CSR-Instruments as a conceptual Inspiration for Public Administration

1FÖV/SPEA Workshop 2011: Robert Piehler & Linda Mory
1
FÖV/SPEA Workshop 2011
Robert Piehler & Linda Mory
Speyer, July 16th 2011
CSR-Instruments as a conceptual
Inspiration for Public Administration

1. Introduction1. Introduction
2. Basic Terminological Principles2. Basic Terminological Principles
3. Research Question3. Research Question
4. Methodological Approach4. Methodological Approach
Outline
5. Conclusion5. Conclusion

• “Too often, executives have viewed corporate social
responsibility (CSR) as just another source of pressure or
passing fad. But as customers, employees, and suppliers—and,
indeed, society more broadly—place increasing importance on
CSR, some leaders have started to look at it as a creative
opportunity to fundamentally strengthen their businesses while
contributing to society at the same time. They view CSR as
central to their overall strategies, helping them to creatively
address key business issues.” [McKinsey (2009)]
• “CSR knowledge remains in a continuing state of emergence
with considerable heterogeneity in research foci.“ [Lockett et al.
(2006)]
• “The CSR definitions are describing a phenomenon, but fail to
present any guidance on how to manage the challenges within
this phenomenon. Therefore, the challenge [..]is to understand
how CSR is socially constructed in a specific context and how to
take this into account when business strategies are developed.“
[Dahlsrud (2006), S. 6]
Scientific Relevance
There is a need to
deepen and to
expand the
knowledge of the
impact of social
responsibility – a task
for which companies,
public administration
and universities work
together in joint
research projects
[European
Commission (2001);
(2010)]
1. Introduction
Practical Relevance
Relevance of CSR

1. Introduction
SR PA ASR=+
≠Corporate Administration
Social
Responsibility
Public
Administration
Administrative Social
Responsibility
CSR in Public Administration I

1. Introduction
Initial Question: Is CSR in Public Administration a relevant research subject at all?
Here is why not:
Simple example:
• Public Administration is not profit-oriented and it should be doing work that is socially
responsible by definition.
• The common opinion is, that only companies need to be engaging in CSR, because
a) they earn money from (parts of) the society
b) they access/make demands on natural resources
c) they employ people and need to treat them responsibly.
• In a car production company we have a separation between the production of the
cars and the way the company is being run, ethically, sustainably, etc. - The company
does not “only” produce cars. It produces cars that are safe, that minimize pollution,
that are efficient etc. and it treats its employees in a ethically responsible way etc.
• In the case of a public authority there is a product as well - the service carried out in
the name of society done by civil servants. But is this really comparable?
CSR in Public Administration II

1. Introduction
1. Enterprises increasingly succeed to incorporate public goals by implementing
CSR-based strategies or programs.  This applies to public enterprises as
well.
2. Legislation shows first signs to regulate CSR, so there have to be interactions
between (former) voluntary CSR measures and perceived responsibility
among different stakeholders.
3. By assuming public functions via CSR enterprises have developed
(potentially) different instruments than public administration. Maybe it is
possible to share best practices with organizations of public administration.
Luckily, we found three points of departure for CSR-related
research in the context of public administration nevertheless:
CSR in Public Administration III

1. Introduction
1. Enterprises increasingly succeed to incorporate public goals by implementing
CSR-based strategies or programs.  This applies to public enterprises as
well.
2. Legislation is trying to regulate CSR, so there have to be interactions
between legislation in other sectors like environmental legislation, (former)
voluntary CSR measures and perceived responsibility among different
stakeholders.
3. By assuming public functions via CSR enterprises have developed
(potentially) different instruments than public administration. Maybe it is
possible to share best practices with organizations of public administration.
Luckily, we found three starting points for CSR-related research
in the context of public administration nevertheless:
CSR in Public Administration IV

1. Introduction
Focusing on the third perspective of best practice
sharing between enterprises and organizations of
public administration concepts and instruments
concerning CSR will be briefly discussed.
CSR in Public Administration V

