Corporate social responsibility (CSR) continues to gain attention atop the corporate agenda and is by now an important component of the dialogue between companies and their stakeholders. Nevertheless, there is still little guidance as to how companies can implement CSR activity in order to maximize returns to CSR investment. Theorists have identified many company-favoring outcomes of CSR; yet there is a dearth of research on the psychological mechanisms that drive stakeholder responses to CSR activity. Borrowing from the literatures on meansend (...) chains and relationship marketing, we propose a conceptual model that explains how CSR provides individual stakeholders with numerous benefits (functional, psychosocial, and values) and how the type and extent to which a stakeholder derives these benefits from CSR initiatives influences the quality of the relationship between the stakeholder and the company. The paper discusses the implications of these insights and highlights a number of areas for future research. (shrink)

Firms engage in corporate social responsibility (CSR) because they consider that some kind of competitive advantage accrues to them. We contend that resource-based perspectives (RBP) are useful to understand why firms engage in CSR activities and disclosure. From a resource-based perspective CSR is seen as providing internal or external benefits, or both. Investments in socially responsible activities may have internal benefits by helping a firm to develop new resources and capabilities which are related namely to know-how and corporate culture. In (...) effect, investing in social responsibility activities and disclosure has important consequences on the creation or depletion of fundamental intangible resources, namely those associated with employees. The external benefits of CSR are related to its effect on corporate reputation. Corporate reputation can be understood as a fundamental intangible resource which can be created or depleted as a consequence of the decisions to engage or not in social responsibility activities and disclosure. Firms with good social responsibility reputation may improve relations with external actors. They may also attract better employees or increase current employees’ motivation, morale, commitment and loyalty to the firm. This article contributes to the understanding of why CSR may be seen as having strategic value for firms and how RBP can be used in such endeavour. (shrink)

A growing number of studies have investigated the various dimensions of corporate social responsibility (CSR) in the literature. However, relatively few studies have considered its impacts on employees. The purpose of this study is to analyze how CSR affects the organizational commitment of employees based on the social identity theory (SIT). The proposed model was tested on a sample of 269 business professionals working in Turkey. The findings of the study revealed that CSR to social and non-social stakeholders, employees, and (...) customers were the significant predictors of organizational commitment. However, there was no link between CSR to government and the commitment level of employees. (shrink)

This paper analyzes the determinants of corporate reputation within a sample of large UK companies drawn from a diverse range of industries. We pay particular attention to the role that philanthropic expenditures and policies may play in shaping the perceptions of companies among their stakeholders. Our findings highlight that companies which make higher levels of philanthropic expenditures have better reputations and that this effect varies significantly across industries. Given that reputational indices tend to reflect the financial performance of organizations above (...) other factors (Fryxell, G. E. and J. Wang: 1994, Journal of Management 20, 1–14) and that elements of the literature emphasise that discretionary aspects of social responsibility, including corporate donations, may not be in the financial interests of organizations (e.g. Friedman, M.: 1970, “The Social Responsibility of Business is to Increase its Profits”, New York Times Magazine, September 13), this is a significant finding. It suggests that philanthropic expenditures may play a significant role in stakeholder management and may, in particular, lead to stakeholders holding more positive impressions of philanthropic corporations. (shrink)

Effective corporate social responsibility policies are a requirement for today's companies. Policies have not only to be formulated, they also have to be delivered by corporate employees. This paper uses existing research findings to identify two types of factors that may impact on employee motivation and commitment to CSR ‘buy-in’. The first of these is contextual: employee attitudes and behaviours will be affected by organizational culture and climate, by whether CSR policies are couched in terms of compliance or in terms (...) of values, and by whether such policies are integrated into business processes or simply an ‘add-on’ that serves as window-dressing. The second set of factors is perceptual. Motivation and commitment will be affected by the extent to which they can align personal identity and image with that of the organization, by their perceptions of justice and fairness both in general and in terms of how CSR performance is rewarded, and by their impressions concerning the attitude of top management to CSR issues and performance. (shrink)

