Social Responsibility Commitment Research Articles

Breaking through the glass ceiling: women on the board as a mechanism for greater environmental transparency

Purpose This research paper aims to examine the influence of greater female participation on the board of directors on the environmental transparency of companies. Design/methodology/approach To achieve the purpose of this study, the authors analyzed the environmental transparency of 412 companies in the energy sector, headquartered in 19 countries, during a four-year period (2016 to 2019). Findings The data reveal that gender diversity has a positive effect on the environmental transparency of companies in developed countries and on the total model. Furthermore, after removing the US companies, the results remained the same, indicating that companies with more women on the board tend to have greater environmental transparency. Regarding corporate governance variables, the results show that companies that have a corporate social responsibility committee tend to have greater environmental transparency, both in emerging countries and in developed countries. Practical implications The findings indicate that if companies aim to have greater environmental transparency, they must encourage female participation on boards, giving them equal opportunities for professional growth. Organizations must deconstruct the ideology that women are fewer valuable members of their boards, which limits their contribution to organizational success. Additionally, regulators can encourage greater female participation on boards through the implementation of quota laws. Originality/value The authors’ evidence indicates that the presence of women on board is an antecedent of greater quality in the dissemination of environmental information. Thus, managers of companies in the energy sector must understand that diversity on the board affects communication with its stakeholders through environmental transparency.

Estrutura do conselho de administração como mecanismo para atingir a Agenda 2030 na América Latina

Abstract This study aims to investigate the effect of board structure on companies’ engagement with the Sustainable Development Goals (SDGs). The characteristics of the board of directors related to the size of the board, independence, and diversity were analyzed, as well as the disclosure of the 17 SDGs of 371 companies headquartered in Latin America from 2016 to 2020. The data were analyzed using data regression in a panel with fixed effects and regression of panel data using the logit method. Research findings showed that board size and board independence have a positive effect on SDG disclosure. The results are in line with the Upper Echelons Theory, as it advocates that the company’s strategic choices and positioning are made by senior management - the members of the board of directors. The research expands the explanation of this theory, confirming that top management is crucial for strategic positioning in environmental and social issues. Managers and shareholders must understand that certain features, such as the social responsibility committee and the preparation of a sustainability report, can also contribute to the 2030 Agenda. At the government level, the results are useful for public policy makers, as they can encourage the creation of norms for the voluntary disclosure of environmental and social information.

How could businesses with anchor positioning contribute to community wellbeing? A study of supermarket community support actions in the UK

Challenging economic and social conditions undermine community wellbeing across the UK. Using desk research and case studies, we examined how one business sector, UK supermarkets, support local communities through community-orientated support actions (COSAs) as part of Corporate Social Responsibility commitments. A theory of change was developed drawing on community wellbeing theory and community asset-based practices, providing a framework for data collection and development of detailed hypotheses for particular COSAs and resources invested. Findings present the results of analysis according to context-mechanism-outcome configurations representing scenarios for the mobilisation of: community colleague's time; donations of money/goods; and store space. Contextual enablers and barriers are also identified, with a view to supporting practice within and across business sectors as well as possible collaborations with state and voluntary sectors to enhance the contribution of COSAs to local communities in the future. Five areas of more ‘transformative’ actions which would require more concerted and collaborative efforts were identified: collaboration in the wider system; mobilising physical store assets; actions on household food security; economic interventions and empowering the local community; alongside possible system levers for doing so.

Promotion of the Principles of Corporate Social Responsibility and their Implementation by Large Businesses in Kazakhstan

The article discusses the features of promoting the principles of corporate social responsibility in the Republic of Kazakhstan. All components of promoting the principles of corporate social responsibility in Kazakhstan are considered as a single system, which defines the conceptual framework, stakeholders in the development of corporate social responsibility, as well as legal support for its development in the country. The authors characterized the Kazakh model of corporate social responsibility of large businesses and gave examples of the practical implementation of its principles at the present stage. Social investment of subsoil user companies in the territory of their presence in the Pavlodar region was analyzed. The considered social investment was carried out within the framework of memorandums of mutual cooperation with local executive authorities. The authors formulated conclusions that the Kazakhstani corporate social responsibility model is still evolving, with a combination of state regulation and business interaction, and further efforts are needed to increase corporate social responsibility commitments and embrace global initiatives.

