Corporate Social Responsibility (CSR) in the Construction Industry An Analytical Investigation into the Development and Prosperity of CSR through Applicable Industrial and Academic Illustrations. By David Barry Dissertation Presented to The School of Engineering Waterford Institute of Technology In Partial Fulfilment of the Requirement for The Honours Degree of Bachelor of Science In Construction Management and Engineering April 2011
Corporate Social Responsibility (CSR) in the Construction Industry An Analytical Investigation into the Development and Prosperity of CSR through Applicable Industrial and Academic Illustrations.
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Corporate Social Responsibility (CSR) in the Construction Industry
An Analytical Investigation into the Development and Prosperity of CSR through Applicable Industrial and Academic Illustrations.
By
David Barry
Dissertation Presented to
The School of Engineering
Waterford Institute of Technology
In Partial Fulfilment of the Requirement for
The Honours Degree of Bachelor of Science
In Construction Management and Engineering
April 2011
Preliminaries Corporate Social Responsibilities in the Construction Industry
i
“Problems cannot be solved at the same level of awareness that created them”
"Out of clutter ... find simplicity. From discord . . . find harmony. In the middle of
difficulty lies opportunity. "
- Albert Einstein (1879 – 1955)
Preliminaries Corporate Social Responsibilities in the Construction Industry
ii
Preface
The prevailing interpretation of a modern organisation has significantly transformed
with the infiltration of societal expectancies now motivating predominant aspects of
an organisations business model. Ethical practices are fast becoming a responsible
requirement in the business environment and have progressed beyond the
philanthropic recognition that it historically procured responsible business practice.
Focus has surpassed the principle ‘bottom line’ and the undeniable growing emphasis
on the non-financial accountability of a company. Investigating the global
organisations practices instigates the principle importance that Corporate Social
Responsibilities (CSR) has in the business environment.
The academic literature of respected authors Hopkins (2007), Lantos (2001), and
Mullerat (2009) and successful industrial implementations of Carillion Plc, Skanska, and
the Royal BAM Group departs no reservation concerning the importance and
dependability of CSR in all business levels and societies. The tangible existence of
fruitful examples of application and practices in the UK construction industry has
proved evidence of its remunerations and reinforcement within society and the
business envelope. The strategic success factors of CSR have been correlated to
employee motivation (Mullerat, 2009), profitability (Kotler & Lee, 2005) and
stakeholder and community engagement (Maignan & Ferrell, 2004), which all
subsequently commend total quality management and honourable corporate
reputation.
The predominant and unavoidable trends have largely influenced the author to further
research the concept of CSR and its historic development in the business and
construction environments. The purpose of this dissertation is to demonstrate the
underlying benefits and implementation methods of CSR through combining both
primary and secondary research methodologies. Predominant focus will be placed on
successful and competent industrial organisations in a fluency that encourages and
demonstrates an initial foundation for subsequent research, while also providing a
reference to interested undergraduates and professionals alike.
Preliminaries Corporate Social Responsibilities in the Construction Industry
iii
Acknowledgements of Support and Dedications
I would like to take this opportunity to thank a number of people who have helped me
throughout this dissertation, academically, intellectually and physically. Without the
support I have received over the past seven months this research project would not
have been conceivable. While also acknowledging the persons who have helped with
the inclusive success of this dissertation, I would additionally like to recognisably
acknowledge the contributions of the people who have provided the foundation for
which I have developed my academic and practical knowledge and abilities
respectively. They have personated a dynamic role in helping me to achieve what I
have with this dissertation and with the academic course.
My initial appreciation of gratitude is for my academic supervisor Kevin Ryan. Kevin
has undoubtedly exceeded his role as a supervisor, through his attentiveness, strategic
direction, gratuitous support, directive knowledge, accommodating awareness and
general appreciation of the work I have done in a motivating demeanour. Kevin’s
motivational attributes have inspired me to expand my knowledge in the area of CSR
through post graduate research upon completion of my degree if the opportunity
arises.
Sincere appreciation is also comprehended for the lecturers of the Construction
Management and Engineering course specifically Eugene O’ Sullivan and Brian Graham
for their general encouragement and assistance over the preceding four years. All
relevant academics have appreciatively provided the theoretical knowledge for which I
will reiterate in my future years in the industry.
In respect to the internals of the dissertation, I am intently grateful to the
professionals who have provided guidance and given their valuable time during the
primary research stage through interviews and questionnaires, your experienced
sentiments and personal understandings have given this dissertation the grounds for
which it has been possible.
Finally my personal appreciation progresses to all my family who have emotionally
supported me over the last four years. To my Dad Kevin, Mom Bernadette, girlfriend
Divina and all my family, I dedicate this to you.
Preliminaries Corporate Social Responsibilities in the Construction Industry
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Particulate Dissertation Word Count
Chapter 1 - Introduction 745
Chapter 2 - Literature Review Corporate Social Responsibilities 9273
Chapter 3 - Research Design and Methodology 2012
Chapter 4 - Findings and Discussions Part One - Qualitative Research 4332
Chapter 5 - Findings and Discussions Part Two - Quantitative Research 2197
Chapter 6 - Conclusions and Recommendations 3897
Dissertation Word Count Total - 22456
Preliminaries Corporate Social Responsibilities in the Construction Industry
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Declaration of Originality
I declare that this dissertation in whole or in part, has not been submitted to any
University as an exercise for an Honours Degree. I further declare that, except where
reference is made in the text, the contents are entirely my own work. All subsequent
work has been completed to the standards and guidelines illustrated by the
Department of Construction and Civil Engineering, Waterford Institute of Technology,
Ireland.
I have discussed, agreed and compiled with whatever confidentially or anonymity
terms of reference were deemed appropriate by those participating in the research.
The author agrees that the library may lend or copy the thesis upon request for study
purposes, subject to the normal conditions of acknowledgement.
.
David Barry
.
15th April 2011
Preliminaries Corporate Social Responsibilities in the Construction Industry
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Table of Contents
Page No
Preface ii
Acknowledgements of Support and Dedications iii
Particulate Dissertation Word Count iv
Declaration of Originality v
List of Illustrations ix
List of Abbreviations x
Executive Summary xii
Chapter 1 - Introduction 1
1.1 Chapter Overview 2
1.2 Research Aspirations 2
1.2.1 Hypothesis 2
1.2.1 Research Aim and Objectives 2
1.3 Dissertation Content 3
1.3.1 Chapters 2 & 3 - Literature Review 3
1.3.2 Chapter 4 - Research Design and Methodology 4
1.3.3 Chapter 5 & 6 - Primary Research 4
1.3.4 Chapter 7 Conclusions and Recommendations 4
1.3.5 Chapter 8 References and Bibliography 4
1.4 Chapter Summary 4
Chapter 2 – Literature Review Corporate Social Responsibilities 5
2.1 Chapter Overview 6
2.2 Defining Corporate Social Responsibilities 6
2.3 Classification of Corporate Social Responsibilities 7
2.3.1 Economic / Instrumental Stakeholder Theory 7
2.3.2 Political / Legal Theory 8
2.3.3 Integrative / Philanthropic Theory 8
2.3.4 Ethical Theory 9
2.4 The Development and Evolution of CSR and Ethical Practices 10
2.4.1 Historical Development 10
2.4.2 Stakeholders Engagement 11
2.4.3 Globalisation 13
2.4.4 Cause Related Marketing 13
2.5 CSR in the Construction Industry 14
2.6 Influential Factors and Key Performance Indicators 16
Preliminaries Corporate Social Responsibilities in the Construction Industry
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2.6.1 The Brundtland Report 16
2.6.2 Global Reporting Initiative 18
2.6.3 Social Responsible Investing & Social Anchored Competences 19
2.6.4 Sustainability Indexes 22
2.6.5 ISO 14001 - Environmental Management 21
2.6.6 ISO 26000 - Social Responsibility 22
2.6.7 CEMARS 23
2.6.8 World Business Council for Sustainable Development (WBCSD) 25
2.6.9 Considerate Constructors Scheme (CCS) 26
2.6.10 Green Public Procurement (GPP) 26
2.7 Remunerations and Benefits of CSR 27
2.7.1 Image Formation and Corporate Reputation 28
2.7.2 Future Prospects 28
2.7.3 Employee Enthusiasm and Improved Workforce 29
2.7.4 Profitability and Productivity 29
2.8 Transition and Company Change 30
2.9 Limitations 32
2.10 Chapter Summary 34
Chapter 3 - Research Design and Methodology 37
3.1 Chapter Overview 38
3.2 Research Objectives 38
3.3 Defining Research 39
3.3.1 Secondary Research 39
3.3.2 Primary Research 40
3.3.2.1 Quantitative and Qualitative Methods of Research 40
3.4 Quantitative Research - Survey/Questionnaire 43
3.4.1 Survey Participants 43
3.5 Qualitative Research - Structured Interviews 43
3.5.1 Interview Participants 44
3.6 Research Limitations 45
3.7 Chapter Summary 45
Chapter 4 - Findings and Discussions Part One - Qualitative Research 46
4.1 Chapter Overview 47
4.2 Interview Structure 47
4.3 Structured Interview Respondents 48
4.4 Corporate Social Responsibility in the Company 48
4.5 Subjective Opinions and Interpretations 57
4.6 Qualitative Research Summary 61
Chapter 5 - Findings and Discussions Part Two - Quantitative Research 63
5.1 Chapter Overview 64
Preliminaries Corporate Social Responsibilities in the Construction Industry
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5.2 Online Questionnaire Structure 65
5.3 Respondent Profile and Background 65
5.4 Personal Opinions and Views 66
5.5 CSR in your Organisation 69
5.6 Quantitative Research Summary 74
5.7 Primary Research Conclusion 75
Chapter 6 - Conclusions and Recommendations 76
6.1 Chapter Overview 77
6.2 Research Aim and Objectives 77
6.2.1 Research Aim 77
6.2.2 Research Objectives 77
6.2.3 Objective Summary 84
6.3 Hypothesis Appraisal 84
6.4 Recommendations for the Construction Industry 85
6.4.1 Awareness in the Global Environment 85
6.4.2 Staff Inclusion 86
6.4.3 Better Responsiveness in the Irish Construction Industry 86
6.4.4 Potential ICT Developments 86
6.4.5 Supplementary Acknowledgement of External Accomplishments 87
6.4.6 Incentives for SME’s 88
6.4.7 Instigation of ISO 26000 as a Documented Business Policy 88
6.4.8 Contractual Obligations 88
6.5 Avenues for Further Research 88
6.6 Research Limitations 89
Chapter 7 - References & Bibliography 91
7.1 References & Bibliography 92
Appendices
Appendix A - Construction Interview Manuscripts xiii
Appendix B - CSR Professional Interview Manuscripts xiv
Appendix C - Online Questionnaire Results xv
