INNOVATIVE MODEL FOR IMPLEMENTATION CORPORATE SOCIAL RESPONSIBILITY TO REALIZE GREEN SMALL AND MEDIUM ENTERPRISES: EVIDENCE FROM JAPAN AND INDONESIA

Ratna, Candra Sari and Indah, Mustikawati and Nasution, Nasution and TSUCHIYA, TAKESHI (2014) INNOVATIVE MODEL FOR IMPLEMENTATION CORPORATE SOCIAL RESPONSIBILITY TO REALIZE GREEN SMALL AND MEDIUM ENTERPRISES: EVIDENCE FROM JAPAN AND INDONESIA. INNOVATIVE MODEL FOR IMPLEMENTATION CORPORATE SOCIAL RESPONSIBILITY TO REALIZE GREEN SMALL AND MEDIUM ENTERPRISES: EVIDENCE FROM JAPAN AND INDONESIA.

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Abstract

Corporate social responsibility (CSR) has become widely discussed topic, especially from the point of view of a multi-national company (MNC). CSR in small and medium enterprises (SMEs) is a relatively new topic in the research. There are several barriers for SMEs to implement CSR. However some SME voluntary engage CSR activity. This study aims to explore how the perception and understanding of SMEs on CSR, How far the indonesian SME already implement corporate social responsibility and Determine the factors that drive the adoption of CSR for SMEs in Indonesia. Most of the owner manager are not familiar with the term of CSR. About 52% of SME in Indonesia are still using polluted materials, and only 15% of companies have "clean" materials. The value of SME Owner-manager is a key factor that motivates SME voluntarily adopt CSR. Fewer hierarchical level permit Owners-Manager contact with all employee and personel in company. The effect of owner manager value are thus likely to be more direct in SME rather than in MNC (Forbes, 1999). As a key decision maker, owner-manager has possibility to shape corporate value and culture other than profit. Personal value of SME owner managers have a positive impact on the implementation of CSR. Concern company related to workplace, customer and environment will have positive impact on the reputation of the company. Although concern for the environment have a positive impact on the reputation of the company, but there are many SMEs in Indonesia are using materials that are not environmentally friendly. This is due to the use of natural materials will increase the cost of production. Hence SME need a partner to implement their CSR. Model Implementation of CSR by Chubu Electric Power Japan can be used as a reference for Big companies in Indonesia to assist SMEs in implementing CSR. Required an innovative model for the implementation of CSR for SMEs because liberalization require SME to meet international quality standards.

Item Type: Article
Additional Information: FE UNY
Uncontrolled Keywords: CSR
Subjects: Manajemen
LPPM
Divisions: LPPM - Lembaga Penelitian dan Pengabdian kepada Masyarakat
Depositing User: LPPM UNY
Date Deposited: 16 Jun 2015 07:18
Last Modified: 26 Oct 2015 07:33
URI: http://eprints.uny.ac.id/id/eprint/20744

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