Outline

DefinitionAuthor
In general, corporate sustainability and CSR refer
to company activities – voluntary by definition
demonstrating the inclusion of social and
environmental concerns in business operations
and in interactions with stakeholders.
Van Marrewijk
(2003)
A concept whereby companies integrate social
and environmental concerns in their business
operations and in their interaction with their
stakeholders on a voluntary basis.
Commission of
the European
Communities
(2001),
p. 8
Corporate social responsibility is the continuing
commitment by business to behave ethically and
contribute to economic development while
improving the quality of life of the workforce and
their families as well as the local community and
society at large.
World Business
Council for
Sustainable
Development
(2000)
Business decision making linked to ethical values,
compliance with legal requirements and respect
for people, communities and environment.
Business for
Social
Responsibility
(2000)
• „in both the corporate and the academic world there is uncertainty as to how CSR should be defined“
[Dahlsrud (2006), p. 1]
• Scientific studies on the definition of CSR: Carroll, A.B. (1999) & Dahlsrud, A. (2006)
First Definition of CSR:
“It refers to the obligations of
businessmen to pursue those
policies, to make those
decisions, or to follow those
lines of action which are
desirable in terms of the
objectives and values of our
society” [Bowen (1953), p. 6]
2. Basic Terminological Principles
Basic Terminological Principles

Dimension Explana-
tion
Examples Phrases of
the Dimension
Environmental
Dimension
Natural
environment
„a cleaner environment“;
„environmental
stewardship“;
„environmental concerns in
business operations“
Social
Dimension
Relationship
between
business
and society
„contribute to a better
society“; „integrate social
concerns in their business
operations“
Economic
Dimension
Socio-
economic or
financial
aspects
„contribute to economic
development“; „preserving
the profitability“; „business
operations“
Stakeholder
Dimension
Stakeholder
or
stakeholder
groups
„interaction with their
stakeholders“; „how
organizations interact with
their employees, suppliers,
customers and
communities“
Voluntariness
Dimension
Actions not
prescribed
by law
„based on ethical values“;
„beyond legal obligations“;
„voluntary“
Environmental
Dimension
Stakeholder Dimension
Voluntariness Dimension
Social
Dimension
Economic
Dimension
Internal
Dimension
CSR Dimensions I

Environmental
Dimension
Stakeholder Dimension
Voluntariness Dimension
Social
Dimension
Internal
Dimension
CSR Dimensions II
e.g. using
enviromentally
friendly paper etc.
e.g. support local
projects etc.
e.g. support
employee sports
programs; child care
programs etc.

Outline

3. Research Question
• Which projects, programs and strategies of CSR bear best practice
potential to be used in public administration?
• Which effects may an adoption of CSR measures have on public
administration?
• Which barriers inhibit the potential implementation of CSR-based measures
in public administration?
• Which differences exist between SR in public administration in the United
States and in Germany?
Main Research Questions

Outline

4. Methodological Approach
„Case study research excels at bringing us to an understanding of a complex
issue or object and can extend experience or add strength to what is already
known through previous research.“ [Soy (1997)]
6 steps for employing this method
• Determine and define the research questions
• Select the cases and determine data gathering
and analysis techniques
• Prepare to collect the data
• Collect data in the field
• Evaluate and analyze the data
• Prepare the report
→ Almost finished
→ Preferrably oral
qualitative interviews
→ To be done
→ To be done
→ To be done
→ To be done
Case Study Approach

Outline

5. Conclusion
• Corporate social responsibility has gained a lot of research interest in
the context of private enterprises in the past few years
• However, research on the concept for public enterprises/public
administration is limited
• With our research we want to focus on decreasing this gap by finding
CSR-related influencing factors and examples of best practice in the public
sector in the United States and Germany
• It would be interesting to see if there are major differences in dealing with
CSR in the public administration sphere in these two countries (since the
United States have a longer history of CSR-implementation in the business
context)
• Due to the novelty of the subject qualitative research methods are
preferred
• Using a comparative case study approach differences and commonalities
concerning scope and effect of CSR measures in public administration shall
be analysed
Conclusion

Thank You

CSR-Instruments as a conceptual Inspiration for Public Administration

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