Examining the antecedents and effects of CSR implementation: Case study of food company in Indonesia

Corporate Social Responsibility (CSR) had been implemented locally and globally by many organizations. Although it is important, many scholars and practitioners are arguing about its effectiveness within and outside organizational boundaries. This study aimed to test a research model (framework) about CSR implementation's antecedents (drivers) and effects. Researchers used a questionnaire to test a framework focusing on CSR programs in one of Indonesia's food companies called Japfa Comfeed Indonesia. Respondents were employees of the company's social foundation called Japfa Foundation. After confirming the reliability and validity of the questionnaire, researchers employed a "Structural Equation Modeling" technique to test the research hypothesis. The research focused on the perception of employees about CSR programs implemented by the company. From the findings, there were three factors (knowledge of CSR, CSR awareness, and appropriateness of CSR strategies) that had a direct effect on CSR implementation. On one hand, CSR implementation seems to have a positive effect on subjective well-being and quality of life, while the other three dependent variables (employee commitment, "company reputation, and customer satisfaction) were not affected. It should be underlined that these results were generated from CSR programs in a large area that included Aceh, Banjarmasin, and Jogjakarta; different results were found within each area. The model of this study was adapted from a previous study in Greece on executives that implement CSR programs. This study focused on employees of Japfa Foundation, which had implemented CSR related to nutrition improvement and other areas. Researchers add two variables to the conceptual framework (subjective well-being and quality of life) to see how impactful the CSR implementation was.