Appendix D - Questionnaire Cover Letter xvi
Appendix E - Sample Dissertation Review Meeting xvii
Appendix F - Carillion Plc Strategy Model xviii
Preliminaries Corporate Social Responsibilities in the Construction Industry
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List of Illustrations
Tables
Table 1 - The Development and influential factors of CSR at Skanska Table 2 - Summarised Benefits of CSR Table 3 - Comparison between Interviews and Questionnaires Figures
Figure 1 - Stakeholder Management Figure 2 - Company Stakeholders Figure 3 - Reduction of waste per tonne in the construction Industry Figure 4 - GRI Integers Figure 5 - 7 Core Subjects to Social Responsibility Figure 6 - How to get CEMARS certification Figure 7 - Kg of CO₂ per m² on Managed Sites Figure 8 - Carillion ‘sun diagram’ Figure 9 - CSR Development and Transition Figure 10 - Defining CSR Figure 11 - Future prominence of CSR in the business environment Figure 12 - Government Involvement Figure 13 - Importance of Sustainability Figure 14 - Strategic Relevance Figure 15 - Implementation Period Figure 16 - Complications of Implementation Figure 17 - Influences of Acquisition Figure 28 - CSR Reporting Figure 19 - Environmental Management Systems Figure 20 - Economic Benefits Figure 21 - Company Benefits Figure 22 - Company Performance Figure 23 - Skanska Sustainability Agenda Figure 24 - Green BIM
Preliminaries Corporate Social Responsibilities in the Construction Industry
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List of Abbreviations
BLL Bovis Lend Lease BIM Building Information Modelling BITC Business in the Community CCS Considerate Constructors Scheme CDP Carbon Disclosure Project CEC Commission of the European Communities CEEQUAL Civil Engineering Environmental Quality Assessment Award Scheme CEMARS Certified Emissions Measurement and Reduction Scheme CIB Construction Industry Board CIF Construction Industry Federation CIOB Chartered Institute of Building CIRIA Construction Industry Research and Information Association CRC Carbon Reduction Commitment CRM Cause Related Marketing CSR Corporate Social Responsibility CO₂ Carbon Dioxide EFQM European Foundation for Quality Management EU European Union EU Corporate Leaders Group on Climate Change (EU CLG) EMS Environmental Management System ESG Environmental Social Governance GDP Gross Domestic Product GM General Motors GPP Green Public Procurement GRI Global Reporting Initiative H&S Health & Safety HSE Health, Safety & Environmental ICE Institute of Civil Engineers ICT Information Collaboration Technologies IFSD Institute for Sustainable Development ISO International Organisation for Standardization IT Information Technology KPI’s Key Performance Indicators KPMG Klynveld, Peat, Marwick, Goerdeler LCA Life Cycle Analysis MENCAP Royal Society for Mentally Handicapped Children & Adults MNC’s Multi-National Companies NJUG National Joint Utilities Group OECD The Organisation for Economic Co-operation and Development ORB Organisation for Responsible Businesses PCC Project Carbon Calculator PR Public Relations PwC Price Waterhouse Coopers SAC’s Social Anchored Competences SDI Sustainability Development International SME Small, Medium Enterprise
Preliminaries Corporate Social Responsibilities in the Construction Industry
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SRI Social Responsible Investing TBL Triple Bottom Line UKCG UK Contractors Group UKGBC UK Green Building Council UN United Nations UNEP United Nations Environment Programme UNPRI United Nations Principles for Responsible Investment UNFCCC UN Framework Convention on Climate Change WBCSD World Business Council for Sustainable Development WCSD World Commission on Sustainable Development WCED World Commission on Environment and Development WGBC World Green Building Council WLC Whole Life Costing WTO World Trade Organisation
Preliminaries Corporate Social Responsibilities in the Construction Industry
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Executive Summary
Title: Corporate Social Responsibility in the Construction industry
Sub-Title: An Analytical Investigation into the Development and Prosperity of
CSR through Applicable Industrial and Academic Illustrations.
Author: David Barry
Academic Supervisor: Kevin Ryan
Submission Date: April 2011
CSR can be seen as an imposition placed on an organisation by external stakeholders, who believe it is the honourable obligation of the organisation to give back to the society that has perceivably facilitated their successes. Others believe it is merely the latest in an extensive catalogue of modernistic trends and academic management theories.
Conversely, these observations miss the conceptualisation of ethically incorporated CSR. Evaluating the authentic integrities CSR stipulates evidently conceives that it is a fundamental creed and methodology that serves not only the broader environment but the preeminent interest of the organisation itself. CSR is a doctrine of “enlightened self-interest” in which the organisation in the pursuit of its own success helps the wider community, creating further opportunities that not only fuel the company’s long term success, but conceive extensive benefits for the expansive environment (Urip, 2010).
The construction industry as a global environment has excessively and recurrently attracted hostility among local communities and residents owing to its unmethodical and riotous impact arising from its disruptive nature. The rising importance and attention of socially responsible investment, increasing consumer and environmental concern and a growing political/legislative environment have all contributed considerably to the pressure on business to be socially responsible. CSR is increasingly being identified as central to core business activities which strongly link with a firm’s marketing strategy and economic success (Bhattacharya, et al, 2004).
Multinationals increasingly recognise the major impact they have on the environment, society, and the economy (Skanska, the Royal BAM Group and Carillion Plc). The intention of this research project is to arrive at a clear conceptualisation of CSR in the context of an emerging particular in the industry, focusing on the historical development, remunerations both internally and externally, influencing factors and the paramount methods for its implementation. The secondary research supported evidential illustrations of competent organisations and academics. This additionally provided a theoretical basis for the author to appraise using primary research methodologies conducted through a combination of qualitative interviews and quantitative surveys. Acutely evaluating these combining investigation methods further facilitated the predominant significance of CSR in the construction industry and appropriately approved the hypothesis stated.
In conclusion to the delineating purpose, it is the informed contemplation of the author that CSR is a dynamic strategy of considerable importance in today’s society and business environments. Its responsiveness in the construction industry is varied among organisations but with current market trends, its inevitable growth, benefits and importance are conclusive. The underlining aspiration is that this initial research will establish a foundation for further exploration and provide a guide or reference to instigate the recommendations and initiate implementation incentives for inquisitive organisations.
Chapter 1 Introduction
Page | 1
Chapter 1
Introduction
‘Earth provides enough to satisfy every man’s need, but not every man’s greed’
- M.K Gandhi (1869 – 1948)
Chapter 1 Introduction
Page | 2
1.1 Chapter Overview
The fundamentals of this chapter outline the intentions, determined objectives
and purposes of the academic research which subsequently succeeds this preparatory
chapter. It is a guide to identify the assessment targets, introduce the reader to the
methodology, illuminate the structure of the contents and potentially provide an
incentive for further research.
1.2 Research Aspirations
1.2.1 Hypothesis
Corporate Social Responsibility in today’s business environment plays a fundamental
role in developing a company for future compliance and competitive success. As
described by Douglas B. Johnson a CSR Consultant, during preliminary interviews, ‘its
proper implementation consequently results in organic and inorganic growth for the
organisation through goodwill, social and environmental performance, increased
efficiency, productivity and furthermore new market opportunities’. The following
tentative statement of prediction will be investigated throughout this dissertation:
“The preference and prosperity of evolving Corporate Social Responsibilities as a
dynamic policy in the development of construction companies central objectives and
strategies towards enhancing corporate reputation, increasing efficiency and enriching
profitability”.
1.2.2 Research Aim and Objectives
The primary aim of this dissertation is to demonstrate the importance of CSR in the
construction industry through its implementation as a core business strategy, which
can be summarised in the following statement:
“Illuminating the prominence of incorporating CSR as an imminent organisational
feature to succeed in the future markets of the construction industry”.
The succeeding objectives have been compiled to illustrate the significant motivations
and substance for which companies are now evolving and becoming more socially and
environmentally responsible in an industry that primarily requires extensive corporate
governance.
Chapter 1 Introduction
Page | 3
1. To literate the prominence and connotation of Corporate Social Responsibilities
in the Construction Industry through its historic development and
characteristics.
2. To appraise the research developments concerning the motives, drivers and
market influences for company change towards social, sustainable and
environmental strategies.
3. To establish the justifications and prominence behind changes and adaptations
to innovative market opportunities.
4. To investigate the Key Performance Indicators and influencing factors shaping
the imminent markets.
5. To identify the challenges strongly associated with company adjustments and
recommend the best approach to integrate a CSR business model.
These research objectives will be examined via a combining illustration of research
methodologies, comprising of a secondary research stage which embraces the
appraisal of honoured academic literature, and a primary research stage involving a
personal selection of investigation techniques to provoke a professional opinion on the
subject.
1.3 Dissertation Content
This dissertation has been composed to include numerous chapters which have
been compiled to illustrate the required information thus successfully demonstrating
the overall aim of the author as previously stated.
1.3.1 Chapters 2 & 3 - Literature Review
In these chapters the author initiates with the historical development of CSR as a
business concept, describing its progress and growth over the years, illustrating the
different classifications and portraying the primary influencing factors that have
instigated its development. In the latter it includes construction related examples
based on the companies that have shown exemplary contributions towards CSR with
the attitude to influence other organisations of the benefits and change agents
required for successful implementation. These research chapters have been devised by
the contribution of academic researchers and authors that have been influenced by
Chapter 1 Introduction
Page | 4
the attributes of CSR in the business society both in construction and other
professional business sectors.