From zero to Hero: effect of gender diversity on corporate social performance in Brazil

PurposeThe purpose of this study is to examine the effect of board gender diversity on corporate social performance (CSP) in Brazilian companies.Design/methodology/approachThis research collected available information on the CSP, financial performance and governance of Brazilian companies for five years (2016–2020). The dependent variable of this study is CSP (workforce, human rights, community and respect for the product). The independent variable is gender diversity. The authors control financial performance, the presence of a social responsibility committee and the industry sector. The data were analyzed using the dynamic panel data system, which is the generalized method of moments (GMM) estimator.FindingsThis empirical investigation confirmed the hypothesis that the female presence on boards has a positive effect on the CSP of Brazilian companies. The findings of this study are consistent with previous studies. The authors' results suggest that women are more socially aware and exhibit more social corporate behavior.Practical implicationsSupplementing financial reports with nonfinancial information draws the attention of regulators and shareholders. Companies can also create human resources policies for appointing women to senior management positions and a succession plan that values the talent that women bring to companies.Originality/valueA critical mass of women on the board can provide an effective balance, considering the diversity of backgrounds and experiences between men and women. Just one woman on the board can mean representation and resistance, but with a critical amount, female directors can have a voice and help formulate strategies aimed at CSP.

CSR commitment and consumer situational scepticism of luxury brands: antecedents, moderator and outcomes

Purpose This study aims to investigate the moderating role of corporate social responsibility (CSR) commitment in the relationships between antecedents and outcomes of consumer situational scepticism towards luxury brands. Design/methodology/approach The study used a questionnaire administered through a consumer panel, using established scales. A 2 (fictional, non-fictional) × 2 (low commitment, high commitment) factorial experimental design with four cells was implemented. Findings The results revealed that values-driven motives were associated with lower consumer situational scepticism, whereas egoistic-driven motives were linked to higher levels of consumer situational scepticism, regardless of the CSR commitment level of the luxury brand. However, the impact of strategic-driven motives and stakeholder-driven motives on consumer situational scepticism was only significant within the low commitment condition. Consumer situational scepticism was found to lead to lower brand resonance and resilience to negative information in both low and high commitment conditions. Originality/value This study contributes new knowledge by highlighting the crucial role of motives in shaping consumer perceptions, including scepticism, brand resonance and resilience to negative information, ultimately influencing consumer advocacy. The study further demonstrates that high commitment weakens the relationship between strategic-driven and stakeholder-driven motives and consumer scepticism. Moreover, high commitment also weakens the relationship between scepticism and the key outcomes examined in the study.

The Impact of Corporate Social Responsibility Committee on Corporate Social Responsibility: Empirical Evidence from France

The Impact of Corporate Social Responsibility Committee on Corporate Social Responsibility: Empirical Evidence from France

Exploring the role of board-level corporate social responsibility committees in corporate social responsibility performance: A configurational approach

Board attributes interrelate with one another and the environment in which they are embedded in forming corporate social responsibility (CSR) performance, resulting in configurations of board attributes. By embracing a configurational approach, this study aims to investigate how the CSR-committee as a board structure interacts within different configurations of director characteristics (female-directors, director’s age, tenure, and experience) and other board structures (non-executive directors, CEO-duality, board-size) in shaping CSR-performance. The results of a fuzzy-set Qualitative Comparative Analysis (fsQCA) of 789 FTSE350 and S&P500 listed companies during a 4-year period (2013–2016) reveals nine board configurations leading to high CSR-performance, six containing the CSR-committee. Three board archetypes were identified. Their formation is shaped on main differences seen amongst them, leading to distinct archetypes: committee-boards, experience-boards, and hybrid-boards. The result of the configurational approach agrees with the argument “one-size” does not fit all, and different boards can achieve the same results via unique configurations.

What drives firms' commitment to fighting corruption? Evidence from the UK

AbstractThe recent leak of the FinCEN files has highlighted the widespread presence of corruption in developing and developed economies, including the UK. Accordingly, this study aims to investigate the factors that drive companies to implement measures for preventing corruption in developed countries using FTSE 350 nonfinancial firms. Specifically, the research examines the influence of corporate social responsibility (CSR) commitments, board structure, and shareholding structure on adopting strategies, policies, and procedures aimed at countering corruption. Drawing upon agency, stakeholder, and legitimacy theories, our empirical evidence supports that CSR commitments and board independence positively influence firms' engagement in anticorruption measures. Conversely, institutional and managerial shareholdings are found to have a negative association with firms' efforts to combat corruption. In addition, the study shows that the effect of board characteristics became more pronounced following the enactment of the UK Bribery Act 2010, indicating risk‐averse behavior. Various models, including cross‐sectional and two‐stage least squares (2SLS), are employed to analyze the data. Our findings have significant implications for understanding the complex relationship between CSR, corporate governance, and the ethical infrastructure of organizations. Ultimately, our results provide valuable insights for policymakers, companies, and other stakeholders in developing effective strategies, policies, and procedures to combat corruption activities.

