Social Responsibility Policies Research Articles

Internationalization and breaking the glass ceiling: An institutional perspective

Gender diversity continues to serve as a thought-provoking and challenging topic for society and business alike. Even as organizations implement policies to minimize discriminatory practices in the workplace, evidence of gender inequality in firms around the world persists. Drawing on institutional theory, this study focuses on the effect that foreign investors and host country corporate social responsibility (CSR) policies have on gender diversity, and how professional groups can moderate this relationship. In analyzing 608 observations from listed firms in Taiwan, the findings demonstrate these relationships. It is shown that both foreign investor ownership and good host country CSR in firms are positively linked to the promotion of women into managerial positions. The assurance of professional groups in home countries further enhances this positive relationship. Our results further indicate how institutions carried across borders by organizations can influence firm decisions such as gender diversity through global norms of corporate CSR and also by the assurance of professional groups in the home multinational firm.

Climate change framing in the communication of CSR policies: the Secil Group example

PurposeThe cement industry's environmental implications place climate change at the centre of sector organisations' corporate social responsibility (CSR) policies, such as the Secil Group. The organisation's CSR policies definition, narrative framing and communication are fundamental, as they can affect its reputation. This article aims to highlight the climate change framing in the Secil Group sustainability report (SR) narrative.Design/methodology/approachThe framing theory is applied to analyse the international and sectoral climate change regulatory measures and the Secil Group SR. Document analysis is used to characterise Secil SR as a communication tool. Qualitative content analysis is used to highlight how Secil and the international and sectoral regulatory measures on climate change frame their narrative and compare each other.FindingsThe international and sectoral regulatory measures on climate change and the Secil's SR broadly frame climate change, using ethical, efficiency and effectiveness, communication and relations and law and regulation framings. The Secil's Group SR also highlights the financial frame, exposing the challenge of reconciling economic with collective interests. There is room for researchers to explore the concepts of CSR, sustainability and environment, social and governance (ESG) through the lens of complementarity.Originality/valueThis study shows that the Wehmeier and Raaz (2012) model, created to study transparency, can be applied to other communication studies. This paper explores a case study and, for this reason, is not generalisable. Although, the method and theoretical framework can be applied to any organisation.

Fishery improvement projects: A voluntary, corporate “tool” not fit for the purpose of mitigating labour abuses and guaranteeing labour rights for workers

The recent development of a Human Rights and Social Responsibility Policy for fishery improvement projects (FIPs) has accelerated industry and NGO-led initiatives to address human and labour rights violations in seafood supply chains through FIPs. However, this brief communication demonstrates that FIPs’ social requirements, as currently constituted and reported, suffer from many of the same problems as other voluntary, market-based initiatives that fail to mitigate labour abuses. Examples of these shortcomings include the voluntarisation of what should be binding, international conventions and standards; moving benchmarks that lack meaning for workers; an absence of worker-defined remedy and recourse processes; and confusion around what actually constitutes a human rights due diligence process. In addition, social responsibility imperatives in FIPs present a new threat to the fight against labour abuses in supply chains in that they embrace and risk institutionalizing an ideology that moving towards, rather than complying with, fundamental human rights is acceptable.

CSR authenticity and micro-foundations of business: a systematic review

PurposeThe current market conditions are driving firms to plan, design and implement corporate social responsibility (CSR) policies that are true to the firms' real sense, i.e. authentic. Authenticity is an important aspect of micro-foundations of CSR in shaping the way social responsibility initiatives would impact the stakeholders including the customers, partners, current members of the organization and shareholders. This calls for a need to synthesize past research on CSR authenticity in order to propose directions for future research.Design/methodology/approachThe current study synthesizes relevant literature on CSR authenticity using systematic literature review (SLR) approach. In total, 34 research works were identified and examined to seek insights on CSR authenticity.FindingsFindings of the study identified various miro-, meso- and macro-level determinants of CSR authenticity and different set of outcomes having implications on business and society. The study also proposes a comprehensive definition of CSR authenticity which was somewhat missing in existing literature.Practical implicationsThe study provides strong theoretical and managerial implications. Particularly, the study provides directions for future research on the topic.Originality/valueIn this paper, a review of literature on CSR authenticity is currently missing.

