have completed minimal secondary education, in the case of Backus professionals It offers them a career line through the Junior Executive Trainee program, in addition to giving them a deserved remuneration because the salary compensation policy in Backus currently combines local practices with the world policies of Sab Miller. (Del Castillo & Yamada, 2008) giving their employees a mixture of fixed and variable remuneration.

The current vision of Backus focuses on the growth of the value of its market share, with the aim of generating the highest return to its shareholders. Therefore, it seeks to be the favorite employer and, to achieve his goal, he has placed his collaborators among his corporate values ​​as the most durable advantage.

The “Peru Responsible” program: the Ministry of Labor and Employment Promotion as part of its initiatives for the promotion of the Culture of Corporate Social Responsibility in the public and private sectors, presented “the 33 cases of success of CSR allied with the State ”(Peru 2021, 2016).

For Henri Le Welcome, General Manager of Peru 2021, CSR has become a fundamental aspect 60 to obtain a competitive advantage in the market, after being consulted on the recent measure adopted by the Superintendence of the Securities Market that requires as Requirement Annexing Sustainability Reports in the annual financial memories of their issues also highlights that interest groups such as collaborators, clients and citizens in general, increasingly demand to know the way in which the company is managed and how it prevents or acts Faced with possible conflicts or impacts that may generate (co -responsible, 2016). This represents an advance as a country, since somehow from the State it is encouraging that companies show specific results on their CSR programs and how much they have advanced during the year in terms of sustainability. (Barbachan, 2017, P. 57)

Other cases of corporate social responsibility in Peru

•  Alicorp: recover alicorp, healthy radio, feeds the future.
•  Credit Bank of Peru: Mathematics for all, Tax works.
•  Ferreyros: promotes development machinery.
•  Telefónica del Perú: Hospital Classrooms, Digital Inclusion.
•  The company Ajinomoto del Peru s.A: Ajinomoto Foundation aims to disseminate and promote the development of scientific knowledge
•  Antamina S mining company.A: Antamina Mining Fund (FMA) executing successful projects with the community in the Ancash region, Peru, in different areas such as health, nutrition, education and productive projects.

Peruvian corporate social responsibility today

One of the most important factors for a complete analysis of CSR in the country is to know its current state. The tendency regarding the social responsibility of the private sector has been affected by history and situation crossed in the country, mainly in the times of the military government of 1968 and of the era of terrorism in the 80s where the private company Peruvian only fought for its survival and approval in society.

The 90`S years marked a time of recovery of economic and political stability under the mandate of former president Alberto Fujimori. In this period they were designed and implemented a series of economic reforms that provided a stability panorama to Peruvian business.

Currently, with a more stable panorama in economic matters, companies have been able to develop the issues of CSR and integrate them in some way into their strategic planning. (Pedro, 2007, P. 3). It can be concluded that CSR in Peru is still under development, Peruvian business must fold efforts to match its European counterpart. You have the road and the Peruvian company must be willing to travel it.