Corporate Social Accountability Research Articles

Bilateral investment treaties and investors’ social accountability: the law and praxis in South Asia

PurposeInternational investment law governs matters related to transnational investments. The extensive reach of transnational corporations (TNCs) has granted them substantial economic, political and social influence, often intertwining them with public interest issues and implications in human rights violations. This paper aims to explore the profound influence exerted by TNCs in today’s globalized world and its implications for human rights and social responsibility within the framework of international investment law. Particularly, it acknowledges the vulnerability of economically weak South Asian states and cites past instances such as the Bhopal gas tragedy in India and the Rana Plaza disaster in Bangladesh as egregious violations of human rights. Focusing on South Asian bilateral investment treaties (BITs), this paper aims to examine the scope of investors’ social accountability.Design/methodology/approachThis research engages with doctrinal and analytical methods in traversing through primary and secondary sources. It would parse the arbitral tribunals’ jurisprudence for their discussion on the inclusion of social accountability obligations within international investment agreements (IIAs). Further, it engages in a quantitative analysis related to the nature of the social accountability-related obligation of the corporation within South Asian BITs.FindingsThe findings reveal a glaring absence of the law on investors’ social accountability and the need for enhanced regulatory mechanisms to address the escalating influence of TNCs on human and social rights. The absence of a robust legal framework, coupled with the asymmetric nature of international investment law, granting investors greater rights and leverage compared to states, exacerbates this challenge. The phenomenon of “regulatory chill” inhibits states from effectively enforcing regulatory measures aimed at protecting human rights and the environment. Furthermore, the broad interpretation of clauses such as “fair and equitable treatment” by investment tribunals often undermines states’ ability to implement measures in the public interest. While international organizations such as the UNCTAD and the UNCITRAL Working Group III are actively discussing reforms to IIAs, the existing guidelines addressing investors’ social accountability are woefully lacking in the content as well as the method of their integration with international human rights law. The findings underscore the imperative for South Asian nations, the subject of this research’s empirical analysis, to adopt a comprehensive approach involving both domestic law reforms to promote corporate social accountability and active pursuit of negotiations for the inclusion of binding social obligations for investors within IIAs.Practical ImplicationsThis research, drawing upon international law developments, offers suggestions for incorporation of social accountability provisions via relevant domestic law reform. The research could be viewed as a prelude for mapping the legal developments in the area of investors’ social accountability within investment agreements, as well as investment contracts, drawing guidance from international law instruments.Originality/ValueTo the best of the authors’ knowledge, no other study analysed the scope of investors’ social accountability in South Asian BITs.

The Influence of Corporate Social Responsibility Disclosure, Accounting Conservatism, Earnings Persistence, and Systematic Risk on Earnings Response Coefficient (ERC)

The Influence of Corporate Social Responsibility Disclosure, Accounting Conservatism, Earnings Persistence, and Systematic Risk on Earnings Response Coefficient (ERC)

Public Service Management in Corporate Social Responsibility PT. Pertamina International Refinery Unit II Sungai Pakning

Environmental matter frequently emerges in every area; this is a concern for all parties, especially as environmental problems are the impact of company activities. As a company responsible for the impact of activities carried out, the company provides public services in the form of a corporate social responsibility program. Good public service management in corporate social responsibility programs certainly has a positive social impact on society and the environment. This has been conducted by PT. Pertamina International Refinery Unit II Sungai Pakning received five best performance awards from the Ministry of Environment and Forestry of the Republic of Indonesia in a row from 2017. The purpose of this research is to analyze public service management in corporate social responsibility. This research uses a qualitative research method with a phenomenological approach. The research results found that there are four stages in public service management in corporate social responsibility, namely planning, implementation, reporting, and accountability. This stage is the basis for implementing corporate social responsibility programs that focus on the fields of education, public health, environment, and infrastructure. It was found that there was an additional general function in the company's CSR public service management, namely accountability.