Real options appraisal for a reactive CSR strategy: the case of Facebook

The present research values reactive corporate social responsibility (CSR) policies using the theory of Real Options (RO). Its main goals are to determine the role of RO methodology as a business risk hedging function on reactive CSR strategies and to analyse whether the application of RO adds value to companies with reactive CSR strategies. The study illustrates Facebook’s reactive CSR policy and also demonstrates that RO can be used serve to hedge market risk (systematic risk), just like their equivalents in the financial markets but also to hedge business risks (non-systematic risk). In addition, it shows that despite the criticism that the use of reactive CSR strategies may arouse, they have a positive impact on the market when used at the right time in companies that do not have a brand positioning closely linked to CSR. Additionally, the article shows that decision-making is a fundamental part of managerial functions and whether the situation is considered as a structured or unstructured problem will determine the action to be taken. In this particular case the reactive CSR strategy relates to waiting as an outcome of a planned choice.

How do companies implement their zero-deforestation commitments

More than 500 companies engaged in supply chains of forest-risk commodity have adopted zero-deforestation commitments (ZDCs). We use corporate social responsibility strategy and policy implementation theories to analyse the processes and conditions for ZDC implementation. We base our study on 35 semi-structured interviews with company representatives and sector actors, publicly available ZDC data, and company reports. The objective is to understand the opportunities and challenges of ZDC implementation at the level of companies. While past research addressed ZDC coverage and effectiveness, knowledge is still lacking on companies' perspectives on the implementation of their commitments. This study provides a unique perspective by integrating the direct experience and knowledge of private actors on an environmental governance regime. We find that companies see implementation of ZDCs as a journey and often rely on voluntary sustainability standards, aligning their strategies and key performance indicators (KPIs) to these. They engage directly in the supply chain, conducting projects “on-the-ground.” Implementing ZDCs requires the involvement of procurement departments and upper management, and collaborations within and between companies. Companies rely on service providers for in-depth knowledge and field implementation. They use monitoring tools, e.g. remote sensing, and see supply chain traceability as a prerequisite for implementation. Companies face numerous implementation challenges. Internally, companies often lack leadership on their ZDC, struggle to align commitments with the organization's operations and to manage suppliers, especially smallholders, and allocate insufficient resources. Externally, they lack common standards and stakeholder support, and face challenging regulatory conditions and missing market incentives. An uneven playing field creates leakage markets. Companies identify better leadership, technology and pre-competitive collaboration as potential solutions. Zero-deforestation commitments are unlikely to greatly contribute to reducing deforestation until better implementation processes, mechanisms, and conditions are in place.

THE INFLUENCE OF TOURISM IMPACTS AND DESTINATION SOCIAL RESPONSIBILITY ON SUPPORT FOR TOURISM DEVELOPMENT: A CONCEPTUAL MODEL

Support for tourism development is a novel idea that is regarded as one of the most current trends in tourism literature; it is still a developing research subject in various regions of the world. Saudi Arabia is an appropriate emerging economy to explore tourism development. This study contributes to the literature by investigating the support for tourism development and its determinants in Saudi Arabia after the Kingdom opened its doors to tourism in late 2018. By combining the social exchange theory and stakeholder theory, this article proposes a conceptual model to explore the moderating effect of destination social responsibility on the relationship between tourism impacts and support for tourism development. The study proposes distributing a self-administered questionnaire to the respondent residents in order to acquire data on support for tourist development and other variables. The proposed conceptual model could be very useful; it can help tourism development organizations adopt tourism planning and sustainable tourism policies, destination management and social responsibility policies, or develop strategies and policies for more sustainable tourism, as well as create benefits for residents.

