Tshik International University, Sulaimani, Iraq
Tshik International University, Sulaimani, Iraq
Abstract: Corporate social responsibility has been an emerging issue all around the world after 90’s. On the other hand, effect of leadership on feeling and behaving responsibly toward society is incontrovertible. Thus, the question asks which type of leadership would be more effective on the corporate social responsibility practices toward employees of a firm. Hence this research aims to investigate the leadership style influence on the level of CSR practices toward employees. We have collected data from 197 employees of various private corporations in Kurdistan Region of Iraq. Further, we have proposed structural equations modeling to understand the level of impact. The results have shown us that ethical leadership plays much more significant role in CSR practices toward employees than transformational leadership does.
Keywords: Corporate Social Responsibility, CSR Practices, CSR to Employees, Leadership, Leadership vs CSR
Download the PDF Document from here.
Ağan, Y., Kuzey, C., Acar, M. F., & Açıkgöz, A. (2016). The relationships between corporate social responsibility, environmental supplier development, and firm performance. Journal of Cleaner Production, 112, 1872-1881.
Aguinis, H., & Glavas, A. (2012). What we know and don’t know about corporate social responsibility: A review and research agenda. Journal of Management, 38(4), 932-968.
Akin, A., & Yilmaz, I. (2016). Drivers of corporate social responsibility disclosures: Evidence from Turkish banking sector. Procedia Economics and Finance, 38, 2-7.
Arendt, S., & Brettel, M. (2010). Understanding the influence of corporate social responsibility on corporate identity, image, and firm performance. Management Decision, 48(10), 1469-1492.
Avolio, B. J. (1999). Full leadership development: Building the vital forces in organizations. Sage.
Bass, B. M. (1990). From transactional to transformational leadership: Learning to share the vision. Organizational Dynamics, 18(3), 19-31.
Bass, B. M., & Avolio, B. J. (1993). Transformational leadership and organizational culture. Public Administration Quarterly, 112-121.
Brown, M. E., Treviño, L. K., & Harrison, D. A. (2005). Ethical leadership: A social learning perspective for construct development and testing. Organizational Behavior and Human Decision Processes, 97(2), 117-134.
Budur, T. (2018). The impact of Al-Ghazali’s virtues on organizational commitment and performance: A case Study at private education institutions in Kurdistan Region of Iraq. Icabep, Erbil-Iraq, Vol.2, p21.
Burns, J. M., & Leadership, H. (1978). Row. New York, 280.
Carroll, A. B. (1999). Corporate social responsibility: Evolution of a definitional construct. Business & Society, 38(3), 268-295.
Certo, S. C., & Certo, S. T. (2012). Modern management concepts and skills. New Jersey: Prentice Hall
Du, S., Swaen, V., Lindgreen, A., & Sen, S. (2013). The roles of leadership styles in corporate social responsibility. Journal of Business Ethics, 114(1), 155-169.
El Ghoul, S., Guedhami, O., Nash, R., & Patel, A. (2019). New evidence on the role of the media in corporate social responsibility. Journal of Business Ethics, 154(4), 1051-1079.
Freeman, R. E. (1999). Divergent stakeholder theory. Academy of Management Review, 24(2), 233-236.
Freeman, R. E., Wicks, A. C., & Parmar, B. (2004). Stakeholder theory and “the corporate objective revisited”. Organization Science, 15(3), 364-369.
Gao, Y., & He, W. (2017). Corporate social responsibility and employee organizational citizenship behavior: the pivotal roles of ethical leadership and organizational justice. Management Decision, 55(2), 294-309.
Gross, R., & Holland, B. (2011). Corporate social responsibility and employee engagement: Making the connection. White Paper, pg, 2.
Groves, K. S., & LaRocca, M. A. (2011). An empirical study of leader ethical values, transformational and transactional leadership, and follower attitudes toward corporate social responsibility. Journal of Business Ethics, 103(4), 511-528.
Groves, K. S., & LaRocca, M. A. (2012). Does transformational leadership facilitate follower beliefs in corporate social responsibility? A field study of leader personal values and follower outcomes. Journal of Leadership & Organizational Studies, 19(2), 215-229.
Guarnieri, R.., & Kao, T. (2008). Leadership and CSR-a perfect match: How top companies for leaders utilize CSR as a competitive advantage. People and Strategy, 31(3), 34.
Gupta, M. (2017). Corporate social responsibility, employee–company identification, and organizational commitment: mediation by employee engagement. Current Psychology, 36(1), 101-109.
Gupta, N., & Sharma, V. (2016). The relationship between corporate social responsibility and employee engagement and its linkage to organizational performance: A conceptual model. IUP Journal of Organizational Behavior, 15(3), 59.
Hardjono, T. W., & van Marrewijk, M. (2001). The social dimensions of business excellence. Corporate Environmental Strategy, 8(3), 223-233.
Jensen, M. C. (2001). Value maximization, stakeholder theory, and the corporate objective function. Journal of Applied Corporate Finance, 14(3), 8-21.
