Corporate Social Responsibility Challenges Research Articles

Challenges facing practitioners when implementing CSR strategies: the case for the Brazilian mining industry

Purpose Mining activities can promote development despite issues of environmental and social impact; however, corporate social responsibility (CSR) implementation is still an issue in the industry, which has received little attention in the literature and almost none to the operational level. This paper aims to address this gap by adopting the perspective of CSR practitioners to explore the way mining companies implement CSR at site level. Design/methodology/approach This paper uses an exploratory approach with in-depth interviews to investigate site-level CSR implementation and challenges in the context of mining in Brazil. Findings This study identifies primary challenges in CSR implementation and several ways in which they might be addressed. To the best of the authors’ knowledge, this paper identifies for the first time two implementation-hindering aspects of the routine of CSR practitioners – excessive time spent at the office as opposed to in the field engaging in the community and a disproportionate amount of time spent on complaint management. In addition, this paper demonstrates the applicability of stakeholder theory in the CSR field, highlighting the need for increased collaboration among internal and external stakeholders to advance CSR implementation. Originality/value This study adopts the perspective of CSR practitioners, who are key stakeholders in CSR implementation, working in mining sites in Brazil, as the impact of mining can be especially marked in developing countries.

CONTEMPORARY CHALLENGES OF CORPORATE SOCIAL RESPONSIBILITY IN GEORGIA

Tamta Kartsivadze 
 E-mail: tamta.kartsivadze@bsu.edu.ge 
 PHD Student, Batumi Shota Rustaveli State University 
 Batumi, Georgia
 https://orcid.org/0000-0001-8579-5348
 
 Abstract. Corporate social responsibility (CSR) is a connecting link between the organization and the society. Social responsibility is a concept that involves improving economic, social and cultural environment and solving problems that are directly or indirectly caused by business activity.
 Corporate social responsibility has already become a fast-growing modern trend and a common form of doing business. Nowadays, the number of companies that are active in the direction of social responsibility is increasing. They express goodwill and their main goal is not only to make a profit, but also to have a positive impact on the working, natural and social environment.
 The term "corporate social responsibility" was first coined in the late 1960s and early 1970s. Over the decades, its concept has been clarified, the fields and types of activity have been outlined. Initially, its definition was vague and general. Issues, such as environmental activities, protection of human and consumer rights have gradually entered the scope of CSR due to the actualization of the mentioned issue.
 The main basis for the spread of CSR in developed countries is a powerful business sector and a high level of public or local community awareness. So, social responsibility is widely implemented in highly industrialized Western countries. In addition to social goals, CSR is used as a marketing tool to gain competitive advantage in the marketplace in case of increased competition. Despite the steps taken in this direction in Georgia, this social institution has not been fully formed. Georgian companies are not aware of the importance of social responsibility and the need to implement it in practice. CSR, as a tool for sustainable development and effective communication, plays an important role in the development process of the business sector.
 Due to the actuality of the topic, the demand for CSR from customers, employees and investors is increasing in Georgia, which leads to the need to study social responsibility in depth. This article discusses the essence of social responsibility of business as a contemporary philosophy, its functions and areas of implementation. Also, the article examines the current situation in Georgia regarding the mentioned issue, characterizes and analyzes the parties involved in the corporate social responsibility on the example of Georgia. Attention is focused on contemporary challenges of CSR and the necessary recommendations for addressing these challenges are formulated.

Corporate Social Responsibility from an Islamic Perspective: An Overview

This paper aims to provide an overview of corporate social responsibility (CSR) from an Islamic perspective. The discussion includes an overview on aspects such as CSR activities, CSR and the environment, CSR and marketing, CSR and stakeholders, CSR benefits and challenges and CSR research conducted in various countries. The research is based on a narrative review, considering selected literature relevant to the topic. In general, the study concludes that engaging in CSR does not violate the Sharia, however, there are numerous challenges in implementing and reporting on the impact of CSR activities. Thus, more studies of an empirical nature are needed to understand CSR in the context of the Islamic financial system.

