Corporate Social Responsibility Policies Research Articles

Corporate Social Responsibility and Dividend Policy in India

Corporate Social Responsibility and Dividend Policy in India

Corporate Social Responsibility and Hedging Policies

Corporate Social Responsibility and Hedging Policies

Deposit Money Banks and Corporate Social Responsibility in Nigeria: Sectoral Patterns and Trends

This study examines trends and patterns of Deposit Money Banks’ Corporate Social Responsibility (CSR) to various socio-economic sectors in Nigeria. Using a dataset of 10 years, 2004-2014, and based on simple descriptive analysis, the study demonstrates that DMBs in Nigeria spend more on social empowerment than in more productive areas that would better the livelihood of the citizenry. DMBs’ preferences for social sectors are largely informed by their drive to protect their interest defined in terms of profit. However, lack of a policy guiding and regulating CSR activities generally in Nigeria is responsible for DMBs biased CSR activities and for lack of diversification. The study, therefore, recommends that Nigeria should design a CSR policy framework as a guiding principle for all CSR activities in the country. It is only through this that the corporate world would be tamed to invest their CSR in more productive sectors that would better the livelihood of their host communities and the country at large.

A sociological analysis: performance of global financial institutions, business ethics, and corporate governance

With the rapid advancement of technology, the 21st century has brought us a dynamic terrain that has given rise to extremely competitive markets. In addition to spurring innovation, technological developments have also resulted in a deterioration of public confidence in the banking industry, which has been made worse by recent high-profile cases of financial misbehavior. Businesses are under increasing pressure to operate well and sustainably for the good of their clients, shareholders, and the company as a whole. These pressures range from environmental concerns to human rights violations. Organizations must outline plans in order to successfully navigate this complicated terrain and address societal needs while ensuring future success. Companies that want to compete successfully in marketplaces with cutting-edge technology must address ethical issues. Businesses must find a careful balance between financial imperatives, environmental sustainability, and respecting human rights within their strategy frameworks in an era marked by widespread corporate disobedience and non-compliance. Public fear has been exacerbated by recently reported banking scandals, which include employee dishonesty such as opening bogus accounts, market manipulation schemes, and deficiencies in compliance processes. These violations, which go unpunished for long stretches of time, highlight how urgent it is that businesses have strong corporate social responsibility policies. According to this study, businesses that actively participate in corporate social responsibility (CSR) have a higher chance of long-term success, highlighting the importance of morality and social responsibility in overcoming the difficulties presented by modern markets.

Impact of Corporate Social Responsibility Activities Communicating About a Brand

Abstract: Corporate social responsibility (CSR) is a type of international private business self-regulation that aims to contribute to societal goals of a philanthropic, activist, or charitable nature by engaging in or supporting volunteering or ethically-oriented practices. While once it was possible to describe CSR as an internal organisational policy or a corporateethic strategy, that time has passed as various international laws have been developed and various organisations have used their authority to push it beyond individual or even industry-wide initiatives. While it has been considered a form of corporate self-regulation forsome time, over the last decade or so it has moved considerably from voluntary decisions at the level of individual organizations to mandatory schemes at regional, national, and international levels. Considered at the organisational level, CSR is generally understood as a strategic initiative that contributes to a brand's reputation. As such, social responsibility initiatives must coherently align with and be integrated into a business model to be successful. With some models, a firm's implementation of CSR goes beyond compliance with regulatory requirements and engages in "actions that appear to further some social good, beyond the interests of the firm and that which is required by law”. Furthermore, businesses may engage in CSR for strategic or ethical purposes. From a strategic perspective, CSR can contribute to firm profits,particularly if brands voluntarily self-report both the positive and negative outcomes of their endeavours. In part, these benefits accrue by increasing positive public relations and high ethical standards to reduce business and legal risk by taking responsibility for corporate actions. CSR strategies encourage the company to make a positive impact on the environment and stakeholders including consumers, employees, investors, communities, and others. From an ethical perspective, some businesses will adopt CSR policies and practices because of ethical beliefs of senior management. For example, a CEO may believe that harming the environment is ethically objectionable