Socially responsible ideas among Swedish public procurers: An exploratory study

Public procurement is increasingly being recognized as a tool to promote corporate social responsibility and a vehicle to help governments achieve their social development goals. Due to their power to intervene and their reliance on tax money, public sector organizations are focused on expanding the inclusion of social responsibility in their public procurement strategies. At the EU level, there is a strong focus on providing new opportunities for public authorities to promote socially responsible public procurement. Utilizing translation theory and following the travel of ideas framework in a Scandinavian institutionalism approach, this study maps the adoption, development, and implementation of social responsibility in public procurement through the five stages of materialization, categorization, transportation, institutionalization, and re-travel. Qualitative data were collected through in-depth interviews with public procurement authorities from municipalities, regional councils, and governmental organizations in Sweden. The findings show that the travel of social responsibility policies in public procurement follows a new Scandinavian institutionalism approach that has brought policy makers freedom in prioritizing social issues but leaves them confused about what to prioritize.Furthermore, while the results show a positive relationship in organizations between their size, measured as full-time procurement employees, and their maturity level in terms of social responsibility, this maturity level is not associated with their procurement spending. The study findings have important implications for research on socially responsible public procurement. Additionally, the data collected from public organizations suggest several ways that policy makers can include, promote, and institutionalize social responsibility in their procurement strategies to reduce disparity and improve social welfare.

Environmental Corporate Social Responsibility and Workplace Pro-Environmental Behaviors: Person-Organization Fit and Organizational Identification's Sequential Mediation.

Organizations’ environmental performance has come increasingly under scrutiny given the need for sustainable, low-carbon economies. Workers’ pro-environmental behaviors (PEBs) can contribute to greener operations, but research on workplace PEBs is still an emerging field. This study examined how employees’ perceptions of environmental corporate social responsibility (CSR) policies and practices are related to their self-reported voluntary PEBs, including person-organization fit (P-O fit) and organizational identification’s role as sequential mediators. Data were gathered from 178 workers from different organizations via an online survey. The results reveal a positive relationship between perceived environmental CSR practices and work PEBs, which are both directly and indirectly connected through P-O fit and organizational identification. Managers can thus use environmental CSR activities to capitalize on employees’ P-O fit and organizational identification, thereby fostering work PEBS.

Upper Echelons and the Transmission of Institutional Norms: Varieties of Capitalism and CSR

Both national institutional context and the attributes of firms’ upper echelons (UE) are well known to shape corporate social responsibility (CSR) policies, practices, and outcomes. However, prior research has paid little attention into interdependencies between the two, and especially to the role played by the attributes of firms’ UEs in transmitting CSR norms internationally. In this study, we integrate the upper echelons perspective (UEP) and the varieties of capitalism (VOC) perspective to theorize upper echelons as critical to the transmission of CSR practices. Our theory suggests that representation among firms’ UEs from multiple VOCs tends lead firms to exhibit less nationally stereotypical patterns of CSR and instead to exhibit hybrid forms of CSR that reflect the diversity of their UEs. Additionally, we propose that this tendency towards CSR hybridization is moderated by the degree of critical mass, positional power, and long tenure among “alternate” VOC UE members. We test our hypotheses on a sample of 4,010 large firms from 68 countries between 2009 and 2018, and find evidence that largely confirms our hypotheses.

The influence of corporate governance and shareholding structure on corporate social responsibility: The key role of executive compensation

AbstractThis paper aims to contribute to the extant literature on corporate social responsibility and corporate governance by empirically examining the effect of firm governance and shareholding structure (and their interaction) on corporate social responsibility performance. Our study is conducted within a unique context of improving social responsibility policies, regulations, and management. In particular, we examine how corporate governance practices and both outside (institutional and pension) and inside (managerial) shareholdings impact corporate social responsibility activities. Using one of the largest UK data sets to date, consisting of FTSE 350 nonfinancial listed firms for the period from 2002 to 2016, our results provide evidence that corporate governance has a positive impact on corporate social responsibility. Institutional (indicating strong monitoring role) and managerial (proxy for alignment of interests between insiders and outsiders) shareholdings are negatively associated with corporate social responsibility performance. Our additional analyses provide empirical evidence that compensation structure, as a corporate governance tool, aligns management decisions toward engaging in corporate social responsibility activities and corporate strategic sustainable objectives. Additionally, our results suggest a substitutive relationship of institutional shareholding with corporate governance practices. There is a complementary relationship of managerial shareholding with corporate governance practices in influencing corporate social responsibility. Our evidence is robust after controlling for entrenched managerial shareholding, 2SLS and alternative measures of corporate social responsibility performance. The findings provide empirical support for the UK Corporate Governance Code's emphasis on designing effective remuneration policies and practices.