1.3.2 Chapter 4 - Research Design and Methodology
This chapter defines the selected methods of research for the dissertation and main
reasons behind their adaptation, including primary and secondary research phases.
1.3.3 Chapter 5 & 6 - Findings and Discussions
This primary research chapter presents the selected practical methods of research,
including structured interviews and a business related survey. It is the thought of the
author that combining these two methods of research will provide a distinguished
basis for concluding the dissertation.
1.3.4 Chapter 7 - Conclusions and Recommendations
Resulting from the investigation stages the conclusions and recommendations chapter
outlines the overall findings of the dissertation based on the aim and objectives
previously set out by the author. The chapter finally appraises the hypothesis proposed
and sets out the recommendations for a construction based organisation grounded on
the appraisal findings and the author’s educated judgements.
1.3.5 Chapter 8 - References and Bibliography
In this concluding chapter the author illustrates the comprehensive list of references
and bibliography which have been utilised throughout the dissertation.
1.4 Chapter Summary
It is the overall aim of the author to present a dissertation that stipulates an
informative, interesting and educated read, while illustrating the significance of CSR in
the construction industry and the respected remunerations it presents to an
organisation.
Chapter 2 Literature Review - Corporate Social Responsibility
Page | 5
Chapter 2
Literature Review
Corporate Social Responsibilities
“Never doubt that a small group of thoughtful, committed citizens can change the
world; indeed it’s the only thing that ever does”
- Margaret Mead, US Anthropologist (1902-1978)
Chapter 2 Literature Review - Corporate Social Responsibility
Page | 6
2.1 Chapter Overview
Industries and businesses are constantly changing and evolving with the
introduction of new technologies, legislation and outside influences. EU and
Government policies play a major role in the direction in which a company regulates its
strategies for the future. Jenkins & Plowden (2006) believes that although the
Government is the largest client of the industry shaping legislation, fiscal and general
public policy framework within which construction delivers, further proposing the
governments cannot be the sole influences and drivers of the new environmental
policies and frameworks. The challenge and tribulation is for the future businesses to
incorporate instrumental and persuasive strategies to influence its stakeholders
(consumers, clients, employees, etc.) and shareholders to maintain their support and
commitment to sustainable practices. This concept has been adapted by major
corporations and focuses on the notion of Corporate Social Responsibilities (hereafter
CSR), particularly in the areas of climate change, sustainable development, employee
progress, and community impact. These aspects form the basis for adjustments to the
new social requirements and business ethics (Mullerat, 2009).
This Chapter illustrates the global concept of CSR and how it has been fostered and
developed over the centuries to become an international phenomenon adopted by
businesses not only as an important ethical practice, but also to achieve economical
intentions.
2.2 Defining Corporate Social Responsibilities
The term CSR has been one of much debate and delegation among businesses
and governments alike and can signify many different values to numerous
organisations and groups. The Organisation for Economic Co-operation and
Development (OECD, 2001) concluded a general view that in a global economy, the
business environment extends beyond the ‘bottom line’ and a company has ethical
responsibility to contribute to sustainable development. The European Commission
(2006) adapts the definition that CSR is a concept whereby companies incorporate
social and environmental policies into their operational strategies, attitude and
process of work, along with collaborating with associated stakeholders on a voluntary
basis. The World Business Council for Sustainable Development defines this process as:
Chapter 2 Literature Review - Corporate Social Responsibility
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“The continuing commitment by business to behave ethically and contribute to
economic development while improving the quality of life of the workforce and their
families as well as of the local community and society at large” (WBCSD, 2010)
All CSR characterisations conclude that it is a process by which a company’s ambitions
are to create higher standards of living while preserving the profitability of the
organization for people within and independent of the corporation (Hopkins, 2007). A
company with virtuous ambitions aims and objectives to be successful and profitable
in their industry must look to the future markets and sectors, where sustainable
development and the role of society will influence the growth of the organisation. It
can be said that if you treat society in a respectable manner, society will revert the
favour.
2.3 Classification of Corporate Social Responsibilities
Within the concept of CSR there are numerous theories and classifications that
can be defined as social and environmental practices. Chand, (2006) & Mulleret, (2008)
all promote that the principle classifications of CSR can be divided into four theories;
economic, political, ethical, and altruistic theories. Similar to these theories numerous
academic publications have analogously segregated CSR into instrumental, legal,
ethical and philanthropic categorisations (Lantos, 2001; Garriga & Mele, 2004). Each
characteristic has significant meanings and all adapt different processes to achieve
corporate compliance, but similarly the different theoretical methodologies assumed
by the proposing authors can be compiled to accompany the other as collective
arguments can be initiated in both classifications.
2.3.1 Economic / Instrumental Stakeholder Theory
The dominant methodology to instrumental stakeholder theory assimilates exploiting
CSR as a fundamental and strategic instrument to achieve economic intentions and
objectives for the company. This theory focuses on the ‘bottom line’ of organisations,
concentrating on profitability for the associated shareholders while subsequently
ignoring many social and environmental conflicts between corporations and their
numerous stakeholders (Banerjee, 2007). If stakeholder theory is incorporated to
promote ethical and corporate moral, it must be customarily recognised and accepted
Chapter 2 Literature Review - Corporate Social Responsibility
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as an imperative central purpose of the company on normative and not instrumental
terms. The obligation of the company is to understand and involve the dominant views
of the stakeholder and the unique monetary prospects of the shareholders. Banerjee
(2007) believes that companies have responsibilities to provide an account of their
actions, and are not only in business to provide profits for the shareholder’s. This
theory requires primarily reorganising the organisations outlook and focus on not only
the primacy of the shareholders but also the significant social responsibilities of the
firm (Banerjee, 2007).
2.3.2 Political / Legal Theory
Political theory centre’s on the interactions and connections between corporate and
societal responsibilities and the dominance of these responsibilities on the position of
the business in civilisation (Garriga & Mele 2004). One of the first scholarly
contributions to examine the power in which a business has on society was Davis
(1960) who also observed the social impact of this competence and argued that this
‘business power’ is a new component in the CSR debate. A powerful business in society
must use its influence to act both ethically and responsibly to create a social
supremacy for its stakeholders and community. Davis (1960) illustrates the
consequence of organisations exploiting their dominances in society will be retained
responsible for their actions by the social order, which he cleverly describe as ‘iron law
of responsibility’. CSR at this degree should be recognised as a pursuit of the
organization ambition for legitimacy. Organisations have a moral obligation to society
not to exploit the power they have generated, or they face to lose the inherent social
charter. An authoritative business has the influential dominance to change and
encourage the equilibrium of the market (Davis, 1960). Chand (2006) believes an
organisation has the ethical responsibility to implement social practices within the
company, further stating there is an obligatory social contract between the
organisation and civilisation.
2.3.3 Integrative / Philanthropic Theory
This method of social concern is considered to be philanthropic in nature or motivated
by the noble interest of the organisation. Garriga & Mele (2004) consider this
technique if a firm does not have the resources and ability to fully commit to their
Chapter 2 Literature Review - Corporate Social Responsibility
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ambitions. Philanthropic theory observes how the organisation incorporates the social
requirements, based on its dependency of external bodies for societal success,
expansion and economic wealth as suggested by Garriga & Mele (2004). The corporate
management of a business must integrate with social demands in a concept that
incorporates the interaction of business and society which results in certain legitimacy
and prestige aligned with present social values (Chand 2006; Garriga & Mele 2004).
Corporate philanthropy promotes a charitable belief of contributing money, time, and
services to society. Many organisations now feel obliged to in some way or form apply
this altruistic theory of corporate donation into their business strategy (Lantos, 2001).
Skanska UK, a global construction firm, have implemented this scheme as a small part
of their CSR activities. An example of their commitment includes the charitable
donation of over £55,000 to charities including MENCAP (Royal Society for Mentally
Handicapped Children & Adults) and other local organisations. This has been achieved
through incentives such as £1 donations for every Safety and Environmental reports
filled out by staff, totalling £25,000 in 2009 (Skanska, 2009). Historically in the USA
they have customarily signified CSR as an organisation ‘philanthropic strategy’ as
opposed to corporate responsibilities (Brady, 2005). This concept is perceived as being
responsible, but it can be argued that it is not paramount if the main objective of the
company is social and environmental improvements. This policy does not consider the
environmental requirements to reduce carbon or the social to improve working
conditions for employees.
2.3.4 Ethical Theory
The concluding classification of the four theories involves the ethical philosophy
towards CSR. Ethical practices are perceived as being a moral liability and implicate
unbiased procedures including respecting the needs of people and society and
preventing any avoidable harm to others. Lantos (2001) credits these moral practices,
if incorporated correctly and sustainably, can achieve more than the legal obligations
and limitations. Ethical theory is perceived as being morally mandatory and progresses
further than complying with a firms financial and legal requirements. This theory is
incorporated as a moral achievement for the organisation and not economic growth
and competitive benefits (Mulleret, 2008). Garriga & Mele (2004) divide this theory
Chapter 2 Literature Review - Corporate Social Responsibility
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into three sub-categories, universal rights, sustainable development, and the common
good approach, each involving and resulting in social and corporate compliance for the
company. This type of ethical practice would be seen as respectable and honourable in
the business culture and as an investor or a member of society is the most desirable of
the four theories. It can be simplified into a social practice that will promote social
good and avoid causing damage to humanity.
2.4 The Development and Evolution of CSR and Ethical Practices
Over the past century few organisations have directly involved ethical business
practises into their strategies or traditions. Some companies such as General Motors
(GM) have been proactive in the early stages of social development with the
introduction of the auto industries primitive ‘supplier’s diversity plan’ in 1968. This
scheme involves a continuous objective to ensure an unremitting diverse supply chain
for all aspects within the GM Company (GM, 2010). Allouche (2006) educationally
wrote that the CSR trend has significantly grown over the past ten years and has been
subject to substantial critical analysis by authors and academics alike.