This study proposes two identification cuing factors to understand how corporate social responsibility relates to employees’ identification with their firm. The results reveal that a firm’s CSR initiatives increase employee–company identification. E–C identification, in turn, influences employees’ commitment to their company. However, CSR associations do not directly influence employees’ identification with a firm, but rather influence their identification through perceived external prestige. Compared to CSR associations, CSR participation has a direct influence on E–C identification. On the basis of these findings, (...) it is argued that CSR performance can be an effective way for companies to maintain a positive relationship with their employees. (shrink)

Effective corporate social responsibility policies are a requirement for today's companies. Policies have not only to be formulated, they also have to be delivered by corporate employees. This paper uses existing research findings to identify two types of factors that may impact on employee motivation and commitment to CSR ‘buy-in’. The first of these is contextual: employee attitudes and behaviours will be affected by organizational culture and climate, by whether CSR policies are couched in terms of compliance or in terms (...) of values, and by whether such policies are integrated into business processes or simply an ‘add-on’ that serves as window-dressing. The second set of factors is perceptual. Motivation and commitment will be affected by the extent to which they can align personal identity and image with that of the organization, by their perceptions of justice and fairness both in general and in terms of how CSR performance is rewarded, and by their impressions concerning the attitude of top management to CSR issues and performance. (shrink)

This paper examines employees’ reactions to Corporate Social Responsibility programs at the attitudinal level. The results presented are drawn from an in-depth study of two Chilean construction firms that have well-established CSR programs. Grounded theory was applied to the data prior to the construction of the conceptual framework. The analysis shows that the implementation of CSR programs generates two types of attitudes in employees: attitudes toward the organization and attitudes toward society. These two broad types of attitudes can then be (...) broken down into four different categories : acceptance of the new role of the organization, identification with the organization, importance attached to the work performed and a sense of social justice. In turn, each of these categories is a grouping of many different concepts, some of which have at first sight little to do with CSR. Finally, the analysis reveals an attitudinal employee typology: the committed worker, the indifferent worker, and the dissident worker. (shrink)

Little is known about employees’ responses to their organizations’ initiatives in corporate social responsibility (CSR). Academics have already identified a few outcomes regarding CSR’s impact on employees’ attitudes and behaviours; however, studies explaining the underlying mechanisms that drive employees’ favourable responses to CSR remain largely unexplored. Based on organizational identification (OI) theory, this study surveyed 155 employees of a petrochemical organization to better elucidate why, how and under which circumstances employees might positively respond to organizations’ CSR initiatives in the controversial (...) oil industry sector. Findings first support that perceived CSR (i.e. environmental CSR) positively relates to employees’ OI which is known as an important antecedent of employees’ outcomes (Riketta, J Vocat Behavior, 66(2):358, 2005). Furthermore, results highlighted that the relationship between perceived CSR and employees’ OI is mediated by organizational trust. Finally, this study also revealed that some contingency factors such as employees’ attributions of self-centred motives to their organization’s investment in environmental issues can moderate the relationship between perceived CSR and organizational trust. Based on these findings, it is argued that CSR initiatives can support organizations’ efforts to maintain a strong relationship with their employees, and gain their support even in a controversial industry sector. (shrink)

Little is known about employees' responses to their organizations' initiatives in corporate social responsibility (CSR). Academics have already identified a few outcomes regarding CSR's impact on employees' attitudes and behaviours; however, studies explaining the underlying mechanisms that drive employees' favourable responses to CSR remain largely unexplored. Based on organizational identification (OI) theory, this study surveyed 155 employees of a petrochemical organization to better elucidate why, how and under which circumstances employees might positively respond to organizations' CSR initiatives in the controversial (...) oil industry sector. Findings first support that perceived CSR (i.e. environmental CSR) positively relates to employees' OI which is known as an important antecedent of employees' outcomes (Riketta, J Vocat Behavior, 66(2):358, 2005). Furthermore, results highlighted that the relationship between perceived CSR and employees' OI is mediated by organizational trust. Finally, this study also revealed that some contingency factors such as employees' attributions of self-centred motives to their organization's investment in environmental issues can moderate the relationship between perceived CSR and organizational trust. Based on these findings, it is argued that CSR initiatives can support organizations' efforts to maintain a strong relationship with their employees, and gain their support even in a controversial industry sector. (shrink)

