Exploring performance based practice of CSR in sustaining the relationship between business and society: A literature review

Abstract

The evolution of thought in sustainable development theory often implies that societal contribution of businesses in the form of corporate social responsibility (CSR) leads to sustainable development in the relationship between business and society. However, most of the propositions made by CSR scholars have been described as being normative and prescriptive in nature. The implication of this is that the process through which outcomes are generated from the implementation of CSR lacks adequate exploration and has remained relatively unknown. To explore the problem noted above, a literature review was carried out. The need for a paradigm shift from responsiveness paradigm to a performance based paradigm in the practice of CSR was observed. A performance based paradigm entails the generation of expected outcomes from the implementation of CSR through creating value alignment between business’ values and stakeholders’ values. From the literature review, three recommendations were generated. They include the need for a shift towards a performance based paradigm of CSR, need for the exploration of the interactive process in the relationship between business and society, and the need for more empirical based studies with focus on the interactive process of CSR as a means of predicting CSR outcomes.