2.4.1 Historical Development
CSR is not a modernistic concept however it has been distinctively regenerated over
the past few years as a major topic of interest among many groups in the business
environment. The term CSR is a contemporary expression of a concept that has been
incorporated in society for centuries. According to Asongu (2007) an historical example
of ethical business practices involved the Dutch East India Company in 1622, where the
shareholders were angry about the secrecy of the management and ‘self-enrichment’
of the top managers. The moral of which shows that even in 1622 shareholders were
aware of their rights in society and were arguing about similar situations we entail in
today’s economic society. An early and local example of ethical practice was
performed by John Sisk and Son Contractors in the early 1900’s to accommodate their
employees in close proximity of their developments in Cork they built houses to
accommodate their employees and families, while also providing health care for the
aforementioned (John Sisk and Son, 2009). The term CSR would not have been used
for these practices but rather the term respectable corporate citizenship or corporate
ethics (Canniffe, 2005).
Chapter 2 Literature Review - Corporate Social Responsibility
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During the 1960’s and 1970’s the concept of CSR was of considerable interest and
became a dominant factor in business society and as a business model for many
organisations. During this time it was embraced by the scholarly contributions of Heald
(1970); Ackermann & Bauer (1976); & Carroll (1979) amongst others. After emerging in
the 1960s, CSR slowly became obsolete from company strategies, only to re-surface in
recent years (Maignan & Ferrell, 2004). Centuries ago the concept of these ethical
practices was founded on an instrumental approach, whereby the corporations could
meet their social and environmental commitments without consuming financial
exhausting and losing sight of the shareholders requirements, (Jones et al, 2005). CSR
in today’s society has consequently been adapted as an ethical obligation of the
organisation, determined by the stakeholders and shareholders of the company.
2.4.2 Stakeholders Engagement
“Business cannot hope to enjoy concrete benefits from CSR unless they intelligently
communicate about their initiatives to relevant stakeholders”
Maignan & Ferrell (2004, pp. 17).
The term stakeholder constitutes to describe the persons or groups who have an
interest, claim or stake in the organisation (Carroll, 1991). The growing emphasis on
corporate responsibility is affecting the relationship between companies and their
various stakeholders, and is resulting in investors seeking social responsibility and
environmental performance as well as financial sustainability. Management must
consider the attitudes and thoughts of their stakeholders, as outside influences are
now becoming the customary activity and the focus of a business’s core (Paloviita &
Luoma-aho, 2010). As with stakeholder theory, organisations must work together with
their stakeholders, not only to achieve a sound work place but also the obstinate
‘triple bottom line’, effect of social, economic and environmental success (Elkington,
1998).
Upon extensive research Pajunen (2006) concluded organisations need to be proactive
with the involvement of stakeholders if they aim for ‘organisational survival’. Paloviita
& Luoma-aho (2010) further added that stakeholder’s influences predominantly drive
the business to achieve a sustainable performance which exceeds beyond the legal and
ethical compliance expected of them. With these transitions and influences it is
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important to understand the management process involved with successful
stakeholder integration into an organisation. Carillion Plc believes by successfully
understanding their stakeholders opinions and ensuring stakeholders understand
theirs, it results in stronger business ethics for the organisation (Carillion, 2010). To
successfully implement the requirements of the stakeholder an in-depth analysis must
be carried out which will identify and analyse the needs of the concerned
stakeholders. This process of management is illustrated in Figure 1.
knowledge questions, sensory questions and background demographic questions
(Miles & Huberman, 1994). The author aims to incorporate this framework of
behavioural responses into the interview questions, as it is felt that collectively they
will produce optimum and informed answers.
3.5.1 Interview Participants
To obtain a substantial understanding of the subject the author intents to initially
undertake interviews with experienced business professionals who have worked in the
area of CSR through consultancy, research or individuals who demonstrate a
respectable understanding and knowledge of the topic. This will be conducted to
primarily attain a general appreciative perception of CSR in the business environment
and additionally assist in the preparation of the construction based interviews. It is the
aspiration of the author to administer construction based interviews with the
organisations mentioned in the secondary research phase and in addition to this
interview other experienced and commendable companies from medium size
organisations to large global contractors. This will allow a comparison between the
distinctive companies and generate productive recommendations for the smaller
Chapter 3 Research Design and Methodology
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companies who aspire to become more socially aware.
3.6 Research Limitations
As CSR is a relatively new concept in the Irish Construction Industry it can be an
arduous task obtaining personnel for the construction based interviews. To overcome
this impediment interviews will be organised in collaboration with practiced UK based
contractors, with the hopeful possibility of some larger Irish contractors participating.
Interviews are time consuming and in many cases expensive to conduct due to travel
constraints and other issues, for this reason some interviews may be conducted
through information technology systems such as ‘Skype’ and or via recorded telephone
communication.
3.7 Chapter Summary
Chapter 4 outlines the basic methods used in obtaining the information required
for successfully achieving and accomplishing the final results and concluding main
statement of the dissertation: “The preference and prosperity of evolving Corporate
Social Responsibilities as a dynamic policy in the development of construction
company’s central objectives and strategies towards enhancing corporate reputation,
increasing efficiency and enriching profitability”. It is hoped the personal interviews
will achieve an experienced opinion on this subject highlighting the major influences
and propositions behind the change.
The chapter also evaluates the beneficial evidence of using numerous methodologies
both primary and secondary, focusing on interviews, questionnaires and academic
literary research to conceive a pronounced supposition based around the hypothesis
of this dissertation. The qualitative and quantitative processes of investigational
research methods outline the pre-eminent approach the researcher intends to
instigate. It is the hope of the author that the selected methods will effectively achieve
and conclude the central assumption of the dissertation. The Research findings will be
illustrated in the proceeding chapter.
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Chapter 4
Findings and Discussions
Part One - Qualitative Research
Chapter 4 Findings and Discussion Part One - Qualitative Research
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4.1 Chapter Overview
The initial of two findings and discussions chapters focuses on the qualitative
research approaches selected. It outlines the selected candidates for the structured
interviews, all of which are construction related professionals working for some of the
biggest companies in the world. To primarily understand CSR in the business
environment, the author conducted a series of interviews with consultancy
professionals, prior to initiating with the industry based interviews, (full
comprehensive interview responses are attached in Appendix B), which was primarily
focused on their knowledge regarding CSR aspects and environmental issues within the
comprehensive business environ. This provided a foundation to develop suitable
questions for the construction related interviews and it presented the author with
personal, direct and experienced interpretations of CSR.
This chapter summarises the candidates valued and learned opinions, on a carefully
selected range of questions facilitating the preceding aims and objectives presented by
the author.
4.2 Interview Structure
The author projected a respectable number of interviewees to achieve optimum
sentiments on the subject of CSR and to allow for commendable responses to which
the author can appraise and evaluate. The interviewees were interviewed during the
primary research stage of this dissertation on numerous questions surrounding CSR in
the construction industry. The questions were subsequently divided into four initial
sections in order to gain the best possible outlook for the research:
1. Company experience and attitude towards CSR in construction.
2. Influential factors and remunerations gained.
3. Methods of assessing and controlling CSR in the Company.
4. Personal opinions and views on CSR in the Industry.
Evaluating the findings of professionals working in the construction industry will
provide comprehensive understandings and viewpoints to fully appreciate or
depreciate the aim of the research. Each of the questions responses have been
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informatively summarised to reduce the volume of word count. The interview
manuscripts for each respondent have been collated and can be observed in the
Appendix A.
4.3 Structured Interview Respondents
The following is a list of key personnel that appreciatively participated in the
structured interview process.
Dawn Watson – Environmental Manager, VINCI Construction
Dawn Watson has been an Environmental Manager with VINCI Construction the world’s largest construction company for the past three years. Her responsibilities within the company include environmental audits, ensuring all sites are complying with Environmental Management Systems (EMS), liaising with external bodies such as CCS, ISO, GRI and consistently reviewing strategies and KPI’s which have been set by VINCI.
Peter Scanlon – Environmental Manager, Skanska
Peter Scanlon has been working for Skanska for the past two years and has developed his interest in sustainability after obtaining a degree in forestry from NUI Galway. His main roles within the organisation include organising and implementing new strategies relating to sustainability and environmental issues. Liaise with the sites and aid them with any issues they may have, review progress regarding benchmarking and help increase and better their results.
Nick Drake – Sustainability Advisor, Carillion PLC
After completing a Masters in Climate Change, Nick Drakes interest in sustainability and CSR grew from there and he has been a keen part of Carillion’s Sustainability team for the past three years. Nick spent the first year with Carillion planning and preparing with colleagues on sustainable solutions that can be achieved with the Heathrow Terminal 5 C project. He has opened relationships with BITC and other groups, and also written management documents for the company.
Tom van Beek – CSR Director, Royal BAM Group
Tom joined the Royal BAM Group in 1988 and became Corporate HR Director in 1998 and was given the responsibility of CSR Director in 2008. He has always been interested in CSR activities from early on in his career and is now responsible for the coordination and implementation of The Royal BAM’s Sustainability and CSR policies, particularly the sections for which are developed for the group’s worldwide policies.
Mairead Dennehy – Health Safety and Environmental (HSE) Manager, Laing O’ Rourke
Mairead is a knowledgeable and experienced professional and has worked for Laing O’Rourke for the preceding three years. Working with Laing O’Rourke, Mairead provides guidance on all aspects of health and safety and the environment within the company and ensuring all staff are trained and competent in their roles and responsibilities. She reviews processes and procedures and provides initiatives to improve on HSE standards.
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Andrew Kinsey – Senior Sustainability Manager, Bovis Lend Lease
Andrew has spent his entire career focusing on sustainability and has been working for Bovis Lend Lease (BLL) for the past 12 years. He helped initiate the environmental department of Bovis Lend Lease in the late 90's and have helped the UK division achieve certification of their EMS. Andrew has also introduced policies, processes and procedures on environmental reporting and the CCS and won recognition for BLL at several industry and environmental events. His previous work was delivering BLL’s sustainability programme at the Athletes Village in London.
