From Company Reputation to Environmental Performance. The Context of Corporate Social Responsibility Port Manager in Indonesia
Abstract
This study focuses on the influence of management commitment, service orientation and stakeholder role in affecting company reputation and environmental performance of State of Enterprises (SOE) in Indonesia. Some CSR managers in state-owned enterprises, especially in state-owned ports enterprise are facing problems about the complexity of allocating funds and CSR programs during field implementation. This study conducted on all managers of one largest port companies in Indonesia which is operating from Sumatra to Papua by using a mixed method. Data collection is done by giving questionnaire to all CSR managers throughout Indonesia and followed by interview and focus group discussion (FGD). Sampling technique is using purposive sampling. The results show that in order to improve the company reputation, company need to increase commitment, give excellent service orientation to the community, and establish a harmonious relationship with stakeholders. The service orientation to the community and the company reputation can improve environmental performance for companies who implement CSR and positively received by the community.
References
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[13] Cojocaru, G. 2011. Management Commitment to Service Quality, Job Embeddedness, and Performance Outcomes: A Study of Hotel Employees in Romania, Thesis , Master of Science, In Tourism Management, June, Thesis, Eastern Mediterranean University, Gazimağusa, North Cyprus.
[14] Cooper 2006. The Impacts of Management Commitment on Employee Behavior: A Field Study, American Society of Safety Engineers Middle East Chapter 7 th, Professional Development Conference & Exhibition Kingdom of Bahrain, March 18-22, 1-8 pp.
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[18] Graafland, J.J. and Smid, H. 2004. Reputation, Corporate Social Responsibility and Market Regulation, Tijdschriftvoor Economieen Management, Vol. XLIX, 2: 271-308.
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[20] Harrison, K. 2017. Why a good corporate reputation is important to your organization. Available at: http://www.cuttingedgepr.com/articles/corprep_important.asp
[21] Hendriques, I. and Sadorsky, P. 1996. The Determinants of an Environmentally Responsive Firm: An Empirical Approach, Journal of Environmental Economics and Management, 30(3): 381-395.
[22] Heskett, J.L., Sasser, E. and Schlesinger, L. 1997. The Value Profit Chain: Treat Employees like Customers and Customers like Employees, New York: Simon & Schuster.
[23] Hill, M. 1996. Social Policy: A ComparativeAnalysis. London: PrenticeHall.
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[29] Kurd, p., Medeni, T., Medeni, T. and Sağsan, M. 2017. Effects of occupational commitment on corporate reputation: An empirical test for a hospital case in North Cyprus, International Journal of Organizational Leadership 6: 17-31.
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[31] Liat, C-B., Mansori, S., and Huei, C.T. 2013. The Associations between Service Quality, Corporate Image, Customer Satisfaction, and Loyalty: Evidence From the Malaysian Hotel Industry, Journal of Hospitality Marketing & Management, 23(3): 314-326.
[32] Lytle, R.S. and Timmerman, J.E. 2006. Service orientation and performance: an organizational perspective, Journal of Services Marketing, 20(2): 136-47.
[33] Lytle, R.S., Hom, P., and Mokwa. M.P. 1998. SERVOR: A Managerial Measure of Organizational Service Orientation, Journal of Retailing, 455-489.
[34] Markham, V. 1972. Planning the Corporate Reputation. London: George Allen & Unwin.
[35] Mathis, R.L., and Jackson, J.H. 2000. Human Resource Management 10th Edition, Tomson South -Western, United States.
[36] Mello, T and Morgado, A.G. 2012. Corporate Reputation: A Combination of Social Responsibility and Industry, Corporate Social Responsibility and Environmental Management, 19(1): 11–31.
[37] Muafi 2015. Green IT Empowerment, Social Capital, Creativity and Innovation: A Case Study of Creative City, Bantul, Yogyakarta, Indonesia, Journal of Industrial Engineering and Management, 8 (3): 719-737.