Fashion industry's environmental policy: Social media and corporate website as vehicles for communicating corporate social responsibility

AbstractSociety requires companies to adopt ethical and responsible behavior with regard to environmental policies in order to achieve sustainable development. One of the most controversial sectors in terms of sustainable production is the fashion industry. This study analyzes the extent to which seven of the biggest fashion brands in Spain and around the world communicate their Corporate Social Responsibility (CSR) policies (specifically, those related to sustainability). To this end, we identify the social media platforms used the most by the target audiences for these brands, and apply an exploratory, descriptive methodology to a content analysis of communication about their CSR policies, both formal (corporate websites) and informal (social media). The objective is to identify whether these companies communicate their sustainable activities and practices in the context of their CSR. Our findings confirm that the brands analyzed have integrated sustainability and environmental protection initiatives into their CSR policies. However, although they do communicate this on their corporate websites, they rarely do so on social media. We thus conclude that the seven fashion brands analyzed could make better use of social media to raise awareness and educate customers about environmental sustainability.

Should risk-averse investors target the portfolios of socially responsible companies?

Research background: Companies are required to implement Corporate Social Responsibility (CSR) policies to mitigate the adverse social and environmental effects of their activities and gain legitimacy in the eyes of society. Sustainability initiatives are costly for companies but, at the same time, they are important value-creation drivers. Retail and institutional investors are increasingly choosing portfolios based on CSR performance. However, the relationship between CSR and market beta has hardly been studied at all in the literature, and no direct comparison of the U.S. and European markets has been conducted. Purpose of the article: The two fundamental variables that define an investment are return and risk, and the appropriate risk-return combination depends on the profile of the investors. This research aims to analyze the relationship between CSR and market risk, understood as price volatility and measured by market beta in the U.S. and European markets. Methods: Companies listed in the S&P 500 and Euro Stoxx 300 indexes from 2015 to 2019 were examined using OLS regressions with instrumental variables (IV) and fixed effects panel data. Findings & value added: The results show that those companies with higher CSR have betas below the market index in the U.S. market as well as lower volatility, and are, therefore, more appropriate choices for risk-averse investors. However, this relationship was not confirmed in the European market. This difference may be justified by two reasons: 1) The non-adherence of the United States to the Kyoto Protocol, resulting in less strict legal regulations than in Europe; 2) In the U.S. market, betas are more aggressive, while in the European market they are more defensive, with little margin for reduction. This research contributes to the current state of knowledge by providing empirical evidence that social, environmental, and corporate governance sustainability practices reduce stock volatility in the U.S. capital market, which is highly relevant for private and institutional investors who make their investments based on moral criteria. The results are current and reliable since they cover a broad and recent period for two of the most important stock market indexes.

The effect of consumers’ perception of CSR activities on their purchasing behavior: the case of the Iranian automotive market

PurposeThis study aims to examine the customer’s perception of corporate social responsibility within the automotive market in Tehran, Iran, and whether it leads to a purchasing behavior directly or indirectly through support intention.Design/methodology/approachA total of 235 customers of luxury and mid-range-priced automobiles were surveyed and analyzed using the partial least squares structural equation modeling method.FindingsRegarding luxury car owners, the authors concluded that both economical and ethical perceptions are indirectly related to purchasing behavior. Concerning mid-range-priced car buyers, both philanthropic and economical perceptions have a direct relationship with purchasing behavior, while the legal perception has an indirect relationship with purchasing behavior. The results show that Iranian car manufacturers and foreign car dealerships for both luxury and mid-range customers should focus on their economical responsibilities. The results show that luxury car manufacturers and dealerships should act ethically. With the importance of the philanthropic dimension for customers of mid-range cars, car dealerships dealing with mid-range-priced cars should focus more on their philanthropic activities. This study can help companies find better solutions to adjust their corporate social responsibility (CSR) policies to the consumers’ beliefs, gain a competitive advantage in the market and fill the knowledge gap regarding Iranian consumers.Originality/valueAlthough some research has been conducted on consumer perception and response regarding CSR in both developed and developing countries, no studies on consumer perception toward CSR have been carried out in Iran.

Perception of Commerce Graduates of Kerala State about the Latest Amendments to the Companies (Corporate Social Responsibility Policy) Rules, 2014

Corporate Social Responsibility is not a new idea at all. But, the companies Act 2013 and its latest amendments has given a new dimension to the vital concept of CSR of joint stock companies which are registered in India. Besides ,Government of India has amended CSR Rules to give a new impetus to the welfare projects of companies .Now, during Covid -19 Pandemic, we struggle with the pandemic and the economic crisis which is the new reality around us .At this critical juncture ,we have to understand the various dimensions of CSR and its practical applications and implications in our corporate and public life .Therefore ,the researchers want to analyse Perception of Commerce Graduates of Kerala State about the latest amendments to the Companies (Corporate Social Responsibility Policy) Rules, 2014.

