Essay on A Dynamic Functions Perspective

Corporate Interpersonal Responsibility and Environmental Supervision Corp. Soc. Responsib. Presque. Mgmt. 18, 285–293 (2011)

Published on the web 6 August 2010 in Wiley On the web Library

(wileyonlinelibrary. com) DOI: 10. 1002/csr. 251

Strategic Corporate Cultural Responsibility:

A ‘Dynamic Capabilities' Perspective

Venugopal Ramachandran*

Insitute for Financial Management and Research, Chennai, India


In this daily news, strategic corporate and business social responsibility (CSR) is defined on the basis of Porter's theory of competitive advantage. Two kinds of dynamic capabilities are proposed as the precursors to strategic CSR accomplishment and operationalized in terms of two sets of associated processes. The effectiveness of these processes is postulated being dependent on their particular attributes as well as the human and social capital employed in these people. Implications to get practitioners and researchers are outlined. Copyright © 2010 John Wiley & Kids, Ltd and ERP Environment.

Received 14 March 2010; revised twenty-two August 2010; accepted thirty-one August 2010 Keywords: strategic CSR; energetic capabilities; environment management capability; impact analysis processes



USINESS ORGANIZATIONS HAPPEN TO BE UNDER INCREASING PRESSURE TO PARTICIPATE IN FIXING SOCIAL CONCERNS. The range of problems that they are really expected to participate in is quite wide; indeed, according to one author, ‘virtually nothing at all that culture at large want to achieve is definitely beyond the scope of business ethics' (Wilcke, 2004, p. 197). Given this pressure and the fact that corporate interpersonal responsibility (CSR) entails costs, business organizations happen to be faced with the contradictory scenario of having to engage in cultural problems on the one hand and retaining profits on the other. Finding ways that social goals can be attacked in ways that might not adversely affect profits is as a result an issue of interest to managers and administration researchers. From this backdrop, an expanding stream of practitioner-oriented literature describes a number of CSR – termed tactical philanthropy or strategic CSR – that may not only consult economic returns on a firm and thus off-set the cost of CSR, but likewise lead to competitive advantage (Porter and Kramer, 2002; 06\; Falck and Heblich, 3 years ago; Sasse and Trehan, 2007; Heslin and Ochoa, 2008). As far as the academic literature is concerned, there have been some contributions that contain sought to model proper CSR. There is, however , scope for a even more theoretically demanding definition from the ‘strategic CSR' construct and an identification of firm-specific precursors to ‘strategic CSR' success. This kind of paper aims to contribute through this direction. In the succeeding section, we cite a behavioral definition of strategic CSR that is seated in the placement school of thought in strategy – more specifically in Porter's (1980; 1985) theory of competitive benefit. In the next section, we consider the precursors of tactical CSR accomplishment. We draw from the literary works on the resource-based view with the firm and dynamic capacities to identify two kinds of powerful capabilities as the necessary precursors to effective strategic CSR. We likewise point to how these features can be operationalized in

*Correspondence to: Venugopal Ramachandran, Institute for Financial Management and Research, twenty four Kothari Highway, Nungambakkam, Chennai, Tamil Nada, India 600034. E-mail: [email protected] ac. in

Copyright © 2010 David Wiley & Sons, Ltd and ERP Environment


V. Ramachandran

terms of two units of connected processes. All of us conclude using a discussion of your research and bureaucratic implications.

What is Strategic CSR?

The academic literary works on CSR has outlined the lack of general opinion and the existing confusion in defining CSR (Baron, 3 years ago; Margolis and Walsh, 2003; McWilliams ainsi que al., 2006; Mackay ainsi que al., 2007). Elsewhere in the literature they have also been remarked that the lack of just one, universally accepted definition of CSR may not be very difficult, since, inspite of...

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