[38] Muafi 2009. The Effects of Alignment Competitive Strategy, Culture, and Role Behavior on Organizational Performance in Service Firms, The International Journal of Organizational Innovation, 2(1): 106-134.
[39] Muafi 2016. Analyzing Fit in CSR Strategy Research in State-Owned Enterprises: Indonesia Context, Journal of Industrial Engineering and Management, 9(1): 179-206.
[40] Muafi 2017. Is there a relationship pattern between small medium enterprise strategies with performance in technology business incubator?, International Journal of Public Sector Performance Management, 3(1): 18-39.
[41] Muafi and Roostika, R. 2014. Organizational performance and competitive advantage determinants of creative SMEs, European Journal of Economics And Management, 1(2): 7-25.
[42] Muafi, Suwitho, Purwohandoko and Salsabil, I. 2017. Human Capital in Islamic Bank And Its Effect On The Improvement Of Healthy Organization And Employee Performance, International Journal for Quality Research, 11 (4): 849-868.
[43] Petkeviciene, M.S. 2015: CSR reasons, practices and impact to corporate reputation, Procedia - Social and Behavioral Sciences, 213: 503 – 508.
[44] Porter, M.E. and Van der Linde, C. 1995. Green and Competitive: Ending the Stalemate”, September-October Issue. Available at: https://hbr.org/1995/09/green-and-competitive-ending-the-stalemate
[45] Ruekert, R. W., Walker Junior, O. C. and Roering, K. 1985. The organization of marketing activities: a contingency theory of structure and performance. Journal of Marketing, 49 (1): 13-25.
[46] Schultz, H.B. and Werner, A. 2017. Reputation Management. Available at: https://www.oxford.co.za/download_files/cws/Reputation.pdf
[47] Sen, S. 2011. Corporate social responsibility in small and medium enterprises: application of stakeholder theory and social capitaltheory, DBA thesis, Southern Cross University, Lismore, NSW.
[48] Tracey, N. P. 2014. Corporate reputation and financial performance: Underlying dimensions of corporate reputation and their relation to sustained financial performance, Thesis, School of Management, QUT Business School Queensland University of Technology Brisbane, Australia.
[49] Urban, W. 2009. Organizational service orientation and its role in service performance formation: evidence from Polish service industry, Measuring Business Excellence, 13(1): 72-81.
[50] Walker, K. and Dyck, B. 2014. The Primary Importance of Corporate Social Responsibility and Ethicality in Corporate Reputation: An Empirical Study (Spring 2014). Business and Society Review, 119(1): 147-174. Available at: https://ssrn.com/abstract=2404127 or http://dx.doi.org/10.1111/basr.12028
[51] Walker, K. 2010. A Systematic review of the corporate reputation literature: Definition, measurement, and theory. Corporate Reputation Review,12: 357-387.
[52] Wartick, S. 2002. Measuring reputation: definition and data. Business Society, 41(4): 371-392.
[53] Wiedmann, K.P. and Buxel, H. 2005. Corporate Reputation Management in Germany: Results of an Empirical Study, Corporate Reputation Review, 8: 145-163; DOI:10.1057/palgrave.crr.1540246
[54] Wijaya, H. F. 2015. Pengaruh Corporate Social Responsibility (CSR) terhadap Citra Perusahaan, Jurnal Administratif, 2(1): 30-45.
[55] Yenti, A. 2013. Pengaruh Penerapan Program Corporate Social Responsibility Terhadap Citra Perusahaan. Jurnal Manajemen Universitas Padang, 2(1): 20-32.
[56] Yulianita, N. 2008. Corporate Social Responsibility (CSR) sebagai Aktivitas Social Marketing Public Relations. Jurnal Mediator, 9(1): 11-31.
[57] Zeithaml, V., Parasuraman, A. and Berry, L. 1985. Problems and Strategies in Services Marketing, Journal of Marketing, 49: 33-46.