The Influence of Corporate Social Responsibility and Environmental Management Accounting on the Sustainability Performance of the Patra Bali Resort and Villas

This research aims to examine and analyze the impact of Corporate Social Responsibility and Environmental Management Accounting on Sustainability Performance. Conducted by The Patra Bali Resort & Villas, the study includes 79 respondents selected through saturation sampling. All data obtained from the questionnaire distribution are deemed suitable and further analyzed using multiple linear regression, hypothesis testing (t-test and F-test). The results indicate that (1) Corporate Social Responsibility significantly and positively influences Sustainability Performance at The Patra Bali Resort & Villas. This suggests that an increase in Corporate Social Responsibility leads to an improvement in Sustainability Performance at The Patra Bali Resort & Villas. (2) Environmental Management Accounting significantly and positively affects Sustainability Performance at The Patra Bali Resort & Villas. This implies that better or increased Environmental Management Accounting results in an improved Sustainability Performance at The Patra Bali Resort & Villas.

Corporate social responsibility, internal control and accounting conservatism (evidence from Tehran stock exchange)

Corporate social responsibility, internal control and accounting conservatism (evidence from Tehran stock exchange)

The optimization of a corporate social responsibility management system based on service-orientated architecture under the concept of sustainable development

Against the background of globalization, the trend of corporate social responsibility is irreversible. In this study, a motivation analysis framework and evaluation index system of corporate social responsibility under dual constraints are established and an index system of corporate social responsibility evaluation is designed. A multiple linear regression analysis is used to build an evaluation index system model of cement enterprises' corporate social responsibility accounting. To further improve the fidelity between this model and the actual situation of cement enterprises, a self-adaptive Service-Oriented Architecture reasoning system, constructed by integrating the reasoning function of Service-Orientated Architecture logic and the learning function of the neural network, improves the evaluation index system model of the social responsibility accounting of enterprises. Through experimental analysis, the error of the corporate social responsibility accounting evaluation index in this study was within 10 %, indicating a good prediction effect. According to this set of standards, enterprises must fulfill their social responsibilities to be helpful in the future development of corporate social responsibility evaluations.

Tortious Liability of Companies

Tortious liability of companies, in simpler terms, is about holding big businesses accountable when they do something wrong. Just like individuals can be responsible for their actions, companies can too. The concept of tortious liability of companies refers to the legal responsibility that corporations can bear for their wrongful acts or negligence, resulting in harm to others. Companies can be liable for torts committed by their employees, agents, or representatives acting within the scope of their employment. In today’s business world, understanding this concept is paramount. It serves as a vital cornerstone for maintaining ethical and responsible corporate behavior, safeguarding the rights and well-being of consumers and stakeholders, and ensuring a fair and just business environment. This understanding not only protects individuals and the environment from corporate harm but also shapes the principles of corporate social responsibility and accountability that define modern business practices. In a world where corporations wield immense influence, comprehending tortious liability is essential for upholding legal and ethical standards in the corporate landscape.

Linking corporate social responsibility accounting and supply chain management: Evidence from less developed countries

This paper aimed to study the relationship between corporate social responsibility (CSR) accounting and supply chain management (SCM) in the context of less developed countries, such as Yemen. Primary data was gathered through a survey of 380 workers in Yemeni businesses. The information was gathered using a questionnaire. The findings showed that there is a statistically significant association between natural resource development (NRD), service quality improvement (IQS), CSR accounting, and SCM.

Good Corporate Governance, Corporate Social Responsibility dan Konservatisme Akuntansi: Agresivitas Pajak

Purpose: This research was conducted to obtain empirical evidence regarding the relationship between the proportion of independent commissioners, audit committees, audit quality, corporate social responsibility and accounting conservatism on tax aggressiveness.Method: This study uses a descriptive quantitative approach. Secondary data is data used in research, where the data was obtained from the LQ45 company database that was registered on the IDX for a period of five years, namely from 2017-2021. During this time interval, 16 LQ45 indexed companies were selected as research samples using purposive sampling method. Multiple linear regression analysis with the help of SPSS version 26 is the method of data analysis in research.Results: The results of the study prove that partially the proportion of independent commissioners, audit committees, corporate social responsibility, and accounting conservatism has no significant effect on tax aggressiveness. Meanwhile, audit quality partially has a significant effect on tax aggressiveness. The proportion of independent commissioners, audit committees, audit quality, corporate social responsibility, and accounting conservatism simultaneously have a significant effect on tax aggressiveness.Implications: This research can be used as material for evaluation and review for the government in relation to the established tax policies. In addition, it is hoped that it will further increase company awareness and compliance with regard to fulfilling its tax obligations as well as material for consideration in the application of corporate governance policies.Novelty: The majority of previous research examined manufacturing companies, while this study chose to examine research variables with the perspective of different research objects, namely LQ45 indexed companies.