Analysis of forms of implementation of the concept of social responsibility of business in the conditions of combat actions in Ukraine

By improving relations with the public, stakeholders, investors and authorities, corporate social responsibility has a significant impact on the ability of domestic and foreign companies to successfully develop and achieve economic competitiveness, as well as increase market share and create a positive image of the organization. By implementing various forms of social responsibility, the company realizes its contribution to the world of the future, solving local and global problems of humanity. Transparent two-way communication between enterprises becomes an effective tool that can significantly increase trust. The paper analyzes the forms of implementation of the concept of social responsibility of business in the conditions of hostilities in Ukraine. The results were obtained using the synthesis method, the official websites of the companies were analyzed, i.e. CSR sections, official pages of social networks (Facebook, Instagram), media publications, non-financial reports, CSR strategies, recommendations, policies and other publicly available documents. The study considered the influence of factors on decision-making by the company during the military operations in Ukraine according to the following criteria: adaptation of Ukrainian business, development of business strategies, official statement on the termination of cooperation with the Russian Federation. The impact of the total war of the Russian Federation against Ukraine on compliance/non-compliance with the policy of corporate social responsibility The considered features and results of using "Social Hub" and "impact investing" as a form of interaction between the enterprise and society. The implementation of the same form of KVS as "Social Hub" and "impact investing" provides not only financial support of the company for charitable purposes, but also contributes to the formation of a stable positive attitude among internal employees, thereby increasing the reputational capital of the business.

Corporate social responsibility assurance, board characteristics and social performance disclosure. Evidence of listed firms in India

AbstractThe study examines board characteristics, corporate social responsibility (CSR) assurance and social performance disclosure of listed firms before and after mandatory CSR reporting in India. We used the Indian stock market as the testing grounds and applied panel regression and difference‐in‐differences to analyse 960 firm‐year observations between 2010 and 2021. The first findings show that independent board directors and total board size are insignificant in CSR assurance engagement in a mandatory CSR policy period. However, CEO duality is less than likely causing CSR assurance engagement. The second findings show that CSR assurance engagement more than likely causes an increase in social performance disclosure before mandatory CSR policy implementation and increases social performance after policy implementation. The third findings show that the interactive effect of board characteristics (independent directors, total board size and CEO duality) and CSR assurance engagement causes an increase in social performance disclosure. The study sought clarity on the impact of CSR assurance and mandatory CSR reporting on information asymmetry problems to stakeholders. The study also contributes new knowledge on the influence of the interactive effect of board characteristics and CSR assurance on the social performance disclosure of listed firms in India.

Corporate Sustainability Performance and Firm Value through Investment Efficiency

This study investigates the influence of corporate sustainability performance (CSP) on firm value through investment efficiency. By applying a panel regression analysis using a large sample of 26,838 firm-year observations that represent 9218 Asian listed companies over the period of 2012–2019, we illustrate that high corporate sustainability performance (CSP) increases investment efficiency. This result coincides with both stakeholder theory and information asymmetry theory where economic, environmental, social, and governance involvements play a fundamental role in improving firm value. Our results further show that the social dimension significantly improves investment decisions, unlike dimensions associated with environment and governance, which show no significant effect on investment efficiency. These insights about the impact of CSP on investment decisions will be useful to stakeholders, decision-makers, policymakers, as well as academics to improve their awareness of the importance of corporate sustainability practices. Particularly, the positive relationship between the social dimension of CSP and investment efficiency should motivate managers to improve their corporate social responsibility policy formation and implementation, and the management of investment portfolios in enhancing firm value.

