CORPORATE MECHANISM FOR IMPLEMENTING PRINCIPLES OF RESPONSIBLE BUSINESS MANAGEMENT WITHIN THE FRAMEWORK OF SUSTAINABLE DEVELOPMENT

Abstract

The article reflects the changes in corporate governance under the influence of the concept of sustainable development. Large corporations have changed their policy from maximizing profits to following the principles of responsible business conduct. The analysis of various corporate reports of public joint-stock companies shows that these corporations are implementing responsible business practices, i.e. they assume additional environmental and social obligations, complicate the management system, including the risk management system (compliance policy), etc. Such corporate practices correlate with the national policy on the implementation of the concept of sustainable development.

The article proves that corporations are one of the main tools for implementing the concept of sustainable development, since most environmental and social activities are funded by them.

The author concludes that the principles of responsible business conduct are the quintessence of the concept of sustainable development in relation to corporations. At the same time, the principles themselves are contained in various acts: the OECD Guidelines, the principles of the UN Global Compact, and the Social Charter of Russian Business. The article substantiates that in order to implement the principles of responsible business conduct, corporations adopt various local acts that consolidate the provisions of corporate social responsibility. Since the implementation of the principles of responsible business conduct in the corporation's activities is voluntary, an important issue is their stimulation by the state.