In this article, we contend that due to their size and emphasis upon addressing external social concerns, the corporate relationship between social enterprises, social awareness and action is more complex than whether or not these organisations engage in corporate social responsibility (CSR). This includes organisations that place less emphasis on CSR as well as other organisations that may be very proficient in CSR initiatives, but are less successful in recording practices. In this context, we identify a number of internal CSR (...) markers that may be applied to measuring the extent to which internal CSR practices are being observed. These considerations may be contrasted with the evidence that community based CSR activities is often well developed in private sector small to medium sized enterprises (SMEs) (Observatory of European SMEs, 2002), a situation which may be replicated in social enterprises especially those that have grown from micro-enterprises embedded in local communities. We place particular emphasis upon the implications for employee management. Underpinning our position is the Aristotelian-informed capabilities approach, a theory of human development and quality of life, developed by Sen (1992; 1999) and Nussbaum (1999) which has been developed further, in an organisational context, (e.g., Cornelius, 2002); Cornelius and Gagnon, 2004; Gagnon and Cornelius, 1999; Vogt, 2005. We contend that the capabilities approach offers additional insights into CSR in social enterprises in general and internal CSR activity in particular. Our article concludes with proposals for future research initiatives and reflections upon social enterprise development from a capabilities perspective. (shrink)

This study examines the relation between firms’ corporate philanthropic giving and their performance in three other social domains – employee relations, environmental issues, and product safety. Based on a sample of 384 U.S. companies and using data pooled from 1998 through 2000, we find that worse performers in the other social areas are both more likely to make charitable contributions and that the extent of their giving is larger than for better performers. Analyses of each separate area of social performance, (...) however, indicate that the relation between giving and negative social performance (cited concerns) only holds for the environmental issues and product safety areas. We find no significant association between corporate philanthropy and employee relations concerns. In general, these findings suggest that corporate philanthropy may be more a tool of legitimization than a measure of corporate social responsibility. (shrink)

This study examines the relation between firms' corporate philanthropic giving and their performance in three other social domains - employee relations, environmental issues, and product safety. Based on a sample of 384 U.S. companies and using data pooled from 1998 through 2000, we find that worse performers in the other social areas are both more likely to make charitable contributions and that the extent of their giving is larger than for better performers. Analyses of each separate area of social performance, (...) however, indicate that the relation between giving and negative social performance only holds for the environmental issues and product safety areas. We find no significant association between corporate philanthropy and employee relations concerns. In general, these findings suggest that corporate philanthropy may be more a tool of legitimization than a measure of corporate social responsibility. (shrink)

Drawing on social identity theory and organizational identification theory, we develop a model of the impact of perceived corporate social responsibility on employees’ organizational identification. We argue that employees’ perceptions of their company’s social responsibility behaviors are more important than organizational reality in determining organizational identification. After defining perceived corporate social responsibility (PCSR), we postulate how PCSR affects organizational identification when perception and reality are aligned or misaligned. Implications for organizational practice and further research are discussed.

Through a convenience sample of 260 employees, the study shows how employees’ perceptions about corporate citizenship (CC) predict their affective commitment. The study was carried out in Portugal, a high in-group and low societal collectivistic culture. Maignan et al.’s (1999, Journal of the Academy of Marketing Science27(4), 455–469) construct, including economic, legal, ethical, and discretionary responsibilities was used. The main findings are: (a) contrary to what has been presumed in the literature, the discretionary dimension includes two factors: CC toward employees (...) and toward community; (b) perceptions of CC explain 35% of unique variance of affective commitment; (c) the best predictors are perceptions of economic and legal CC and, mainly, perceptions of discretionary CC toward employees; (d) the perceptions of discretionary CC toward employees are significantly better predictors of affective commitment than are perceptions of economic, ethical, and discretionary CC toward the community; (e) perceived inconsistency of the several CC dimensions is detrimental to employees’ affective commitment. The study questions the four-dimensional model of the CC construct as operationalized by Maignan et al., suggests that culture should be included as a moderating variable in future research, and stresses that affective commitment may decrease when employees perceive that their organizations act upon the several areas of CC inconsistently. (shrink)

