Performing Corporate Social Responsibility of State Owned Enterprises: A Good Governance Perspective

Abstract

The so-called Corporate Social Responsibility (CSR) is one of a kind of enterprises’ participation in sustainable development to their surrounding communities. Implementation of CSR programs involved various parties, both from inside the enterprises (e.g. shareholders, directors, and employees) and from outside the enterprises, i.e. the stakeholders in a broader sense. The involvement of various stakeholders in the CSR implementation process was aimed to create efficiency, transparency, and accountability. These three elements are then referred to as the Good Corporate Governance (GCG). CSR implementation synergy in term of the role of the three actors, namely the government, enterprises and communities determined the effectiveness of the utilization of CSR funds for social and economic development of community in the surrounding area(s) of the enterprises.

Keywords: corporate social responsibility, good governance, good corporate governance