[2] Anonim 2003. UU No. 19 Tahun 2003 tentang BUMN.
[3] Anonim 2007. Undang-Undang Perseroan Terbatas No. 40 Tahun 2007 tentang CSR.
[4] Aryawan, M., Rahyuda, I.K., and Ekawati, N.W. 2017. Pengaruh factor corporate social responsibility (aspeksosial, ekonomi, danlingkungan) terhadapcitraperusahaan, E-Jurnal Manajemen Unud, 6(2): 604-633
[5] Ataee, S. and Motamedi, S. 2016. The effect of Service orientation on financial performance with the mediating role of job satisfaction and customer satisfaction case Samen credit institution zone 6, International Journal Of Humanities And Cultural Studies, Special Issue, April, 2669-2678 pp.
[6] Babakus, E., Yavas, U., Karatepe, O.M and Avci, T. 2003. The effect of management commitment to service quality on employees’ affective and performance outcomes, Journal of the Academy of Marketing Science, 31(3): 272- 286
[7] Baker III, H. E., and Feldman, D.C. 1991. Linking Organizational Socialization Tactics With
[8] Beal, R. B. 2000. Competing Effectively; Environmental Scanning, Competitive Strategy, and Organizational Performance in Small Manufacturing Firms, Journal of Small Business Management, Jan, 38(I): 27-47.
[9] Chahal, H. and Sharma, R.D. 2006. Implication of Corporate Social Responsibility on Marketing Performance: A Conceptual Framework. Journal of Services Research, 6(1): 58-80.
[10] Chariri, A., and Ghazali, I. 2007. Accounting Theory, Semarang: UNDIP Publisher.
[11] Chen, W-J and Chen, M-L. 2014. Factors Affecting the Hotel's Service Quality: Relationship Marketing and Corporate Image, Journal of Hospitality Marketing &Management, 23(1): 77-96.
[12] Clarkson P, Li Y., Richardson G., and Vasvari F. 2008. Revisiting the relation between environmental performance and environmental disclosure: An empirical analysis. Accounting, Organizations and Society 33: 303–327.
[13] Cojocaru, G. 2011. Management Commitment to Service Quality, Job Embeddedness, and Performance Outcomes: A Study of Hotel Employees in Romania, Thesis , Master of Science, In Tourism Management, June, Thesis, Eastern Mediterranean University, Gazimağusa, North Cyprus.
[14] Cooper 2006. The Impacts of Management Commitment on Employee Behavior: A Field Study, American Society of Safety Engineers Middle East Chapter 7 th, Professional Development Conference & Exhibition Kingdom of Bahrain, March 18-22, 1-8 pp.
[15] Creswell, J. W. 2013. Qualitative Inquiry and Research Design: Choosing Among Five Approaches. Third edition. Washington DC: Sage.
[16] Freeman, R.E. 1984. Strategic Management: A Stakeholder Approach, Boston: PitmanPublishing.
[17] Gozukara, I. and Yildirim, O. 2015. Affective Commitment and Corporate Reputation. The Effects of Attitude toward Advertising and Trust, Academic Journal of Economic Studies 1 (3): 126–147.
[18] Graafland, J.J. and Smid, H. 2004. Reputation, Corporate Social Responsibility and Market Regulation, Tijdschriftvoor Economieen Management, Vol. XLIX, 2: 271-308.
[19] Hair, J.F., Anderson, R.E., Tatham, R.L., and Black, W.C. 1998. Multivariate Data Analysis. Englewood Cliffs, NJ: Prentice-Hall International.
[20] Harrison, K. 2017. Why a good corporate reputation is important to your organization. Available at: http://www.cuttingedgepr.com/articles/corprep_important.asp
[21] Hendriques, I. and Sadorsky, P. 1996. The Determinants of an Environmentally Responsive Firm: An Empirical Approach, Journal of Environmental Economics and Management, 30(3): 381-395.