Implementation Challenges of Corporate Social Responsibility Programs among Commercial Banks in Uganda

The purpose of this survey was to establish the implementation challenges of corporate social Responsibility (CSR) programs among commercial banks in Western Uganda using the case of Absa Bank Mbarara. In this study, descriptive research design was adopted where qualitative and quantitative approaches of data collection were used. Both questionnaire survey and interview methods were used to collect data from staff of Absa Bank. To ensure validity and reliability, research instruments were pretested and appropriate strategies taken. The content Validity index was used for validity while Cronbach Alfa was used for reliability. Using both qualitative and quantitative methods, the findings portray negative perception by the public, competition and financial challenges as major hindrances of CSR programs among commercial banks in Western Uganda since they are profit making financial institutions. The study concludes that commercial banks use community related programs as their CSR programs. The study encourages commercial banks to partner with other organizations such as civil society organizations and the government in funding CSR activities since they are essential for the improvement of wellbeing of the people.

Challenges of CSR in Sub-Saharan Africa: clarifying the gaps between the regulations and human rights issues

This paper discusses the practice of Corporate Social Responsibility (CSR) and its challenges in Sub-Saharan Africa. The main purpose is to highlight and clarify the gaps between CSR regulations and human rights abuses caused by business organizations.From a historical perspective, natural resources have been recognized as a common reason for pushing the CSR agenda in Sub-Saharan Africa, especially with the presence of big businesses in the outcome of globalization. However, despite a development-oriented CSR agenda and therefore on African local needs such as hospitals, housing, and roads, big businesses that have embarked on CSR activities are often involved in human rights violations. This is despite the insertion of human rights in some African state regulations, the UN Global Compact, and the UN Guiding Principles on Business and Human Rights in which those businesses are signatories. This is the case in Gabon, Nigeria, and South Africa whose regulations were established by the respective states indicate business’ broader societal priorities directed towards stakeholders (local communities in particular) but in terms of corporate obligations, ‘Human Rights appear to be a blind spot in CSR’.The reasons for that are indicated in the findings of this qualitative inquiry, which reveals deep problems of corporate governance and little understanding of corporate human rights in domestic legislation. According to international law, human rights fulfillment focuses on nation-states as sole bearers. This means other non-state actors have indirect human rights responsibilities. Therefore, the challenge remains to extend and interpret existing domestic and international frameworks to include CSR alongside traditional state obligations. This could make corporate human rights more ‘applicable’ to businesses.Previous research by Visser and Amodu has focused on proposing models to respond to the challenges of CSR in Africa. This paper clarifies the challenges of CSR with human rights issues and suggests an extension of the current legislative framework covering CSR. The article is qualitative and has used a Desk Research study approach that includes published academic papers, government documents some secondary data such as case studies, interviews, and discussions.

Corporate Social Responsibility in Temporary Agency Work: A Study of Restaurant Work in Finland

Ever expanding use of temporary agency work (TAW) easily attracts irresponsible actors on the business field in the hopes of making big profits and many narratives frame the emergence of contingent agency work as a positive evolution for employers and workers alike. The purpose of this study is to examine corporate social responsibility (CSR) in temporary agency work (TAW) in a small restaurant context to consider what kinds of challenges and opportunities can be identified from the perspectives of the workers, agencies, and user companies. A directed content analysis method was used on semi-structured interviews collected from restaurant workers, managers, and temporary agency experts, including a pension insurer and a labour union in Finland. To gain a new holistic understanding of this phenomenon, the pressures–disorganization–regulatory failure (PDR) model was used as a research framework. The CSR challenges identified were multifaceted, and conflicting views were common. A wide variety of CSR challenges and evolving strategies were found to avoid TAW regulations.

Corporate Social Responsibility under the Petroleum Industry Act 2021: Achieving Environmental Sustainability through Multi-stakeholder Partnership.

Several attempts have been made by the Nigerian government to reform the oil and gas industry. In March 2007, the first attempt to introduce the Corporate Social Responsibility (CSR) Bill was initiated by the late Senator Uche Chwukwumerije but it failed to pass the second reading. Further attempts to reform the industry in 2009, 2012 and 2018 also failed until the National Assembly passed the 2021 Petroleum Industry Bill now known as the Petroleum Industry Act 2021(PIA). Chapter 3 Section 240 (2) of the PIA by making CSR contribution a mandatory levy on corporations, has changed the voluntary and self-regulatory element of CSR to hard law legislation. We are of the view, that a multi-stakeholder approach and multi-stakeholder framework comprising host communities, oil and gas companies as well as government, is essential to achieving the broad requirements of CSR in the Nigerian oil and gas industry. In this paper, we analyse this approach in line with the role and challenges of CSR as provided for under the new Petroleum Industry Act. Keywords: Corporate Social Responsibility, Multi-stakeholder Partnership, and Petroleum Industry Act.