The Quality of Corporate Social Responsibility Information Disclosure and Enterprise Innovation: Evidence from Chinese Listed Companies

The Chinese government has implemented a series of corporate social responsibility (CSR)-related policies in recent years, aiming to achieve high-quality economic development and transformation. To assess the effectiveness of these CSR policies, this study empirically explores the relationship between the quality of CSR information disclosure and corporate innovation performance using data from A-share listed companies in Shanghai and Shenzhen, China, from 2009 to 2020. The results show that: (1) Improvement in the quality of CSR information can significantly improve corporate innovation performance. (2) Further analysis reveals that the improvement of CSR information quality not only helps to reduce the agency costs and alleviate the financing constraints of enterprises but also reduces the cost of external interpretation of corporate innovation projects and conveys a good corporate image by attracting the attention of analysts and the media, which all contribute to the improvement of corporate innovation performance. This study further refines the mechanism of the impact of CSR disclosure on firms’ innovation performance, which may provide guidance to governments in developing and improving CSR disclosure systems in the future.

Corporate social responsibility versus business ethics: analysis of employee-related policies

PurposeThis study aims to analyze the relationship between companies’ business ethics (BE) and corporate social responsibility (CSR), with particular reference to policies toward employees, with the aim of understanding if and how the two concepts are linked and to foster a better management of the company-employee relationship through BE and CSR policies.Design/methodology/approachThrough a content analysis, the authors study three issues related to employees disclosed in Code of Ethics (CE) and CSR report of a sample of Italian companies. Next, using a multivariate regression model, the authors examine the relation between the BE and CSR initiatives, related to employees.FindingsThe findings show that CE and CSR initiatives are negatively related. They are distinct concepts, but since the authors find that they are connected, they must also be considered in terms of their mutual dependence. To standardize practices toward employees in a code may induce the need to establish additional corporate social responsibility initiatives that elicit legitimate stakeholder satisfaction.Research limitations/implicationsThe analysis focuses on employees, whereas several other CSR aspects that can be explored. Furthermore, additional investigation (through questionnaires or interviews) could deepen this analysis. Furthermore, it might be interesting to consider different countries or more variables, such as cultural differences or different regulations.Practical implicationsThe results of this research reveal that BE and CSR initiatives require precise and personalized observations to be properly understood; however, as they are linked, they must also be studied in their mutual interdependencies; this can be very useful to define governance bodies and organizational procedures devoted to BE and CSR issues.Social implicationsThis research provides a tool for evaluating and monitoring CSR and BE principles and can be adapted to many business contexts and refer to different stakeholders.Originality/valueThe existing literature on BE and CSR presents opportunities for further study, as these concepts are often studied without insights into their mutual impacts.

Effect of return on assets, debt to equity ratio, and corporate social responsibility policies on company values in PT Semen Baturaja (Persero) Tbk.

This study aimed to know the effect of return on assets, debt to equity ratio, and corporate social responsibility policies on score company at PT Semen Baturaja (Persero), Tbk. The population and sample in the study is a company engaged in the cement sector, namely PT Semen Baturaja (Persero), Tbk, which uses report finance during periods 1-4 of 2012-2021. Based on the analysis of the results, multiple linear regression that has been conducted shows that return on assets take an adverse effect and has no significance to score Company, equity debt has an effect positive and significant to score Company, corporate social responsibility has an effect positive and significant to score Company. For companies in the cement industry, especially Semen Baturaja, it is necessary to develop ROA, DER, and CSR as tools to increase company value so that they can continue to compete and improve. For regulators, the results of this study provide an overview of ROA, DER, and CSR towards score companies. Therefore, regulatory agencies must set standards for measuring and disclosing existing corporate values.

Development of the Concept of Corporate Social Responsibility: Practice in Ukraine