Ian Brooks – Business Improvement Manager, Kier Group
Ian is a Business Improvement Manager for Kier Eastern and Kier Regional in the UK and has been associated with the company for the past 3 years. He is responsible for capturing and sharing best practice, and monitoring and improving benchmarking. He Manages change and is consistently driving continuous improvement in all areas of the business, including some of the aspects and elements of CSR, monitoring the effectiveness of current strategies and liaising with organisation’s such as BITC to help improve their relationship and reputation.
Jim Peters – Services Manager, PJ Hegarty
Jim has been a services manager with PJ Hegarty for the past 3 years and although he is not directly associated with CSR in the company he has an ample appreciation and knowledge of PJ Hegarty’s views and fundamental policies and aspects they have incorporated over the past few years. Jim is a well-educated and experienced professional and has worked as a lecturer in DIT and Project manager for RPS Group. His role as a service manager essentially involves the effective and efficient running of projects throughout Ireland, ensuring they on time, to specification and within budget.
Cyril Keegan –HR and Environmental Health and Safety Director, P. Elliott
Cyril Keegan joined the company in 2002 as Safety Manager. In 2004 he became the Company's first Human Resources Manager prior to joining the Board as HR Director in 2009. Cyril deals with all areas of human resources in the company, customer relations, employing and resourcing personnel, but more recently he has become involved in resolving all safety and environmental issues from each of P. Elliott’s sites.
Anne Buttfield – Marketing and PR Manager, Mott MacDonald
Anne is an extensive member of the Mott MacDonald team and has been working for this prestigious company for the preceding 21 years. She has developed her interest in CSR through marketing campaigns and organising community related projects for the organisation.
Jane Grant – Associate Director, WSP
Jane has been an associate member of the WSP group for the last 9 years. Her current remits are two-fold. Jane is the learning and development manager for one specific part of the UK Business, concentrating on technical learning, professional development (helping staff achieve professional qualifications) and also university contact such as scholarships. Her second role is with the UK Sustainability team, co-ordinating and helping to promote CSR and Volunteering activities.
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This compilation of extensive industry experience and knowledge will confidently
stipulate inclusive intellects on the subject matter. As each respondent is a
representative of their company they will be respectively referred to by the
organisation in which they work.
4.4 Corporate Social Responsibility in the Company
Question 1 - What is the history behind the CSR activities in your Organisation?
Contemplative Summary
All respondent companies evidently understand the concept of CSR and its importance
in society and within the organisation. The larger companies such as Skanska and
Carillion have exhausted huge efforts in its implementation and growth over the past
decade. SME’s (Small, Medium Enterprises) such as P. Elliott and PJ Hegarty who have
recently implemented CSR activities as a formal business model in the organisation,
dictate strong encouragement for its development which over the impending years will
materialise as they become more experienced. The ISO management systems,
sustainability indexes, CSR reporting, community engagement, H&S, and stimulus from
external bodies appear to have had the greatest influence on this transition which
have been evidently described by literature of Leipziger (2003) cited in Isaksson and
Steimle (2009), CIOB (2010); Fuller (2008) & Woodside et al (1998).
Gratifyingly some of the global companies informally began their CSR activities in the
1970’s influenced by internal management and the moral obligations within the
company. BLL for instance has understandably become market leaders in this area of
the industry and reportedly increased their reputation as a result of their experience.
In conclusion each of the companies have been proactively and perceptibly
harmonizing their growth in recent years, and it is considered that their progression
will be in proportion to the size and experience of the organisation.
Question 2 - How was CSR implemented into the company structure?
Contemplative Summary
Summarising and evaluating the various methods of implementation, the author felt
that generally motivation of top management emerges as the main influencing factor
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of CSR within the respected companies. Organisational executives and directors would
primarily be influenced by markets trends and external encouragements, such as the
sustainability indexes, SRI, and GRI, thus form the interview outcomes, realising that
CSR is prominent and imperative activity in the construction industry. As defined in the
literature review, outside bodies such as BITC, CCS and ISO systems along with the
ethical behaviour of employees and other stakeholders also seem to have a significant
influence on its employment in the organisation.
The preceding question queried the historical development of CSR in the company,
which prominently argued that CSR has industrialised through the virtuous
responsiveness of various stakeholders. Uniting the interview responses, the substance
of employee engagement has also subjectively influenced its implementation. Brady
(2005) and Tonn (1999) designate the sustainable development as a process that is
perceived as difficult transition and societal challenge which can only be achievable
through the cooperation, support, and partnerships of all stakeholders’ education of
uninformed staff and supporting CSR reports have inspired its awareness in the
organisations influenced predominantly by management.
Question 3 - What forms of CSR activities and policies have been implemented into
the company’s structure?
Contemplative Summary
Initially when comparing the responses from Skanska, Carillion, BAM, Laing O’ Rourke,
Mott Mac Donald, and BLL you can understand the extent some companies exert on
their CSR activities and the relevance it has to their company policies. It is an extensive
aspect to many who appreciate its substance and apprehend its significance in the
construction industry. Leading by these admirable companies, other less
commendable organisations, can extensively improve their reputations through
schemes and policies such as Skanska’s extensively inspiring and beneficial 5 Zero’s
campaign, BLL’s ‘BeOnSite’ campaign, and also P. Elliott’s loyal sponsorship days and
donations. The secondary research stage also detailed some of these methods which
can be unified with the response of the interviewees, influencing that all companies
can implement these activities in an ethically driven business model. The policies and
activities range from community engagement, environmental awareness and
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protection to philanthropic activities and guidance from external bodies such as ISO
management systems, Low Carbon Transition Plan which Skanska affiliate with, and
accreditation with organisations such as BITC, EFQM (European Foundation for Quality
Management), and the UKGBC among others (Mullerat, 2009).
Question 4 - What are the main influences and reasons behind your company’s
involvement in CSR?
Contemplative Summary
Influences change depending on the type and structure of the company. Where
organisations are publicly owned shareholders influences can dramatically change the
structure and outlook of the business. Companies such as Skanska, Kier and Carillion
focus their efforts to increase their moral responsibilities in the industry and
surrounding communities, creating a reasonable reputation for the company. Relating
to the true statement and foundations of CSR, companies should be influenced by
their own ethical obligations set out by the fundamental aspects of moral business
practices and internal categorisations (Garriga & Mele 2004; & Lantos, 2001).
Evidently all the companies interviewed are influenced by the honourable compulsions
of their employees and management; correspondingly significant to the aim of this
dissertation the client’s ambitions and statute regulations are necessitating its
integration within the indentures of the contract. As exemplified in the secondary
research CSR has stipulated extensive opportunities for the preceding companies
including new market prospects, employee motivation, increased reputation, business
efficiency and community awareness, which have primarily been driven by
commendable ambitions of the internal bodies (Mullerat, 2009; & Hopkins, 2007).
Question 5 - What benefits has the company gained from incorporating CSR
strategies?
Contemplative Summary
Through extensive research of academic literature during the secondary research stage
(Mullerat & Brennan, 2005; & Hopkins, 2007) the author concluded there to be
copious expanses of CSR remunerations. It can be manifestly understood by the
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responses of the organisations that the benefits gained vary depending on the level of
implementation, size of the organisation and employee attitudes towards social
responsibilities.
Achieving the TBL in construction is the paramount activity generated by all
companies, which has been illuminated by the responses of the interviewees. CSR
practices can emphatically influence this realisation, through environmental
awareness, H&S improvements, financial savings through Life Cycle Analysis (LCA) and
Whole Life Costing (WLC) and carbon reduction, increased moral and motivation,
entrance to new markets and increased reputation within communities. Paramount to
the hypothesis and as exemplified by Kier’s Ian Brooks CSR contributes to the potential
proliferation of clientele and as definitively illuminated by BLL it provides competitive
advantage over unaware counterparts.
Question 6 - Have any contracts been won based on your CSR accomplishments?
Contemplative Summary
This question is comparable to the aforementioned, but specific to the type of
remuneration that hypothetically can be achieved. With the exception of the Royal
BAM Group who expressible succeeded in the accomplishment of contracts based on
their CSR achievements, the awarding of contracts is not a certain subsidy of virtuous
CSR accomplishments. As identified by Constructing Excellence (2004) and Van Tulder
& Van der Zwart, (2006) in the literature review, enhanced reputation is a huge
element to the reason behind CSR integration, grounded on the responses of the
interviewees; CSR reputably increases the company’s awareness among prospective
clients through the organisations activities and virtuous work ethos. Exercising the
KPI’s depicted previously in the literature review and uniting the professional
responses obtained, CSR prominently exerts the requirements to successfully initiate
with the contractual prerequisites set out by clientele, as discussed by Andrew Kinsey
of BLL whereby they were invited to tender for based on their achievements and
reputation in the area of CSR. The responses predominantly exposed that CSR has
emphatically facilitated the named companies in attracting and attaining new work,
while accumulatively increasing the consciousness of the organisation.
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Question 7 – Composed selectively of Strategic Management, Assessment &
Objective Setting in the Organisation
Contemplative Summary
Comprising the Strategic Management, Assessment and Objective Setting responses
allowed to author to evaluate these specific elements in a central supposition,
consenting the reader to appreciate the organisational management of CSR through
the various interpretations.
Reviewing the intellectual responses, one exerts an understanding that there are
similar management and controlling techniques among the diverse companies. The
secondary research stage did not proficiently cover the strategic management aspects
of CSR, as the author sensed it would provide a better outcome to receive professional
and practiced thoughts. Objectives and strategies appear to conceive similar results,
mainly focusing on benchmarking, yearly, monthly, and result based strategies,
converging on areas such as carbon reduction, staff education, philanthropic activities,
and community engrossment. Interestingly Mott MacDonald has introduced a survey
based assessment method which would provide excellent opinions from the
employees within the company. In contrast to the larger organisation, P. Elliott
seemingly expresses a lot of their CSR activities on employee relations, as they feel
employee interaction and involvement will predominantly and organically increase
their CSR ethos.
