The role of Corporate Social Responsibility (CSR) and organisational

competitiveness.
Abstract

Corporate Social Responsibilities is a very common trend in the business world

nowadays and it has some significant impacts on different functions of a business. The
research aims to find out the role of Corporate Social Responsibility (CSR) and
organisational competitiveness from the perspective of John Lewis Partnership. The
research has focused on finding the roles of CSR on the competitiveness of the
business in the context of John Lewis Partnership. The researcher has included the
aim, objectives, and questions of the research and makes the analysis of the CSR
report of John Lewis Partnership doing the study using the positivism philosophy and
deductive approach.
Table of Contents
Abstract..............................................................................................................................2

Chapter 1: Introduction......................................................................................................5

1.1 Background..............................................................................................................5

1.2 Problem Statement..................................................................................................5

1.3 Rationale..................................................................................................................6

1.4 Aim...........................................................................................................................6

1.5 Objectives................................................................................................................6

1.6 Research Questions................................................................................................7

Chapter 2: Literature Review.............................................................................................7

2.1 Corporate Social Responsibilities (CSR).................................................................7

2.2 Theories and Dimensions of CSR...........................................................................8

2.3 Competitiveness and the Dimensions of it...............................................................9

2.4 CSR and Productivity and Brand Image................................................................11

2.5 CSR and Performance...........................................................................................11

2.6 CSR and Innovation and Quality...........................................................................11

2.7 Conceptual Framework..........................................................................................12

Chapter 3: Methodologies...............................................................................................12

3.1 Philosophy..............................................................................................................12

3.2 Approach................................................................................................................13

3.3 Method...................................................................................................................13

3.4 Strategy..................................................................................................................14

3.5 Data Collection and Analysis.................................................................................14

3.6 Ethical Issues.........................................................................................................15

Chapter 4: Research and Findings..................................................................................15

Chapter 5: Conclusion.....................................................................................................16

Chapter 6: Recommendation...........................................................................................17

6.1 Further Study.........................................................................................................18

References.......................................................................................................................19
Chapter 1: Introduction

1.1 Background

As businesses in the market fight for the same customers, they have to have a unique
capacity to meet the customers’ expectations. In this regard, businesses have to
innovate new products and services where the businesses’ internal employees play a
vital role. Still, businesses have to struggle to gain the attention of the customers’
because the new business trend is you have to do something good for society beyond
your business motive. Corporate social responsibilities (CSR) is a new trend of business
which is focusing on the society and doing some social works as the business is a part
of the society and it is responsible for some issues of the society. So, it is now a must
that the businesses have a sound policy of corporate social responsibility where the
business will engage in some activities that are not directly related to their objectives.
The investigation on the role of CSR on the competitiveness of the organisation will find
out the significance of CSR for and organisation and the role of it in organisational
competitiveness.

1.2 Problem Statement

Corporate social responsibility (CSR) has been an important issue in business

management for decades. Corporate social responsibility (CSR) has been touted as an
effective management tool to strengthen the organisations’ performance through a
better image in stakeholder's mind and because of their responsible behaviour toward
society and environment.

Intense competition has in many markets decreased the prospects for differentiation in
terms of technology and product/service quality. For this reason, CSR becomes an
important attribute that can enhance a company's image. Business organisations face a
constant struggle for market differentiation and increased profitability, as well as in
attracting both consumers and the necessary top talent for employment. A central
element on those efforts comes from corporate social responsibility (CSR) programmes
that attempt to align the business elements of the organization with social and
environmental aspects of significance for its customers and stakeholders.