The article considers topical issues of the implementation of the concept of corporate social responsibility (CSR) in Ukraine. It is emphasized that the concept of corporate social responsibility involves changes in the legal support of the self-regulation of economic activity. CSR in Ukraine includes the voluntary establishment of norms on social corporate responsibility and determination of the mechanism and means of its implementation. The submission of a corporate social responsibility report is an essential element of CSR though it is not currently mandatory in Ukraine. In Ukraine, the development of CSR in agriculture should be a priority. It has been established that CSR advocacy is insufficient in Ukraine, and therefore public authorities and non-governmental organizations have to introduce the practice of explaining the need introduce and implement CSR institutions through seminars, conferences, training on responsible business behavior, educational programs, and training courses. Observance of labor rights and guarantees should be a mandatory task for Ukrainian companies in terms of CSR development. It is proposed to amend a number of regulations namely the Law of Ukraine “On Business Associations” and the Economic Code of Ukraine. The creation of the Concept for the Development of Corporate Social Responsibility should determine the prospects and directions of CSR support by the state, expand the interaction between business entities and civil society, systematize existing and prospective tools for its development. Such changes update the implementation of the rules of the Association Agreement between Ukraine and the EU and they will facilitate the implementation of the rules on CSR liability in practice.Taking into account the ongoing war of Russia against Ukraine since 2014 and its new stage – the full-scale invasion by Russia of Ukraine in 2022, business entities have proposed the separation of CSR policies in the conditions of war. Human rights protection of the conditions of war, workers’ safety (mobilization, evacuation), the organization of the business entity’s work (the responsibility of each employee from the head of the company to the lower level of the executive, payment of labor, taxes, etc.); assistance to the state, armed forces, employees, and other citizens, termination of cooperation with counterparty residents in the Russian Federation and Belarus, withdrawal from the market, etc. of these countries should become the key elements of such policies. The preservation of human life will be an overriding imperative of CSR in wartime.

Impelemantasi Kebijakan Tanggung Jawab Sosial Perusahaan PT. Perkebunan Nusantara V Wilayah Kebun Sei Intan di Kabupaten Rokan Hulu

This study seeks to determine the corporate social responsibility (CSR) policies implemented by PT Perekebunan Nusantara Sei Intan Plantation Area in Rokan Hulu Regency. This research aims to determine how the Implementation and Constraints of the TJSP Policy Implementation of PT. Nusantara V Plantation Sei Intan Plantation Area in Rokan Hulu Regency can be identified. This type of research employed qualitative methods of description. Location This study was conducted at the Kembang Damai District Sei Intan Rokan Hulu PKS Palm Oil Plantation. Pagaran Tapah Darussalam, Rokan Hulu Regency, Riau. Purposive sampling was utilized in the collection of data. The observational data obtained through interviews and documentation studies. Triangulation of sources ensured the data's validity. The findings of this study indicate that the TJSP Policy of PT. Archipelago Plantation Area of Sei Intan Gardens in Intan has been effectively implemented. This is due to four factors in Rokan Hulu Regency: communication, resources, disposition, and organizational structure. Moreover, the Implementation of TJSP Policy of PT. Nusantara V Plantation Area Sei Intan Plantation is hindered by internal and external factors. Internal factors are those that originate from within the agency, whereas external factors originate from outside the organization.

Impact of environmental, social, governance, and corporate social responsibility factors on firm’s marketing expenses and firm value: A panel study of US companies

During recent times of uncertainty, sustainable marketing and sustainable finance became hot research topics attracting both academics and practitioners. Although centering marketing efforts around the firm’s Environmental, Social, and Governance (ESG) and Corporate Social Responsibility (CSR) policies allow for creating a superior image and increasing brand value, the incorporation of ESG/CSR activities might seem to be costly and have been claimed to not provide direct marketing benefits. This study aims to explore the impact of firms’ ESG/CSR engagement on marketing expenses and firms’ market value to provide a strategic rationale for firms to undertake ESG/CSR activities to position their companies distinctly in the marketplace accordingly. The study employs a panel regression to analyze the impact of ESG and CSR commitments on a firm’s marketing expenses in a sample of S&P 500 firms in the United States. The results indicate that the firms with higher CSR engagement spend proportionately lesser on their marketing expenses and entertain a higher market value. The results also suggest that the firm’s board size, board diversity, and social engagement considerably enhance the firm’s market value. The results indicate that focusing on firms’ environmental responsibility alone does not sufficiently contribute to enhancing the value of the firm, stakeholders are rather more concerned about the firm’s societal engagement which must, therefore, be overtly communicated and reported.