The Impact of Social Responsibility and Organizational Accountability on the Performance of Public Librarians in Iran

A Review of: Soltani-Nejad, N., Jahanshahi, M., Karim Saberi, M., Ansari, N., & Zarei-Maram, N. (2022). The relationship between social responsibility and public libraries accountability: The mediating role of professional ethics and conscientiousness. Journal of Librarianship and Information Science, 54(2), 306–324. https://doi.org/10.1177/09610006211014260 Objective – To determine how librarians' perceptions of public libraries' social responsibility and accountability within society affect their professional ethics and conscientiousness. Design – Quantitative, survey questionnaire. Setting – Public libraries in Iran. Subjects – Survey respondents (N=362) were public librarians* (see note below). Methods – The authors created a theoretical model based on six separate hypotheses, describing the relationship between the following variables: corporate social responsibility, organizational accountability, professional ethics, and conscientiousness. A questionnaire was distributed to the participants. SPSS 21.0 was used for the analysis of demographic data and SMART PLS 3.0 was used to assess the theoretical model. Main Results – The results show a significant, positive, and direct relationship between the variables being studied (corporate social responsibility, organizational accountability, professional ethics, and conscientiousness), therefore confirming the relevance of the authors’ theoretical model. Conclusion – The results of this study demonstrate the importance of promoting the social responsibility and organizational accountability efforts of public libraries. The data suggest that doing so will strengthen the positive perception of the library amongst employees, which will in turn have a positive effect on their professional ethics and conscientiousness. The authors suggest that library managers need to create a culture of accountability and ethics within libraries. They can do so by incorporating ethics and social responsibility in decision-making and policies. Additionally, the authors propose that professional ethics training in library curricula and continuing education would provide librarians with the knowledge necessary when encountering ethical dilemmas on the job.

Do corporate anti-bribery and corruption commitments enhance environmental management performance? The moderating role of corporate social responsibility accountability and executive compensation governance

This study aims to examine the potential impact (substantive or symbolic) of firms' anti-bribery and corruption commitments (ABCC) on environmental management performance (ENVS). We also seek to explore whether this link is contingent on corporate social responsibility (CSR) accountability and executive compensation governance. To achieve these aims, we use a sample of 2151 firm-year observations representing 214 FTSE 350 non-financial companies from 2002 to 2016. Our findings support a positive association between firms’ ABCC and ENVS. In addition, our evidence shows that CSR accountability and executive compensation governance are significant substitutes for ABCC to engender enhanced ENVS. Our study highlights practical implications for organisations, regulators and policymakers, and suggests several avenues for future environmental management research. Overall, our findings are unsensitive to alternative measures of ENVS, different types of multivariate regression methods, namely ordinary least squares (OLS) and two-step generalized method of moments (GMM) regressions, and controlling for industry environmental risk and the implementation of the UK Bribery Act 2010.

Corporate Social Accountability: Lessons from Coca-Cola’s Conflict at Plachimada

This paper explains the process by which a global corporate giant was made to account for its social responsibility by studying the conflict between Coca-Cola company and the local community in Plachimada (a small village in the south Indian state of Kerala) as a case study. The paper argues that the company suffered a long judicial battle and loss of reputation and finally lost ‘its license to operate’ for not discharging its responsibility to the local community (a major stakeholder). The analysis of the events in this conflict seems to suggest that the combination of new social movements and consumer activism in defence of human rights and environmental protection holds the promise of making the large global corporations more accountable for their social responsibilities. Fuelled by the speed of the internet and the resultant reach of media (including social media), these movements have become more effective and stronger during the last twenty years and the corporates therefore can ignore the responsibilities that society expects them to embrace only at their own peril.