[22] Heskett, J.L., Sasser, E. and Schlesinger, L. 1997. The Value Profit Chain: Treat Employees like Customers and Customers like Employees, New York: Simon & Schuster.
[23] Hill, M. 1996. Social Policy: A ComparativeAnalysis. London: PrenticeHall.
[24] Homburg, C., Hoyer, W. and Fassnacht, M. 2002. Service Orientation of a Retailer’s Business Strategy: Dimensions, Antecedents, and Performance Outcomes, Journal of Marketing 86-101.
[25] Homburg, C., Krohmer, H and Workman, J.P., Jr 1999. Strategic Consensus and Performance: The Role of Strategy Type and Market-Related Dynamism, Strategic Management Journal, 20: 339-357.
[26] http://infobanknews.com/menteri-rini-program-csr-bumn-masih-belum-optimal/, accessed on November 18, 2017.
[27] Husehild, M. A 1995. The Impact of Human Resources Management Practices on Turnover, Productivity, and Corporate Financial Performance, Academic Management Journal, 38(31): 635-672.
[28] Institute of Directors (IOD) 1999. Reputation Management: Strategies for Protecting Companies, their Brands and their Directors. London: Director Publications (Director’s Guide Series).
[29] Kurd, p., Medeni, T., Medeni, T. and Sağsan, M. 2017. Effects of occupational commitment on corporate reputation: An empirical test for a hospital case in North Cyprus, International Journal of Organizational Leadership 6: 17-31.
[30] Lawrence, A. T., and Morell D. 1995. Leading-edge environmental management: motivation, opportunity, resources and processes. In Special Research Volume of Research in Corporate Social Performance and Policy, Sustaining the Natural Environment: Empirical Studies on the Interface Between Nature and Organizations, Collins D, Starik M (eds). JAI Press: Greenwich, CT; 99–126.
[31] Liat, C-B., Mansori, S., and Huei, C.T. 2013. The Associations between Service Quality, Corporate Image, Customer Satisfaction, and Loyalty: Evidence From the Malaysian Hotel Industry, Journal of Hospitality Marketing & Management, 23(3): 314-326.
[32] Lytle, R.S. and Timmerman, J.E. 2006. Service orientation and performance: an organizational perspective, Journal of Services Marketing, 20(2): 136-47.
[33] Lytle, R.S., Hom, P., and Mokwa. M.P. 1998. SERVOR: A Managerial Measure of Organizational Service Orientation, Journal of Retailing, 455-489.
[34] Markham, V. 1972. Planning the Corporate Reputation. London: George Allen & Unwin.
[35] Mathis, R.L., and Jackson, J.H. 2000. Human Resource Management 10th Edition, Tomson South -Western, United States.
[36] Mello, T and Morgado, A.G. 2012. Corporate Reputation: A Combination of Social Responsibility and Industry, Corporate Social Responsibility and Environmental Management, 19(1): 11–31.
[37] Muafi 2015. Green IT Empowerment, Social Capital, Creativity and Innovation: A Case Study of Creative City, Bantul, Yogyakarta, Indonesia, Journal of Industrial Engineering and Management, 8 (3): 719-737.
[38] Muafi 2009. The Effects of Alignment Competitive Strategy, Culture, and Role Behavior on Organizational Performance in Service Firms, The International Journal of Organizational Innovation, 2(1): 106-134.
[39] Muafi 2016. Analyzing Fit in CSR Strategy Research in State-Owned Enterprises: Indonesia Context, Journal of Industrial Engineering and Management, 9(1): 179-206.
[40] Muafi 2017. Is there a relationship pattern between small medium enterprise strategies with performance in technology business incubator?, International Journal of Public Sector Performance Management, 3(1): 18-39.
[41] Muafi and Roostika, R. 2014. Organizational performance and competitive advantage determinants of creative SMEs, European Journal of Economics And Management, 1(2): 7-25.