DESIGNING AN INTERNATIONAL BACHELOR DEGREE SYLLABUS - CORPORATE SOCIAL RESPONSIBILITY IN INDUSTRY 4.0

The project "Adaptation of strategies for corporate social responsibility to address the implications of the Industry 4.0" is currently in the second year of its implementation. It is executed within the ERASMUS+ Program, key activity "Strategic Partnerships in Higher Education" and is coordinated by a team of the "D. A. Tsenov” Academy of Economics (Svishtov, Bulgaria) in partnership with the National Federation of Employers of Disabled People (Sofia, Bulgaria), the Accreditation Council for Entrepreneurial and Engaged Universities (Münster, Germany), the Catholic University of Murcia (Murcia, Spain) and the University of Nis (Nis, Serbia). The project is focused on current challenges of corporate social responsibility as an expression of the impact of organizational activities on society and the environment. Currently, corporate social responsibility is an extremely important factor influencing the development of companies, the formation of their profits and maintaining the image of product brands. Along with their main activity, socially responsible enterprises also perform activities of social significance, such as offering donations, supporting charitable actions, social events, etc. Such companies also award grants and scholarships, provide support to disaster-affected areas and support other aid causes. As an ex post result from the project http://csr-project.eu/ the partners have developed a curricula for a bachelor degree subject entitled “Corporate social responsibility in Industry 4.0” for students in the field of economics, administration and management”. As an in medias result the academic lecturers and researchers are on the final stage of writing the content of the academic textbook containing 8 chapters grouped in two parts – theoretical and empirical. The first theoretical part “Theoretical developments of CSR in Industry 4.0” includes the following four chapters: 1) Evolution of corporate social responsibility; 2) Financial and managerial dimensions of CSR; 3) Emerging social challenges with Industry 4.0; 4) Strategic approach to corporate social responsibility. The second part entitled “Case studies of CSR in Industry 4.0” includes other four chapters: 5) National evidences for implementation of the concept of CSR; 6) CSR and Industry 4.0 - evidences from Spain; 7) CSR and Industry 4.0 - evidences from Germany; 8) CSR and Industry 4.0 - evidences from Bulgaria. As a main conclusion from the paper, we argue that the project "Adaptation of strategies for corporate social responsibility to address the implications of the Industry 4.0" with reference number: 2020-1-BG01-KA203-079025 is an excellent opportunity to create added value through international partnership under the Erasmus + program. The achievements as of the last month of the second stage of the project implementation give grounds to expect its successful completion and achievement of all set goals and objectives. Besides the initial project topic, the Covid-19 environment has opened before all main economic agents – the companies, the households and the government – a new opportunity to prove the concept of CSR is a vital and important attitude to be more health protecting and ecologically responsible.

Corporate Social Responsibility in franchise chains: Specificities, insights from French franchise chains’ CSD, and avenues for future research

Although franchise chains are increasingly committed to environmental, social, and societal transitions, only a few researchers have focused on Corporate Social Responsibility (CSR) in the specific case of franchising. The aim of our paper is to discuss the specificities and challenges of CSR in franchising, explore how franchisors report on their sustainable practices, and emphasize subsequent directions for future research. In order to do so, we focus on the Corporate Social Disclosure (CSD) practices of twenty-two retail and service franchisors operating in the French market where regulations of non-financial information disclosures exist for large companies. Our findings show that these franchisors disclose rich and diversified information about their CSR activities. However, franchisors’ disclosures can vary significantly, especially depending on their chain size and whether they are subject to reporting regulations. Our research contributes to the literature on CSR in franchise chains, as well as the practice.

Grand challenges in developing countries: Context, relationships, and logics

Grand challenges in developing countries: Context, relationships, and logics

A review of empirical research on corporate social responsibility in emerging economies

PurposeThe purpose of this paper is to provide a systematic review of empirical research studies on corporate social responsibility (CSR) in emerging economies.Design/methodology/approachThis paper employed a systematic literature review using research papers published on CSR in emerging economies from 2010 to 2019.FindingsThe findings of this paper show that the principal themes of published research articles on CSR in emerging economies are (1) effects of CSR, (2) drivers of CSR and (3) challenges of CSR. Additionally, publications on CSR in emerging economies have been dominated by studies that used quantitative approach and cross-sectional design. A significant number of studies also employed secondary data sources with most of these studies not being sensitive to sectoral influencesResearch limitations/implicationsThe research is non-empirical.Practical implicationsCSR is an area that can mitigate some of the developmental challenges of emerging economies and also stimulate the economic growth of firms. Thus, governments and organisations must partner to provide suitable conditions that would influence organisations to incorporate CSR in their business plans.Originality/valueThis review is the first of its kind that identifies the principal thematic domains of research on CSR in emerging economies. This review also provides proof of the areas of research that need attention and also provides recommendation on future areas of study on CSR in emerging economies.