This paper explores by means of content analysis the extent to which the Finnish biggest companies have adapted socially responsible reporting practices. The research focuses on Human Resource (HR) reporting and covers corporate annual reports. The criteria has been set on the basis of the analysis of the documents published at the European level in the context of corporate social responsibility (CSR), paying special attention to the European Council appeal on CSR in March 2000. As CSR is a relatively new (...) concept in Finland, the paper also contributes to the discussion on interface between HR reporting (especially as based on measurements such as Human Resource Accounting and Intellectual Capital schools) and corporate social reporting practices. The results of the content analysis indicate that social reporting practices are still at an early stage of development in Finland. The most reported theme was ‘training and staff development’. A positive sign was that the majority also disclosed themes ‘participation and staff involvement’ and ‘employee health and well-being’. Furthermore, nearly one-third made references to their work atmosphere or job satisfaction survey. However, disclosures lacked overall consistency and comparability with each other and especially quantitative indicators were disclosed by few. Further concern was lack of information related to the theme equal opportunities and going beyond a sheer disclosure of age or gender structure. The other issues rarely disclosed were those related to employee work–life balance and integration of disadvantaged groups in the labour markets. (shrink)

The authors review three theoretical approaches to strategic corporate social responsibility (CSR), which can be defined as voluntary CSR actions that enhance a firm’s competitiveness and reputation. The end result of such activities should be an improvement in financial and economic performance. Based on an overview of recent empirical evidence, the authors conclude that economic theories of strategic CSR have the greatest potential for advancing this field of inquiry, although theories of strategic leadership should also be incorporated into this perspective. (...) In the remainder of the article, they provide focused summaries of the articles presented in this special issue and outline an agenda for future research on strategic CSR and environmental sustainability. (shrink)

Unlike previous studies that examine the direct effect of employees’ perceived corporate social responsibility (CSR) on affective organizational commitment (AOC), this article examines a mediated link through organizational trust and organizational identification. Social exchange and social identity theory provide the foundation for predictions that the primary outcomes of CSR initiatives are organizational trust and organizational identification, which in turn affect AOC. The test of the research model relies on data collected from 378 employees of local and multinational companies in South (...) Asia, as well as structural equation modeling to test the postulated relationships. Both organizational trust and organizational identification fully mediate the CSR–AOC link. However, the identification mechanism is significantly stronger than the trust mechanism in terms of building AOC from CSR. Out of four CSR components, CSR toward employees is the strongest predictor of employees’ trust, identification, and AOC, followed by CSR toward community, whereas CSR toward the environment has no effect. Finally, CSR toward community and employees are more associated with social exchange, whereas CSR toward consumers relates more to the social identity process. (shrink)

The purpose of this article is to investigate how Human Resources (HR) contributes to responsible leadership. Although Corporate Social Responsibility (CSR) practices have been embraced by many corporations in recent years, the specific contributions of HR professionals, HR management practices and employees to responsible leadership have been overlooked. Relying on the analysis of interviews with 30 CSR and HR corporate executives from 22 corporations operating in France, we specify the HR contributions to responsible leadership at the functional, practical, and relational (...) levels of analysis. We analyze whether and how HR support employees’ involvement in CSR, and highlight areas of collaboration and tension between HR and CSR functions around emerging practices of responsible leadership. Our findings uncover the multiple yet often implicit roles of HR in responsible leadership as well as the interrelation between functional, practical and relational dimensions of these roles. Finally, this study suggests that the organization of the HR–CSR interface can enable or undermine the HR contributions to responsible leadership and points to underlying cognitive factors that shape the HR–CSR interface. (shrink)