Social Responsibility Journal

Linking corporate social responsibility with admiration through organizational outcomes : Table of Contents

Juan-Gabriel Cegarra-Navarro, Aurora Martínez-Martínez — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – From the decision-maker's viewpoint, the success of a social responsibility program rests heavily on a corporation's ability to create links in the public consciousness between the CSR activities of an organization and its performance to different stakeholders. However, thinking broadly about CSR outcomes often results in a list that is much too long to be of any practical use. The purpose of this paper is to provide an empirical study to provide understanding as to why business organizations are increasingly engaging in corporate social responsibility issues. Design/methodology/approach – The paper investigates whether CSR initiatives have any impact on six organizational outcomes through an empirical investigation of 100 large firms in the Spanish MERCO (Monitor Español de Reputación Corporativa) using repeated ANOVA measures. Findings – The results indicate that the benefits of CSR issues fall within five major categories; namely: quality of products and services, global business, innovativeness, corporate culture, and ethical obligations. However, it is surprising to find that CSR had no significant effect on financial soundness. Research limitations/implications – The use of admiration can enable stakeholders to develop consensus and creative processes relating to the design of new requirements where CSR activities are incorporated into business activities. Practical implications – The implication for management practice is that CSR activities represent a long-term programme to change, and a proactive way to improve admiration. Originality/value – The paper shows that social responsibility is not always detrimental to company goals and performance

A journey into silence: students, stakeholders and the impact of a strategic governmental policy document in the UK : Table of Contents

Sandra Sinfield, Debbie Holley, Tom Burns — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – In the UK, higher education (HE) is being positioned as the new global business, and the power relations between its various stakeholders – society, the business community, management, staff, students – makes this not only uncharted, but also contested ground. This paper aims to map the new terrain with a focus on, and analysis of, one key government policy document: The Harnessing Technology (2005). Design/methodology/approach – Critical theory and textual analysis are used to research and analyse power relations as inscribed in policy discourse – the structures, the language, and the voices. The document is explored particularly in relation to its impact on prime stakeholders within the new contexts of today's HE; a HE that is embracing information communications technology (e-learning) – “for business”. Findings – Harnessing Technology boasts a heteroglossia and the capturing of many authentic voices in its composition which should open up a dialogic between its stakeholders; in fact power is revealed as refined, unified – deferring to centralised authority. Textual analysis reveals HE as a journey into silence for the student as stakeholder, where the voices that are not repressed are those with economic and institutional power. This analysis shows the student is constructed as either silent or deficit and the conclusions suggest that rather than a discourse of transformation, “regulation not education”, is the real goal of the dominant educational stakeholders. Originality/value – The critical approach to policy analysis in the paper can be adapted by others seeking to critique policy in a variety of different policy contexts. This is particularly significant where policy is not interrogated, but where nevertheless it influences institutional mission statements and the seepage pollutes practice.

(Good) corporate governance and the strategic integration of meso ethics : Table of Contents

Steven H. Appelbaum, Louis Vigneault, Edward Walker, Barbara T. Shapiro — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – The primary goal of this paper is to provide a comprehensive review of meso ethics from a corporate governance perspective, and the strategic process of integration between corporate and individual ethics for the creation of an ethical culture. A secondary aim is to identify the organizational behavior variables that are affected by the ethical congruence between employee ethics and the prevailing corporate ethical climate. Design/methodology/approach – By first situating organizational ethics within the broader phenomenon of business ethics, the authors then more aptly examine corporate ethics at the upper and lower permeable meso boundaries where a shared ethic is negotiated. This conceptual paper tries to capture through a phenomenological approach how strategic governance level (macro) and individual ethics (micro) interact in a complex and dynamic way at the organizational level (meso). Findings – Normative literature suggests that organizations require more than ethical safeguards to ensure ethical conduct. For example, ethics training programs are demanded and perceived as effective by employees. Recent empirical studies on “ethical fit” have converged and support the assertion that it is in an organization's best interest to continually look for ethical congruence between their workforce and the ethical climate that they intentionally foster. Furthermore, these studies show that perceived ethical congruence positively affects an individual's affective commitment to an organization, and reduces turnover intent. Research limitations/implications – There is a general lack of consensus, cohesion and empiricism in the current literature. Few studies deal with meso ethics, which have wide-ranging implications for current and future research. Practical implications – Demand for business ethics is on the rise as is its corporate response commonly defined as corporate social responsibility (CSR). Standard responsive measures taken by executives are shown to generally be unsubstantiated or insufficient for ethical conduct to truly take root in an organization. Originality/value – The scope of the paper, with its phenomenological approach, identifies the complexities of corporate ethics for academics and managers alike, where traditionally fragmented organizational levels are herein understood to be permeable and dynamic. The meso perspective of this study provides a new foundation for the study of corporate ethics. Its phenomenological approach provides a conceptual common ground and facilitates convergence in the field. Moreover, the conceptual framework of this paper can enable practitioners to formulate the appropriate strategic intent and governance strategy for their organization.

