Corporate Citizenship of Business: A Proposed Framework for Operationalization

Evelita  E. Celis,

Corporate Citizenship of Business: A Proposed Framework for Operationalization

Discipline: Business Management, Business Education

Abstract:

This study hoped to evolve a Corporate Citizenship (CC) Framework for Operationalization to help other companies hasten the integration of corporate citizenship policies and /or practices into the different strategic management processes of the business. Using the multiple regression analysis, the study also investigated if practicing corporate citizenship through the establishment of a Foundation and membership with the Philippine Business for Social Progress (PBSP) has correlates with the sales performance and profitability of a company. The main focus was to identify critical corporate citizenship practices, values, policies and strategies for an effective CC implementation and/or operationalization.

The respondents of the study totaling 160, were the officers and rank and file employees of twenty five selected corporations belonging to the Top 1000 Philippine Corporations and who have been in the list from 1999-2003. These twenty five selected companies also represented the five major industry sectors in the Philippines as classified by the Securities and Exchange Commission (SEC): 1) Manufacturing; 2) Finance, Insurance, Real Estate and Business Service; 3) Wholesale and Retail Trade; 4) Transport, Storage and Communications; and 5) Electricity, Gas and Power Supply.

A self-made survey instrument was prepared for the purpose of gathering data from the respondents. The questions in the survey questionnaire were anchored from the researcher’s Proposed Corporate Citizenship Framework for Operationalization, which was conceptualized in accordance with the Corporate Citizenship (CC) and/or Corporate Social Responsibility (CSR) concepts of Arnold B. Carrol, the London Benchmarking Group, David Logan and William Kanaga.

The study also involved asking several issues related to the seven stakeholders (as suggested by the LBG) of business in the light of corporate citizenship – environment, consumers, business partners, employees, shareholders, community and government.