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This article explores the concept of social responsibility in small and medium enterprises (SMEs) in Lithuania during times of crisis, and the role of lifelong learning in fostering this responsibility. The article highlights the need for CSR in the context of economic crisis, the challenges faced by SMEs in implementing CSR practices, and the benefits of lifelong learning in times of crisis. The article also presents case studies of Lithuanian SMEs that have successfully integrated CSR practices into their business operations.
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Learning at workplace: testing of SOCIALSME inovation in Lithuanian SMEs Dr. Žaneta Piligrimienė Kaunas University of Technology
CSR is not a benefaction, rather it is an intelligent and educated self-interest. CSR represents not the aims of the company, but the way how the company seeks for those aims.
CSR and the economic crisis • CSR is more relevant than ever in the context of economic crisis. It can help to build (and rebuild) trust in business, which is vital for the health of Europe's social market economy.It can also point the way to new forms of value of creation based on addressing societal challenges, which may represent a way out of the crisis. /European Commission/
CSR in Lithuania in times of crisis • There is more theoretical knowledge and understanding about CSR in Lithuania, but less actual practice in this field.SMEs in Lithuania still lack the initiative in CSR field.Crisis determineduse of less expensive initiatives of SR but it did not change the general attitude of the employer to theemployees, partners, clients and society. /R.Kairelis, The chairman of evaluation committee for National Award of Responsible Business/
CSR in Lithuania in times of crisis • Irresponsible actions in finance sector is one of the factors that brought a world finance crisis and that invites to think about the model of the “new economy”. Crisis determined the decrease in some CSR activities, especially in such as employee training and social promotion. But on the other hand, present situation shows that CSR is no longer the luxury, but the necessity . There are less questions about why we have to save resources, why the loyalty of employees is important and why the trust in a company is crucial. /L.Jakuleviciene Manager of the United Nations Development Programme Office in Lithuania/
CSR in Lithuania in times of crisis • Crisis forces companies to make a drastic reduction of costs in order to survive. In this situation there is a very big temptation to save at the expense of good works. The question “what to choose: damage size or CSR principles?” is common among SMEs and in this situation the dilemma is the most painful for employees. /R.Barysas Editor of the daily paper “Verslo zinios” (business news)/
CSR in Lithuania in times of crisis:National Responsible Business Awards 2009 Awards in a category of Small and Medium enterprises • Employer of the Year - JSC “PakMarkas” • for good industrial work conditions and informal attitude to people. • Partner of the Year – A.Astrauskas firm “First Step” • For consistent development of the partnership with local community. • Environmental Enterprise of the Year – JSC “ATEA” • For reorganization of business proceses according to the principles of environment protection. • Socially Responsible Company 2009 – JSC “Renerga” • For fostering sustainable business, educating young people and efforts to develop green energy.
Life long learning • All learning activity undertaken throughout life, which results in improving knowledge, know-how, skills, competences and/or qualifications for personal, social and/or professional reasons. Terminology of European Education and Training Policy (2004)
Need for life-long learning • The skills necesary for the work places in the knowledge economy are continually changing. It forms the need to ensure the possibilities for lifelong learning. According to EU program for learning, everybody – from schoolchild to adult – has to be encouraged to participate in the various forms of learning.
Benefit of LLL in times of crisis • Life long learning in part solves the problem of unemployment: the society could use the knowledge and skills of mature, senior people.
Changing understanding “You can not teach the old dog for the new tricks” “The brain without work is dead”.
Situation with LLL in Lithuania • The level of LLL in Lithuania was about 5.3% in 2007, 4.9% in 2008, and 4.2% in 2009. A decline is determined by economical crisis?
Life Long Learning and learning at workplace • According to Knapper and Cropley (2000), the term “life-long learning” in the european context was began to use by emphasizing the links between learning and workplace, i.e., learning was understood as the way to react to changes in the labor market.
„Everything that we have to learn to do, we learn by doing“ -Aristotel-
SOCIALSME 6x3 concept FOSTERING THE SOCIAL RESPONSIBILITY IN SMEs THROUGH LEARNING
Lithuanian SMEs that participated in field testing • JSC Danvita • JSC Mazasis salonas • JSC Kedainiu grudai • JSC Emprekis • JSC Veroloda
JSC Danvita Manager – Nerija Urnieziene • A modern medium sized bakery, situated in Zarasai, supplies a wide variety of baked products. Shows the great concern in solving ecological and social issues, tries to use eco-friendly materials, seeks to decrease the level of packaging materials. The company constantly tries to improve its activities, involving employees at all stages and is open for the initiatives. • The reason for participation in testing: • Changing business environment, understanding that sustainable development is essential in order to be able satisfying growing needs of the consumers; intent to incorporate CSR principles in all activities.
JSC Mazasis salonasOwner, manager – Alfredas Pasakarnis • A Lithuanian-capital, family company, founded in 1994, near Kaunas, in a picturesque town called Raudondvaris. From the very beginning the main activity of the company was mass textile sewing services for Scandinavian and Western European markets. The company has extensive experience in sewing women’s and children’s clothes.The company seeks to learn the new methods of sewing and techniques application while analyzing cases of good experience. It has a strong basis for the development of innovative activities through its engagement in the community and in social educational projects. • The reason for participation in testing • Experience in other projects determined an understanding of the value of participation in such kind of projects. Interest in CSR.
JSC Kedainiu grudaiManager – Darius Karpavicius • A modern grain processing enterprise, situated in Kedainiai. The company seeks for being socially responsible with the activities directed into environment protection. Together with the Ornitology Unit form Kaunas Tadas Ivanauskas Zoology Museum, it has founded a public establishment “Foundation for the Development of Nature Protection Projects”. It is also an initiator of the project “Protection of white-tailed sea eagles in Lithuania”. • The reason for participation in testing: • Realizing itself as socially responsible company; interest in strategic approach on learning at workplace.
JSC EmprekisManager – Tomas Vaitkevicius • Small consulting and research company (public institution), situated in Kaunas. The activity is mainly related with the estimation of average prices of cars based on announcements from internet and newspapers. The company is active in employee learning, also supports children talented in music. • The reason for participation in testing: • The company is very adoptive for innovations, always seeks to acknowledge with the new products. Interest in innovations and in the subject of SR induced the participation.
JSC VerolodaOwner, manager – Robertas Pakrosnis • Small company that was established in 2000, situated in Kaunas, offering services for all main vehicle units. The SR activities in the company are build on learning activities (employees regularly attend seminars on mechanics and other professional topics) as well as social sponsoring in cooperation with Kaunas Professional School. • The reason for participation in testing: • The creation of high competent individuals is possible when a company pays an appropriate attention to the development of employees. Decided to participate because of the believe that members of SR organizations have to be stimulated to learn and improve, to get information about learning possibilities and be able to make a knowledge exchange.
The main effects of testing for companies • More comprehensive knowledge and better understanding of SR. • Cognition of influence of SR on companys’ results. • Motivation for employees to improve. • Better microclimate at work. • Understanding of how to learn and what are the benefits of learning. • Evoked interest of employees on learning activities. • Realized responsibility for the results of work. • Learned how to be more socially responsible. • Involvement of employees into the process of performance improvement. • Identification and evaluation of learning needs, development of a learning programme and understanding how learning can influence employees’ behaviour and approach to work.
General evaluation of SOCIALSME 6x3 methodology by managers of SMEs • All managers found the SOCIALSME 6x3 methodology useful. • All companies plan to go on with the activities they developed during the testing process. • They believe that the knowledge acquired during the testing process would help to raise the competitiveness of the company, because the people and their knowledge is the greatest asset.