Framing Corporate Social Responsibility to Achieve Sustainability in Urban Industrialization: Case of Bangladesh Ready-Made Garments (RMG)

According to both scholars and society, Corporate Social Responsibility (CSR) plays a controversial role in terms of corporate management towards sustainability. The business has presently become an integrated with the society and takes in a complex form of global demand for sustainability management. Due to the globalization of business, it is difficult to form a common sustainability model for CSR while its approach could be an opportunity for achieving sustainability. Evidently, a strong connection is found between the CSR approach and achieving urban sustainability since a smart urbanization requires a well-planned industrialization process that could be accelerated by the proper application of CSR. However, the CSR concept has already been initiated and developed in Western developed countries. Nowadays, it is being widely practiced by the developing countries as well. The developing country Bangladesh takes CSR issues seriously. Therefore, the study seeks the sustainability prospects of CSR by considering sustainability challenges in the rapid development of the “Ready-made Garments (RMG)” industry and corporate sector in Bangladesh. Finally, this paper explores some strategic paths to initiate sustainable development by framing the conditions and challenges of CSR.

A Few Implications of the COVID‐19 Pandemic for International Business Strategy Research

A Few Implications of the COVID‐19 Pandemic for International Business Strategy Research

Gender difference in corporate social responsibility implementation in Lithuanian SMEs

Research background: There are many scientific papers dealing with the challenges of Corporate Social Responsibility (CSR) implementation at the company level. However, there are few studies dealing with gender difference between female and male managers in the perception towards CSR initiative.
 Purpose of the article: To understand the differences between male and female managers? behaviour in the process of CSR implementation in companies.
 Methods: A survey of managers at different levels in Lithuanian Small and Medium Enterprises (SMEs) was performed in 2019. The study focused on the female and male respondents? answers to the participation in CSR implementation, their perception about CSR implementation and the most important issues for them in that process.
 Findings & Value added: The results of the study indicated that, compared to their male counterparts, female respondents highlighted different factors having impact on successful implementation of CSR initiatives. Female managers were more convinced to the benefits of CSR practices than their male counter-parts. The ?Communication skills? were defined as the most important for implementing CSR strategy for the females and ?Understanding of CSR strategy? for males. For most of the female managers, ?Sociality? was the most important competence necessary for a leader, followed by ?Global and holistic thinking?, however, the male respondents were more doubtful about all the necessary competencies for a sustainability leader. The main theoretical value added of the paper is elicitation of the differences between male and female managers in the perception of CSR initiatives and necessary skills of a leader for implementing these initiatives in SMEs. The practical and managerial im-plications were also provided for the strengthening of the CSR activities in SMEs.

Outsourcing mandated corporate social responsibility in India: risks and performance

Purpose This paper aims to assess the risks and challenges of corporate social responsibility (CSR) management in the Indian-mandated CSR ecosystem from a service purchaser–supplier dualistic perspective and the role management control systems (MCS) and social capital play in managing such risks and challenges. Design/methodology/approach This study undertook a qualitative approach that involved in-depth interviews of 22 CSR directors, managers or chief executive officers from 13 central public sector enterprises (CPSEs) that had purchased CSR services and nine managers of non-government organisations (NGOs) serving as CSR suppliers. Data analysis was founded on the principal–agent and social capital theoretical perspectives. Findings A highly bureaucratic, time-pressured mandated environment poses several goal congruence and adverse selection threats to outsourced CSR project arrangements. A mix of formal and informal control mechanisms is critical for enhancing trust or bonding between service purchasers and service providers and enriching bridging capital or access to resources derived from interpersonal connections between NGOs and communities. Practical implications NGOs and CPSEs may benefit from understanding each other’s goals and culture and using appropriate formal and informal MCS for managing CSR expectations and outcomes. Originality/value Drawing on a unique mandatory CSR regime, this study offers principal–agent and social capital perspectives on CSR programme delivery, highlighting the importance of various formal and informal MCS in lowering agency costs in outsourced CSR relationships.

Do multi-stakeholder initiatives make for better CSR?