PERAN CORPORATE SOCIAL RESPONSIBILITY DALAM MEMBANTU MASYARAKAT SELAMA PANDEMI COVID-19

In March 2020, for the first time it was confirmed that COVID-19 had entered Indonesia. Since then, Indonesia has officially become one of the countries affected by the COVID-19 pandemic. The first positive case was known to spread in China in December 2019 and spread rapidly throughout the world and was declared a pandemic by the World Health Organization (WHO) in March 2020. The high number of Covid-19 spreads in Indonesia and must implement regulations to reduce the spread of COVID-19 in Indonesia. The spread rate has caused various sectors to be paralyzed, especially in economic activity. This Covid-19 pandemic situation cannot be resolved only with the government, but requires a helping hand from various parties including companies. During a pandemic like this, companies are required to reorganize all approaches and policies for social responsibility programs so that they are able to adapt to the needs and have a real impact on the community during this Covid-19 Pandemic. There are several ways that companies need to do to adapt to the Covid-19 pandemic. Efforts such as aligning Corporate social responsibility with real needs, Corporate Social Responsibility policies that need to be changed and the need for Plug and Play Incubation Labs. During the Covid-19 pandemic, almost all CSR activities were diverted to help optimize the handling of the spread of Covid-19 through Covid-19 handling assistance and encouragement for economic improvement. Cooperative cooperation is needed from companies to assist in efforts to overcome and adapt to this Covid-19 pandemic. Several companies that have an impact on activities to help the community include Pertamina, BNI, ASTRA, Alianz.Keywords: Corporate Social Responsibility, Covid-19, Company

Comparative Study of Green Accounting Implementation Based on University Social Responsibility (Csr) and Good University Governance (Gug) Policy

This study aims to examine a comparative study of the implementation of green accounting based on USR as the application of GUG in universities in Indonesia. USR-based green accounting has 4 dimensions, namely environmental awareness, environmental involvement, environmental reporting, and environmental auditing. However, the implementation of USR-based green accounting has not been implemented properly, especially in the environmental reporting and auditing dimensions, while awareness and involvement in environmental activities have been implemented very well. The research method uses a literature review of journal articles with relevant topics. The results of the study prove that environmental awareness and environmental involvement have been implemented very well by State Universities and Private universities in Indonesia, while environmental reporting and environmental audit have not been carried out optimally. For this reason, the implementation of GUG has not been implemented properly. The regulations governing USR have not yet been established and the environmental audit function has not received maximum attention. The environmental audit function is not included in the SPI's duties, because the SPI's task functions only focus on the management and implementation of controlling financial resources, human resources, and also facilities and infrastructure resources.

Is the AKOBEN programme the panacea to gold mining related environmental degradation in Ghana? An integrated analysis of the AKOBEN programme

‘AKOBEN Programme’ named after an 'Adinkra' symbol signifying vigilance, circumspection, and preparedness the underlying principles for the first “environmental performance rating and public disclosure initiative” which came into effect in the year 2010 was to serves as a continuous monitoring tool for gold mining companies among others post their environmental impact assessment in Ghana. Based on several criteria including legal requirements, environmental monitoring/reporting, hazardous/toxic waste management, best practices in environmental management, complaints management, compliance to environmental quality standards, community relation and corporate social responsibility policy, the effectiveness of the ‘AKOBEN Programme’ as a wholly Ghanaian tool for promoting good environmental stewardship was assessed. An adapted version of the integrated policy analysis, which links actual programme performance with criteria for programme performance consisting of an ‘AKOBEN Programme’ commitment review, an ‘AKOBEN Programme’ strategy scan and an ‘AKOBEN Programme’ plan and strategy mix matrix were used in scrutinizing environmental commitments mandated by the ‘AKOBEN Programme’. Even though the ‘AKOBEN Programme’ does not have specific legislations it relies on legal frameworks ‘Environmental Protection Agency Act 1994 (Act 490)’ and Environmental Assessment Regulation 1999, Legislative Instrument 1652. The effect of the ‘AKOBEN Programme’ with reference to air/water quality monitoring, ‘complaints management/community relations and corporate social responsibility’ are moderately positive (++M), highly positive (+++H) and moderately positive (++M) respectively. This study will provide scientifically credible suggestion to gaps in Ghana's ‘AKOBEN Programme’ for improved environmental governance in Ghana.

