Corporate Social Audit: Is it Really Mandatory?

Abstract

The idea that a business should adopt a social audit' of its activities was first proposed 36 years ago by Theodore J. Kreps, then Professor of Business Economics at Stanford University. In his monograph, Professor Kreps states, The acid test of business is not the profit-and-loss statement but the social audit. " This statement is indeed a precursory message if we make allowance for the fact that it was made far back in 1940 and that it can also be one of the demanding norms that face the current business executives.