Theme 2
Strategic Corporate Social Responsibility: A holistic approach
to sustainable business practices
LO1: Define Corporate Social Responsibility.
LO2: Explain how CSR relates to sustainability through
the categories of CSR.
LO3: Motivate the importance of CSR for building
Theme 1: Introducing sustainable brands and business in our changing world.
Corporate Social LO4: Compare the narrow and broad views of business
responsibilities.
Responsibility (CSR)
LO5: Discuss the main drivers for CSR and sustainable
business.
LO6: Motivate the need for CSR strategies for brands and
businesses.
LO7: Argue the case for brands and business as a force
for good to address social and environmental issues.
LO1: Define Corporate Social Responsibility.
Archie Carrol (1979)
“CSR encompasses the economic, legal, ethical and
philanthropic expectations that society has of organisations
at a given point and time”
(Carrol ,1979:500)
(financial responsibility comes first)
LO1: Define Corporate Social Responsibility.
Edward Freeman (1984):
Included stakeholders in definition.
European Commission defined CSR:
‘a concept whereby companies integrate social and
environmental concerns in their business operations and in
their interaction with their stakeholders on a voluntary
basis.’
LO1: Define Corporate Social Responsibility.
Aaronson (2003):
“business decision making linked to ethical values,
compliance with legal requirements, and respect for people,
communities, and the environment around the world.”
LO1: Define Corporate Social Responsibility.
Strategic CSR
“is a holistic and long-term approach to the brand responsibilities of business,
based on stakeholder integration
and ethical behaviour,
while utilising the firm’s resources and brand to address societal and environmental issues”
Haski-Leventhal, D. 2022. Strategic Corporate Social Responsibility: A Holistic Approach to Responsible & Sustainable Business, page 10
TYPES OF CORPORATE
SOCIAL
RESPONSIBILITY
Environmental
responsibility:
TYPES OF CORPORATE SOCIAL
RESPONSIBILITY
• Environmental responsibility
• Ethical responsibility
• Philanthropic responsibility
• Economic responsibility
Theme 2: Models and frameworks for
strategic CSR
LO8: Discuss Carroll’s pyramid of business responsibilities.
LO9: Investigate the alternative pyramid of business responsibilities.
LO10: Apply Zadek’s stages of CSR to examples of brands and business.
LO11: Differentiate between explicit, implicit, offensive and defensive CSR.
LO12: Apply the CSR congruence model to examples of brands and business.
LO13: Discuss the six components of strategic CSR.
LO14: Differentiate between traditional CSR paradigms and strategic CSR.
LO15: Discuss the aspects brands and businesses must consider before
implementing strategic CSR.
LO16: Apply Haski-Leventhal’s strategic CSR framework to brand and business
examples.
Carroll’s Pyramid of business
responsibilities (based on
Carroll, 1991)
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 9
Criticism of the CSR Pyramid
• Hierarchy, implying financial responsibility is
most important
• Too much emphasis on philanthropy, not
sustainability
• Overlap between responsibilities
• Tensions between responsibilities
• Cultural and ethical relativism
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 10
Alternative pyramid of business
responsibility according to
business students (Haski-
Leventhal, 2014)
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 11
CSR stages and learning
process (based on Zadek, 2004)
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 12
Content and motivation of each
CSR stage (Zadek, 2004)
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 13
Three levels of CSV (based on
Porter and Kramer, 2011)
Nestlé was one of the first companies in the
world to adopt a CSV approach
Creating Shared Value
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 14
The CSR engagement matrix
(based on Haski-Leventhal et
al., 2017)
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 15
Strategic CSR
• Strategic CSR is a holistic and long-term
approach to the broad responsibilities of
business, based on stakeholder integration and
ethical behaviour while utilising the firm’s
resources and brand to address societal and
environmental issues
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 16
Six components of strategic
CSR
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
Inc 17
Organisational change towards
CSR
• Based on Strategic CSR and stakeholder
theory, fundamental change is required
to the above definitions.
• Change management towards CSR can be
defined as an approach to involve
various stakeholders in shifting the
organisation from the current state to a
sustainable and responsible future
state.
• To achieve this, organisations need to
ask five imperative questions:
• Where do we want to be?
• Why do we need to change?
• What needs to Corporate
Strategic change? Social Responsibility by
• Debbie Haski-Leventhal ©2021 SAGE Publications,
Who will be part of Inc the change? 18
Six CSR implementation
activities (based on Cramer,
2005)
1.Listing the expectations and demands of the
stakeholders
2.Formulating a vision and a mission with regard
to CSR and creating a code of conduct
3.Developing short and longer-term strategies
with regard to CSR and creating a plan of
action
4.Setting up a monitoring and reporting system
5.Embedding the process by rooting it in quality
and management systems
6.CommunicatingStrategic
internally and externally about
Corporate Social Responsibility by
the approachDebbie
and the results
Haski-Leventhal obtained
©2021 SAGE Publications,
Inc
19
Implementing strategic CSR
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
20
Inc
The future of CSR (1 of 2)
• Carroll (2015) predicted three possible CSR
scenarios: gloomy, hopeful and probable.
• Ten future trends:
‒ A holistic approach
‒ Responsibility in the entire value chain
‒ End of modern slavery
‒ CSR in the age of robots and AI
‒ End of disposable and soft plastic
‒ True cost of externalities
‒ The end of factory farms
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
21
Inc
The future of CSR (2 of 2)
‒ New levels of transparency
‒ Innovative ways to communicate to and engage stakeholders
‒ The professionalisation of CSR
Strategic Corporate Social Responsibility by
Debbie Haski-Leventhal ©2021 SAGE Publications,
22
Inc
Theme 3: Strategic CSR or
Creating Shared Value (CSV):
Differences and connections
1 2 3
LO17: Define Creating LO18: Contrast LO19: Identify the
Shared Value (CSV). traditional CSR, use of strategic CSR
strategic CSR and CSV or CSV in given brand
through practical and businesses cases.
examples from brands
and business.
Three levels of CSV
(based on Porter and
Kramer, 2011)
Nestle incorporate CSV
approach
Nestle (Kitkat) Maggi
Use interconnected ecosystem.
Systems thinking in supply chain = sources coffee
and dairy from local farmers (Nestle Needs YOUth in
SA trains young farmers)
Water scarcity Harrismith – water saving
technologies reduce consumption and maintain
production efficiency
Influence on Brand
Reputation for Responsibility
Consumer connection through relevance (Maggi
affordable)
Proactive towards youth employment – gives
In launching Nestlé
Needs YOUth, a
program focused on
young people aged
16-30, we would
help ten million
young people access
economic
opportunities by
2030. The target
was met in 2024,
six years early.
What are the product, business model
and ecosystem principles for each
circular interrelated strategy?
Nestlé’s products: nutritious, sustainable
align with its
Business model: local sourcing, efficiency
supported by
Ecosystem principles: water and community focus
Each element reinforces the others—e.g., farmer training
improves supply quality, boosting product appeal and ecosystem
stability, which enhances the brand.
Give three other examples
