Bee22 Pianezza

Born in the U.S., the concept of corporate social responsibility (CSR) is now a global phenomenon, with identifiable practices such as certification schemes, reporting standards, and investment criteria. But even though CSR is global, writes Norwegian researcher Maria Gjølberg (U Oslo) in the Scandinavian Journal of Management, it is applied differently across different social, economic, cultural, legal, and political contexts.

Gjølberg set out to measure CSR activity on a national basis. She developed an index of CSR practices in 20 nations by identifying the nationality of the companies that adopted or qualified for major global CSR initiatives. She then weighed the results to correct for differences in the size of the nations’ economies.

The result: the leading CSR nations are Switzerland and the Nordic countries of Norway, Finland, Sweden, and Denmark. Mid-range performers are the UK, Netherlands, and Australia. Just on the positive side are Japan and Canada.

On the negative side of the index (in order from the worst performer) are Greece, Austria, the U.S., Italy, Ireland, Portugal, Belgium, Spain, Germany, and France.

Gjølberg offers two explanations for the high achievers:

“The first country cluster of CSR leaders comprises countries with comparatively strong globalised economies and large proportions of TNCs (transnational corporations), namely the UK, Switzerland, and the Netherlands. One possible mechanism linking TNCs to increased CSR efforts is the fact that these companies are more exposed to the spotlight of watchdogs from NGOs (non-government organizations) and the media.”

The other explanation is that Nordic countries all have strong corporatist traditions, more extensive social and environmental public policies, and strong political cultures that value participation.

What seems clear in Gjølberg’s research is that enthusiasm for CSR has less to do with ethics than with susceptibility to “naming and shaming” and the degree to which business is socially embedded in society.

This is a meaty and accessible article, so if CSR really rings your bell you will want to read the entire paper for excellent background on the topic.

“Measuring the immeasurable? Constructing an index of CSR practices and CSR performance in 20 countries”, by Maria Gjølberg; Scandinavian Journal of Management (2009, 25, 10—22)