Jones, G. R. (2013). Organizational theory, design, and change. Upper Saddle River, NJ: Pearson,
Kanungo, R. N. (2001). Ethical values of transactional and transformational leaders. Canadian Journal of Administrative Sciences/Revue Canadienne des Sciences de l’Administration, 18(4), 257-265
Kanungo, R. N., & Mendonca, M. (1996). Ethical dimensions of leadership (Vol. 3). Sage.
Khan, H. U. R., Ali, M., Olya, H. G., Zulqarnain, M., & Khan, Z. R. (2018). Transformational leadership, corporate social responsibility, organizational innovation, and organizational performance: Symmetrical and asymmetrical analytical approaches. Corporate Social Responsibility and Environmental Management, 25(6), 1270-1283.
Kiliç, M., Kuzey, C., & Uyar, A. (2015). The impact of ownership and board structure on Corporate Social Responsibility (CSR) reporting in the Turkish banking industry. Corporate Governance, 15(3), 357-374.
Lai, C. S., Chiu, C. J., Yang, C. F., & Pai, D. C. (2010). The effects of corporate social responsibility on brand performance: The mediating effect of industrial brand equity and corporate reputation. Journal of Business Ethics, 95(3), 457-469.
Lee, K. H., & Shin, D. (2010). Consumers’ responses to CSR activities: The linkage between increased awareness and purchase intention. Public Relations Review, 36(2), 193-195.
Lee, M. D. P. (2011). Configuration of external influences: The combined effects of institutions and stakeholders on corporate social responsibility strategies. Journal of Business Ethics, 102(2), 281-298.
Lin, C. P., & Liu, M. L. (2017). Examining the effects of corporate social responsibility and ethical leadership on turnover intention. Personnel Review, 46(3), 526-550.
McGuire, J. B., Sundgren, A., & Schneeweis, T. (1988). Corporate social responsibility and firm financial performance. Academy of Management Journal, 31(4), 854-872.
McWilliams, A., & Siegel, D. (2001). Corporate social responsibility: A theory of the firm perspective. Academy of Management Review, 26(1), 117-127.
McWilliams, A., Siegel, D. S., & Wright, P. M. (2006). Corporate social responsibility: Strategic implications. Journal of Management Studies, 43(1), 1-18.
Mendibil, K., Hernandez, J., Espinach, X., Garriga, E., & Macgregor, S. (2007). How can CSR practices lead to successful innovation in SMEs. Publication from the RESPONSE Project, Strathclyde, 141.
Moore, G. (2001). Corporate social and financial performance: An investigation in the UK supermarket industry. Journal of Business Ethics, 34(3-4), 299-315.
Moser, D. V., & Martin, P. R. (2012). A broader perspective on corporate social responsibility research in accounting. The Accounting Review, 87(3), 797-806.
Nelson, J. (2008). CSR and public policy. New forms of engagement between business and government. Cambridge, MA: Harvard University Corporate Social Responsibility Initiative–Working Papers.
Pérez, A., del Mar García de los Salmones, M., & Rodríguez del Bosque, I. (2013). The effect of corporate associations on consumer behaviour. European Journal of Marketing, 47(1/2), 218-238.
Ramdhony, D. (2018). The Implications of Mandatory Corporate Social Responsibility—A Literature Review Perspective.
Riggio, R. E., Zhu, W., Reina, C., & Maroosis, J. A. (2010). Virtue-based measurement of ethical leadership: The Leadership Virtues Questionnaire. Consulting Psychology Journal: Practice and Research, 62(4), 235.
Sulich, A. & Bogusz, K. (2019). The Sustainable Development Strategies in the Mining Industry. 33rd IBIMA, Granada (Spain)
Tong, C., & Wong, A. (2014). The influences of corporate social responsibility to customer repurchases intentions, customer word-of-mouth intentions and customer perceived food quality of fast-food restaurants in Hong Kong and the mediating effects of corporate reputation. Journal of Economics, Management and Trade, 1655-1678.
Trevino, L. K., Brown, M., & Hartman, L. P. (2003). A qualitative investigation of perceived executive ethical leadership: Perceptions from inside and outside the executive suite. Human Relations, 56, 5−37.
Trong Tuan, L. (2012). Corporate social responsibility, leadership, and brand equity in healthcare service. Social Responsibility Journal, 8(3), 347-362.
Waldman, D. A., Siegel, D. S., & Javidan, M. (2006). Components of CEO transformational leadership and corporate social responsibility. Journal of Management Studies, 43(8), 1703-1725.
Zahra, S. A., & LaTour, M. S. (1987). Corporate social responsibility and organizational effectiveness: A multivariate approach. Journal of Business Ethics, 6(6), 459-467.
International Journal of Social Sciences & Educational Studies
ISSN 2520-0968 (Online), ISSN 2409-1294 (Print), June 2019, Vol.5, No.4