The Embodiment of Corporate Social Accountability in Sharia Enterprise Theory

The issue of disclosure of social responsibility by entities is a theme that has always been debated. This is none other than because the implementation of social responsibility disclosures carried out by companies to date still shows a real impact. It is only natural that stakeholders still question its reality. Answering the doubts of these stakeholders, the company's social responsibility began to become a concern. As proof of the accountability activities that have been carried out, this research is here to explore corporate social responsibility accountability based on the Shariah Interprise Theory (SET) index. Using the research objects of Islamic commercial banks in Indonesia, this research examines the annual reports published by 8 Sharia commercial banks in Indonesia as a source of data. With descriptive qualitative methods through conten analysis as an analysis knife to answer the formulation of the problem, namely how the level of disclosure of social responsibility that has been carried out using the shariah enterprise theory index. The results of the study proved that 8 BUS in vertical accountability to Allah showed that it was in accordance with the components and criteria that had been set in the Shariah Enterprise Theory (SET) index, while accountability to customers, accountability to employees and accountability to nature as a whole in reporting did not fully meet the components Shariah Interprise Theory (SET). Especially in accountability to nature, it is still far from the component of Shariah Interprise Theory (SET).

Social movement activists’ conceptions of political action and counter-accounting through a critical dialogic accounting and accountability lens

In the face of growing disaffection with neoliberalism and corporate social and environmental accounting, critical accounting recognizes the potential of counter-accounting to open spaces for democratic contestation and to advance progressive change. Critical dialogic accounting and accountability (CDAA), for example, views counter-accounting as providing social movements with opportunities to challenge neoliberal hegemony, to mobilize multiple publics and to construct new social realities. However, the democratizing potential of counter-accounting is contested within academia, and social movements’ views of counter-accounting as a politicizing practice are not well understood. We extend CDAA theorizing by elaborating on the value of counter-accounting in advancing democratic struggles against neoliberalism and illustrating how an agonistic lens can be useful in framing social movements' actions in these struggles. Social movements' conceptualizations of political action and counter-accounting are empirically investigated through interviews with 25 social movement activists. Based on the interviews and our CDAA lens, we propose possible areas for critical accounting collaborations with social movements as they seek to effect progressive change.

The Influence of Corporate Social Responsibility (CSR) Disclosures, Accounting Conservatism, and Leverage on Earnings Response Coefficient (ERC)

This study aims to examine the effect of Disclosure of Corporate Social Responsibility (CSR), Accounting Conservatism, Leverage, Earnings Response Coefficient (ERC) partially or simultaneously. The research method used is a quantitative research method and uses secondary data, namely manufacturing companies listed on the Indonesia Stock Exchange. The samples used were 34 companies in 2015-2019 whose acquisitions used the purposive sampling method. The analytical method used is multiple linear regression analysis technique. The results of this study, partially, Disclosure of Corporate Social Responsibility (CSR) and Accounting Conservatism affect the Earnings Response Coefficient (ERC). Meanwhile, Leverage has no effect on the Earnings Response Coefficient (ERC). Simultaneously, Disclosure of Corporate Social Responsibility (CSR), Accounting Conservatism, and Leverage affect the Earnings Response Coefficient (ERC).

The relationship between CSR disclosure and accounting conservatism: The role of state ownership

The literature has explored an association between corporate social responsibility (CSR) disclosure and accounting conservatism. This paper investigates how state ownership moderates this relationship in the context of the emerging Russian economy. Using a sample of 223 publicly listed Russian companies for the period of 2012–2017, we find that companies with higher CSR disclosure tend to have more conservative financial reporting practices. We observe, however, that state ownership has a negative moderating effect on this association, in line with agency theory. Moreover, we explore the unique structure of Russian companies’ state ownership, whereby public companies often have a combination of federal, regional, and municipal state ownership, the outcome of privatization reform. We find that federal state ownership alone or in combination with regional or municipal levels of state ownership has a significantly negative impact on the CSR disclosure–accounting conservatism association. We find no evidence that a regional or municipal level of state ownership, a combination of regional and municipal levels of state ownership, or a combination of all three levels has an impact on the association between CSR disclosure and reporting conservatism. We address the recent call for a contextualized approach that focuses on institutional, legal, and cultural features of different economies to advance our knowledge of the antecedents of CSR disclosure, its association with reporting quality, and the factors that moderate it.

