Embedding Sustainability as Strategic Core: Moving Beyond Symbolic Corporate Social Responsibility

Abstract

We propose a new paradigm that incorporates two categories in order to find a way to make sense of the vast and diverse body of work that has been done on the subject of corporate social responsibility (CSR). (a) CSR that is embedded, and (b) CSR that is peripheral. This difference is founded on psychological underpinnings that are mostly derived from industrial–organizational psychology and other topics that are connected to it (such as organizational behavior and human resource management). It makes it possible to have a better knowledge of the circumstances in which and the reasons behind the likelihood that corporate social responsibility (CSR) will result in favorable results for workers, companies, and society as a whole. Embedded corporate social responsibility (CSR) is a concept that incorporates the fundamental capabilities of an organization and incorporates CSR into the business strategy, routines, and operations of a company. The consequence of this is that it has an effect on every worker. Charity and volunteer work are two examples of activities that fall under the category of peripheral corporate social responsibility. This kind of obligation is concerned with activities that are not included into the strategy, routines, and operations of a firm. We use our conception to offer an explanation for the efficacy of corporate social responsibility (CSR) programs at GE, IBM, and Intel, as well as to reinterpret the academic literature on CSR in the fields of marketing, corporate governance and legal studies, and economics. In addition, we use our conceptualization to provide an explanation for the effectiveness of CSR programs at these companies. Furthermore, we give an explanation of how our conceptualization may aid in bridging the micro–macro and science–practice gaps, which are both highly valued. Additionally, we provide assistance in the direction of future research on corporate social responsibility and organizational solutions.