Exploring the Mediating Role of Customer-Company Identification: The Association Between Perceived Corporate Social Responsibility and Customer Citizenship Behavior

Customer citizenship behavior can not only reduce the production and marketing costs of enterprises, but also improve customer satisfaction and achieve long-term development. Taking the customers of Chinese Internet companies as the research object, this study aims to examine the role of customer-perceived CSR on customer citizenship behavior and to explore whether customer-company identification will act as a mediator in it. Through an empirical analysis of 832 Internet company customers, the results reveal a significant link between customer-perceived CSR and customer citizenship behavior. At the same time, the intermediary effect of customer-company identification also has a significant supporting role. Based on the findings of the study, the following management insights can be discerned: Internet companies should actively undertake social responsibilities. Companies should also strengthen communication with customers to enable customers to have a deeper understanding of the company's social responsibility commitments, thereby enhancing customers' sense of identification with the company. In addition, companies can consider creating incentives to encourage customers to engage in more citizenship behaviors.

The Effect of Corporate Social Responsibility Commitment and Marketing Communication on Banking Marketing Performance in the Metropolitan City of Bandung

The Effect of Corporate Social Responsibility Commitment and Marketing Communication on Banking Marketing Performance in the Metropolitan City of Bandung

The Impact of the Board of Directors' Characteristics and Ownership Structure on the Sustainable Development Disclosure in the Banks Listed on the Amman Stock Exchange

Purpose: This study tries to comprehend how corporate governance (CG) affects disclosures on economic, social, and environmental sustainability. Theoretical framework: Recent literature has reported that CG has significant impact on disclosures on economic, social, and environmental sustainability. However, there is still much to investigate and learn about CG in sustainability process. Design/methodology/approach: For the time period spanning 2015 to 2021, information about study variables was gathered from thirteen (13) banks listed on the Amman Stock Exchange (ASE) through annual reports and quantitative approach. Findings: Study findings showed that CG components improve sustainability disclosures in general. The study results indicated that, a large board with a female director and a Corporate Social Responsibility Committee (CSRC) is better able to audit and control management choices related to sustainability issues (whether they be economic, environmental, or social) and produces better sustainability disclosure. Research, Practical and Social implications: This study is proposed to help bank managers understand the real impact of corporate governance practices on sustainability, especially economic, environmental and social indicators of sustainability and how to improve and develop them. Originality/value: Through quantitative and qualitative analysis, this study contributes methodologically and empirically to the literature on corporate governance and sustainability reporting in emerging and developing economies.

Transparency in corporate social responsibility communication on social media

PurposeRetailers recently have started communicating their corporate social responsibility (CSR) commitments to their consumers directly on social media. That is to say, CSR communication has expanded to social media that allow two-way communication, distinct from traditional CSR communication channels. As transparency has been recognised as a crucial factor influencing the effectiveness of traditional CSR communication, this study investigated its role in the social media context.Design/methodology/approachA two-level, single-factor (i.e. transparency of a mock retail company's CSR communication) between-subjects experimental design was employed, and 237 responses from an online survey were used for PROCESS macroanalysis.FindingsTransparent CSR communication was found to increase the consumers' perceived CSR credibility and attitude toward the company, which influenced consumers' subsequent purchase intention (functionalistic outcome) and intention to respond to the CSR communication (constitutive outcome). The results of the study also corroborated that consumers' level of elaboration when processing CSR communication on social media depends upon their level of concern over the social issue.Originality/valueThe study extends the elaboration likelihood model (ELM) to CSR communication in the social media context by validating that consumers' level of information elaboration is determined by their level of concern over the social issue. In addition, it provides the first empirical support for the significance of transparent CSR communication on social media and explains the mechanism of transparency's influence. Transparency indirectly affects consumers' behavioural intentions by forming a favourable attitude toward a retailer. The findings can help retail practitioners communicate CSR commitments persuasively on social media. The study also integrates functionalistic and constitutive perspectives of social media CSR communication, which is notable and discussed in depth.