PurposeThis paper aims to examine the significance and challenges of corporate social responsibility (CSR) initiatives organized by multi-stakeholders and to clarify the function of CSR initiatives: What is the significance of multi-stakeholder initiatives (MSIs)? What conditions are required for CSR initiatives to work satisfactorily? How do CSR standards function effectively in companies?Design/methodology/approachThe significance and challenges of multi-stakeholder CSR initiatives are clarified theoretically, based on previous literature from relevant research fields.FindingsMSIs are beyond the “dichotomy” of two traditional approaches to CSR, namely, voluntary vs mandatory. However MSIs do not automatically ensure good performance. We should discuss not only the legitimacy of MSIs but external monitoring and evaluation systems for responsible companies in the market, as well as organizational efforts to incorporate CSR standards into managerial processes.Social implicationsThis paper shows that an MSI is an important platform for establishing and promoting a CSR standard, and further that market maturity and stakeholder engagement are required to make CSR work.Originality/valueThe study explains that ceremonial compliance with CSR standards may be inevitable even where the legitimacy of an MSI is secured, and that we should recognize that monitoring and sanction systems in the market and an organizational approach to the incorporation of CSR in management practices are required.

Формування та розвиток концепції корпоративної соціальної відповідальності

The article provides the conceptual study on the emerging and further development of the corporate social responsibility (CSR) starting from the late 1880es. The paper covers the most important trans formations of the concept, starting from its understanding as a mechanism of redistribution of the wealth and continuing till the formation of the modern business strategy. The study investigates the main principles of CSR, the key arguments for and against the social performance of business, potential positive impact on society and challenges of CSR. The study concludes that key goals of CSR are modifying with other economic and social changes, shifts in public needs and requirements towards business, the possibility of public sector to provide and support basic human rights etc. The outcomes of the research are useful for business in order to implement correctly principles of CSR and avoid possible challenges, to impact positively social life and standards, as well as public sector while the process of institutionalization and forming the legal background of CSR.

Corporate social responsibility of transport companies on the labour market

Being a socially responsible company brings about many benefits but is also a challenge. Therefore, every company, especially a transport company should generate organisational behaviour on an internal and external labour market which are positively verified by its current and potential employees. They are the ones who care about the existence of the enterprise and its economic condition. Therefore, the goal of this paper is to present the challenges of corporate social responsibility which determine the freedom of organisational behaviour of transport companies on the labour market.

Understanding CSR Behaviors across the Middle East: A Review and a Research Agenda

Given its importance and peculiarities, research around corporate social responsibility (CSR) in the Middle East (ME) has significantly grown over the last few decades. Yet, knowledge on this important topic remains fragmented and unorganized, especially with extant research assuming homogeneity of CSR practices across all Middle Eastern countries, disregarding critical economic, social and institutional factors that can be heterogenous across the ME regions. In this systematic literature review, we propose a novel nuanced excursion that aims to organize and classify antecedents, expressions and consequences of CSR across five sub-regional clusters in the ME. By reviewing 86 articles published from 1990 to 2015, we find that while some CSR challenges are common to the whole ME, others are more regional and some are sub-regional specific. Ultimately, we provide several future research themes that flow from an informed clustering system that takes into consideration salient socio-economic realities in the ME.

The Value of Being Socially Responsible: A Primal-Dual Approach

This study attempts to formalize and explain the process through which Corporate Social Responsibility (CSR) is created incorporating it into a production framework for characterizing the technology and representing the transformation process of multiple inputs into multiple outputs. CSR is one of these outputs and plays a mitigation role. Our framework allows for analyzing technical efficiency and deriving a system of internal shadow values for CSR to evaluate the overall value as well as the marginal impact of engaging in socially responsible activities for the firm. The empirical application focuses on the food and beverage manufacturing sector which is particularly interesting as it faces a broad array of both very specific and more common CSR challenges. Our results document that in the sample of 175 firms included in the analysis efficiency levels are very high with approximately 75 percent of the firms being technically efficient. We also find that the average shadow value of socially responsible activities is positive, implying that the cost of implementing these activities is compensated by their beneficial mitigating effect. When focusing on the value of CSR at the margin, our analysis shows that the average marginal value of increasing the socially responsible commitment is positive, suggesting that more CSR is considered advantageous for adding value to the firm. Conversely, the average marginal value of decreasing the CSR effort is negative, indicating that lower levels of CSR are perceived so costly and damaging that firms want to be compensated for reducing their engagement in socially responsible activities.