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Management systems and the CSR engagement

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  • Hung Woan Ting
  • Bala Ramasamy
  • Lee Chew Ging

Abstract

Purpose – The purpose of this paper is to identify the most potent internal resources of a firm that contribute to the CSR agenda. Design/methodology/approach – The study adopts a quantitative approach to analyze Malaysian companies. A scorecard is devised according to the Global Reporting Initiative (GRI) framework. A logit/probit model is employed to differentiate firms that are CSR-active from their non-active counterparts. Findings – The results indicate that having universal accredited management systems in place differentiates CSR-active companies from inactive companies. Also, firm size does not matter for CSR performance. Research limitations/implications – The study uses proxies to examine a firm's resources, and thus it might not have captured the implication of the resources fully. Also it identifies resources that have a bearing on the CSR level but does not investigate the conditions in which such resources can be relevant. Practical implications – The results imply that firms that are intent on being CSR-active should consider implementing the various management systems relevant for their businesses. Managers responsible for the CSR agenda might wish to highlight the fact that adherence to such systems actually contributes to the bottom line, thus minimizing resistance from decision-makers, who might view CSR as a costly initiative. Originality/value – The study provides an insight into the influence of management systems on CSR performance among firms in a developing country in Asia. This, to the best knowledge of the authors, has not been studied before.

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Bibliographic Info

Article provided by Emerald Group Publishing in its journal Social Responsibility Journal.

Volume (Year): 6 (2010)
Issue (Month): 3 (October)
Pages: 362-373

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Handle: RePEc:eme:srjpps:v:6:y:2010:i:3:p:362-373

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Related research

Keywords: Malaysia; Management techniques; Resource management; Social responsibility;

References

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  1. Caloghirou, Yiannis & Protogerou, Aimilia & Spanos, Yiannis & Papagiannakis, Lefteris, 2004. "Industry-Versus Firm-specific Effects on Performance:: Contrasting SMEs and Large-sized Firms," European Management Journal, Elsevier, vol. 22(2), pages 231-243, April.
  2. Amemiya, Takeshi, 1984. "Tobit models: A survey," Journal of Econometrics, Elsevier, vol. 24(1-2), pages 3-61.
  3. Amemiya, Takeshi, 1981. "Qualitative Response Models: A Survey," Journal of Economic Literature, American Economic Association, vol. 19(4), pages 1483-1536, December.
  4. Jacob A. Mincer, 1974. "Schooling, Experience, and Earnings," NBER Books, National Bureau of Economic Research, Inc, number minc74-1.
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