Does corporate governance improve integrated reporting quality? A meta-analytical investigation

Purpose The relationships between integrated reporting quality (IRQ) and corporate governance characteristics have been studied extensively, but the results are still inconclusive and, sometimes, contradictory. The purpose of this paper is to systematize the results of previously published studies on the relationship between corporate governance and IRQ. Design/methodology/approach This paper uses several complementary theoretical perspectives (agency, stakeholder and signaling theory). The relevant aspects of the corporate governance system are the attributes and composition of the board, the existence of a social responsibility committee, the quality of the audit committee, integrated report assurance and ownership structures. The sample consisted of 61 papers published in top journals between 2015 and 2021. Meta-analytic procedures were applied on bivariate and partial correlations between IRQ and the identified corporate governance characteristics. Findings The results confirm that director independence, the existence of a social responsibility committee, institutional ownership and the hiring of a Big 4 auditor are significantly correlated with IRQ. On the other hand, board gender diversity, audit committee independence and dedicated assurance have a positive but nonsignificant impact on IRQ. Chairperson-chief executive officer duality does not seem to impact report quality, while ownership concentration has a negative but nonsignificant impact on IRQ. Research limitations/implications Future research can improve the measurement of focal indicators by using a common set of variables for comparability, favoring disaggregate measures of corporate governance and updating the measurement of some indicators. Future research could also propose new indicators in the area of corporate governance and expand the theoretical domain of IRQ research. Originality/value The findings emphasize the need to explicitly consider the role of corporate governance structures and arrangements in improving IRQ. Through meta-analysis, the paper aims to provide a comprehensive and generalizable set of findings, suggesting that corporate governance indicators cannot be overlooked as predictors of integrated reporting.

Corporate social responsibility commitment of women directors through audit committees: evidence from international firms

PropósitoEste trabajo explora el impacto de algunas características de los comités de auditoría (consejeros ejecutivos e independientes y la asistencia de los consejeros a las reuniones de los comités de auditoría) en la divulgación de información de responsabilidad social corporativa (RSC). Además, también tiene como objetivo analizar el efecto moderador de las consejeras del consejo de administración en la relación entre las características de los comités y la divulgación de la RSC.Diseño/metodología/enfoqueEste estudio se basa en una muestra internacional que comprende 13,264 observaciones empresas-año no financieras desde 2007 hasta 2018.HallazgosLos resultados muestran que los consejeros ejecutivos e independientes en comités de auditoría tienen un impacto negativo en la divulgación de información de RSC, mientras que la asistencia de los consejeros a las reuniones del comité se asocia positivamente con la divulgación de información sobre RSC. Nuestros resultados también evidencian que las consejeras del consejo de administración moderan positivamente la asociación negativa entre los consejeros ejecutivos e independientes de los comités de auditoría y la divulgación de información sobre RSC. Finalmente, los hallazgos también muestran que las consejeras no moderan el impacto positivo de la asistencia de los consejeros a las reuniones de los comités de auditoría y la divulgación sobre RSC.Limitaciones/implicaciones de la investigaciónEste estudio se centra en los atributos de los comités de auditoría de una muestra de empresas internacionales no financieras cotizadas.Originalidad/valorEste es el primer estudio que examina el papel moderador de las consejeras de los consejos en las relaciones entre los consejeros ejecutivos en los comités de auditoría y el informe de RSC y la asistencia media de los consejeros a las reuniones de los comités de auditoría y divulgación de la RSC.

Contribution of Islamic Social Reporting toward the Improvement of All-Encompassing Financial Management

ISR reports on firms' sharia-based social actions. ISR reports comprehensively on a company's role in society and the environment, based on spiritual concepts and community expectations. This research aimed to determine the role that Islamic social reporting plays in the process of achieving optimal comprehensive financial management. This is a qualitative literature review study. According to this study, social reporting occurs inside social relations. Because accountability, social justice, and ownership are at the center of social connections, the Islamic perspective on social reporting places enterprises that report on social activities in their annual reports at the strategic level of the Islamic responsibility continuum, where corporate reporting in this area shows the company's social responsibility commitments. Altruistic duties such as contributing to the community, providing good salaries for employees, and safeguarding the environment are included in the strategy level. This is done to ensure that long-term expectations can be increased along with the amount of trust held by stakeholders. Keywords: Islamic social reporting, Islamic financial management, sustainability reporting. DOI: https://doi.org/10.55463/hkjss.issn.1021-3619.60.1

Contribution of Islamic Social Reporting toward the Improvement of All-Encompassing Financial Management