Corporate social responsibility, internal control and accounting conservatism: evidence from Tehran stock exchange

Corporate social responsibility, internal control and accounting conservatism: evidence from Tehran stock exchange

ОБГРУНТУВАННЯ ВПЛИВУ СУБ’ЄКТИВНИХ ОЦІНОК СТЕЙКХОЛДЕРІВ НА ВИБІР ПРОЄКТУ СТАЛОГО РОЗВИТКУ ПІДПРИЄМСТВА

The paper provides reasons for considering sustainable development paradigm as the most efficient and effective way for Ukrainian enterprises to achieve goals of post-war revitalization fast. Furthermore, the study substantiates that the sustainable development of enterprises, which is corporate sustainable development uniting corporate social accountability and shared social responsibility, in the conditions of post-war reconstruction of Ukraine can be ensured on the basis of achieving a balance between the interests of stakeholders and the company's ability to implement sustainable development projects. In order to provide corporate sustainable development, the study offers distinguishing three types of stakeholders: those who do economic pressures towards enterprise, those who do social pressure and those who do environmental pressures on corporate management. It is proposed to determine the group common interest of the company's stakeholders, expressed in terms of the benefits they want to receive and the contributions they are ready to make to sustainable development projects, using the method of cluster analysis. It has been proven that the subjective assessments of stakeholders regarding the value of any sustainable development project for them influence the choice of the final project of sustainable development that corresponds to the capabilities of the enterprise. This is due to the property of discreteness of the amounts of benefits and contributions to the projects of sustainable development of the enterprise, with the help of which the group common interest of stakeholders is set. The process of comparing sustainable development projects that represent the interests of stakeholders with projects that meet the company's capabilities is shown, and the scientific and practical task of choosing the final project based on the balance of stakeholders' interests and the company's capabilities is described. The stages of ensuring the sustainable development of the enterprise on the basis of taking into account the interests of stakeholders during the implementation of projects in the social, economic and environmental spheres are analyzed. It is substantiated that it is advisable to solve the task of choosing projects of sustainable development of the enterprise under the influence of subjective assessments of stakeholders using the method of fuzzy sets. Creating fuzzy variables connected to stakeholders’ assessments of endeavors allows managers of enterprises to ensure sustainable development project selection considering stakeholders’ subjective impact factor

Quaker accountability regimes: the case of the Richardson family networks, 1840–1914

PurposeThis paper aims to explore the development of the accountability ideals and practices of Quaker industrialists during the period 1840–1914.Design/methodology/approachThe research employs a case study approach and draws on the extensive archives of Quaker industrialists in the Richardson family networks, British Parliamentary Papers and the Religious Society of Friends together with relevant contemporary and current literature.FindingsFriends shed their position as Enemies of the State and obtained status and accountabilities undifferentiated from those of non-Quakers. The reciprocal influences of an increasingly complex business environment and radical changes in religious beliefs and practices combined to shift accountabilities from the Quaker Meeting House to newly established legal accountability mechanisms. Static Quaker organisation structures and accountability processes were ineffective in a rapidly changing world. Decision-making was susceptible to the domination of the large Richardson family networks in the Newcastle Meeting House. This research found no evidence of Quaker corporate social accountability through action in the Richardson family networks and it questions the validity of this concept. The motivations underlying Quakers’ personal philanthropy and social activism were multiple and complex, extending far beyond accountabilities driven by religious belief.Originality/valueThis research has originality and value as a study of continuity and change in Quaker accountability regimes during a period that encompassed fundamental changes in Quakerism and its orthopraxy, and their business, social and political environments.

지속가능경영과 다양성: 제도주의이론 관점에서 본 이사회 내 여성 임원 비율

This paper examines the effects of corporate behaviors related to sustainable management which are presumably intended to attain institutional legitimacy on the diversity of board of directors in terms of the proportion of female executives in board composition. While previous studies focused mainly on roles of female board members in the advancement of corporate social responsibility or accounting transparency, we pay attention to the institutional factors that may affect female executives’ participation in the board of directors. The results of our empirical analysis of leading Korean corporations in terms of market capitalization from 2014 to 2018 show that corporate characteristics and behaviors related to sustainability and institutional dynamics, such as publishing sustainability report, sensitivity of environmental issues, and visibility within institutional fields, have positive effects on the participation of female executives in the board of directors, as predicted in our hypotheses.