1.3 Rationale

Business is a social organisation that is aimed to earn its objectives by providing

services or selling goods in a society. As being a big part of the society, the business is
having some roles and responsibilities for the society which can be helpful for both
society and businesses. Corporate Social responsibilities (CSR) is a new trend of
business which is focusing on the society and doing some social works as the business
is a part of the society and it is responsible for some issues of the society. Over the last
few decades, businesses are using the trend of CSR for having effective management
and strengthen strategies of the business. There are some significant impacts of CSR
on the development of business and the success of the business can get influenced by
it. Besides, business is having some competitive advantages while using the CSR
function. But the role of CSR in the competitiveness of business is still unknown. There
are some studies made on CSR and organisational performance and other functions.
But there were not enough studies on the role of CSR in the competitiveness of the
business. For this, the researcher has found some significant scopes of conducting the
research on the topic to find out the roles of CSR in the competitiveness of a business.

1.4 Aim

The research aims to find out the role of Corporate Social Responsibility (CSR) and
organisational competitiveness from the perspective of John Lewis Partnership.

1.5 Objectives

There are some specific objectives for conducting the research. They are:

 To know how the CSR activities of an organization can boost business growth.
 To know how CSR policies are related to organizational competitiveness.
 To know how the CSR activities of John Lewis Partnership are thriving the
organization to organizational competitiveness.
  To know what CSR policies of John Lewis Partnership can bring a more positive
image among the customers as well as other stakeholders.

1.6 Research Questions

The research questions are-

 How can CSR activities of an organization boost business growth?

 How are the CSR policies related to organizational competitiveness?
 How are the CSR activities of John Lewis Partnership thriving the organization to
organizational competitiveness?
 What CSR policies of John Lewis Partnership can bring more positive image
among the customers as well as other stakeholders?

Chapter 2: Literature Review

2.1 Corporate Social Responsibilities (CSR)

Porter & Kramer, (2006) stated that the inter-relation between business entities with
society integrates the concept of business and societal. The importance of
organisational strategic objectives is related to the thinking of corporate responsibilities
that can bring long-term success for the organisation to achieve the goal in a healthy
society. According to Dobers, (2010) the concept of CSR was progressed over the last
few decades from Social Responsibilities (SR) to the Corporate Responsibilities (CR)
and made the new one called Corporate Social Responsibilities (CSR). The study of
Jeppesen, Kothuis, and Ngoc Tran have discussed it broadly in their study and named it
Corporate Social and Environmental Responsibilities (CSER). According to Coombs
and Holladay (2012), CSR is not mandatory for business by the law but it is important
for the organisation, stakeholders, and customers and further stated that “integral
element of the firm’s strategy” and “a way of maintaining the legitimacy of its actions in
the larger society by bringing stakeholder concerns to the centre.” However, Péres and
Bosque, (2012) described different degrees and commitment level of the organisation
and found that some organisation is having a consistent belief of CSR and some are
having to terminate CSR activities.

2.2 Theories and Dimensions of CSR

Dahlsrud (2008) have mentioned five major dimensions of CSR based on the analysis
of different definitions of CSR (37 definitions).

Figure 1: Five Dimention of CSR (Dahlsrud, 2008)

Fisher et al., (2007) have defined different dimensions of CSR in their work where they
have mentioned vision, workplace, accountability, the marketplace, community relation,
and organisation culture as the dimensions of CSR.

Claydon, (2011) defined Vision as the description of how a corporation should act like
while avoiding how it is currently acting. According to Padhiyar, (2013) toward the vision
of an organisation, the organisation uses the external opportunities and internal
competencies for achieving the mission of it known as the vision.
According to Jacques, (1999) workplace is an element of business that can affect the
quality of a product or service. In the study of Emmott and Worman, (2018) workplace
was defined as the place of work for the employees of an organisation where they are
getting the treated from the organisation.

Bergsteiner and Avery, (2010) stated that accountability id the specific responsibilities of
an organisation towards the stakeholders of it which can be used in the absence of
responsibilities and bring significant outcomes for the business.

Vilanova et al., (2009) stated that the marketplace is an aspect of CSR that practices
related to the activities of the business. According to Gugler and Shi (2009), the
organisation is having better access to finance and market.

According to Chiara and Spena (2011) community is a group of stakeholders with a lot
of importance and it was identified in the term of local society. The study stated that the
good relationship between local community and business can be a big strategic
business policy to present its responsibilities.