Skyrocketing Home Prices and The Global Housing Crisis Today

Based on overwhelming evidence from data analysis the researcher concluded with absolute certainty, the Global Financial Crisis, the worldwide economic collapse, and the Great Recession were not caused by subprime mortgage lending. The current study concluded, the Global Financial Crisis of 2007 and 2008 was caused by the destruction of the subprime mortgage industry. The politicization of misinformation gave investors shorting mortgage-back securities an opportunity to take advantage of the mood of the country resulting from corporate mistrust that stemmed from the corporate reporting scandal a few years before the beginning of the financial crisis in 2007. Overwhelming evidence from data analysis in the current study suggested subprime mortgage lending did not cause an increase in the national mortgage delinquency rate. The narrative, individuals purchased homes they could not afford preceding the Global Financial Crisis was completely debunked based on the evidence presented in the current study. The evidence suggested subprime lending resulted in significantly lower mortgage delinquency rates preceding the financial crisis. The end of subprime lending resulted in skyrocketing national mortgage delinquency rates years after the subprime lending industry in the United States had been destroyed by misinformation. Mistakes by policymakers in the United States government significantly worsened the financial crisis leading to an acceleration of mortgage delinquencies across the country. The consensus among the political establishment, the media, big tech, and academia failed to raise questions regarding the false narrative of unscrupulous lending and the false conclusion of a real estate bubble. The evidence from data analysis suggested the entire narrative about subprime mortgage lending and the real estate bubble was misinformation used for politicization in the 2008 United States Presidential Election similar to the politicization of COVID-19 policies in the 2020 United States Presidential Election. Misinformation has put the global economy at significant risk. The continued rapid increase in home prices around the world today, is a direct result of the misinformation that caused the Global Financial Crisis, the worldwide economic collapse, and the Great Recession. Moderate-income families around the world today are at risk of being priced out of the housing market as increased home prices lead to rapid increase in rental housing. Higher education has used the misinformation that caused the Global Financial Crisis as justification to develop unethical business ethics and organizational behavior curriculums based on the false narrative creating a negative image of capitalism for students based on a false narrative. Capitalism is under attack from costly corporate social responsibility (CRS) and business ethics policies that put stockholder profits secondary to corporate political activism, which have been developed largely based on the misinformation about the cause of the Global Financial Crisis. Mainstream media and big-tech continued misinformation have become the most significant risk facing the global economy today. The misinformation must be addressed to avoid another global economic crisis such as the economic crisis caused by misinformation about the cause of the Global Financial Crisis of 2007 and 2008, and the misinformation that led to COVID-19 policies in 2020 that caused significant economic destruction.

What do we know about corporate social responsibility and stakeholders physical activity? A Public Health Perspective

In the past decade and in the context of sustainable development, business organizations have been expected to partner with governments and others to address societal problems, including those pertinent to population health. Accordingly, through their corporate social responsibility (CSR) strategies and policies, companies should collaborate in health promotion efforts to modify the effects of the health determinants (including those concerning behavior change) affecting internal and external stakeholders. Although CSR strategies and policies are linked to stakeholder health and wellbeing (e.g. employee satisfaction), little is known of how these strategies affect physical activity. Thus, this perspective paper aims to contribute to the discussion of the topic by investigating what scientific evidence exists regarding the relationship between CSR and physical activity. So far there are indications that some business are implementing CSR activities targeting internal (e.g. employees) and external (e.g. consumers) stakeholders, especially in developed countries. Furthermore, among external stakeholders, CSR activities with a physical activity component targeted children, youth, the disabled, the under-privileged, and the elderly. However, there is still very little empirical evidence available using appropriate quantitative and qualitative designs. Public health and health science researchers in general should strive to advance our understanding of how CSR affects population health behavior, paving the way to develop frameworks for resilient, ethical, and sustainable health promotion.