Using a number of the KPI’s academically illustrated, certain companies incorporate
these systems as assessment tools which include EMS’s, CEMARS, BITC, and inclusion
in sustainability indexes. This further illustrates the aforementioned KPI’s paramount
influence in the construction industry and portrays their knowledgeable importance in
successful implementation and management. Examining this thought through the
Altruistic theory described in the literature review, it observes how the organisation
integrates the societal necessities, influenced and dependent on peripheral
organisations for social success, expansion and economic wealth (Garriga & Mele,
2004).
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As indicated in the broad sense, the financial implications of CSR are varied between
the companies, but predominantly CSR is not seen as an expense to the company, and
will always prove cost neutral and most cases profitable depending on its severity of
application.
Question 8 - What are the key performance indicators influencing your activities?
Contemplative Summary
KPI’s are essentially benchmarks for the organisation to consistently monitor and
improve on targets and results. Although not thoroughly examined, the responses
profoundly comprise the inclusive areas in which the KPI’s are set. The Influencing
Factors and KPI’s section of the literature review, covered international bodies that
enable the implementation, monitoring and controlling of different managing systems
ranging from carbon calculating to Social Responsible Investment, as well as the
influencing external organisations such the WBCSD and WGBC.
Concentrating more on internal systems, the responses indicate a similarity between
all organisations. Though some of the grander companies such as Skanska, Mott
MacDonald, and WSP already incorporate some of the management systems indicated
in Chapter 3, the responses strongly indicate a dominant focus on carbon initiatives,
waste management, environmental awareness, community interaction and employee
awareness and education. The author believes unacquainted corporations should
embrace the previously outlined programmes such as CEMARS, GRI, and ISO systems in
order to improve results, educate stakeholders and increase productivity.
Question 9 - Have there been any barriers that have prevented the performance of
the company?
Contemplative Summary
According to BITC (2010), for CSR to actively and beneficially implement CSR in the
long term goals of the establishment, essential all stakeholders need to understand the
procedures and processes, and enthusiastically manage the continual fluctuating
process to proactively achieve the long term objectives of the organisation. Reflecting
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on this opinion and combining the responses it is definite that CSR needs to be strongly
prompted by management and the moral behaviours and attitudes of the employees.
The uncontrollable factors such as the economic downturn has dented some of the
organisations progression, but generalising the responses, the barriers of CSR
implementation are minimal, with the exception of some of the geographical locations
of the larger companies, and reluctant and apathetic staff. The responses of Kier, BAM
and Skanska and the academic opinion of Hopkins (2007) illustrate a comfortable
approach to CSR influenced by perceptive nature of the employees and the
undemanding and non-judgemental approach to its implementation.
Question 10 - What are the next steps for your Organisation in the construction
excellence program?
Contemplative Summary
The market perception of CSR and globalising ethical business practices has
predominantly affected the attitudes of the above organisations. Undoubtedly all the
responses conceal ambitious prospects for the future development of CSR, focusing
primarily on carbon reduction through schemes such as the UK Carbon Reduction
Commitment (CRC), which is an obligatory trading scheme covering large non-energy
intensive businesses and public sector organisations. Further analysing this scheme, it
is designed to provide the organisations involved with a financial incentive to reduce
their emissions in the most efficient way and fundamentally raise the corporate profile
of energy and carbon management (Great Britain; Committee on Climate Change,
2008).
A consistency between all interviewees is the ambition to effectively improve on
current results with some organisation warranting zero carbon desires, enhanced site
communication using internally developed systems, with Skanska and PJ Hegarty
aiming to progress on current results and be recognised as market leaders in the
respect to green initiatives. Analysing the SME P. Elliot in particular, it is worthy to
perceive their motivations to publish environmental and CSR reports in the coming
years, supplementary asserting their CSR objectives in relation to the recompenses of
the GRI.
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4.5 Subjective Opinions and Interpretations
Question 1 - What is your view on CSR in the industry today and do you think it is
important for company performance?
Contemplative Summary
The construction industry generates a huge impact to the economy, to the social fabric
of associated countries and to the formation of innovative environments (Halliday,
2002). The interview responses significantly express for themselves, the absolute
importance of CSR incorporation, not only demonstrating its benefits but also in a
responsible business intellect. Relating the responses with the inclusive aim of the
research, one would feel a definite attraction to its importance of implementation.
The organisations all exhibit an understanding of CSR as being a predominantly
important aspect in the construction industry. Some of the responses demonstrate
more dominant relations to its prominence. BLL definitively state CSR should be part of
a company’s ‘licence to operate’ with Kier illustrating that businesses in the industry
cannot survive without it, and the Royal BAM Group defining that substandard
sustainable performance could result in loosing you licence to operate. These are
extreme but effective fortitudes of its relevance to the industry.
Question 2 – Do you think CSR has Economic Remunerations?
Contemplative Summary
Looking at the bottom line of all business activities is the inclusive aspect of economic
viability. The general purpose of this question was not just to reference economic in a
financial facet, but rather in an undefined expression, which was gathered by some of
the respondents. Agreeing with the opinion of Friedman (1970) in the secondary
research stage, P. Elliott and Skanska also strongly implement that it has economic
benefits in the financial terms. However it is over time that it will be perceived and not
in immediate succession as some believe. Interestingly looking at the breakdown of
the elements by Carillion’s Nick Drake it gives the reader a clear understanding of the
where the savings can be made in relation CSR policies through efficient management
and execution of the tasks.
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All respondents believe CSR development creates higher standards of living while
preserving the profitability of the organisation for people within and external to the
organisation. This is due to the fact that customarily CSR concerns centre on how the
construction business might affect people and environment, while, improving effective
management and reputation which evidently collates with the views of (Hopkins,
2007) in the literature review.
Admiringly none of the respondents show condemnation against the economic
benefits, effectively all illustrating positively to some form of benefits from financial to
stakeholder improvements to enhanced reputation. Concluding in the words of Bovis
Lend Lease’s Andrew Kinsey ‘what goes around comes around’.
Question 3 - Do you feel the Governments should imply legislation to ensure
companies are more responsible?
Contemplative Summary
With the governments setting targets such as the UK’s 2020 strategy and the
government white papers in conjunction with the Kyoto protocol described in the
literature review, it is inevitable that in some way or form the governments will
introduce legislation such as the recently discussed carbon tax impediment, to ensure
companies are being more responsible. All the respondents recognise these concerns
but the overall unanimity is that government driven policies and legislation will provide
only a benchmark for CSR recommendations, and the socially responsible companies
should exceed these standards through conformity of their own initiatives.
As with the previous response’s regarding its implementation methods, a number of
the interviewees believe government policies will only force people to instigate the
programs resulting in retaliation and non-conformance. The policies should be driven
by employee motivation and ambitions as predominantly recommended in the
preceding responses.
Conversely in full agreement with the responses of Laing O’Rourke’s Mairead Dennehy
and P. Elliott’s Cyril Keegan, looking at the concept of implementing a similar scheme
to the CCS instigated by the CIF (Construction Industry Federation), not necessarily
introduced by the government but certainly backed by the state as it is in the UK, this
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would certainly help introduce the Irish industry to CSR on an informative and practical
scale.
Finally resolving the issue with a paragraph from the Harvard Business Review written
by professors Michael E. Porter and Mark R. Kramer (2011) stating,
“Governments, for their part, have often regulated in a way that makes shared value
more difficult to achieve. Implicitly, each side has assumed that the other is an obstacle
to pursuing its goals and acted accordingly”
Question 4 - How would you rank your company’s performance in social and
environmental aspects of the industry?
Contemplative Summary
Appraising the copious organisations that have instigated CSR practices from an early
stage, the author believes their achievements are administrated through local and
international accolades, dictated by recognised bodies such as inclusion in
sustainability indexes (FTSE4GOOD, and Ethibel), CCS gold, silver and bronze awards,
BITC honours, and the illustrious ‘Sunday Times Best Green Company’ list.
There are numerous methods of valuing company performance, from employee
motivation and productivity to achievement of reputable accolades from renowned
organisations. It is important to note that although performance indicators change
depending on the structure and size of the business all accomplishments should be
documented as a respectable and honoured attribute to the consequences of CSR
applications.
Question 5 - In your opinion what is the main influences of your organisations CSR
activities through the following - Philanthropic responsibility, Economic
responsibility, Ethical responsibility and Legal responsibility
Contemplative Summary
The literature section expressly depicts the stated classifications of responsibilities and
comprehensively dictates the various natures of each specified characteristic. The
defiant relative theory described in chapter 3 was the ethical philosophy, as illustrated
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by Mulleret (2009). It is the responsibility to exceed legal and financial requirements,
primarily influenced by the moral obligation of the organisation. Contrasting to initial
thoughts of the author, all the responses quantify that it is in fact a combining theory
representing all of the concepts in some way. However, influenced by the nature of the
answers it can be speculated that the ethical theory is a primary influence of CSR
policies, followed by general legal requirements, philanthropic activities and economic
through the obligations of the shareholders.
The structural criteria for successful implementation in terms of the above sections, is
to surpass the obligations set out by the statutory bodies (shareholders, stakeholders,
governments), thus consequently transcending past the preceding philosophies in a
socially responsible approach.
Question 6 – What do you feel the main aspects of CSR present?
Contemplative Summary
CSR is a broad concept involving countless aspects which inevitably improve the social
appearance and reputation of an organisation (Mullerat & Brennan, 2005). The
purpose of this question was to understand from a construction professional attitude
the central characteristics of CSR in the industry. Exposing the principle opinions
suggested community interaction and engagement, environmental consciousness and
protection, and employee relations through education and integration in the
community. Dawn Watson of VINCI Construction keenly expressed its relevance to the
previously noted ‘Triple Bottom Line’ by John Elkington (1998), uniting an equal
relationship between the social aspects, the environmental aspects and the economic
aspects, which when subdivided relate to the prominent tasks revealed by the other
interviewees.
Principally delineated by Cyril Keegan of P. Elliot and Kier’s Ian Brooks, the
employment of the local community plays a major part in their CSR activities. This
particular has not been defined in the secondary research stage and perceptibly
outlines an important aspect to CSR policies in the construction industry.
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Question 7 - Do you think CSR will become more prominent over the coming years
within all companies in the industry?