Hamilton, (2006) stated that organisational culture is playing a very significant role in a
different type of CSR like organisational behaviour, code of conduct etc. Jaakson et al.,
(2012) stated that “Culture is the sum total of all the shared, taken-for-granted
assumptions that a group has learned through its history.”

2.3 Competitiveness and the Dimensions of it

Haigh and Jones, (2006) stated that competitiveness is a driver for adopting the
practices of CSR which is considering the non-price and price qualities. According to
Ambastha and Momaya, (2004) competitiveness is the ability of a business to produce
and design the products and services better than the key competitors and offer them
considering the non-price and price qualities. The study had further mentioned
productivity as a representative of competitiveness which indicates the long-term
competitiveness of the organisation. Vilanova et al, (2009) there are different factors like
reputation, internal and external relationship, innovate, strategic assets etc. and
dimensions like performance, innovation, image, productivity, quality etc.
 Figure 2: Five Dimensions of Competitiveness (Vilanova et al, 2009)

Pérez and Bosque, (2012) have defined the image as the perception of the
stakeholders towards the business organisation. The study had mentioned that when
the stakeholders of the organisation are receiving their expectation from the business, it
influences the effectiveness of the strategies of the business.

Carayannis, Grigoroudis, (2014) have identified productivity and innovation as the

engines of increasing the competitiveness and it is the value of the output by the
employees of the organisation. In manufacturing, productivity includes the number of
units produced per hour.

Vilanova et al, (2009) defined performance as the measurements of finance related to

the earnings, profit, sales, growth, and profitability of the business.

Ghauri and Cateora, (2010) have mentioned that quality is a dimension of

competitiveness that satisfies the needs of the consumers of a business organisation.

According to Carayannis and Grigoroudis, (2014), innovation is the concept of bringing

something new which is effective, and it is a component of competitiveness as it can
provide some competitive advantages.
2.4 CSR and Productivity and Brand Image

According to Stuebs and Sun, (2010) image and reputation is a fundamental part of the
relationship between CSR and competitiveness and it helps to initiate and develop the
strategies of CSR within an organisation. Vilanova et al, (2009) stated that
organisational productivity can influence the function of CSR as most of the businesses
are investing a part of the profit in this fund and more productivity brings more profit.

2.5 CSR and Performance

According to Hess et al, (2002), suggested performance as a key measure of adopting

CSR as it evaluates the financial measures of a business such as earnings, sales, profit
etc. Porter, (2008) stated that organisation can operate a long term advantage and
improve the performance by using the CSR function.

2.6 CSR and Innovation and Quality

Riel and Rekom, (2007) stated that “the moral obligations that maximize the positive
impact of a firm on its social environment and minimize the negative impact.” According
to He and Li, (2011), there is a significant effect in the brand identification on the quality
of services and the Corporate Social Responsibilities (CSR) by the organisation.
2.7 Conceptual Framework

Figure 3: Conceptual Framework (Source: Self)

Chapter 3: Methodologies

3.1 Philosophy

There are different philosophies to be used in research like an interpretivism, realism,

positivism, pragmatism etc. The positivism philosophy followers are holding a positive
assumption and affirmative belief for the research issue related to the social reality. In
this way, the researcher uses the timely and relevant data set to make an in-depth
analysis of them related to the research issue. On the other hand, the followers of the
interpretivism are holding a mind of question where the subjectivity of the research is
being supported and it is opposite to positivism.

The research is mainly designed by considering different contingent issues that lie with
the research topic. Here, the researcher is having an affirmative belief that the research
will get some significantly positive outcomes regarding the role of CSR in the
competitiveness of the business and so the research is based on positivism philosophy.
This philosophy ensures the research outcomes that the research achieve closely
represent the reality.

