The Effect of Corporate Social Responsibility to Organizational Performance Among Selected Manufacturing Companies: Basis for Management Intervention Plan Proposal

Abstract

At present, corporate social responsibility (CSR) has been utilized as a strategic tool to meet regulatory needs and stakeholder expectations (Allen et al., 2021). However,  manufacturing companies encountered difficulties putting good CSR initiatives into action as corporate ethics and sustainable development gets more heated. Therefore, the main objective of the study is to determine the effect of corporate social responsibility to organizational performance among selected manufacturing companies as a basis for management intervention plan proposal. The study highlighted main challenges encountered by manufacturing companies in applying corporate social responsibility (CSR) which are compliance complexity, stakeholder involvement, and resource constraints. Management has to give resource allocation first priority, match CSR with corporate strategy, streamline compliance, and, via training and communication, create a culture of responsibility to improve social impact and performance. The findings highlighted several areas as well that needs development and provide insight of how managers may assess organizational performance, thereby guiding strategic decisions.