Conceptual framework for corporate responsibility management: A critical review of sustainable business practice based on a case study of a leading transnational corporation

Abstract

As stakeholder expectations surrounding the role of business in society evolve, concepts of corporate responsibility (CR) and sustainable development (SD) become increasingly relevant. Significantly in this regard, a review of the latest literature suggests that the management tools for translating notions of sustainable responsible management into everyday business practice are limited. The instruments available inadequately provide feasible management solutions either because they are vague and under-developed, and accordingly lack comprehensiveness, or, in contrast, they are so overly complicated that management decision-makers view them as incomprehensible. The resulting lack of transparency for all stakeholders, but in particular for decision-makers facing the management challenge of identifying why and how to integrate CR and SD solutions into their business operations, is the “missing link” upon which this chapter focuses. It aims to address the identified lacunae by rigorously reviewing a recent conceptualisation (CR management framework) of corporate approaches to responsible stakeholder management. It applies problem-solving techniques both theoretically and empirically via qualitative evidence obtained in a case study of a leading transnational corporation’s CR activities. This study simultaneously tests the framework and, in doing so, critically examines the responsible activities of the company under investigation. The ensuing results highlight both the positive potential and eventual room for improvement in both the management framework and the company’s CR response.