3.2 Approach

The approach of research helps the researcher to determine the tasks and outlines of
the research and find out the significant outcomes by reforming the work in a sequential
manner. There are two most used approaches of research likewise the deductive and
inductive approach. In a deductive approach, the researcher starts the study with
searching relevant and existing literature to make a critical review of the existing
resources regarding the issue, then find out the hypothesis, collect data, analysing them
appropriately, and finally generate the outcomes of the research. Contrarily, in the
inductive approach, the researchers make the observation on the issues of the research
first and build hypothesis, collect and analyse data for patterns and finally build theory
again on the issue of the research.

The research will be completed with the help of other associate researchers and
everyone will have a contribution in all the major parts of the research. The research will
include the deductive approach. This is because the research primarily focuses on the
existing knowledge in this field and then collect data from a respective organization to
reach a conclusion

3.3 Method

To select the method of research, the researcher made the choice regarding different
issues related to the research like the nature of data, the process of analysis to
generate significant outcomes etc. in the quantitative method of research, the
researcher collects quantitative data and do the numeric and statistical analysis of the to
get the results in the quantitative method. Again, in the qualitative method, the
researcher collects data as statements to make the pattern search and generative the
results in a narrative report format.

The research will mainly be based on secondary data, but it will also include real-life
observation to have a depth understanding of the topic. Here, the real-life implication of
CSR activities of John Lewis Partnership will be observed to know whether they are
facilitating organizational competitiveness. The research will be a mixture of quantitative
and qualitative technique to show the real picture.

3.4 Strategy

There are different strategies to be used to generate the outcomes of the research like
the interview, survey, grounded, theory, case study, and archival research etc. Different
strategies are used in a different situation and it depends on the type of research and
the willingness of the researcher. In this study, secondary data has been used, and it
will be collected from real-life business practice. Here, CSR activities of John Lewis
Partnership will be observed to know whether they are facilitating organizational
competitiveness. For this, the strategy of data collection is to collect the annual CSR
report of the John Lewis Partnership.

3.5 Data Collection and Analysis

The research contains the features of both quantitative and qualitative research. After
the collection of data, data will be categorized into several classes to reach a certain
conclusion. The collected data after proper classification will be presented through
different summative statistics, bar charts, pie charts. The objective here is to give a
clear indication of the research outcome to the stakeholders. At the end of the analysis
part, there will be a thorough discussion of the data findings that will link between the
theory and real-life business practice. Based on that, there will be some
recommendations on how the company can foster its competitiveness with the help of
market-oriented CSR policies.
3.6 Ethical Issues

In this research, the researcher fulfils all the ethical requirements of conducting the
research. Here, the annual CSR report of John Lewis Partnership has been used and
for this, the consent of the authority has been taken. Data from the report is not
misrepresented and no changes are made here. Data has been used without any
changes with the real-life implication of CSR activities of John Lewis Partnership will be
observed to know whether they are facilitating organizational competitiveness.

Chapter 4: Research and Findings

The research is based on the analysis of the CSR report of John Lewis Partnership and
this part of the study will cover the basic findings from the analysis of the CSR report of
the organisation.

According to the findings, the organisation is aimed to always be fair where they are
willing to give customers confidence in the products and ensure the growth and
customer relationship. The organisation is taking a long-term view on the people and
supply chain management. The investment of the organisation helps it too strengthens
the relationship with the growers. According to the report, £11 million has been invested
back into the social and community projects in the 2018/2019 session which is a very
big amount from the organisation. As the organisation is having some challenges in the
farming and fishing process, it is looking for building a long-term relationship with the
worker's welfare and committed to sustainable and ethical practices. The organisation is
also tracking the record of animal health welfare and the approach is supported by 28
NGOs of animal welfare. Here, 91.2% of fishes have come from the third-party
responsible sources when it was 89.6% in the previous year. Growing and sourcing the
feed on the animal can bring a sustainable challenge for the business. The analysis of
the total of Timber, Cotton, Palm oil, and Feather and Down have been increased in
2018 while the total of Soya has been decreased.