Empowering Women through African Pentecostal Corporate Social Responsibility

This paper considers how women may be empowered through African Pentecostal Corporate Social Responsibility (CSR) by examining ways organizations use CSR to develop their images in society with social welfare work beyond statutory compliance. Referencing practices described in narratives of the Gospels and Acts and combining critical analysis of historical documents with key informant interviews, the project analyzes the Christ Apostolic Church, Missionary Headquarters, Ita Baale Olugbode, Ibadan, to discover and assess its regular programs of CSR. Specifically, the author uses collected data to determine answers the following questions about Christ Apostolic Church: In what programs is the church involved that address social challenges in communities they serve? How effective are these programs? Does the church have a deliberate policy to address community social issues? Is the policy evident as a guide for the church in CSR matters? How does the church’s CSR policy impact women? Key words: Empowerment, Pentecostal, CSR

Corporate social responsibility and psychological capital during the COVID-19 pandemic: perspectives from India

PurposeThis paper aims to examine the relationship between employees’ perception of corporate social responsibility (CSR) practices in Indian business organizations and psychological capital (PsyCap) during the COVID-19 pandemic.Design/methodology/approachThis research design is conclusive, descriptive and cross-sectional. An online survey was conducted during COVID-19-related lockdowns in India in 2020–2021, using two standardized research instruments. Data was collected from 154 respondents; correlation and regression techniques were applied using SPSS version 25.FindingsResults indicate that employees’ perception of CSR practices was positively correlated with the components of PsyCap, namely, employee self-efficacy, hope, resilience and optimism. Findings indicate that 57.4% of the variance in PsyCap is explained by employees’ perception of CSR.Research limitations/implicationsStudies may be carried out to examine the difference in PsyCap between organizations having strong CSR vis-à-vis weak CSR. The impact of PsyCap on organizations’ performance during states of disruption and chaos is unexamined so far; studies on the said linkage are thus required. Researchers may also examine whether there is a significant difference in organizations’ PsyCap during crisis and non-crisis conditions. Studies on the linkages between EPCSR and organizational resilience, employee performance and employee engagement during crises, with PsyCap in the moderating role will provide further insights into this area of research.Practical implicationsThe findings imply that having effective CSR policies can help with the conservation and recovery of psychological resources. Employees’ enhanced self-efficacy, hope, resilience and optimism are the benefits of being a CSR-oriented organization as indicated by the study findings. Investing in CSR would therefore be a win–win situation for organizations, as besides giving back to society and building a great public image for themselves, it would also improve organizations’ PsyCap, which in turn would make businesses resilient and better able to navigate through crises.Social implicationsThis study makes a case for a macro- and micro-level focus on PsyCap. Increasing organizational psychological resources makes it possible to lessen the pandemic’s negative psychological toll and enhance workers’ coping abilities. As evidenced in this study, the CSR practice of organizations is one such way toward it. It is thus in the interest of society, organizations and employees that organizations strengthen their CSR and more so during times of widespread crises.Originality/valueExtant literature has mostly examined CSR from the macro-level lens during noncrises conditions, with a focus on external stakeholders and in the context of developed Western economies. This research has a micro-level perspective and focuses on the PsyCap of internal stakeholders, i.e. corporate employees in an emerging market, namely, India. It has been conducted in the background of an unprecedented global economic and mental crisis caused by the COVID-19 pandemic, thus making this study very unique and relevant.

Impact mechanism of technological innovation by Chinese companies on CSR in Africa mobile communication industry

Technological innovation has played a crucial role in national growth and development. This study explores the impact of the mechanism of technological innovation led by Chinese companies on CSR of the Africa mobile communication industry. Data was analysed quantitatively using 227 managers and retail owners of Chinese companies in Africa. We select three major theories: TD theory, CSP concept and AMO theory. The selected theories provide knowledge about innovative strategy development in mobile communication management along with CSR performance management of Chinese companies in Africa. Our findings have suggested a positive relationship between patent numbers, technology innovation, profitability, and CSR. Technology innovation has predicted a positive increase in the CSR association. We measured CSR policy and strategy adoption based on four primary constructs, such as technological innovation, new patent numbers, employee skill levels, and company performance. Our research showed that CSR and technology have a positive correlation (0.859). Similarly, a strong correlation exists between company performance and corporate social responsibility policy. Employee skills and the number of new patents each have a strong positive correlation with CSR strategy adoption rate (0.910 and 0.768).