Contemplative Summary
Conclusively contemplating on the various questions examined, combining the
revelation of this query and the preceding question number 5 in the initial section
relating to the obtained benefits, the author regards these as the paramount to the
final concluding chapter. This is reflected due to the influencing parameters of the
responses and their importance to the hypothesis and research aim. Unreservedly the
opinions of all the established organisations reveal the irrefutable prominence of CSR
in the Industry. Supportive in the revelations of the academic literature in the
secondary research stage on the magnitude of CSR (Kotler & Lee, 2005; Morris, 2004;
Allouche, 2006 & Mullerat, 2009) the imperative responses unite the learned
sentiments in a form that represents an undeniable substance of reality in the
construction industry.
Peter Scanlon of Skanska summarises the extent of this intricate question in a simple
and formidable statement,
“If a company does not adapt they will not survive in the industry”
This statement copiously corresponds with the other interviewees in different forms
but the general consensus is that all companies will have to adopt some aspect of CSR
over the next few years if they want to compete in the growing markets where
increasing competition is undeniable resulting new market strategies and innovative
policies.
4.6 Qualitative Research Summary
The opening secondary research stage analysed the potentials of CSR not only
in the construction industry but also on a historical development progression in the
business environment, focusing on KPI’s and remunerations through theoretical
literature and case studies. The literature chapter did not provide a comprehensive
perception of CSR in the construction industry due to the comparatively modernistic
concept, which has not been broadly covered by academics to date. Thus it was
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concluded by the author to embrace this predicament specifically through the primary
research stages. This qualitative investigation of the primary research chapter provided
the author with an unambiguous foundation to successfully achieve an appropriate
and precise conclusion to the objectives and hypothesis, formally set out in the
introductory chapter. The questions were developed in a format to unite the findings
of the secondary research stage fundamentally adding to the overall conclusion of the
dissertation. Using the structured interview format it allowed the author to collate and
organise the responses in a reasonable unpretentious method, comparing any diverse
reactions in a reflective summary.
Upon reflecting and evaluating on the inclusive responses of the various organisations,
evidently it is clear there is a vibrant understanding of the concepts of Corporate Social
Responsibilities between all those interviewed. Predominantly presenting a categorical
similarity amongst the responses in all questions asked, however some respondents
illustrated more precise answers than others, but all demonstrated an impressive
understanding of CSR and all its internal aspects and features. This qualitative
approach will be further projected through the results of the quantitative data which is
statistical evaluated in the second part of the primary research stage. Summarising the
relative objective of the qualitative research undertaking can be accomplished through
the imperative appraisal from Nick Drake of Carillion, asserting that:
“Companies cannot afford to oversee CSR in business society, it is far too important in
this competitive industry”
In conclusion, this principal portion of primary research has provided exceptional
developments in the author’s perceptions towards concluding the dissertation.
Appraising the responses of the interviews in collation with the secondary research
stage unites the direct attraction between the two research methodologies. From the
information obtained thus far in the exploration of studies patently clarifies the
significance of the research project commenced. The subsequent chapter details the
statistical analysis of the quantitative research undertaking. In the conclusion of the
following chapter the author will unite the dispersed research approaches in a
definitively annalistic manner.
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Chapter 5
Findings and Discussions
Part Two - Quantitative Research
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5.1 Chapter Overview
As initially described in the research methodology chapter, the author felt it
was paramount to conduct the two stated methods of research to fully comprehend
the complexities of the research proposed. The online survey was proposed as a
generic research approach, focusing on all business professionals and academics who
demonstrate an acute understanding of CSR in the business environment. The
questionnaires are a vital aspect of the investigation stage of this dissertation and will
stipulate a substantial influence upon which the findings and recommendations will be
grounded. To counteract the palpable issue surrounding the response rate of the
questionnaires, the author took the initiative to join social networking sites relating to
business development and professional interaction, some of which included:
LinkedIn
Yahoo Forum CSR ‘Blokes’ and ‘Chicks’
CSR International
Sustainability Online and
GreenCollarWoman
These provided the author with a comprehensive address list of business professionals
in the area of sustainability and business improvement. To ensure a healthy response
rate, the questionnaires were issued in a personal manner and addressing the
respondent through their first and or second name provided an individual experience
and did not breach any privacy injunctions, as some publicly directed emails would.
This concluding chapter of the primary research undertaking incorporates the
quantitative results which have been evaluated through statistical analysis
systematised into charts and graphs. In the final summary of this chapter the author
accumulates and appraises the two methods of research undertaken by comparing any
dissimilarities or correspondences where appropriate to help encourage the
informative decisions of the closing chapter.
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5.2 Online Questionnaire Structure
The online questionnaires were designed to deliver a user friendly approach
which exhibits a prompt completion time, through structured and stimulated
selections for the majority of the questions. The questions were premeditated to
outline the prominence of CSR activities, attitudes of professionals and where relevant
to the respondent, organisational implementations. The online survey was conducted
through a system called ‘SurveyMonkey’ (www.surveymonkey.com) which allowed the
author to develop the questionnaire using his own format and layout prompted by
examples and tutorials. The survey was developed in three sections and included 28
relevant questions in the area of CSR. These sections encompassed:
1. Background Information
2. Personal Opinion and Views
3. CSR in your Company
The survey received a healthy response count of just under 100 replies, allowing
comprehensive results to be developed by the author. Upon extensive reviewing the
author felt that not all of the questions primarily related to the aim of this research,
thus are not included in the main document. A full illustration of the questionnaire is
included in the Appendix C, which includes all questions originally delineated.
5.3 Respondent Profile and Background
Question 1 – Respondent Information
The ample list of respondents did not signify any trend in business qualifications,
supplying the author with an inclusive catalogue of experienced attitudes,
interpretations, and evaluations on the generalisation of the topics solicited. The
respondent’s backgrounds varied from education to construction to consultancy and
even local governments participated in research. With professional credentials
including CEO’s, Directors, Community Affairs Executives, Directors of Corporate
Responsibility, Civil Engineers, and Corporate Governance Managers. For privacy
compliance no designations will be cited from the participants of this research.
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5.4 Personal Opinions and Views
Question 1 – Personal understanding of CSR
This question contributed to extensive reviewing and evaluation in order to select the
most relevant response for this dissertation. It is not an extensively in-depth
explanation but involves what the author and the literature such as Hopkins (2007)
have illuminated over the course of this research:
“Combining sustainable communities and workforce, natural resource protection and
environmental enhancement, climate change and energy, sustainable consumption and
production to achieve corporate governance”
Or very simple put by another response:
“Going beyond the statutory requirement and cover all areas of the triple bottom line”
Question 2 – Defining CSR
Figure 10 - Defining CSR
In agreement with the authors perception and the discernments of the academics in
the secondary research stage (The European Commission, 2005; WBCD, 2010; &
Lantos, 2001) 92% of the respondents believe that CSR is about promoting corporate
fairness, transparency and accountability through a set of internal rules or processes
by which businesses are operated, regulated and controlled. The reactions to this
question evidently focus on the core values of CSR, illustrating CSR as the way in which
a company manages the triple bottom line, and the way it engages with its
5%
3%
92%
How would you describe CSR under the following Headings
CSR is a set of philanthropicactivities a company carries outvoluntarily on a sporadic basis inthe local community
CSR is the commitment of acompany to strictly abide tonational labour and environmentallaws
CSR is about promotingcorporate fairness, transparencyand accountability through a setof internal rules or processes bywhich businesses are operated,regulated and controlled
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stakeholders rather than a set of policies or obligatory laws, which has previously been
argued by some interviewees as forceful method of implementation (Skanska,
Carillion, & Kier).
Question 3 – Future prominence of CSR in the business environment
Figure 11- Future prominence of CSR in the business environment
Appraising these responses indicates the relevance of significance that CSR has and will
have on businesses in the future, with 80% strongly believing it will become a global
business strategy, additionally exhibiting its certain existence in future society and
business.
Question 4 – Government Involvement
Figure 12 - Government Involvement
Relating these responses to that of the industry based interviews, there is a definite
differentiation between the two types of research undertaking. Contradicting to the
qualitative research where generally the respondents believed the governments
should not introduce legislation, 66% of the quantitative responses trust the
80%
17%
2% 0% 1%
Do you think CSR will become more prominant over the coming years in all business environments
Definitely Maybe Doubtful No Unsure
66%
17%
17%
Do you feel Governments should imply legislation to ensure compnaies are more repsonsible
Yes No Not sure
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government should imply legislation. The author contemplates this to be because of
the various business professionals who completed the survey and in-sight of their
industry it may facilitate CSR development and awareness.
Question 5 – Importance of Sustainability
Figure 13 - Importance of Sustainability
Information taken for the chart demonstrates the substantial importance of
sustainability in all the respondent business organisational environments, indicating
84% relevance. Sustainability is of course a subsidiary of the CSR practices and
furthermore was comprehensively examined by Carillion’s Nick Drake during the
interview process, who partially perceived sustainability as the main definition and
aspect of CSR practices.
Question 6 – Strategic Relevance
Figure 14 - Strategic Relevance
The concluding question of this section combines the previously inquired responses in
a definite illustration of CSR substance as a core business model in an organisation. A
commanding and influential 99% of respondents believe CSR should be incorporated
84%
13% 1% 2%
How Important do you think Sustainability Issues are currently to your business environment
More important Less important Not relevant No opinion
99%
0% 1%
Do you feel CSR is an important policy to incorporate as a business strategy
Yes No Not sure
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as a business strategy. This further demonstrates its prevailing relevance and global
recognition as a dominant underlying concept that will conceivably be addressed as a
prerequisite in the accommodating future and in many cases present environments.
5.5 CSR in your Organisation
Question 1 – How was CSR implemented into your Organisation?
This question was open ended, meaning the author did not provide relevant options to
the respondents. This process was preferred as to provide profusion in the answers,
further analysing the various business implementation methods. Evaluating the
responses the author discovered the principle method of implementation was a
combination of personal/employee pride and motivation and company ethos educated
through the company by top management. These two methods positively collate with
the interview responses and furthermore with the literates in the initial research
chapter.