The organisation is willing to creating an inclusive culture and diverse in the community
wellbeing and the wellbeing of nursing as the business is focusing on the future and
believe that their business depends on the partners and other stakeholders. According
to the report, the John Lewis Partnership Foundation has donated over £870k for the
community and volunteering services and the organisation is having more than 24,500
hours of the partners in volunteering to 52 organisations. In 2018, the organisation
celebrated 10 years of community matters which means it was a very long time for the
organisation. The John Lewis Partnership Foundation was established in 2007 with a
view to being beneficial for the communities in which the business is operated and the
focus of the project was to support employment and support building for the
communities. The organisation included the diversity and inclusion function by which
they can run the business successfully which aimed to give every partner the
opportunities of reaching to the potential. Another very important focus of the business
is to support the partners with the health and wellbeing while they are investing in the
sector to ensure high-quality products to the customers that they can have a healthy
and balanced lifestyle. In 2018, the business trained over 100 specialists of eating who
is giving advice to the customers. The organisation is having more than 400 champions
of wellbeing across the partnership. The report says that 18 of their 49 large businesses
are under the healthiest workplace survey.

Another very important point of the CR report of the organisation is that they are not
wasteful, and they are willing to use the natural resources and like to innovate to reduce
the environmental impacts and protecting long-term financial sustainability. The report
says that the aim of the business is clear that they want to be the solution rather than
being the problem and buildings and transport sector is having a road map by the
organisation to 2050. The firm is determined in sustainable and healthy building and
assessing the risk of climate which is a big part of CSR. The organisation is willing to
reduce the waste of food and takes the plastic initiative as a part of CSR.

However, all the approaches of the organisation were focusing on the outcomes of the
business and the activities are achieving different organisational objectives for John
Lewis Partnership like productivity, quality, image, performance, and Innovation etc.
Chapter 5: Conclusion

CSR has grown up as one of the biggest areas of interest by the corporations in this
century and the relationship regarding the competitiveness and CSR is in the high
intention of the business over the last few decades. The study has analysed the
dimensions of CSR and their impacts on the dimensions of Competitiveness. The
researcher has identified the concepts based on the literature review of the research.

According to the findings of the research, the John Lewis Partnership is doing several
activities related to the functions. The organisation is very careful about the
stakeholders and they are ensuring different services of them. The organisation is doing
different community and volunteering activities which can be positive customer image
and provide some competitive advantages. As the firm is donating a big amount in this
fund the business can get a positive reaction from the customer's that can bring
competitive advantages. Another significant point from the findings is the investment of
the business in the health and wellbeing sector which is ensuring the quality of the
products that is directly related with the satisfaction level of the customers and they
might be attracted to the business. The business is also working for the safety of the
buildings and decrease the waste of the resources which can bring the effectiveness for
the business. However, the use of the CSR function is significantly working for the
business as the financial and non-financial measures of business are indicating the
increases of the amount. Thus, CSR brings the effectiveness of business and provides
the competitiveness of the business very strongly.

Chapter 6: Recommendation

The findings from the analysis of the study are significantly showing very influencing
results regarding the role of CSR on the competitiveness of the business. The study
was effective, and it found significantly positive outcomes as there is a positive role of
CSR on the competitiveness of a business. An organisation who is using CSR
strategies for the business can get some advantages in the market. As the business is
doing their activities for achieving the goals and objectives, the strategies of CSR is also
focusing on the same measures. As the use of CSR ensures the responsibilities for the
society, the stakeholders are getting satisfied with the business. However, the business
can get lots of advantages from here.

Though John Lewis Partnership is getting significantly positive outcomes and

competitive advantages from the role of CSR, there might be some difficulties and
challenges. The business is having many costs on CSR project, but the key customers
are not getting connected with the information and sometimes the business cannot get
enough outcomes from the CSR investment and strategies. So, the organisation needs
to promote their CSR activities more effectively and get positive outcomes.

6.1 Further Study

The study of the findings of the role of CSR on competitiveness shows a significantly
positive relationship between the dimensions of CSR and the dimension of
Competitiveness. “The researcher has found the culture of CSR to be investigated and
it would be interesting to study how culture management as a distinct dimension of CSR
impacts on competitiveness.”
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