Investment and Rapid Climate Change as Biopolitics: Foucault and Governance of the Self and Others through ESG

Environmental, social and governance (ESG) investment strategies today are an established practice in personal and public finance. They also provide crucial benchmarks for corporate social responsibility policy in gauging the performance of due diligence and return on investment by financial managers. This study explores the growing conflict within these economic and policy networks over “value-oriented”, or total financial return, and “values-oriented”, or comprehensive non-financial impact, capital investment in recent years. How to balance these two discursive constructions of value in the pursuit of “sustainability” for both the economy and the environment at the same time is an operational challenge that managers, environmentalists and scientists have not yet fully answered. It also indicates how Michel Foucault’s approach to the power/knowledge nexus in biopolitics provides a useful perspective on these ideologically and politically charged debates over how to invest capital and steer business activity to deliver solid returns in the market as well as support more ethical and economical public policies to respond to climate change, social injustice and governance failure.

Industrial accidents: The mediating effect of corporate social responsibility and environmental policy measures

AbstractUsing a novel hand‐collected sample including 159 industrial events that occurred between 2000 and 2020, we document that corporate social performance (CSP) generally acts as a halo effect mitigating the stock market drop following these events. These findings, robust to many alternative specifications, provide novel evidence shedding light on how corporate social capital acts as a mitigating device against the consequences of tail events. To the best of our knowledge, this is one of the first studies investigating the mitigation role of CSP in the aftermath of an industrial accident by analyzing a large global sample of industrial incidents. The practical and theoretical implications of our findings are at the bottom of that form of a socially normative corporate force embedded in social trust, smoothing managers' and stakeholders' interests together.

Do corporate social responsibility ratings have any effect on traffic congestion?

• Employs quantitative research and analysis methods. • Explores traffic congestion in light of CSR ratings and its translation to real-world outcomes. • An innovative idea on sustainable transportation and policy in CSR. • Enhancing CSR policy in mitigating traffic congestion is an area where private entities can have a significant local impact on a social issue affecting people, plant, and profit. Traffic congestion (TC) is a complex issue that has an adverse impact on the environment, business operations, livability, and health of a community. Supply-side TC mitigation measures increase transportation capacities while demand-side measures attempt to modify travel behavior so that the travel demand is reduced. As part of the demand-side, some corporations are investing in TC reduction through actions that contribute to improved walkability, reduced peak travel demand, and active commuting. While beneficial for their local communities, TC reduction efforts are not specifically tagged as a part of corporate social responsibility (CSR) endeavors. CSR involves reporting of a company’s stewardship towards its community and environmental impact. Research reflecting on the impact of CSR on TC has not been conducted. This study aims to fill this gap. Using corporations headquartered in the top traffic-congested cities in the United States, this study examines the relationship between TC and CSR. This research employed a hierarchical linear model with two datasets, Travel Time Index (TTI) and CSRHub ratings. Of the four CSR categories studied, community, employees, and environment ratings are significantly related to TTI, with employees and environment ratings having an inverse relationship to TTI. This shows that congestion has a strong impact on the environment and that companies, through their employee policies, can impact TC. The results also highlight the opportunities that companies have in potentially reducing their environmental impact by incorporating congestion reduction strategies as part of their CSR, either as a separate measure or as part of their environmental or employee CSR ratings. Our results are also a starting point for new tools/strategies that transportation policymakers and analysts can use to engage companies to help mitigate TC. A further study on other cities with major traffic problems may shed more light on CSR and TC.