Determining factors of environmental strategic positioning adopted by Portuguese large companies : Table of Contents

Sónia Maria da Silva Monteiro, Beatriz Aibar Guzmán — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – The purpose of this paper is to analyse the environmental strategic positioning adopted by a sample of large companies operating in Portugal and to identify the main factors which may have significant influence on the adoption of an environmental proactive strategy by a firm. Design/methodology/approach – The data were collected by sending a postal questionnaire. The paper considers three firm-specific characteristics which can be associated with the adoption of an environmental proactive positioning: size; industry membership; and type of control of the company's capital. Findings – The results indicate that there is a positive association between the existence in companies of an environmental department or division and the adoption of an environmental proactive positioning by these companies. However, there is not a significant relationship between adoption of an environmental proactive positioning and three firm-specific characteristics (industry membership, type of control of company's capital and size). Research limitations/implications – The sample only focuses on large firms operating in Portugal which belong to environmentally sensitive industries. In consequence, the conclusions cannot be extrapolated to all the Portuguese market. With regard to the method used to gather the data, the authors are aware that questionnaires have some limitations related to subjective interpretation of answers. Originality/value – The paper adds to the international data on environmental strategic positioning by providing what may well be a first glance into Portuguese situations for English-language speakers.

Will consumers pay a premium for ethical information? : Table of Contents

Robert E. Carter — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – The purpose of this paper is to identify the factors that may influence a consumer to pay a premium for a product or service communicating ethical information. Design/methodology/approach – A survey was administered to 77 subjects and a conceptual model of five specific inter-related constructs was tested using LISREL. Findings – There is a sequence of events that leads consumers to be willing to pay a premium for a product communicating ethical information. This sequence starts with the need for information which, in turn, leads to socially responsible behavior and social sacrifice and, finally, to the intention to pay a premium. Importantly, this sequence is positively moderated by monetary resources available to spend in the category. Research limitations/implications – To increase generalizability, this study should be replicated among other sample compositions and for additional products and/or services. Practical implications – The research details the multi-step consumer decision-making process that marketers need to understand in order to market a premium priced product that delivers a social benefit. Originality/value – Socially responsible behavior is not sufficient by itself for a consumer to pay a premium for a product communicating ethical information. Rather, socially responsible behavior leads to a willingness to make a sacrifice which then leads to intentions to pay a premium price.

The development and structural confirmation of an instrument for measuring the social responsibility of small and micro business in the African context : Table of Contents

Dennis Yao Dzansi, Marius Pretorius — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – The purpose of this paper is to propose an instrument, the Small Enterprise Social Responsibility Inventory (SESRI) for measuring business social responsibility (BSR) in the African venture setting. Design/methodology/approach – The approach was to use the components of Dzansi's framework to create an instrument for measuring BSR activities of small ventures that operate in rural Africa. The instrument was tested in a rural community in South Africa for validity, reliability, structure, and its ability to predict firm performance given performance of certain BSR activities. Findings – Through factor analysis of data obtained from 314 small businesses in a rural South African setting, the instrument was found to be valid for measuring small business BSR and identified five factors: expected benefits; community or customer practices; realised or actual benefits; awareness or attitude and performance; and employee practices. Through discriminant analysis, employee practice was found useful for classifying ventures as high or low sales and profit performers, suggesting that information on a firm's BSR related employee practices may be useful predictors of sales and profit. Research limitations/implications – Firstly, the methodology requires self-evaluation by the respondents. However, those respondents who reported low levels of BSR activities (and negative growth in sales and performance) also reflected on their own “performance” and recorded it as low signifying some level of realistic reporting. Secondly, there is absence of question items about environmental issues. Thirdly, the sample was taken in a small rural setting, which requires caution when generalising from the results. Originality/value – This study provides an African context specific measurement instrument for addressing small business BSR. Academics will find it useful in their research efforts. Fund managers will also find it useful for evaluating small business BSR performance. Owners/managers will have a benchmark in performing their social obligations.