Question 2 – Implementation Period
Figure 15 - Implementation Period
Contemplating on the limitations of CSR implementation in the literature review
section, Hopkins (2007), Brady, (2005) and BITC (2010) all exert the conceptions that
CSR is not a simple concept to instigate, it takes time and requires a ‘radical rethink’ of
the organisations philosophies and strategies to be successful. As defined by Jim O’
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Brien, an independent CSR consultant during my initial interview stage and in
agreement with the 48% of respondents:
“CSR would take at least a year, and for a bigger company like John Sisk and Son it
could take over a decade in being properly developed. There is a huge amount of work
in developing these strategies and also the reporting would take years to properly
achieve sustainable GRI standards”
Question 3 – Complications of Implementation
Figure 16 - Complications of Implementation
This question was left to a multiple choice selection to allow for a full understanding of
the subsequent problems associated with implementation and the external
environment difficulties. Evaluating the comparable literature in respect to Friedman
(1970) who cited the financial benefits being ‘separated in time’, 31.4% believe CSR
benefits are not immediate, but fundamentally the main complication of
implementation is the lack of knowledge on the subject with 44.2% considering it as
the main complication. BITC (2010) advocate that focus should be on continuous
education of staff, which will facilitate the long term effects and successful
implementation of CSR.
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Question 4 – Influential factors of CSR
Figure 17 - Influences of Acquisition
Comparing the respondents of the quantitative and qualitative research, the prevailing
trend of the responses indicates the ethical motivation of top management as the
main motivating justifications at 36.8%. The interviews sustained that executive boards
and the enthusiasm of employees proved the paramount impelling stimulations of CSR
growth in the organisation in question (Carillion, BAM, and PJ Hegarty). Some of other
responses included ‘all of the above’, with two of the respondents indicating CSR as
their core business driver.
Question 5 – Reporting
Figure 18 - CSR Reporting
What are the main influences and reasons behind your company’s involvement in CSR?
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This question proved in unanimous favour that 50.6% of the respondents do not
incorporate reporting guidelines or initiatives. But the author felt there were some
interesting reports which were not covered in the literature review section.
Interestingly they include a CDP report (Carbon Disclosure Project) which indicates
carbon output of an organisation, and interestingly the UNPRI, as described by Sanders
(2008) is the United Nations backed guidelines on the Principles for Responsible
Investment, which is also similar to the SRI and GRI as dictated in the secondary
research stage. Fundamentally, the main report concluded to be the GRI which has
been conceived by nine of the respondent’s organisations.
Question 6 – Environmental Management Systems (EMS)
Figure 19 - Environmental Management Systems
As suspected through the variety of respondents to this survey, the author conceived
the perception that many of the organisations due to their irrelevant working
environments would not incorporate an EMS. However 26.2% of the responses
indicated the use ISO 14000, an EMS which has been portrayed in the literature
review. As with the preceding question this allowed for other specific responses not
listed, which included ISO 65 which a general accreditation scheme for product
certification (ISO, 2011) and Organisation for Responsible Businesses (ORB) which has
been designing polices for SME’s to achieve the set requirements for responsible
business practice (ORDUK, 2011).
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Question 7 – Economic Benefits of CSR
Figure 20 - Economic Benefits
Collectively between all the research implemented and appraised by the author, the
fundamental economic ‘bottom line’ of business has been mutually conceived to be an
established consequence of CSR practices. An inspiring 87.8% of the survey
respondents and 100% of the interviews highlighted that CSR has economic benefits
both financially and through productivity and employee satisfaction. This is further
demonstrated in research carried out by KPMG (2005) and the literature of Hopkins,
2007 and Mullerat (2009), who all illustrate the ‘bottom line’ benefits.
Question 8 – Company Benefits
Figure 21 - Company Benefits
This multiple choice question has substantiated the internal and external benefits in
which a company can gain once CSR has been implemented. These benefits not only
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demonstrate the paramount reasons for employing CSR practices but also a
professional view on the understanding of CSR in a global context. The literature
extensively covered a trivial list of the benefits (Mullerat, 2009, Talbot, 2010; &
Business and Leadership, 2010), which are predominantly common to the primary
research findings, further ensuring their relevance in business society and the
beneficial conclusions of CSR practices.
Question 9 – Company Performance
Figure 22 - Company Performance
This question provided a personal answer on the respondent’s organisation. It is a
difficult question to evaluate and analyse, based on the variability of the organisations
that completed the survey. The term excellent demonstrates companies such as BAM,
Skanska, Carillion, Vinci, Mott Mac Donald, Kier, WSP and Bovis Lend Lease, who all
exert their excellence through GRI and CSR reporting and EMS, and also the
community related work they have completed.
5.6 Quantitative Research Summary
The preceding chapter outlined the CSR accountabilities of construction based
professionals, demonstrating company theory, knowledge, opinions and learned
experiences. The principal purpose of the survey responses was to gather a global
business perspective, but evidently they reinforced the dominant primary research
undertaking, fully comprehending the importance and inevitable development of CSR
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in the current fragmented construction industry. The survey definitively presented
comprehensive results which are palpably comparable to the dominant research
already undertaken.
The quantitative and qualitative stages of research were essentially developed on the
back of the secondary research and the CSR professional interviews, which enabled the
author to equate, evaluate and assess any patently contrasting views or results
throughout the primary research stage. The various phases and varieties of research
allows any contrasting views to be assessed and appraised based on the prevailing
opinions of the literature, interviews, and survey responses, resulting in attaining the
veracious and respectable supposition and conclusions. This meant the responses were
expansively substantiated or contradicted in the summarisation of each question. It is
the developed opinion of the author that this ancillary research stage provided uniting
thoughts with the aforementioned research and will indisputably facilitate the final
subsequent chapters of concluding the predetermined aims and objectives of the
dissertation.
5.7 Primary Research Conclusion
Appraising and analytically evaluating the collation of explorations into the
development and subsidiaries of CSR implementation through the various
investigation methodologies undertaken by the author has positively proved the
expressive thoughts of the research in respect to the hypothesis and objectives stated.
Effectively all the preconceptions of the research have been commendably delineated
through selected methods of analysis and examination of both academic and practical
exploration. The author aspires to influence and encourage the growth and realisations
of CSR in the construction industry justifying this by portraying revolutionary examples
of accomplished companies such as the corporations enumerated previously in the
interviews and the literature presented. The results thus far predominantly
exemplified the predetermined considerations and have unquestionably provided a
stern basis for the author to formulate the recommendations as to the research in
practice in the subsequent concluding chapters. The author will also make
considerations to the further research that can be conducted in this area to further
demonstrate the principle objectives of the research undertaken.
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Chapter 6
Conclusions and Recommendations
“be the change you want to see in the world”
- M.K Gandhi (1869 – 1948)
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6.1 Chapter Overview
Amalgamating the ample information obtained in the multiplicity of research
completed over the previous chapters, the author can present the subsequent
informative conclusions regarding the objectives stated in the introductory chapter
along with recommendations to improve CSR activities in the construction industry. To
fully comprehend the instructive objectives presented, the author consumes the
attitude to isolate each of the five objectives into distinctive conclusions. The principle
intention of this method of evaluation is to independently assess each of the
objectives, ensuring they are adequately appraised through the utilisation of the
previously obtained research methodologies.
6.2 Research Aim and Objectives
6.2.1 Research Aim
The subsequent aim will be tested through the conclusion of the predetermined
objectives.
“Illuminating the prominence of incorporating CSR as an imminent organisational
feature to succeed in the future markets of the construction industry”.
6.2.2 Research Objectives
1) To literate the prominence and connotation of Corporate Social Responsibilities in
the Construction Industry through its historic development and characteristics.
The initial contention of the research objectives sets the elementary foundation for
which the author can acknowledge and develop the research undertaking in a manner
that articulates the successive research fluently. Observing and envisaging the
historical development of CSR is a difficult area to comprehend, especially in respect to
the construction industry, where many organisations traditionally exerted CSR aspects
through their ethically obligated internal objectives which are not associated with any
of the modern programmes or external organisations. This conception has been
intentionally established throughout the research stages, with personal observations
during the primary research stages. Through subsequent literature the author
compiled a list of classifications of CSR that through numerous defined motives have
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industrialised over the years. The practical research concluded a dominant combined
illustration of the various categorisations achieving an appreciative understanding of
the internal obligations of CSR. The multiplicity of research undertaken has established
a refined collection of historical development patterns from a collective business
perspective as well as construction related maturities. Uniting both perceptions the
author has fostered a number of appraised and evaluated CSR progression precedents
in the business environment with emphasis on the construction industry. These
expansions encompass the following:
1. Globalisation
2. Influential Sustainable Reports, Movements and Frameworks
3. Historic Reputational Characteristics
4. Internal Ethical Compulsions
This reviewed compilation has been accumulated to establish the focal influential
factors regarding the development and incorporation dynamics behind CSR practices in
the construction industry. It is the thought of the author that this initial objective sets a
precedent for the subsequent objectives in a manner that represents a basis for its
theoretical and applied understanding.
2) To appraise the research developments concerning the motives, drivers and market
influences for company change towards social, sustainable and environmental
strategies.
Throughout the investigation of this dissertation numerous authors described their
definitive and valued opinions on the various aspects of CSR in its integrity as a
business concept. These academic sentiments in most instances were reinforced
through the quantitative and qualitative methodologies of learned professionals. As
one of the main paradigms, the literates considered the compulsions of the
organisations as the foremost stimulating strategy. Underlining the ethical motives is
the influential contributories of external organisations, focusing on the social,
environmental and sustainable perspectives, providing guidelines and assessment
tools facilitating businesses to implement accomplished CSR systems. These schemes
have provided the industry which a benchmarking apparatus to assess strategies and
targets through comprehensive external analysing and evaluations. Not only will these
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external organisations provide inclusive results, but will influence the selective
opinions and performance observations of stakeholders and essentially regarding the
bottom line, shareholders.
Evaluating the various research contributions throughout the dissertation the author
compiled a list of the diverse factors that have provided a baseline for efficacious