ISR reports on firms' sharia-based social actions. ISR reports comprehensively on a company's role in society and the environment, based on spiritual concepts and community expectations. This research aimed to determine the role that Islamic social reporting plays in the process of achieving optimal comprehensive financial management. This is a qualitative literature review study. According to this study, social reporting occurs inside social relations. Because accountability, social justice, and ownership are at the center of social connections, the Islamic perspective on social reporting places enterprises that report on social activities in their annual reports at the strategic level of the Islamic responsibility continuum, where corporate reporting in this area shows the company's social responsibility commitments. Altruistic duties such as contributing to the community, providing good salaries for employees, and safeguarding the environment are included in the strategy level. This is done to ensure that long-term expectations can be increased along with the amount of trust held by stakeholders. Keywords: Islamic social reporting, Islamic financial management, sustainability reporting. DOI: https://doi.org/10.55463/hkjss.issn.1021-3619.60.1

CHITOSAN ADDED COMPOSITE VISCOSE YARN AND ITS POTENTIAL APPLICATION FOR DENIM FABRIC DEVELOPMENT

The rapid increase in consumption has led to the decrease and even extinction of natural resources on earth. The textile industry also has an important place in terms of consumption. The transition to more sustainable biodegradable products instead of established fossil-based materials has increased rapidly due to textile manufacturers and related industries, legal regulations, social responsibility commitments and increasing ecological awareness of customers. Developing new environmentally friendly, biodegradable material groups with new technologies or by modifying existing technologies has been the main goal of many researchers. In this context, we aimed to develop denim fabric that is effective against strong hospital bacteria by using the yarn containing biopolymer chitosan as a weft in denim production. Chitosan finds wide application in the textile industry due to its biodegradability, antibacterial activity and many more functionalities. Chitosan is used in biomedical textile applications in the textile industry, either as a wound healing, hemostatic (blood stopper), antibacterial, antifungal, either alone or modified to various derivatives or combined with other materials. In this context, instead of using chitosan as a coating material in our studies, chitosan-containing yarn was used in the production of denim fabric in order to distribute the chitosan more homogeneously and to increase the washing resistance. As a result, it was determined that the denim fabric developed by using chitosan-based yarn in weft in denim production reduces hospital bacteria (MRSA-Methicillin resistant staphylococcus aureus) by > 99%.

Governance and social responsibility: what factors impact corporate performance in a small banking-oriented country?

PurposeThis paper aims to analyze the corporate governance and corporate social responsibility (CSR) determinants of the Portuguese listed companies’ performance, considering a different point of view by managers, shareholders and other external stakeholders and investors.Design/methodology/approachTo achieve this aim, the authors have used a sample of 34 nonfinancial listed companies in Euronext Lisbon between 2015 and 2020. The authors use the panel data methodology to test the hypotheses formulated according to the literature review, specifically the generalized method of moments (GMM) system estimation model proposed by Arellano and Bond (1991).FindingsThe main results point out that the determinants of the corporate performance vary depending on the dependent variable considered. From the managers’ perspective, the existence of an audit committee and expenses with the environment increase costs and reduce results, negatively influencing corporate performance, but the company’s maturity adds synergies in resource management and positively influences performance. Shareholders consider that gender diversity and board independence positively influence performance, whereas, for external stakeholders and long-term investors, gender diversity and the social responsibility committee harm the performance of Portuguese companies. However, environmental and social expenditures have a positive effect, showing that the market’s perception is that, in the long run, it is essential to eradicate poverty and protect the environment.Originality/valueTo the best of the authors’ knowledge, this study is the first one to analyze corporate governance and CSR determinants on the performance of listed Portuguese companies. This study shows that in a small banking-oriented country, there is still a long way to go in terms of increasing social responsibility and governance among different stakeholders. It is essential to promote actions that lead to effective governance and awareness of social responsibility.

When the Private and the Public Self Don’t Align: The Role of Discrepant Moral Identity Dimensions in Processing Inconsistent CSR Information

Inconsistent information between an organization’s corporate social responsibility (CSR) commitments and perceived CSR (in-)action is a big challenge for organizations because this is typically associated with perceptions of corporate hypocrisy and related negative stakeholder reactions. However, in contrast to the prevailing corporate hypocrisy literature we argue that inconsistent CSR information does not always correspond to perceptions of corporate hypocrisy; rather, responses depend on individual predispositions in processing CSR-related information. In this study, we investigate how an individual’s moral identity shapes reactions to inconsistent CSR information. The results of our three studies show that individuals who symbolize—i.e., display—their moral identity to the public more than they internalize moral values react less negatively to inconsistent CSR information. We also show that this weakens their anger and willingness to change company behavior. Furthermore, we find that this effect is amplified for extraverted but weakened for neurotic individuals. Our findings underline the importance of individual predispositions in processing CSR information.