Corporate social responsibility and image in organizations: for the insiders or the outsiders? : Table of Contents

Merita Mattila — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – The purpose of this paper is to provide new aspects to corporate social responsibility (CSR) research, especially in a Finnish context. The aim is to compare personnel's perceptions in three case companies (a forest company, a cooperative bank and a retail cooperative) of how the contexts and aims of practicing CSR are understood among the employees. CSR is often referred to good image and reputation outside the companies. Is it only for the outsiders or also for the insiders, the employees? The theoretical frame consists of Carroll's CSR model, including four dimensions: economic – be profitable; legal – obey the law; ethical – do what is right and fair and avoid harm; and philanthropic (discretional) – be a good corporate citizen. Design/methodology/approach – In Finnish companies CSR is taken into account quite well. Although, in this paper the personnel's perceptions are studied further by content analysis. The interview data consist of three different levels: the top management, the middle management and the employee level. This will give a wider perspective to the theme. Findings – The paper provides information about each company, comparing the personnel's perceptions in different hierarchical levels. The organizational form is also an important factor in CSR, since two of the case companies are cooperative (the bank and the market) and the forest company is an exchange-listed company. This brings new interesting aspects to the context of CSR. Research limitations/implications – The research context is Finnish, so there might be limitations when applying the results to very dissimilar countries to Finland. Practical implications – The paper is a useful source of information about CSR “inside” the companies: getting the personnel perspective. Too often CSR is aimed only towards the “outsider” stakeholders. Originality/value – This paper brings more information about CSR seen by the personnel: very often CSR is studied through stakeholders/owners/customers, etc., but this paper gives the insider picture about CSR in Finnish companies.

Two-way communication strategy on CSR information in China : Table of Contents

Hua Chen, Haibin Zhang — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – There is strong reaction between a company and its stakeholders on corporate social responsibility (CSR). The premise is that there should be a valid communication between them. The study researches Chinese situations on one-way communication between company and stakeholders and builds a model on how to implement strategy on two-way communication on CSR information between company and stakeholders according to the different characteristic of stakeholders. This paper aims to focus on the issues involved Design/methodology/approach – On the basis of the analysis on stakeholder's situation using double standards, the study makes future research and builds a valid communication model between company and stakeholders. Findings – It is found that the company can implement strategy on two-way communication on CSR information between company and stakeholders according to different stakeholder situations in the Chinese environment. It also benefits a company's CSR performance and stakeholders' decision. Research limitations/implications – The present study provides a starting-point for further research on communication between company and stakeholders in the Chinese situation. Originality/value – The paper hightlights how companies may draw up valid strategy on two-way communication on CSR information between company and stakeholders in order to gain better performance on CSR action and pursue stakeholders' supports.

Nestlé as corporate citizen: a critique of its Commitment to Africa report : Table of Contents

Kumba Jallow — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – This paper attempts to provide a critique of the Commitment to Africa report in an effort to understand how one large transnational corporation sees its role in the continent and to explain its social responsibility and its approach to citizenship. Design/methodology/approach – The critique analyses sections of the report by identifying the key messages contained therein and reflects on these in the light of other evidence and viewpoints. For instance: On what does Nestlé base its corporate citizenship? What contribution does Nestlé make to economic development in Africa? What wider social issues does Nestlé embrace? How does the report discharge Nestlé's accountability to its stakeholders? Findings – The report prioritises economic development and indicates that this is the means of achieving poverty alleviation in Africa. There is some engagement with the Millennium Development Goals by the company, which indicates a philanthropic model of corporate social responsibility. Research implications/limitations – The study is limited to one company but there are implications for other transnational companies as many of these produce reports in a similar vein. The research could therefore be replicated by examining further reports. Originality/value – The paper adds to the knowledge on the relationship between corporate social responsibility and poverty alleviation. It also provides additional evidence on the role of transnational enterprises in globalisation processes.

Doing well by doing good in Thailand : Table of Contents

Suthisak Kraisornsuthasinee, Fredric William Swierczek — Sat Oct 24 08:00:20 BST 2009

Abstract:
Purpose – This paper seeks to explore whether strategic corporate social responsibility (CSR), the latest stage of conceptual development in CR, is evident in real business practices. Design/methodology/approach – Using Thailand as a context, the paper responds to the call for study beyond the developed economic regions. With a limited number of proactive companies in CSR in the country, this qualitative study employs in-depth interviews supplemented with reviews of sustainability reports and other available corporate documents to explore the frontier of CSR practices in Thailand. The informants include key executives directly in charge of CSR and corporate direction in the organizations. Findings – The assessment finds that a small group of recognized CSR leaders have started integrating CSR into their corporate strategy to gain competitive advantages, suggesting a gradual emergence of strategic CSR with various benefits. However, a mixed response from the market implies conditions for management consideration. Practical implications – CSR can be viable in competitive strategy particularly in gaining a social license to operate and for corporate reputation. Nevertheless, balancing stakeholder interests should be managed with extra care. Positive stakeholder reaction in one issue may alleviate but cannot offset deeply rooted problems in another. Originality/value – Based on the synthesis of several CSR models, this paper proposes a new stratification scheme to identify the stage of CSR development. The empirical results also indicate the development of strategic CSR in the context of emerging economy.