[42] Muafi, Suwitho, Purwohandoko and Salsabil, I. 2017. Human Capital in Islamic Bank And Its Effect On The Improvement Of Healthy Organization And Employee Performance, International Journal for Quality Research, 11 (4): 849-868.
[43] Petkeviciene, M.S. 2015: CSR reasons, practices and impact to corporate reputation, Procedia - Social and Behavioral Sciences, 213: 503 – 508.
[44] Porter, M.E. and Van der Linde, C. 1995. Green and Competitive: Ending the Stalemate”, September-October Issue. Available at: https://hbr.org/1995/09/green-and-competitive-ending-the-stalemate
[45] Ruekert, R. W., Walker Junior, O. C. and Roering, K. 1985. The organization of marketing activities: a contingency theory of structure and performance. Journal of Marketing, 49 (1): 13-25.
[46] Schultz, H.B. and Werner, A. 2017. Reputation Management. Available at: https://www.oxford.co.za/download_files/cws/Reputation.pdf
[47] Sen, S. 2011. Corporate social responsibility in small and medium enterprises: application of stakeholder theory and social capitaltheory, DBA thesis, Southern Cross University, Lismore, NSW.
[48] Tracey, N. P. 2014. Corporate reputation and financial performance: Underlying dimensions of corporate reputation and their relation to sustained financial performance, Thesis, School of Management, QUT Business School Queensland University of Technology Brisbane, Australia.
[49] Urban, W. 2009. Organizational service orientation and its role in service performance formation: evidence from Polish service industry, Measuring Business Excellence, 13(1): 72-81.
[50] Walker, K. and Dyck, B. 2014. The Primary Importance of Corporate Social Responsibility and Ethicality in Corporate Reputation: An Empirical Study (Spring 2014). Business and Society Review, 119(1): 147-174. Available at: https://ssrn.com/abstract=2404127 or http://dx.doi.org/10.1111/basr.12028
[51] Walker, K. 2010. A Systematic review of the corporate reputation literature: Definition, measurement, and theory. Corporate Reputation Review,12: 357-387.
[52] Wartick, S. 2002. Measuring reputation: definition and data. Business Society, 41(4): 371-392.
[53] Wiedmann, K.P. and Buxel, H. 2005. Corporate Reputation Management in Germany: Results of an Empirical Study, Corporate Reputation Review, 8: 145-163; DOI:10.1057/palgrave.crr.1540246
[54] Wijaya, H. F. 2015. Pengaruh Corporate Social Responsibility (CSR) terhadap Citra Perusahaan, Jurnal Administratif, 2(1): 30-45.
[55] Yenti, A. 2013. Pengaruh Penerapan Program Corporate Social Responsibility Terhadap Citra Perusahaan. Jurnal Manajemen Universitas Padang, 2(1): 20-32.
[56] Yulianita, N. 2008. Corporate Social Responsibility (CSR) sebagai Aktivitas Social Marketing Public Relations. Jurnal Mediator, 9(1): 11-31.
[57] Zeithaml, V., Parasuraman, A. and Berry, L. 1985. Problems and Strategies in Services Marketing, Journal of Marketing, 49: 33-46.
Published
2018-02-25
How to Cite
MUAFI, MUAFI.
From Company Reputation to Environmental Performance. The Context of Corporate Social Responsibility Port Manager in Indonesia.
Journal of Environmental Management and Tourism, [S.l.], v. 8, n. 7, p. 1386-1398, feb. 2018.
ISSN 2068-7729.
Available at: <https://journals.aserspublishing.eu/jemt/article/view/1775>. Date accessed: 25 apr. 2024.
doi: https://doi.org/10.14505//jemt.v8.7(23).08.
Section
Article
Copyright© 2023 The Author(s). Published by ASERS Publishing 2023. This is an open access article distributed under the terms of CC-BY 4.0 license.